Latest Stock Advice
Top pick Yum Brands Inc. gives you sales growth, steady EPS growth, and a solid dividend
Teck Resources Ltd. is a solid bet on higher copper prices with its big merger winning approvals
Toromont Industries Ltd. should see continued earnings growth thanks to its leading market share and Canada’s plan to increase spending on infrastructure projects.
Top pick Barrick Mining just raised its dividend a whopping 140% as it generates record earnings and continues its strategic asset reorganization.
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How to identify the top copper mining stocks—and how to best to fit them into your portfolio
A Member of Pat McKeough’s Inner Circle asked for his advice on an ETF that focuses on Canadian finance firm common shares, preferred shares and corporate bonds.
Pat likes the high distribution rate but warns that rate may be unsustainable....
Pat likes the high distribution rate but warns that rate may be unsustainable....
EMERA INC. $47 (Toronto symbol EMA; Income Portfolio, Utilities sector; Shares outstanding: 145.3 million; Market cap: $6.8 billion; Price-to-sales ratio: 2.5; Dividend yield: 4.0%; TSINetwork Rating: Average; www.emera.com) has reached a deal to increase its ownership of Emera (Caribbean) Inc. From 95.6% to 100.0%. This publicly traded subsidiary holds Emera’s interests in power utilities in Barbados, Dominica and St. Lucia. Emera will cut administrative costs by taking full control. The company will pay roughly $16.5 million in cash and Emera stock for the additional stake. To put that in context, Emera earned $330.0 million, or $2.26 a share, in 2015....
TORSTAR CORP. $1.82 (Toronto symbol TS.B; Conservative Growth and Income Portfolios, Consumer sector; Shares outstanding: 80.5 million; Market cap: $146.5 million; Price-to-sales ratio: 0.2; Dividend yield: 14.3%; TSINetwork Rating: Average; www. torstar.com) launched a digital version of The Toronto Star, its flagship newspaper, for tablet computers in September 2015. In addition to newspaper content, this free app, called Star Touch, gives users quick access to related information like photos, maps and videos. So far, Star Touch has attracted over 65,000 weekly and 26,000 daily users. The company spent $14 million in 2015 to set up Star Touch, and maintaining and updating it will cost a further $10 million this year. It expects Star Touch will break even in 2017....
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....
POTASH CORP. OF SASKATCHEWAN $25 (Toronto symbol POT; Aggressive Growth Portfolio, Resources sector; Shares outstanding: 836.6 million; Market cap: $20.9 billion; Price-to-sales ratio: 3.5; Dividend yield: 5.6%; TSINetwork Rating: Average; www.potashcorp.com) continues to see weak demand and prices for its potash and other fertilizers. In response, the company will suspend production at two of its Saskatchewan mines for one month. That will reduce its 2016 output by 400,000 tonnes; in 2015, it sold 8.8 million tonnes. These latest closures are in addition to the company’s recent decision to shut down its potash mine in Picadilly, New Brunswick. Potash Corp. is still a hold.