Top pick Linamar Corp. is trading cheaply despite delivering higher sales and profits.
Gen Digital Inc. is trading quite cheaply for a firm that just grew revenue nearly 26% while providing plenty of cash flow for innovation, dividends and buybacks.
AT&T Inc. offers a 4.2% yield at an attractive valuation as it’s tapped to generate over $18 billion in free cash flow while continuing to build ultrafast wireless and fibre-optic networks.
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When you buy a real-return bond, you are only protecting yourself against unanticipated rises in inflation.
Spinoff investing has been proven to generate above-average returns—and part of that comes from their takeover appeal
Avigilon Corp., $13.36, symbol AVO on Toronto (Shares outstanding: 43.2 million; Market cap: $562.0 million; www.avigilon.com), designs, makes and sells high-definition surveillance systems. Users can view the images from this equipment on computers, tablets and smartphones. In the three months ended September 30, 2015, Avigilon’s revenue jumped 33.9%, to $95.1 million from $71.0 million a year earlier. If you exclude the positive impact of the lower Canadian dollar on its foreign sales, revenue rose 16%. Earnings before one-time items rose 9.0%, to $12.2 million from $11.2 million. Due to fewer shares outstanding, earnings per share gained 12.5%, to $0.27 from $0.24....
Tahoe Resources, $11.82, symbol THO on Toronto (Shares outstanding: 227.1 million; Market cap: $2.8 billion; www.tahoeresources.com), has offered to buy Toronto-based junior producer Lake Shore Gold, $1.77, symbol LSG on Toronto in a $945-million, all-stock bid. Lake Shore operates the Timmins West and Bell Creek gold mines near Timmins, Ontario. Tahoe owns and operates the Escobal silver mine in Guatemala and the La Arena gold mine in Peru. The company is offering 0.1467 of a Tahoe share for each Lake Shore share. Based on today’s price for Tahoe’s shares, the offer is now worth $1.73 a share....
It’s Skin Co. Ltd., symbol 226320 on the Korean Stock Exchange, is a South Korean cosmetics and face cream company. The company first sold shares to the public in December 2015. The initial public offering (IPO) for It’s Skin was part of a widespread effort by South Korean businesses to capitalize on the “Korean wave”—the rising popularity of South Korean culture in China. This investment comes with a number of negatives. For one, it’s always difficult to break into a foreign market, especially when there are language, legal and cultural barriers. The cosmetics business is also notoriously fickle. In any event, a weakening economy in China could slow sales to that country in the near term....
Share splits may make a stock more attractive to many investors, but it takes more than that to make it a buy.