Stockchase Recent Top Picks RSS Recent Top Picks by Experts http://www.stockchase.com/ en Spartan Energy Corp <p>All 3 picks have recently done fairly transformative acquisitions. He wants to own companies that have institutional following and access to capital markets and could do smart acquisitions at the bottom of the cycle. Recently did an acquisition of some assets from Arc Resources, about 7500 barrels of 98% oil in Saskatchewan. The assets fit perfectly into the company. It also brings them through that 20,000 barrels a day threshold, which opens the company up to a broader universe of institutional portfolio managers. <em>(Analysts&rsquo; price target is $4.60.)</em></p> http://www.stockchase.com/opinions/view/166440 Tue, 06 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166440 Birchcliff Energy Ltd. <p>All 3 picks have recently done fairly transformative acquisitions. He wants to own companies that have institutional following and access to capital markets and could do smart acquisitions at the bottom of the cycle. A natural gas producer and has a Pouce Coupe asset. His issue historically has been that they have always had too much debt, but they did a $625 million acquisition of a Gordondale asset that is contiguous to their Pouce Coupe asset. The 2 fit together really well. It has the effect of lowering the decline rate, and he thinks has increased the cash flow profile. They also brought down their balance sheet leverage. Has a five-year growth plan in place that is entirely funded by internally generated cash flow. He can see this being in the mid-teens by next year. Dividend yield of 1.04%. <em>(Analysts&rsquo; price target is $12.35.)</em></p> http://www.stockchase.com/opinions/view/166439 Tue, 06 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166439 Whitecap Resources <p>All 3 picks have recently done fairly transformative acquisitions. He wants to own companies that have institutional following and access to capital markets and could do smart acquisitions at the bottom of the cycle. This does about 50,000 barrels a day, 80% weighted towards oil. Recently did an acquisition of some very low decline assets. They also have a little bit of hedging in place. Feels they have one of the most sustainable dividend profiles of the group. Dividend yield of 2.34%. <em>(Analysts&rsquo; price target is $13.89.)</em></p> http://www.stockchase.com/opinions/view/166438 Tue, 06 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166438 Exxon Mobil <p>Trump is interviewing the CEO for Secretary of State. This is the best managed company globally. It didn&rsquo;t get beat up like a lot of company oil stocks. Going forward this is a great valuation. Dividend yield of 3.45%. <em>(Analysts&rsquo; price target is $89.50.)</em></p> http://www.stockchase.com/opinions/view/166412 Tue, 06 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166412 American International Group <p>You are getting the big insurance companies emerging. The market is communicating, through his model price, that it likes the balance sheet. This is the highest valuation it has been in 8 years. Dividend yield of 2%. <em>(Analysts&rsquo; price target is $66.24.)</em></p> http://www.stockchase.com/opinions/view/166411 Tue, 06 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166411 CitiGroup <p>In the last 4 years, the Fed has been restraining the banks from even increasing their dividend. If the banks do well, America will do well. This is a long-term secular story. There is a lot of runway in terms of expansion of their earnings if interest rates go up and they can re-lever their balance sheets. Dividend yield of 1.11%. <em>(Analysts&rsquo; price target is $59.70.)</em></p> http://www.stockchase.com/opinions/view/166410 Tue, 06 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166410 Magna Int'l. (A) <p>Great, long term chart. Had a pullback over the last 18 months. A great time to get involved. Trading at around 7X earnings. The #2 auto parts company globally. A real innovative company that continues to grow through thick and thin. Cheap. Great balance sheet. Buys back stock. Dividend yield of 2.39%, and you will probably see an increase in the next quarter. <em>(Analysts&rsquo; price target is $64.52.)</em></p> http://www.stockchase.com/opinions/view/166388 Mon, 05 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166388 Freehold Royalties <p>An oil/gas royalty company, one of the larger ones in Western Canada. Trading at a discount to its closest comparable, PrairieSky (PSK-T). Dividend yield of 3.43%, and he thinks it could increase next year.<em> (Analysts&rsquo; price target is $15.61.)</em></p> http://www.stockchase.com/opinions/view/166387 Mon, 05 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166387 Anthem Inc <p>This has been a long term holding for him, and has done really well owning it. He took some profits about 1.5 years ago during the merger mania, when this company announced its merger with Cigna, and since that time you can see the peak, and the stock has tailed off until just recently. The Obama administration were really pushing back against mergers, and there is a much better prospect that the mergers will go forward. The stock is really cheap trading at 12X earnings, and it should trade closer to a market multiple. Dividend yield of 1.8%. <em>(Analysts&rsquo; price target is $155.88.)</em></p> http://www.stockchase.com/opinions/view/166386 Mon, 05 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166386 Walgreen Boots Alliance <p>[See Past Picks]&nbsp; They have a lot of partnership agreements that will kick in shortly.&nbsp; They are renovating an enormous number of stores.&nbsp; They are doing a better job of understanding SKU by SKU profitability.&nbsp; They are driving traffic.&nbsp; They are doing all of this to offset margin compression.</p> http://www.stockchase.com/opinions/view/166357 Mon, 05 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166357 CASH <p>Downside protection is very important.&nbsp; He only invests in equities he believes in and that have a good risk/return profile.</p> http://www.stockchase.com/opinions/view/166356 Mon, 05 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166356 Store Capital Corp. <p>They are a triple net lease company.&nbsp; They buy where there is little competition.&nbsp; They earn high cap rates.&nbsp; They require that the tenant is profitable.&nbsp; Their occupancy levels are very high.&nbsp; He was the first investor ever to visit them.&nbsp; He likes them as a dividend company and as a compound cash per share company.&nbsp; It normally falls below the radar.</p> http://www.stockchase.com/opinions/view/166355 Mon, 05 Dec 2016 00:00:00 -0500 http://www.stockchase.com/opinions/view/166355