With prices for corn futures, wheat and soybeans on fire, the prospects for fertilizer companies like Nutrien have never been better. The stock trades at only 1.4x book value and pays a 3.5% dividend yield. Earnings surprises (like the prior two quarters) are likely to continue.
I recommended West Fraser Timer (WFT on TSX) some time ago. In November the company announced it would buy another lumber company, Norbord.
Nov 19, 2020 | Posted in Corporate News, News
West Fraser to Acquire Norbord, Creating a Diversified Global Wood Products Leader
– Complementary OSB business expands product and geographic diversity
– Greater scale and...
If you're worried that growth stocks (the tech and now healthcare stocks) are just ridiculously valued, then perhaps you should think about Canadian bank stocks as a potential cushion against a potential market correction. Earnings beat analyst expectations. Yields are in excess of 4%. Loan loss provisions will gradually find their way back into bank earnings...
Due to a shortage of lumber, prices have skyrocketed. West Fraser Timber is a leading diversified wood products company, West Fraser is one of North America's largest lumber manufacturers with 45 facilities in British Columbia, Alberta, and the southern U.S.
A shortage of lumber has caused lumber prices to skyrocket. West Fraser Timber is a leading diversified wood products company, West Fraser is one of North America's largest lumber manufacturers with 45 facilities in British Columbia, Alberta, and the southern U.S.
Hudbay Minerals (HBM) is an under-the-radar miner of a variety of metals - ranging from gold and silver to copper, zinc and molydenum. As metals prices continue to strengthen with the global economic recover, the company is ideally positioned to benefit.
The rally, fueled by foolish retail investors, finally realizes there's no light at the end of this tunnel. The FED has kindly added some perspective and is discounting the V-shaped recovery as overly optimistic.
As the economic data keeps getting worse (especially unemployment, falling manufacturing activity) and the devastating impact of COVID-19 on corporate earnings this quarter becomes clearer, the stock market should follow earnings as it always has.
By issuing shares at these prices, shortly after reporting a good quarter, management must either see tough times ahead, or are just being greedy. Either way, diluting shareholders opportunistically is not a good sign. Expect more equity dilution from other tech darlings.
Less than two months ago, I suggested it was okay to buy TECH ETF's (they'd reached an earlier target I'd published). One I highlighted, the XIT (Canadian) has climbed dramatically and now that it's largest holding, Shopify has a market cap bigger than the Royal Bank of Canada, I figure enough is enough. After all it would take a very long time indeed to earn...
Service Corp. International (SCI) is the obvious conservative (market cap $6.9 billion) candidate while Carriage Services ($274 million) is the more prospective growth story in the US. A smallish Canadian company (market cap $574 million) has experience very rapid revenue growth of late but is a higher beta stock. All pay dividends ranging around 2%.
The ETF holds Real Estate Investment Trusts. These leveraged vehicles will soon be strapped for cash as tenants refuse (or cannot) to pay rents, but mortgage holders and bank lenders will continue to demand payment. It is increasingly likely that some distributions will have to be cut which will make prices of the trading units suffer.
In February I suggested fertilizer stocks looked great, after a tough 2019 growing season. After hitting lows of around $28, Nutrien has been on a tear. The dividend is still 5.5% and company is well positioned to benefit from a stronger planting season in 2020.
Cameco's share price is down nearly 50% from it's 52-week high, despite what is normally a low beta stock. The Company has a strong balance sheet and over $1 billion in cash. The only issue is earnings. The P/E ratio is very high, but the $74 million in earnings (before adjustments) for 2019 was a paltry 18 cents per share in an oversupplied market for uranium. ...
It's difficult to pick which cannabis stocks will survive and which will thrive, but the ETFMG Alternative Harvest ETF (MJ) provides a selection of the major players in this young industry. The industry has suffered bumps and grinds, but is due for a rebound, consolidation and growth.