The Successful Investor Hotline – Thursday, April 15, 2016

Article Excerpt

BOMBARDIER INC., Toronto symbols BBD.A $1.84 and BBD.B $1.62, announced this week that Latvia-based Air Baltic has exercised its option to buy seven more of the company’s new CSeries passenger jets. The client had previously ordered 13 planes. Bombardier will begin to deliver the aircraft by the end of 2016. The company now has firm orders for 250 CSeries planes. Based on the list price for the aircraft, these orders are worth $18 billion (all amounts except share prices in U.S. dollars). To put that in context, Bombardier’s total revenue was $18.2 billion in 2015. However, the company typically offers discounts to customers that buy multiple planes. So the total value of its CSeries backlog is probably much less than the list price. OUR RECOMMENDATION: Bombardier is still a hold. Bombardier recent coverage Hotline for February 19, 2016 February 2016 issue LOBLAW COMPANIES LTD., $70.72, Toronto symbol L, currently operates over 1,100 supermarkets and 1,300 Shopper Drug Mart drug stores across Canada. This week, the company…