price to sales ratio
THOMSON REUTERS CORP. $40 (Toronto symbol TRI; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 827.2 million; Market cap: $33.1 billion; Price-to-sales ratio: 2.5; Dividend yield: 3.4%; TSINetwork Rating: Above Average; www.thomsonreuters.com) gets 55% of its revenue by selling news and information to professionals in the banking industry. The remaining 45% comes from providing specialized information products to clients in the legal, accounting and scientific research fields.
...
...
TIM HORTONS INC. $63 (Toronto symbol THI; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 148.9 million; Market cap: $9.4 billion; Price-to-sales ratio: 3.0; Dividend yield: 1.7%; TSINetwork Rating: Average; www.timhortons.com) continues to draw customers to its coffee-and-donut shops with successful new menu items, such as panini sandwiches. It has also raised its prices to cover higher ingredient costs.
As a result, sales rose 2.9% in the third quarter of 2013, to $825.4 million from $802.0 million a year earlier. Same-store sales rose 1.7% in Canada (3,500 stores) and 3.0% in the U.S. (817 stores). Tim Hortons also has 33 outlets in the Persian Gulf and plans to enter more countries in the next few years.
If you exclude a writedown and other unusual items, earnings per share rose 6.9%, to $0.77 from $0.72.
...
As a result, sales rose 2.9% in the third quarter of 2013, to $825.4 million from $802.0 million a year earlier. Same-store sales rose 1.7% in Canada (3,500 stores) and 3.0% in the U.S. (817 stores). Tim Hortons also has 33 outlets in the Persian Gulf and plans to enter more countries in the next few years.
If you exclude a writedown and other unusual items, earnings per share rose 6.9%, to $0.77 from $0.72.
...
BANK OF NOVA SCOTIA $65 (Toronto symbol BNS; Conservative Growth Portfolio, Finance sector; Shares outstanding: 1.2 billion; Market cap: $78.0 billion; Price-to-sales ratio: 3.7; Dividend yield: 3.8%; TSINetwork Rating: Above Average; www.scotiabank.com) is changing the name of its ING Direct subsidiary to Tangerine. That will let this business keep using the orange colour associated with the ING Direct brand.
ING Direct offers a variety of no-fee banking services, mainly over the Internet. It has over 1.8 million customers and $40 billion in deposits.
Bank of Nova Scotia bought ING Direct from its Netherlands-based parent, ING Group, for $3.1 billion in November 2012. The deal let it keep using the ING Direct name until May 2014.
...
ING Direct offers a variety of no-fee banking services, mainly over the Internet. It has over 1.8 million customers and $40 billion in deposits.
Bank of Nova Scotia bought ING Direct from its Netherlands-based parent, ING Group, for $3.1 billion in November 2012. The deal let it keep using the ING Direct name until May 2014.
...
CAE INC. $12 (Toronto symbol CAE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 261.4 million; Market cap: $3.1 billion; Price-to-sales ratio: 1.4; Dividend yield: 2.0%; TSINetwork Rating: Average; www.cae.com) has sold four flight simulators and related services to Indonesia’s Lion Air Group. It also sold two additional simulators to unnamed customers.
The company has now sold 33 simulators in its 2014 fiscal year, which began April 1, 2013. To put that in context, it sold 35 simulators in all of fiscal 2013.
The total value of the latest sales—$90 million —is equal to 4% of CAE’s annual revenue of $2.2 billion.
...
The company has now sold 33 simulators in its 2014 fiscal year, which began April 1, 2013. To put that in context, it sold 35 simulators in all of fiscal 2013.
The total value of the latest sales—$90 million —is equal to 4% of CAE’s annual revenue of $2.2 billion.
...
TORONTO-DOMINION BANK $97 (Toronto symbol TD; Conservative Growth Portfolio, Finance sector; Shares outstanding: 918.4 million; Market cap: $89.1 billion; Price-to-sales ratio: 3.7; Dividend yield: 3.5%; TSINetwork Rating: Above Average; www.td.com) owns 42.24% of TD Ameritrade Holding Corp. (Nasdaq symbol AMTD), one of the largest online brokerage firms in the U.S.
Ameritrade will contribute $77 million to TD’s earnings in its 2013 fourth quarter, which ended October 31, 2013. That’s up 51.0% from $51 million a year earlier. To put these figures in perspective, TD earned $1.6 billion, or $1.65 a share, in its third quarter, which ended July 31, 2013.
Uncertainty over the U.S. government shutdown caused Ameritrade’s average number of trades per day to rise 16.3% from a year earlier. At the same time, Ameritrade continues to attract new clients: it opened 50,000 accounts in the latest quarter, up from 28,000 a year earlier.
...
Ameritrade will contribute $77 million to TD’s earnings in its 2013 fourth quarter, which ended October 31, 2013. That’s up 51.0% from $51 million a year earlier. To put these figures in perspective, TD earned $1.6 billion, or $1.65 a share, in its third quarter, which ended July 31, 2013.
Uncertainty over the U.S. government shutdown caused Ameritrade’s average number of trades per day to rise 16.3% from a year earlier. At the same time, Ameritrade continues to attract new clients: it opened 50,000 accounts in the latest quarter, up from 28,000 a year earlier.
...
HOME CAPITAL GROUP INC. $79 (Toronto symbol HCG; Aggressive Growth Portfolio, Finance sector; Shares outstanding: 34.7 million; Market cap; $2.7 billion; Price-to-sales ratio: 2.2; Dividend yield: 1.4%; TSINetwork Rating: Average; www. homecapital.com) specializes in loans to borrowers who don’t meet the stricter standards of larger, traditional lenders, like banks.
Low interest rates continue to fuel mortgage demand. As a result, the company’s earnings rose 15.2% in the third quarter of 2013, to $1.90 a share from $1.65 a year earlier. Revenue gained 5.7%, to $239.4 million from $226.6 million. Moreover, bad loans were just 0.32% of the company’s total loans, down from 0.33%.
Home Capital Group is a buy.
...
Low interest rates continue to fuel mortgage demand. As a result, the company’s earnings rose 15.2% in the third quarter of 2013, to $1.90 a share from $1.65 a year earlier. Revenue gained 5.7%, to $239.4 million from $226.6 million. Moreover, bad loans were just 0.32% of the company’s total loans, down from 0.33%.
Home Capital Group is a buy.
...
IGM FINANCIAL INC. $55 (Toronto symbol IGM; Conservative Growth Portfolio, Finance sector; Shares outstanding: 252.1 million; Market cap: $13.9 billion; Price-to-sales ratio: 5.4; Dividend yield: 3.9%; TSINetwork Rating: Above Average; www. igmfinancial.com) is Canada’s largest independent mutual fund company. Power Financial owns 58.7% of IGM.
Rising stock prices continue to spur mutual fund sales and the value of its clients’ holdings. As of September 30, 2013, IGM had $126.0 billion of assets under management, up 5.6% from $119.3 billion a year earlier. The company’s fee income rises and falls with the value of the securities it manages, so its revenue and earnings gain when the price of these assets rises.
In the third quarter of 2013, earnings rose 3.8%, to $193.4 million from $186.2 million a year earlier. Per-share earnings rose 5.5%, to $0.77 from $0.73, on fewer shares outstanding. Revenue increased 5.3%, to $667.5 million from $634.1 million.
...
Rising stock prices continue to spur mutual fund sales and the value of its clients’ holdings. As of September 30, 2013, IGM had $126.0 billion of assets under management, up 5.6% from $119.3 billion a year earlier. The company’s fee income rises and falls with the value of the securities it manages, so its revenue and earnings gain when the price of these assets rises.
In the third quarter of 2013, earnings rose 3.8%, to $193.4 million from $186.2 million a year earlier. Per-share earnings rose 5.5%, to $0.77 from $0.73, on fewer shares outstanding. Revenue increased 5.3%, to $667.5 million from $634.1 million.
...
GREAT-WEST LIFECO INC. $32 (Toronto symbol GWO; Conservative Growth Portfolio, Finance sector; Shares outstanding: 1.0 billion; Market cap: $32.0 billion; Price-to-sales ratio: 1.3; Dividend Yield: 3.8%; TSINetwork Rating: Above Average; www.greatwestlifeco.com) is one of Canada’s largest insurance companies, with $705.1 billion of assets under administration. It also sells mutual funds and retirement planning and wealth management services. Power Financial (Toronto symbol PFC) owns 68.1% of Great-West.
In July 2013, the company completed its $1.75- billion purchase of Irish Life Group, Ireland’s largest pension manager and life insurance provider.
If you exclude costs to integrate Irish Life, Great-West would have earned $583 million in the three months ended September 30, 2013. That includes $41 million from Irish Life. This new business should contribute $215 million to Great- West’s annual earnings by the end of 2014.
...
In July 2013, the company completed its $1.75- billion purchase of Irish Life Group, Ireland’s largest pension manager and life insurance provider.
If you exclude costs to integrate Irish Life, Great-West would have earned $583 million in the three months ended September 30, 2013. That includes $41 million from Irish Life. This new business should contribute $215 million to Great- West’s annual earnings by the end of 2014.
...
BOMBARDIER INC. (Toronto symbols BBD.A $4.62 and BBD.B $4.57; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.8 billion; Market cap: $8.2 billion; Price-to-sales ratio: 0.4; Dividend yield: 2.2%; TSINetwork Rating: Average; www.bombardier.com) recently began test flights of its CSeries jet, which seats 100 to 150 passengers. The new CSeries is quieter and 20% more fuel efficient than comparable aircraft.
The company now expects the CSeries’ development costs to total $3.9 billion, up 14.7% from its original 2008 estimate of $3.4 billion (all amounts except share prices and market cap in U.S. dollars). That’s because new accounting rules, which took effect in 2011, have forced Bombardier to include interest costs in the overall estimate.
Bombardier now has firm orders for 177 CSeries jets, plus options for 226 more. If the buyers exercise all these options, the resulting 403 orders would be worth $29 billion. The company aims to begin delivering the planes by the end of 2014.
...
The company now expects the CSeries’ development costs to total $3.9 billion, up 14.7% from its original 2008 estimate of $3.4 billion (all amounts except share prices and market cap in U.S. dollars). That’s because new accounting rules, which took effect in 2011, have forced Bombardier to include interest costs in the overall estimate.
Bombardier now has firm orders for 177 CSeries jets, plus options for 226 more. If the buyers exercise all these options, the resulting 403 orders would be worth $29 billion. The company aims to begin delivering the planes by the end of 2014.
...
SAPUTO INC. $49 (Toronto symbol SAP; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 194.2 million; Market cap: $9.5 billion; Price-to-sales ratio: 1.4; Dividend yield: 1.9%; TSINetwork Rating: Average; www.saputo.com) has spent $2.4 billion on acquisitions in the past five years, mainly dairy producers in the U.S. It now wants to buy Warrnambool Cheese and Butter Factory Company, one of Australia’s largest producers of milk, cheese, butter and other dairy products.
Buying Warrnambool would add around $480 million to Saputo’s annual revenue of $7.3 billion. It would also give the company access to the fast-growing Asia-Pacific region. However, this firm continues to attract rival takeover offers, which is why Saputo recently raised its offer by 16.0% to $523 million. To put this figure in context, Saputo earned $133.3 million, or $0.67 a share, in the three months ended September 30, 2013.
Warrnambool’s shares are trading for more than Saputo’s new offer. This shows that investors expect an even higher bid.
...
Buying Warrnambool would add around $480 million to Saputo’s annual revenue of $7.3 billion. It would also give the company access to the fast-growing Asia-Pacific region. However, this firm continues to attract rival takeover offers, which is why Saputo recently raised its offer by 16.0% to $523 million. To put this figure in context, Saputo earned $133.3 million, or $0.67 a share, in the three months ended September 30, 2013.
Warrnambool’s shares are trading for more than Saputo’s new offer. This shows that investors expect an even higher bid.
...