Our #1 stock for 2015

Article Excerpt

CAE is poised to gain from several trends that are just beginning to take shape. For one, airlines will have to hire more pilots in the next few years as existing ones retire. As well, global air travel volumes should rise 5% a year for the next 20 years. Both of these developments should boost demand for new pilots and increase enrolment at CAE’s flight schools. Meanwhile, airlines continue to replace aging planes: Boeing, Airbus and other manufacturers have orders for a record 13,600 aircraft, which will fuel demand for CAE’s pilot-training flight simulators. CAE also gains from the plunge in oil prices, because it gives airlines a lot more cash to spend on its products and services. The stock is up 7.1% since we made CAE our Stock of the Year for 2014. We feel it’s just getting started, so we’re once again picking CAE as our Stock of the Year for 2015. CAE INC. $15 (Toronto symbol CAE; Conservative Growth Portfolio, Manufacturing…