Author Topic: Stock Pick For 2018  (Read 10314 times)

rkbabang

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Re: Stock Pick For 2018
« Reply #30 on: January 02, 2018, 07:42:26 AM »
GXE and other cheap oil stocks. Set to outperform at current prices and to do extremely well with higher prices.

That's what I thought about 2017...

Eventually you will be correct.  I'm not sure it will be 2018 though.


tombgrt

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Re: Stock Pick For 2018
« Reply #31 on: January 02, 2018, 08:33:07 AM »
GXE and other cheap oil stocks. Set to outperform at current prices and to do extremely well with higher prices.

That's what I thought about 2017...

Not me. Divergence between stocks, fundamentals and oil prices has become much higher. But I have been long GXE for some time now as well. ;)

mwtorock

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Re: Stock Pick For 2018
« Reply #32 on: January 02, 2018, 06:43:46 PM »
AZO - tax cut tailwind and cold weather will help to outperform

SafetyinNumbers

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Re: Stock Pick For 2018
« Reply #33 on: January 11, 2018, 05:12:09 AM »
I'm finding value in small/micro cap commodity/energy stocks.

Two that trade below 2x FTM EV/EBITDA are GCM.TO and ASND.TO. The former being a gold company in Colombia and the latter being zinc in Honduras. Both are growing and will be free cash flow positive next year at current commodity prices.

On the energy side, PPR.TO, trades at closer to 4x EV/EBITDA but have giant catalysts worth potentially more than the EV of the company in a NAFTA lawsuit (that has already had its arbitration hearing) and legalization of Quebec Shale development where they have huge acreage but have booked zero reserves.

Perhaps a third each for one 2018 pick!

ASND.TO just put out 2018 guidance this morning. The company has a market cap of US$45m and their guidance is EBITDA of US$32-40m and FCF of US$14-20m. Iím not sure what the right multiple is but it seems too low right now or even up 50% from here.

https://web.tmxmoney.com/article.php?newsid=6899444052652449&qm_symbol=ASND
Top 5 positions: ELF IAM GCM.NT/GCM PIF EFR.DB

york

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Re: Stock Pick For 2018
« Reply #34 on: January 11, 2018, 10:40:41 AM »
Black Diamond Group - BDI.TO
They became very good looking around $2/share in October, still good looking @ $2.60 today. 2018 should be a good year for them.

SafetyinNumbers

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Re: Stock Pick For 2018
« Reply #35 on: April 01, 2018, 06:42:30 AM »
I'm finding value in small/micro cap commodity/energy stocks.

Two that trade below 2x FTM EV/EBITDA are GCM.TO and ASND.TO. The former being a gold company in Colombia and the latter being zinc in Honduras. Both are growing and will be free cash flow positive next year at current commodity prices.

On the energy side, PPR.TO, trades at closer to 4x EV/EBITDA but have giant catalysts worth potentially more than the EV of the company in a NAFTA lawsuit (that has already had its arbitration hearing) and legalization of Quebec Shale development where they have huge acreage but have booked zero reserves.

Perhaps a third each for one 2018 pick!

Checking in on this combo pick for 2018, at the end of Q1, they are up an average of 20.51% since posting. I wish I had only owned these names personally for Q1 as I am about flat YTD.

I still like them all but took some profits on ASND between $1.10-1.20 but have recently bought some back below $1. It still trades at less than 2x EBITDA.

PPR is particularly interesting as itís basically flat and is 3 months closer to resolution of its arbitration vs the Canadian government which could be worth US$1/share vs the current share price around US$0.33. Management indicated in its AIF, filed late last week, that they expect a ruling in 2018.

Itís also 3 months closer to Quebec coming up with its regulations on hydrocarbon development in the province. PPRís closest peer in terms of acreage in QC is Questerre which enjoys a market cap 8x as big while having similar exposure and less cash flow and reserves from producing assets. 
Top 5 positions: ELF IAM GCM.NT/GCM PIF EFR.DB