Stockchase Daily News RSS The Days Comments by Experts http://www.stockchase.com/ en A Comment -- General Comments From an Expert <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>Markets.</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> The average return, on the 1<sup>st</sup> three companies he recommended in his newsletter 3.5 years ago, was about 800%. These were not speculations, but value companies with revenues and profits. It is a lot harder to find them today. He is a bottom-up investor, and it is harder to find things, so he just wants to build cash, and wait for a better opportunity. Cash holdings are probably in the 40%-50% range. There seem to be a lot of earnings misses, and PE multiples seem to be going up. Thinks earnings are going to have to catch up to what the stock market is doing. Feels central banks globally are orchestrating a campaign to keep equity markets healthy and give people confidence. However, there comes a point where valuations have to catch up.</span></p> http://www.stockchase.com/opinions/view/136720 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136720 Intertape Polymer Group <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Rode the turnaround from $1.30 to $16 and sold his holdings. Stock got weak and went down to $13 or lower. They took their cash flow and increased the dividend by 50%. A conservative board and they wouldn&rsquo;t have done that unless they were super confident about the future. Also, announced a share buyback of 2 million shares. This goes from being a turnaround story to a dividend story. Thinks that the last legs of the turnaround will produce enough cash to increase the dividend another 50% or more over the next couple of years. Stable, safe and well run.</span></p> http://www.stockchase.com/opinions/view/136721 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136721 National Bank of Greece SA <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Like all European banks, they have gone through a very rough time. Thinks that the balance sheet repair job is done. Didn&rsquo;t have to, but was forced to raise a lot of equity which hurt the stock price. Feels the balance sheet is in good shape. Have lots of excess capital. Owns a lot of government bonds, which are going up in value. Now it is just a question of a turnaround in the economy in Greece.</span></p> http://www.stockchase.com/opinions/view/136722 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136722 American International Group <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Has done really well, but feels there is more room to go. At some point big institutions will come around and re-enter the stock. Trades at a big discount to Book. It could be liquidated today, and give every shareholder almost $70 a share. Should give you a decent return, not a huge one, but maybe 15%-20%. Yield of 0.91%.</span></p> http://www.stockchase.com/opinions/view/136723 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136723 Loyalist Group Limited <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Made a lot of acquisitions lately, and he wants to see the earnings power of the company. Revenues are there, but he wants to know where profitability comes in. Have talked about lodging students, but this doesn&rsquo;t seem to be a priority in the short term.</span></p> http://www.stockchase.com/opinions/view/136724 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136724 SNC-Lavalin Group Inc. <p><span style="color: black; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Hit a rough patch awhile ago with a bribery scandal. Not a super risky company. They own a part of Highway 407, and they had really strong numbers from this. If you own, consider taking some profits.</span></p> http://www.stockchase.com/opinions/view/136725 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136725 A Comment -- General Comments From an Expert <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>Profit taking. </strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Always take profits. It&rsquo;s really simple. A profit in your pocket is a &ldquo;real&rdquo; profit. One that is on paper can be meaningless. You owe it to yourself to take some off the table. The riskier the stock, the more you should take profit.</span></p> http://www.stockchase.com/opinions/view/136726 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136726 First Republic Bank <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Doesn&rsquo;t know this bank well, but obviously the US banking sector is in rebound mode. To the extent that this bank is participating in that, you are probably going to be okay. Very attractive looking chart. The recent drop is probably a temporary thing.</span></p> http://www.stockchase.com/opinions/view/136727 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136727 High Arctic Energy Services Inc <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Used to own it, and regrets selling it. Thinks it has legs and is a turnaround story. Have some international operations that could kick in, in a big way. Well run. Strong management team. Valuation is reasonable. Decent dividend.</span></p> http://www.stockchase.com/opinions/view/136728 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136728 Grenville Strategic Royalty <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">This has come onto his radar very recently. These companies buy royalties, not oil and gas or gold. You can do quite well with this if you pay the right price and get the right return. Management seems to be very experienced, which is important. They don&rsquo;t have a lot of track record.</span></p> http://www.stockchase.com/opinions/view/136729 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136729 Alabama Graphite Corp <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">This is very small and speculative. Graphite is used in batteries from cell phones to Tesla cars. Tesla is building a giga-factory, and will be a huge buyer of graphite. The demand side looks good. Supply tends to come from China, and they are shutting down mines and putting export taxes on production. You want to make sure that the graphite play has a chance of becoming a mine. If you are interested in speculating on a resource name, he likes this one.</span></p> http://www.stockchase.com/opinions/view/136730 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136730 Vecima Networks Inc. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Their core business is Network Equipment for cable companies. The family that controls it are very entrepreneurial, and do a lot of interesting things at the margin. They are now building their cash up again. Outside of their core business, they have a couple of other sidelines, including a fleet management business and rural Internet service provider. Expects that both of these will be sold, adding even more to their cash. Expects they could pay out a special cash dividend of $3-$4 in the next couple of years.</span></p> http://www.stockchase.com/opinions/view/136731 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136731 AutoCanada Inc. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Consolidating the car dealership industry. Superbly run. Has been a fantastic performer. Had a pullback because they did a financing, and will probably drift around here for a while, until the market adjusts. Over time there is still a lot of room for this to grow. Not a cheap stock. Thinks it is trading at 40X trailing earnings. You are probably okay to own this. Has a good future.</span></p> http://www.stockchase.com/opinions/view/136732 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136732 Accord Financial <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>(A Top Pick July 26/13. Up 18.07%.)</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> A niche lender to small businesses. Very, very well run. They raise their dividend almost every year. Insiders own piles of stock. Very conservative. They are finding new ways to grow the bottom line. Have lots of capital, which is all deployed. Expects earnings will continue to move up.</span></p> http://www.stockchase.com/opinions/view/136733 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136733 Counsel Corporation <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>(A Top Pick July 26/13. Up 5.55%.)</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> A special dividend was paid out in April. This has been a frustrating ride. It has been volatile and difficult to understand, because of all the non-core assets. Their mortgage business is superb and a market leader, and now reaching the stage of renewals, which should give higher margins.</span></p> http://www.stockchase.com/opinions/view/136734 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136734 Enterprise Group <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>(A Top Pick July 26/13. Up 20.51%.)</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> Oilfield services. Have done a bang up job of acquiring lots of companies. Have been very good at raising money. At this point they have to digest, and prove to investors that all the stuff they&rsquo;ve put together, they can make it work in a better way. If they can, they&rsquo;ve got a very bright future. A lot of money is being spent in Alberta right now, and LNG is looking more and more real every day. They have nice little niche businesses that have high margins and are very unique, so demand should be high.</span></p> http://www.stockchase.com/opinions/view/136735 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136735 Patient Home Monitoring <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">This has been a good stock for him, and is starting to move now. Very well run. On the M&amp;A side, they are rolling up a bunch of annuity type businesses in the healthcare space. Have lots cash, and are doing some financing. He could see this north of $0.45 by year end, and possibly higher. You have higher earnings, but you also get higher multiples as they get bigger, and more institutions are able to buy stock.</span></p> http://www.stockchase.com/opinions/view/136736 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136736 Orbite Aluminae <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Never really liked this. Has been a winner for some people if they get in and out at the right time. Not sure that their technology works.</span></p> http://www.stockchase.com/opinions/view/136737 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136737 Just Energy Group <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Noticed there is some insider buying going on, and savvy investors have been picking up shares. Wondering if there isn&rsquo;t something here. Very hard to understand their balance sheet because they use a lot of derivatives. He is going to watch the stock price. If you see it moving up, you are probably going to be okay. Cautiously optimistic.</span></p> http://www.stockchase.com/opinions/view/136738 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136738 Questor technology <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Have technology that works with gas flares. Doesn&rsquo;t know where they are at in their evolution. If they are there, they are probably going to do well. Stock price has increased pretty heavily, and you have to ask yourself if the business has increased in value that much.</span></p> http://www.stockchase.com/opinions/view/136739 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136739 Olympia Financial Group <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Very well run, kind of niche financial company. Very sharp management that knows how to make money. They paid a dividend, which may explain the drop in the share price. Not a huge growth business, but pays a regular dividend of around 7%. If you are looking for income, you are well served.</span></p> http://www.stockchase.com/opinions/view/136740 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136740 Athabasca Minerals <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Produces gravel and sand. Tar sands mines have gravel roads, and they consume a lot of gravel. The real value is their fracing sand. He is sure there is more upside to come. It will be volatile as it is an undeveloped resource play.</span></p> http://www.stockchase.com/opinions/view/136741 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136741 ReynoldsAmerican Inc. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Acquired Lorrilard tobacco, which was big in vapour sticks. Thinks there is money to be made here.</span></p> http://www.stockchase.com/opinions/view/136742 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136742 The Score Inc. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Loves this stock. Was a Top Pick recently. Super impressed by what they are doing. Apps is where the money is right now. People are using them more and more, and advertisers understand this. This is #2 globally after ESPN, so they have very good market share. They don&rsquo;t have profits, they have revenue. Cheap stock.</span></p> http://www.stockchase.com/opinions/view/136743 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136743 Element Financial <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Owner is very sharp, and has done this before. Had some stumbles, but sold for a nice gain. He is a good promoter of his stock. Not cheap, but people who got in early are doing well. Pretty impressive chart. He would prefer owning Accord Financial (ACD-T). </span></p> http://www.stockchase.com/opinions/view/136744 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136744 Premium Brands Holdings Corp <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Recently went to a Hold on it because of all the talk on food inflation, and it is tough for them to pass costs on to their customers. They may have passed this point, so he is going to have to revisit it. Great business and really well run.</span></p> http://www.stockchase.com/opinions/view/136745 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136745 Nordex Explosives <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Hadn&rsquo;t worked out as he had hoped. The business has gotten better. Big increase in sales, and profitability is coming back. However, the stock just does nothing. $8 million market cap and $20 million in sales, so it doesn&rsquo;t look expensive. Have an ambitious growth plan and they need to raise money. When you need to raise money, people don&rsquo;t buy stock which is probably keeping a thumb on the stock price. Management has said they will not do a cheap financing, but sometimes they don&rsquo;t have a choice.</span></p> http://www.stockchase.com/opinions/view/136746 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136746 Hi-Crush Partners LP <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Produce and sell frac sand and cash flows are amazing. Had recommended this in 2012 at around $21 and the stock started immediately to drift down. They announced a loss of a contract, which hurt their credibility, so he sold his holdings. At this point, he thinks you have missed it.</span></p> http://www.stockchase.com/opinions/view/136747 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136747 A Comment -- General Comments From an Expert <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>Markets. </strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Expects to see a pickup in global growth in the 2<sup>nd</sup> half of the year, especially in the US. There are bumps along the way, and that should be favourable to the equity markets continuing to grind higher. Thinks that valuations are a little bit stretched at this point, so we need the earnings and the EPS to pick up a bit. Those positive trends hopefully will continue. So far this season, 1/3 of companies on the S&amp;P 500 have reported, and 76% have been estimated so far. That is good news. Comparing equities to bonds, equities are probably the winner in terms of what is going to happen over the next 12 months. Interest rates should stay low until next year. Some of the geo-political tensions are getting a bit worse, so some of those things should be watched out for. Also, volatility low levels are way lower than what they should be. Well over 25% below long-term averages. He is moving cash up a little bit from 25% to 12%-13% right now, in order to take advantage of any opportunities. He continues to favour the more economically areas, the cyclical stocks whether they be technology, energy or industrials. These are the areas you want to be in right now.</span></p> http://www.stockchase.com/opinions/view/136748 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136748 Halliburton Co <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Likes this and the energy services space a lot. In this part of the cycle, especially when the energy sector is moving up, these service companies are the ones that are most leveraged and tend to do well. This is a great one to own. Pretty cheap relative to the rest of the market. Looking for a 5%-10% pullback.</span></p> http://www.stockchase.com/opinions/view/136749 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136749 General Electric <p><span style="color: black; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Likes the industrial space in general for the economic pick up. Companies that are in the turbine and power generation space would do quite well. Trading at 14X earnings with probably a 10% earnings growth rate.</span></p> http://www.stockchase.com/opinions/view/136750 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136750 BCE Inc. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Just announced a privatization deal with Bell Alliant (BA-T). Thinks this is good that they are taking some of their assets and consolidating them. He owns this mainly for its dividend play. Wireless is the way to go, and the growth engine for things. If you are a Bell Alliant shareholder, he would recommend taking the cash unless there are some capital gains complications. </span></p> http://www.stockchase.com/opinions/view/136751 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136751 Bank of America <p>Likes the US financial space in general. Valuations are below long-term averages. Has been beaten up a little with regulatory issues and low interest rates, but those will change. Hopefully, next year, the regulatory issues will be less and interest rates will be higher. The economy should have picked up even more so. He prefers Citigroup (C-N) and J.P. Morgan (JPM-N).<span style="color: #ff0000;"> <strong>(See Top Picks.)</strong></span></p> http://www.stockchase.com/opinions/view/136752 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136752 Twitter, Inc <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>Twitter (TWTR-N) or Facebook (FB-N)?</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> Feels the social media names, including this one, have stretched valuations. It&rsquo;s such a new phenomenon; it is hard to tell where the earnings are going to come and how they are going to monetize things. Facebook is in the 3<sup>rd</sup> inning where this one is only in the 1<sup>st</sup> inning. Neither of these fit the profile of his portfolios.</span></p> http://www.stockchase.com/opinions/view/136753 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136753 Facebook <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>Twitter (TWTR-N) or Facebook (FB-N)?</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> Feels that the social media names have stretched valuations. It&rsquo;s such a new phenomenon; it is hard to tell where the earnings are going to come and how they are going to monetize things. This one is in the 3<sup>rd</sup> inning where Twitter is only in the 1<sup>st</sup> inning. This one is getting its earnings going, and valuations look a little bit better. Earnings were strong today on the mobile side, and they are executing well. This would be his choice over the two. Neither of these fit the profile of his portfolios.</span></p> http://www.stockchase.com/opinions/view/136754 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136754 SPDR Technology ETF <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">He really likes the tech space, especially if you look at some of the old guard tech names such as Microsoft and Intel which are hitting multi-year highs. This includes some Apple (AAPL-Q), Google (GOOG-Q) as well as some telecom, so it is not a pure technology play. Tech is actually cheaper than where it should be. These guys are the most cash-rich companies out there.</span></p> http://www.stockchase.com/opinions/view/136755 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136755 United Technologies <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">When things are happening in the economy, things like this will do well. Trading at 15X forward earnings with a 10% long-term growth rate. You are not paying a lot, but the earnings will pick up. Pretty decent value here.</span></p> http://www.stockchase.com/opinions/view/136756 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136756 Caterpillar <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">We may start to see a pickup with the general economy, but doesn&rsquo;t think you will see the moves in this like we saw going back several years, when China was busy building roads and highways, etc. Not sure this will move as quickly as it might have, during the development of China. Not expensive, but doesn&rsquo;t show up in his radar to own.</span></p> http://www.stockchase.com/opinions/view/136757 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136757 American Tower <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Very, very simple business. Just grabbing revenue in. The only thing he would be slightly worried about is if interest rates start to move higher. Most people will own this for the potential for yield. This is considered a REIT, so if it is part of that area, this is one that will be sold off if interest rates increase.</span></p> http://www.stockchase.com/opinions/view/136758 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136758 JP Morgan Chase & Co <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>(A Top Pick July 10/13. Up 10.55%.)</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> A very well run business. Trading at around 1X Book Value, so there is still a valuation discount here. </span></p> http://www.stockchase.com/opinions/view/136759 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136759 Telus Corp <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>(A Top Pick July 10/13. Up 25.86%.)</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> 4% yield, and the expected dividend growth is quite high. Still likes and it would be a Buy at this time.</span></p> http://www.stockchase.com/opinions/view/136760 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136760 ProSh Short 20+Yr Treas ETF <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>(A Top Pick July 10/13. Down 12.85%.)</strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"> Interest rates will normalize. The Fed is tapering their program right now, so there will be less buying of bonds, which means that interest rates should eventually move higher.</span></p> http://www.stockchase.com/opinions/view/136761 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136761 Enbridge <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Yield of about 2.6%. If and when interest-rates start moving up, will investors start turning away from companies like this? If you own, hang onto it for the time being. Yield might grow by about 8%, which is not bad, but not a huge move going forward.</span></p> http://www.stockchase.com/opinions/view/136762 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136762 Goldcorp Inc <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">He doesn&rsquo;t own any gold. This is probably one of the better run companies in Canada. With some of the curbs on imports in India, that might be a bearish case on gold. China is the largest consumer of gold, and data recently showed that Chinese demand was down 18%. Also, as the Fed continues to taper, interest rates should be rising higher.</span></p> http://www.stockchase.com/opinions/view/136763 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136763 Pulte Homes Inc <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Largest homebuilder in the US. If you own, continue to hold because he feels the US housing recovery has just taken a bit of a pause. He has seen some numbers recently that are a little bit better. He can foresee even better numbers going forward as the economy picks up.</span></p> http://www.stockchase.com/opinions/view/136764 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136764 Manitoba Telecom Services <p><span style="color: #ff0000; font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;"><strong>Sell and move into another telco? </strong></span><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Because the yield is quite a bit higher than the other names, you should hang on to this. Some sort of consolidation in the space, could be there.</span></p> http://www.stockchase.com/opinions/view/136765 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136765 Canadian National R.R. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Likes the rail space. Canadian Pacific (CP-T) looks a little bit cheaper on a growth to the PE metric. It makes a lot of sense to own these types of names.</span></p> http://www.stockchase.com/opinions/view/136766 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136766 Teck Resources Ltd. (B) <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">When he looks at the resource space, he is looking at energy before looking at base metals. Some of these names have moved forward a bit, but this one has kind of meandered along and hasn&rsquo;t done so well. Also, China is not gobbling up resources like it was 10-12 years ago.</span></p> http://www.stockchase.com/opinions/view/136767 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136767 Dollarama Inc. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">This was a name that had seemed expensive, but the earnings just crept higher, and they have done extremely, extremely well. Earnings moved up faster than the price and the PEG ratio is at 1. It has moved down to near the 50 day moving average, and he would be comfortable owning it.</span></p> http://www.stockchase.com/opinions/view/136768 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136768 EMC Corp <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Storage in Cloud is the future, and this is a great name. PEG ratio is at 1.2, so you are not paying social media type of valuations. This should do well.</span></p> http://www.stockchase.com/opinions/view/136769 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136769 Chipotle Mexican Grill <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">There is a lot of momentum behind the stock. Trading at 42X forward earnings, which is pretty expensive. Growth rate is 20%, so you are paying 2X PEG ratio.</span></p> http://www.stockchase.com/opinions/view/136770 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136770 Apple <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">We are now looking at 1.25X PEG ratio, which is not expensive, but not cheap anymore either. Not sure if you should make a new purchase at this time. He would wait for a pullback.</span></p> http://www.stockchase.com/opinions/view/136771 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136771 Crescent Point Energy Corp <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Has pulled back recently, so it&rsquo;s a good time to add more shares. Feels energy prices will remain pretty firm. They just announced production guidance for 2014 that it is going to be higher. Will probably sustain their current levels based on economic movements and economic recovery, especially with geopolitical problems happening globally. 6.1% yield.</span></p> http://www.stockchase.com/opinions/view/136772 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136772 SPDR Financial E.T.F. <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Banks have really under-performed versus the S&amp;P 500. This is due to regulation issues out there and interest rates remaining lower than expected. On valuation you are looking at 1.35X Book Value compared to the TSX financial sector at 1.85X. With the strengthening US economy, a recovering housing market, lower loan loss provisions and better credit issues, this should do quite well.</span></p> http://www.stockchase.com/opinions/view/136773 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136773 Michael Kors Holdings <p><span style="font-family: 'Times New Roman'; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-CA; mso-fareast-language: EN-CA; mso-bidi-language: AR-SA;">Weakness is due to the assumption that inventories have been growing a bit more, and there has been a little bit more sale product going on than normal. He feels these are just normal ways of business. The recent drop presents a pretty good buying opportunity. Trading at 20X PE with a 20%+ growth rate. Assuming the growth rate continues, this has a PEG ratio below 1. They&rsquo;ll continue to gain market share. They have products that are more value oriented and more for high-end. 72% of their revenues come from the US, so there is lots of opportunity going into the international markets like Europe and Japan. Also, e-commerce is an opportunity for them going forward.</span></p> http://www.stockchase.com/opinions/view/136774 Wed, 23 Jul 2014 00:00:00 -0400 http://www.stockchase.com/opinions/view/136774