24 Stock Top Picks and 3 ETF (Jan 11-17)

Opinion about ZLU-T: Canada doesn't have a version of this low-vol with a currency hedge. Now is not a good time to invest in the US. ZLU has outperformed the US market long-term with less volatility.  You get less bad when markets are bad and a little more good when it's good--like it for that.

Opinion about ZLB-T: Portfolio of low-beta stocks. Consumer staples, some financials, utilities. MER is 39 bps, not exactly cheap but not overly expensive. For the investor looking for dividends plus a low ride in the equity market. Consumer staples and utilities in Canada aren't cheap right now, as people flock to safety. At some point, investors…

Opinion about IWM-N: Lagged last 2 years, now starting to see some improvement. Positives include Trump being domestic-focused, and tariffs helping the small caps. Earnings growth hasn't been strong in small caps, but could do quite well in a risk-on environment.

Opinion about TD-T: In the cash account of a retired senior, picked it up at $79. Hold or take profits? Some are concerned about growth cap in US. He likes it for the amount of cash on balance sheet, so it can withstand any weakness in the Canadian economy. Grows its dividend. Hold on, don't…

Opinion about BNS-T: Outlook in Canada is a bit rosier than it was 6 or 12 months ago. He'd continue to hold the banks.It's performing well because everything else is performing well. Should do fine as it goes through an operational turnaround, and this could lead to more upside. Instead he holds RY for almost…

Opinion about MFC-T: Took profits not too long ago. Range-bound over last 12+ months. In the right spot, and aging demographics will help its asset management. Likes it longer term. Nice dividend yield of ~3.9%, expected to grow over time. He still owns SLF.

Opinion about FIH.U-T: One of his highest-conviction investment ideas. Trades at a discount to NAV. A stock to buy for the next decade. India is the largest democracy on the planet, very young demographic, fast-growing economy. Lots of pro-growth and pro-business reforms happening. Portfolio of $3.5B worth of different investments, both public and private. Crown jewel…

Opinion about SIM-X: Once owned this. But this will be stuck in a highly competitive space.

Opinion about HSM-T: He has been investing in this for almost three years now. They received Health Canada approval for a new brain stimulation medical device last fall. They are awaiting FDA approval in the US. It magnifies the result of physio-therapy for the brain and the technology is safe. It is a billion dollar…

Opinion about BDX-N: Waters Corp is buying part of their diagnostics business. Waters wants to be vertically integrated to compete with TMO and Danaher. Most of BDX's business lies with hospitals, which gives him pause because of the macro headwinds. He hasn't owned this in a few years. Let's get through the Waters deal, then…

Opinion about DHR-N: Caught up in the "tariff war". Healthcare behemoth. Very good track record with its acquisition strategy. Lots of firepower. Should be part of the workaround solution for non-American companies. Inexpensive, great entry level. Likes healthcare. Yield is 0.60%. (Analysts’ price target is $243.33)

Opinion about GCL-T: They own a series of food distribution businesses. It appears they are not making any money from them. It appears to be a scale problem.

Opinion about TJX-N: Up 15.7% this year, helped by buying goods where the tariff has already been paid by someone else. Key metric is same-store sales: +4% in 2025. Trades at 28x 2026 PE. PEG ratio is 2.7, pricey, but investors will pay up for quality. Has longed like TJX. Heavy share buybacks this year…

Opinion about BTO-T: New mine took longer and cost more, so it's underperformed the group (trading ~20-30% discount, and should re-rate). It'll be quite an important project once it gets up to full steam in 2027. Adds nice geographical diversification. Significant FCF should result. Yield is just over 1.5%.On his radar. Will probably add once…

Opinion about EMN-N: (A Top Pick Jan 24/23, Down 10%) Cyclical business that hasn't performed well.Seasonality affecting share price (May-October).Expecting better performance of shares.Sign that economy is soft.

Opinion about NTR-T: (A Top Pick Oct 09/24, Up 28%) He'd buy this one today. Agriculture is a long-term theme, and this is one of the best names out there. Will be more volatile than a name like WMT, so perhaps you only want a 3% position total. Buy 1% today, and look for a…

Opinion about MTA-X: To manage risk, he sets up his portfolios starting with the biggest, which is FNV. More diversified than OR. He also owns OSK proper.

Opinion about CHR-T: Owns shares in company. Has done well the past year. Expecting further upside going forward. Dividend is expected sometime soon. Subcontracting business from Air Canada very good for reliable revenues. Price multiple not as high as it should be. 

Opinion about TLPFY-OTC: (A Top Pick Jun 20/23, Down 12%) As a call centre it is an outsourcer of IT services. It has been coming back from October onwards. Regarding AI concerns it has the balance sheet and income to train machine algorithms.

Opinion about NVEE-Q: Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. The quarter was a big miss; EPS $1.21 down from $1.61 the prior year and estimates of $1.54. Revenue $189.8M was higher than the prior year $188.6M but missed estimates of $203.4M. For 2023, guidance was $5.28 to $5.64 per share (est $5.44), Revenue…

Opinion about LXE-X: They're in northeast BC where Tourmaline is consolidating land and assets, near LXE. So, LXE will become topical. LXE has reached an inflection point after acquiring a lot of land and pushed the Montney play to the northeast. Now, they need a lot of capital to move to full development. They're talking…

Opinion about TRP-T: (A Top Pick Sep 05/24, Up 40%) This market will make anyone look good 🙂  One of the largest pipelines in NA, focused on natural gas. Strong future, as access to overseas markets will allow those markets to reduce reliance on coal, for example. We still need to source power when the…

Opinion about VET-T: It is trading where it should. There are headwinds with European gas prices. It has struggled quite a lot but the last quarter was reasonable. You should probably sell it for something with more growth.

Opinion about RCI.B-T: Whole sector struggles on its growth outlook. He chose this one because, at 10x PE, it has the lowest valuation of the peer group. Massive hidden value with sports assets. Pretty robust dividend.

Opinion about NPI-T: (A Top Pick Nov 12/24, Up 29%) It's been a pretty good year for renewable stocks, which you wouldn't have thought with Trump coming in. New offshore wind projects are coming on in the next couple of years, and then the cashflow starts rolling in.

Opinion about EMA-T: Likes it. Up 21% YTD. They do what they say they're going to do. Nova Scotia now coming out of its rate freeze, should see earnings increase in 2026. Asset sales mean that debt level is OK. Dividend can still be increased, though at lower levels than historically. Has trouble trimming a…

Opinion about FTS-T: Bought on the April dip, but stock hasn't done much. Sell? If you bought in April around $55 and today it's trading ~$72, that's about 10+%. Plus you get a 3-4% dividend yield, with 3-4% dividend growth. Pretty good for a regulated utility, and he's happy to own a company that puts…