Stockchase Recent Top Picks RSS Recent Top Picks by Experts http://www.stockchase.com/ en BCE Inc. <p><span style="color: red; 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>3.25% bonds maturing June 17/20.</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;"> One of the themes in his 3 picks is quality. He is taking cautionary measures to guard against BBB bonds starting to underperform the market. Also, preservation of capital in these very low rates is #1 in his mind.</span></p> http://www.stockchase.com/opinions/view/141019 Thu, 20 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/141019 Brookfield Asset Management (A) <p><span style="color: red; 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>3.95% bonds maturing Apr 9/19.</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;"> One of the themes in his 3 picks is quality. He is taking cautionary measures to guard against BBB bonds starting to underperform the market. Also, preservation of capital in these very low rates is #1 in his mind.</span></p> http://www.stockchase.com/opinions/view/141018 Thu, 20 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/141018 TSX Group <p><span style="color: red; 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>3.25% bonds maturing Oct 3/18.</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;"> One of the themes in his 3 picks is quality. He is taking cautionary measures to guard against BBB bonds starting to underperform the market. Also, preservation of capital in these very low rates is #1 in his mind.</span></p> http://www.stockchase.com/opinions/view/141017 Thu, 20 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/141017 Callaway Golf <p><span style="color: #ff0000;"><strong>(Top Pick Dec 05/13, Down 2.82%)</strong></span> The turnaround is about half way through.&nbsp; We had a dismal summer last year and then a poor winter.&nbsp; Longer term restructuring stories are the kind of animal that are lumpy, but when they work they work well so he is happy to hold this.&nbsp; The US middle class tend to be golfers.&nbsp; New product introduction benefits them as does the new CEO&rsquo;s turning the company around.&nbsp; There should be more upside.&nbsp; You see a lot of young guys on courses in Florida.&nbsp;</p> http://www.stockchase.com/opinions/view/140994 Thu, 20 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140994 Tsingtao Brewery Co. <p>Has been growing at double digit rates.&nbsp; Brewing companies use a ton of energy.&nbsp; So lower energy costs are helpful for this story.&nbsp; It is relatively cheap.&nbsp; Owned since the low $30s.&nbsp;</p> http://www.stockchase.com/opinions/view/140993 Thu, 20 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140993 Arc Resources Ltd <p>There has been a big decline in energy prices. This is a very good management team.&nbsp; The dividend is sustainable at current levels.&nbsp; They have exposure to all the right markets.&nbsp; A balanced portfolio.&nbsp; Longer term this will make some money.</p> http://www.stockchase.com/opinions/view/140992 Thu, 20 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140992 Google <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 owned this for quite some time. A wonderfully innovative company. 80% of all cell phones operate on their system. Has a great balance sheet. Visionary leadership that doesn't pay themselves a penny. They are able to attract outstanding talent. A lot of the things that they are working on, like autonomous driven cars, are coming to fruition. These are the kind of guys that are making things happen. They are creating the demand. The YouTube site has not been really monetized as much as it probably could be. Trading at about 18X forward earnings. For company this size, growing this well, with that many opportunities, and a dominant position in so many industries, it is incredibly good value.</span></p> http://www.stockchase.com/opinions/view/140975 Wed, 19 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140975 Artek Exploration <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 a reasonably high risk. Have a large amount of very attractive land in the Montney area in north-eastern BC. Big, big partners. Drilled a couple of bad wells and have some execution problems. Got rid of some people. Just drilled a well a little while ago, that was the best ever condensate well in BC. Somebody just bought a huge amount of land at $130 million right beside them. If you ascribe that $130 million value to this company's land, you get about a $350 million value plus production of about $150 million. Trading around $250 million enterprise value. If they keep executing, he doesn't think this company will remain a public company more than a year.</span></p> http://www.stockchase.com/opinions/view/140974 Wed, 19 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140974 Kelt Exploration <p><span style="color: red; 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 Dec 5/13. Down 1.26%.)</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;"> Has grown its production per share by around 200% plus. Cash flow has grown by a huge amount. Stock has gone down because oil prices are down. Predominantly a natural gas producer. Very, very well run. Producing about 15,000 barrels per day and is going to grow its production next year. Has announced that it is going to reduce its spending budget a little bit next year, but not substantially. Balance sheet is in excellent shape. At these prices, it represents excellent value.</span></p> http://www.stockchase.com/opinions/view/140963 Wed, 19 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140963 Intertain 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;">Online gambling. This was spun out of Amaya Gaming (AYA-T) and they still have a relationship with them where Amaya is guaranteeing some revenue for them. A big part of their market is in Bingo. Amaya is in the poker market, which is much more fickle as the players tend to move around from one site to the next. Bingo brings in a different demographic of more females. Made a number of acquisitions in the last couple of months, with several more they are working on. Fairly cheap here. Wouldn't be surprised if Amaya came back in and bought them back.</span></p> http://www.stockchase.com/opinions/view/140956 Wed, 19 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140956 Terra Firma Capital <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;">Specialized financing for real estate. Management used to operate the IPC Reit before they sold it in 2007. They try to get equity like returns on a debt like structure. Thinks they can earn as high as $0.10 a share next year. Putting a conservative 10X multiple on that, the stock is at around $1.20. Just hired someone from Tricon (TCN-T) who looked after their US operations for a number of years. His focus will be going into the US and try to build out the business down there.</span></p> http://www.stockchase.com/opinions/view/140955 Wed, 19 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140955 Badger Daylighting <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;">Had a great run. Have phenomenal margins of over 25%. A very profitable company. They manufacture and operate hydro-vac trucks that are used to excavate, using water and a vacuum. Half their business is in oil/gas, as well as pipelines and utilities. Last summer they announced they were reducing the number of trucks they were building, from 5 down to 4, and the market got very concerned. Also, had a bit of a stumble with their earnings. The most recent numbers show that the margins and earnings are back up. They now have a solid plan in place, where they are going to double the number of trucks in the US from 450 to 900 in the next 5 years. Dividend yield of 1.1%.</span></p> http://www.stockchase.com/opinions/view/140954 Wed, 19 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140954 FT AlphaDEX US Consumer Staples <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 looked at Staples and Discretionary for the last 5 years. The thought has always been that in difficult times we want to own staples, and when things get better we want to own discretionary stocks. In reality, in the difficult times of 2007-2008 and following through to the good times, staple stocks never really declined. This is based on the Alphadex system that was developed in the US, where they look at all the consumer staple stocks in the US, rate them all with some growth and value characteristics, and give them a score. (Top and bottom quartiles are included.)</span></p> http://www.stockchase.com/opinions/view/140931 Tue, 18 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140931 Greenbriar Cos. <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 company is in a perfect storm here. Have a backlog of 43,000 railcars. Have 4 divisions. They make them, repair and refurbish wheels, provide leasing and finance for railcars and also have software to manage railcars. A fantastic company. There is a bumper crop of grain that we need railcars for. We have oil that we need railcars for. Dividend yield of 0.94%.</span></p> http://www.stockchase.com/opinions/view/140930 Tue, 18 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140930 Catamaran 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;">A pharmacy benefits management company. They just signed a huge deal with Sigma and the stock has kind of faltered after that because they spent a lot of time and money to get this on the road. Now everything is fine. EBITDA for the last three quarters shows that the company is doing a great job of managing revenue. He can see this as being a very large growth area. Because they are smaller than their biggest competitor, Express Scripts (ESRX-Q), he thinks there is going to be more impact. Bought another company called Salveo Specialty Pharmacy, which was immediately accretive.</span></p> http://www.stockchase.com/opinions/view/140929 Tue, 18 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140929 Veresen 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;">Anything in energy, people don't really care about, but it creates an opportunity here. Pipelines and utilities kind of get lumped into that. This is a top quality company, with some massive growth opportunities over the next 5-7 years. Some of the growth opportunities in the US and Canada are going to make the stock stand out over the next few years. Yield of 5.43%.</span></p> http://www.stockchase.com/opinions/view/140906 Tue, 18 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140906 Discover Financial Services LLC <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 are a number of ways to play credit cards, but he wants exposure to the credit card that has the best position for better consumer spending, job growth and wage growth. This company fits that bill. They offer a &ldquo;no fee&rdquo; credit card to the middle-income segment of the US economy. Offers a very good customer service and rewards program that the middle-income earner doesn't normally get. Very strong loan growth. Compared to regional banks it has a higher ROE, higher net interest margin, and yet it trades below an earnings multiple to the regional banks. Feels there is significant growth here.</span></p> http://www.stockchase.com/opinions/view/140905 Tue, 18 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140905 ATS Automation <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;">Automation, and as companies globally are trying to be more productive, they are turning to technology, and manufacturing companies are turning to automation. For Canadians, this is a great way to get exposure to that growing trend of automation. Started to focus more and more on service revenue, which is stickier and higher-margin, so they are going to do quite well here. The trend catalyst for the stock is M&amp;A. Free cash flow is good. Leverage is at 2.9 times and will come down through this period of industrial production. It's getting a fair bit of revenue from overseas. This is one of the smaller players, so there is a bit of risk to it.</span></p> http://www.stockchase.com/opinions/view/140904 Tue, 18 Nov 2014 00:00:00 -0500 http://www.stockchase.com/opinions/view/140904