Each week, our team publishes a blog and webcast.
Last summer, in 2023, the engineering and construction company Aecon Group reported dreadful quarterly earnings. The company’s earnings report was so bad that the stock tumbled 16% the following day. The poor results were largely due to four construction contracts that were losing money with no end in sight. Specifically, the work was related to […]
It’s difficult to dispute the seasonal weakness that September historically accompanies. Many call it the “September Effect”. Going back almost a century, it’s the only month of the year when the S&P 500 quite regularly accompanies a loss. Since 1930, September has delivered a medium return of -0.6%. In fact, September has posted a loss […]
In July 2022, we made a block trade purchase to buy shares of Hudbay Minerals (“HBM”) for $4.77/share for suitable clients. Recently, we sold the position across the board for $10.46/share. HBM is a copper and zinc producer with assets in Peru, Canada, and the United States. We’ve all heard the reasons why copper is […]
We all use mental heuristics to simplify complex information. It allows us to make more efficient decisions. Cognitive biases can have a detrimental impact on our investments. Recognizing these biases, however, can mitigate the risk of making a bad decision. In this week’s webcast, we’re joined by psychologist Dr. Jack Muskat, an expert on this […]
Our definition of “contrarian investing” is to buy things temporarily out of favour, not to speculate on a very uncertain and unprecedented situation. Last month, we looked closely at Intel. While the stock price had fallen substantially from its glory days, including a 60% drop so far this year, it looked like it may be […]
If you’ve owned an airline stock before, or are considering buying one today, consider yourself brave. Without question, airlines can make for a decent trade, but they’re hardly ever a good long-term investment. Warren Buffett once said: If I’d been at Kitty Hawk in 1903 when [the first airplane] took off … I owed this […]
After watching its stock price collapse in half from the Covid-19 peak, Pfizer started to look interesting earlier this year. Through our experience, buying stocks that no one else wants to own is the best way to consistently make money over time. Pfizer looked like a good contrarian idea worth researching. Vaccine revenues were (and […]
The United States’ political conventions began this week. The custom is for the party in the White House to go last, so the Republican convention held this week will be followed by the Democratic convention later in August. The market usually sells off amid uncertainty. When clarity is offered, it rallies back to higher levels. […]
Back in January, we bought shares of Franco-Nevada (“FNV”) for suitable client accounts. FNV is a streamer, meaning that it receives a royalty on a bunch of mines that are owned and operated by another company. In other words, FNV receives a percentage of revenue yet isn’t on the hook for paying any of the […]
Most investors underestimate their appetite for risk. Before we open a new account, we send out a brief survey with several questions. The answers give us a better idea about our soon-to-be client’s comfort with volatility and experience with the market. One of our questions asks which of the scenarios below is most preferred: Everyone […]
