encana
Toronto symbol ECA, and New York symbol ECA, is a leading North American producer of natural gas and oil.
CAE INC., $33, is a buy. The company (Toronto symbol CAE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 265.0 million; Market cap: $8.7 billion; Price-to-sales ratio: 2.5; Dividend yield: 1.3%; TSINetwork Rating: Average; www.cae.com) has opened three new pilot training centres in Europe—two in England and one in Italy....
We continue to believe investors benefit from holding a small portion of their portfolios in aggressive stocks. That includes the three we analyze below.
Computer outsourcing specialist CGI remains our top aggressive pick, It has handed our investors a 30% gain in the past year.
We also recommend holding BlackBerry and Bombardier while they transform their businesses....
CANADIAN PACIFIC RAILWAY LTD., $281, is still our #1 Conservative Buy for 2019. The railway stock (Toronto symbol CP; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 139.8 million; Market cap: $39.3 billion; Price-to-sales ratio: 5.1; Dividend yield: 1.2%; TSINetwork Rating: Above Average; www.cpr.ca) has moved down from its recent peak of $323.71 in July 2019.
That’s mainly because the company warned that poor weather conditions in Western Canada—a dry spring followed by a wet summer—will cut grain shipments by about 11% in the third quarter of 2019....
RIOCAN REAL ESTATE INVESTMENT TRUST, $27, is a buy. The REIT (Toronto symbol REI.UN; Aggressive Growth Portfolio, Manufacturing & Industry sector; Units outstanding: 304.2 million; Market cap: $8.2 billion; Price-to-sales ratio: 6.5; Dividend yield: 5.3%; TSINetwork Rating: Average; www.riocan.com) continues to focus on six major urban markets: Toronto, Montreal, Ottawa, Calgary, Edmonton and Vancouver....
In addition to TC Energy (see page 101), we see Enbridge and Emera as solid long-term holdings for income-seeking investors.
Their recent acquisition of U.S. firms has broadened each company’s geographic footprint and will spur growth—as well as dividends—for years to come.
However, we think Emera is the better choice for new buying....
CENOVUS ENERGY INC., $11, is a buy. The company (Toronto symbol CVE; Conservative Growth Portfolio, Resources sector; Shares outstanding: 1.2 billion; Market cap: $13.2 billion; Price-to-sales ratio: 0.6; Dividend yield: 2.3%; TSINetwork Rating: Extra Risk; www.cenovus.com) continues to do a good job paying down the loans it needed to buy full control of its two main Alberta oil sands properties—Christina Lake and Foster Creek.
In 2017, Cenovus paid $17.7 billion in cash and stock for the 50% stake of its former joint-venture partner in those operations, ConocoPhillips (New York symbol COP).
To help pay down its debt, the company has sold several of its less-important properties and aggressively cut its operating costs.
Those moves have let Cenovus slash its long-term debt from $9.5 billion at the end of 2017 to $6.5 billion as of June 30, 2019....
TC Energy (formerly called TransCanada) has been a terrific performer for our conservative investors (up over 425%) since we first recommended it in our premiere issue (January 1995). In the past year, alone, the stock has gained nearly 30%. Yet, it remains attractively priced in relation to its earnings and cash flow.
As a regulated utility, TC Energy generates lots of steady cash flow for investor dividends....
As a regulated utility, TC Energy generates lots of steady cash flow for investor dividends....
ENCANA CORP. $6.27 (www.encana.com) has announced the final results of its plan to buy back up to $213 million U.S. of its common shares through a Dutch auction. It will now repurchase 47.3 million shares at $4.50 U.S. each. That’s about 3.5% of the total number of shares outstanding....
ENCANA CORP. $6.03 (Toronto symbol ECA; Shares o/s: 1.4 billion; Market cap: $7.7 billion; TSINetwork Rating: Average; Divd. yield: 1.7%) plans to buy back up to $213 million U.S. of its common shares (about 3% of the total) through a Dutch auction process....
ENCANA CORP. $6.54 (Toronto symbol ECA; Conservative Growth Portfolio, Resources sector; Shares outstanding: 1.4 billion; Market cap: $9.2 billion; P/S ratio: 1.6; Divd. yield: 1.5%; TSINetwork Rating: Average; www.encana.com) operates shale oil and natural gas wells in B.C., Alberta, Texas, Oklahoma, North Dakota and Utah.
The company plans to buy back up to $213 million U.S....
The company plans to buy back up to $213 million U.S....