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SYMANTEC CORP. $14 (Nasdaq symbol SYMC; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 821 million; Market cap: $11.5 billion; Price-to-sales ratio: 1.9; WSSF Rating: Average) makes software that protects computers from viruses and intruders.
The company is best known for its top-selling Norton Anti-Virus program. Products aimed at individual computer users supply 30% of Symantec’s revenue, and half of …read more »
The market downturn has been particularly hard on cyclical technology companies like Symantec and Autodesk. However, both are world leaders in their niches, which gives them an advantage over competitors; many users prefer to avoid having to learn new software. As well, both companies continue to heavily invest in research. This hurts their earnings, but the resulting new products will …read more »
KINGSWAY FINANCIAL SERVICES $2.90 (Toronto symbol KFS; SI Rating: Speculative) (905-629 -7888; www.kingsway-financial.com; Shares outstanding: 55.1 million; Market cap: $159.7 million) dropped recently after it announced that it expects to post a 2008 fourth-quarter loss of between $5.88 and $6.24 a share. (All figures except share price in U.S. dollars.) The expected loss is mainly the result of underwriting losses …read more »
MAJOR DRILLING. $14.31 (Toronto symbol MDI; SI Rating: Speculative) (www.majordrilling.com; 1-866-264- 3986; Shares outstanding: 23.7 million; Market cap: $339.3 million) is a large drilling company that mainly serves the mining industry.
In the three months ended October 31, 2008, Major Drilling’s revenues rose 22.4%, to $191 million from $156.1 million. Excluding one-time items, its earnings rose 28.5%, to $29.3 million, or …read more »
DUNDEE REIT $13.88 (Toronto symbol D.UN; SI Rating: Speculative) (416-365-3535; www.dundeereit.com; Shares outstanding: 16.9 million; Market cap: $235.2 million) owns and operates seven million square feet of office, industrial and retail space, including 43 office buildings and 36 industrial properties. GE Real Estate holds a 14.3% voting interest in Dundee, and Dundee Corp. holds 16%.
Revenues were $50.4 million in …read more »
CANADIAN NATIONAL RAILWAY CO. $44 (Toronto symbol CNR; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 464.9 million; Market cap: $20.5 billion; Price-to-sales ratio: 2.5; SI Rating: Above Average) operates the largest freight-rail network in Canada, and serves 16 U.S. states. It hauls consumer and industrial goods, which accounted for 21% of its 2008 revenue, forest products (19%), grain …read more »
TIM HORTONS INC. $29 (Toronto symbol THI; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 181.6 million; Market cap: $5.3 billion; Price-to-sales ratio: 2.9; SI Rating: Average) aims to spur traffic at its coffee-and-donut stores in the United States with a new alliance with the Cold Stone Creamery chain of upscale ice-cream parlours. Tim Hortons will start selling Cold Stone Creamery …read more »
GENNUM CORP. $4.40 (Toronto symbol GND; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 35.6 million; Market cap: $156.6 million; Price-to-sales ratio: 1.0; SI Rating: Above Average) makes equipment that stores, manipulates and transfers video signals. Foreign markets account for 85% of its total sales.
Gennum spends nearly 30% of its revenue on research, which helps it maintain its high …read more »
The Canadian dollar will likely remain low relative to most major currencies for the next year or so. This is good news for CAE and Gennum, which get a high proportion their sales from the U.S. and overseas markets. (A low Canadian dollar enhances the contribution of international sales.) Their high research spending also makes them look less profitable than …read more »
MAPLE LEAF FOODS INC. $10 (Toronto symbol MFI; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 107 million; Market cap: $1.1 billion; Price-to-sales ratio: 0.2; SI Rating: Average) has finalized the details of several class-action lawsuits it faces related to an outbreak of listeriosis at its Toronto meat-processing plant in August 2008.
Maple Leaf will pay a total of $25 million, and …read more »
