David Cockfield is managing director and portfolio manager at Northland Wealth Management. His focus is Canadian equities.
BCE Inc. (BCE TSX)
Canada's largest communication company with an excellent growth oriented management, BCE has raised its dividend on a regular basis and the dividend is secure. After hitting an annual high of $51.09 in early June, BCE stock has sold off and will be in a buying range under $47. The stock has a yield in the 5.1-per-cent range.
Agrium Inc. (AGU TSX)
Agrium is a global producer and distributor of agricultural products, mainly fertilizer with major facilities in the Americas and Australia. Recent results were somewhat disappointing but long-term prospects are excellent. In a buying range under $100.
Cenovus Energy (CVE TSX)
Cenovus is one of Canada's largest energy companies focused mainly on oil production. The stock has been a laggard but recently the success of Prairie Sky Royalty has turned attention to the significant drillable land in Cenovus' inventory. The better spreads for oil sands production should also improve financial results.
Past Picks: July 19, 2013
TD Bank (TD TSX)
*Stock Split 2 for 1 – February 3, 2014
Then: $87.65; Now: $55.13 +25.80%; Total return: +29.24%
Crescent Point Energy (CPG TSX)
*Stock Split 2 for 1- December 2, 2013
Then: $38.91; Now: $46.91 +20.56%; Total return: +29.02%
Canadian National Railway (CNR TSX)
Then: $105.55; Now: $70.12 +32.87%; Total return: +34.96%
Total return average: +31.07%
"Now" figures are intraday from the date of the analyst's appearance on BNN Market Call.
We remain cautious toward equity markets particularly with regard to events in Iraq. Higher oil prices due to any reduction in supply would have a significant negative economic impact worldwide. The lack of any meaningful correction for some time and the general complacency of investors to potentially negative events make equity markets vulnerable.