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CGI Inc. investors continue to benefit from organic growth and accretive acquisitions, with a downside cushion from a contract‑driven, government‑heavy base.
Top pick Walmart Inc.’s earnings are projected to grow by double digits in 2027 while the stock boasts a “quality premium” to reflect its successful tech pivot.
Intact Financial Corp. is a #1 Power Buy for 2026 as it continues to demonstrate excellence in its field as Canada’s largest property and casualty insurer.
Telus Corp. offers an exceptional 9.0% yield as it seeks to pay down debt while pursuing attractive value-unlock ventures including AI datacentres.
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FINNING INTERNATIONAL INC. $19 (Toronto symbol FTT; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 168.0 million; Market cap: $3.2 billion; Price-to-sales ratio: 0.5; Dividend yield: 3.8%; TSINetwork Rating: Above Average; www.finning.com) sells and services Caterpillar-brand heavy equipment in Canada, South America and the U.K. Its main customers are in the oil, mining, forest-products and construction industries. The company continues to cut costs as low commodity prices hurt equipment demand. Finning recently announced plans to eliminate about 500 jobs by mid-2016. That’s in addition to the 1,900 workers, or 13% of its global workforce, laid off last year. Because of the moves, Finning has already reduced its annual expenses by $150 million, and expects higher savings this year....
Teck’s shares have rebounded strongly since falling to $3.65 in January 2016. That’s mainly because the company is doing a good job holding down its costs while it waits for metallurgical coal, copper and zinc prices to recover. The direction of commodity prices depends on many things, particularly economic growth rates around the world. Still, we feel Teck’s lower costs and high-quality reserves put it in a strong position to rapidly expand its profits as prices stabilize. TECK RESOURCES LTD. $10 (Toronto symbol TCK.B; Conservative Growth Portfolio, Resources sector; Shares outstanding: 576.3 million; Market cap: $5.8 billion; Price-to sales ratio: 0.7; Dividend yield: 1.0%; TSINetwork Rating: Extra Risk; www.teck.com) is a leading producer of metallurgical coal, a key ingredient in steel making. Its six coal mines (five in B.C. and one in Alberta) account for 11% of global demand....
SAPUTO INC. $40 (Toronto symbol SAP; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 392.9 million; Market cap: $15.7 billion; Price-to-sales ratio: 1.5; Dividend yield: 1.4%; TSINetwork Rating: Average; www.saputo.com) is Canada’s largest producer of dairy products, including milk, butter and cheese. It also operates dairies in the U.S., Australia and Argentina. The company’s sales rose 2.8% in its fiscal 2016 third quarter, which ended December 31, 2015, to $2.9 billion from $2.8 billion a year earlier. It gets 65% of its sales from outside Canada, and the lower Canadian dollar added $261 million to the latest quarter’s sales. Lower selling prices for cheese and butter cut sales by $191 million. Earnings gained 15.8%, to $0.44 a share from $0.38. That’s mainly due to better efficiency and lower ingredient costs....
IMPERIAL OIL LTD. $44 (Toronto symbol IMO; Conservative Growth and Income Portfolios, Shares outstanding: 847.6 million; Market cap: $37.3 billion; Price-to-sales ratio: 1.5; Dividend yield: 1.3%; TSINetwork Rating: Average; www.imperialoil.ca) is selling its 497 company-owned Esso gas stations to independent operators for $2.8 billion. Following the sale, franchisees will operate all of its 1,700 Esso stations across Canada. The buyers include Alimentation Couche-Tard (Toronto symbol ATD.B). It is purchasing 279 stations in Ontario and Quebec. (Alimentation Couche- Tard is a recommendation of Stock Pickers Digest, our newsletter that focuses on aggressive investments.) In addition, 7-Eleven Canada is getting 148 stations in Alberta and British Columbia. Parkland Fuel (Toronto symbol PKI), will buy 17 stations in Saskatchewan and Manitoba....