Pat McKeough

A professional investment analyst for more than 30 years, Pat has developed a stock-selection technique that has proven reliable in both bull and bear markets. His proprietary ValuVesting System™ focuses on stocks that provide exceptional quality at relatively low prices. Many savvy investors and industry leaders consider it the most powerful stock-picking method ever created.

As early as 1980, Pat was recognized as #1 in the world of published investment advice by the Washington, DC–based Newsletter Publishers Association, and he was the first multi-year winner of The Globe and Mail’s stock picking contest.

Both CBS MarketWatch and The Hulbert Financial Digest recognized Pat as one of North America’s top stock analysts. The Wall Street Journal called him “one of only four investment newsletter advisors who have managed to serve their readers well over the long haul.”

A best-selling Canadian author, he wrote Riding the Bull, his 1993 book that predicted the stock-market boom of the last half of that decade. Through his many television appearances, he is well-known to investors for his insightful analysis and his candid, unpretentious style.

Bottom line: Pat’s conservative, reduced-risk strategy is a proven approach to safe investing.

Posts by the author
If you want to find out how to hire a stock broker who meets your needs, you need to watch out above all for conflicts of interest
STANTEC INC. $31.42 (Toronto symbol STN; TSINetwork Rating: Extra Risk) (780-917-7288; www.stantec.com; Shares outstanding: 93.8 million; Market cap: $2.9 billion; Dividend yield: 1.3%) (all figures adjusted for a 2-for-1 share split in November 2014) sells a range of consulting, project-delivery, design and technology services. Its clients operate in a variety of industries, including oil and gas, transportation and construction.

In the three months ended December 31, 2014, Stantec’s revenue rose 15.1%, to $519.6 million from $451.3 million. Earnings gained 6.7%, to $38.1 million, or $0.41 a share, from $35.7 million, or $0.38.

The company continues to grow through acquisitions. One of its latest is Sparling, a 130-person design firm with offices in Seattle, Portland and San Diego. Sparling focuses on electrical engineering and lighting design, and its recent contracts include the University of California San Diego Jacobs Medical Center and Amazon.com’s Seattle South Union Campus.

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ALIMENTATION COUCHE-TARD $49.82 (Toronto symbol ATD.B: TSINetwork Rating: Extra Risk) (1-800-361-2612; www.couche-tard.com; Shares outstanding: 418.1 million; Market cap: $29.0 billion; Dividend yield: 0.4%) (All amounts except share price and market cap in U.S. dollars) operates 6,314 convenience stores throughout North America. Canadian outlets operate under the Couche-Tard and Mac’s banners, while the U.S. stores mainly use the Circle K brand.

In Europe, Couche-Tard operates 2,233 stores across Scandinavia, Poland, the Baltic States (Estonia, Latvia and Lithuania) and Russia.

In the three months ended February 1, 2015, Couche-Tard’s sales rose just 1.7%, to $2.33 billion from $2.29 billion a year earlier. The higher U.S. dollar cut the revenue contribution of its European operations.

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AURICO GOLD $4.15 (Toronto symbol AUQ; TSINetwork Rating: Speculative)(604-681-2802; www.auricogold.com; Shares outstanding: 250.0 million; Market cap: $1.0 billion; Dividend yield: 2.8%) has agreed to merge with Alamos Gold (symbol AGI on Toronto).

AuRico owns the Young- Davidson mine in northern Ontario, which holds as much as 5.6 million ounces of gold. The mine started up in 2013 and will reach full production in 2016. But meanwhile, it’s moving from open pit to underground mining, which will sharply increase its costs.

Alamos owns the Mulatos mine in Mexico, but its main asset is its $358.0 million cash holding. The combined entity, called Alamos Gold, will use that cash to fund Young-Davidson, and boost the company’s gold output from 400,000 ounces this year to 700,000 in 2018.

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AGT FOOD & INGREDIENTS $28.09 (Toronto symbol AGT; TSINetwork Rating: Extra Risk) (604-231-1100; www.alliancegrain.com; Shares outstanding: 23.1 million; Market cap: $656.1 million; Dividend yield: 2.1%) buys and processes a range of pulses—which include peas, beans, lentils and chickpeas—as well as other specialty crops.

Saskatchewan-based AGT owns 13 processing plants in Canada, nine in Turkey, four in Australia, two in the U.S., one in China and one in South Africa.

AGT has grown quickly in the past five years, with revenue rising 111.8%, from $642.1 million in 2010 to $1.36 billion in 2014. Before one-time items, it made $1.76 a share in 2014, up sharply from $1.09 in 2013.

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Stock Investing
Every Thursday we bring you one of our best U.S. stock picks. You will read about stocks making moves you should know about, most often from our newsletter on U.S. investing, Wall Street Stock Forecaster.

On Tuesday, we profiled a Canadian company in the chemical waste business with a high dividend yield (see the article here). Today we report on a U.S. chemical stock that’s not widely known, but also has an admirable record with dividends.

QUAKER CHEMICAL CORP. (New York symbol KWR; www.quakerchem.com) began operating in 1918 and currently operates 34 plants in 21 countries. These facilities make lubricants and chemicals that keep mechanical parts from rusting.

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Are TV financial pundits guilty of pump and dump schemes?
One of Canada’s last income trusts, Chemtrade Logistics turns industrial waste services and a big acquisition into a high dividend yield.
Stock Investing
Every Monday we feature “A Stock to Sell” as our daily post. We give you a full explanation of why we advise against investing in it at this time.

Liquor Stores N.A. Ltd. (symbol LIQ on Toronto; www.liquorstoresna.ca) is North America’s largest private liquor store operator, with 244 outlets. Of that total, 173 are in Alberta, 35 are in B.C., 23 are in Alaska and 13 are in Kentucky.

Liquor Stores’ banners include Liquor Depot, Liquor Barn and Brown Jug.

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A big change for Hershey after 110 years in business, as it moves to “healthier,” more natural ingredients in its chocolate bars and candies.