Topic: How To Invest

The Successful Investor Hotline – Friday, December 20, 2019

Article Excerpt

SNC-LAVALIN GROUP INC. $30.35, Toronto symbol SNC, is still worth holding. Your shares jumped 20% this week after the engineering company agreed to settle a charge of fraud related to construction contracts in Libya between 2001 and 2011. Under the terms of the deal, SNC will pay a fine of $280 million in equal instalments over the next five years. To put that in context, it earned $218.1 million, or $1.24 a share, in the quarter ended September 30, 2019. The company will also hire an independent consulting firm to monitor its compliance. Investors also welcomed the decision by government prosecutors to dismiss all other charges against SNC, including more serious allegations of bribery. However, the stock will likely remain volatile for investors, particularly as it’s not entirely clear that the settlement will let SNC bid on new public infrastructure contracts. SNC-Lavalin Group recent coverage: Hotline for October 18, 2019 October 2019 issue CGI INC., $111.20, Toronto symbol GIB.A, remains your #1 Aggressive Buy for 2019. The…