Each week, our team publishes a blog and webcast.
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 […]
As we expected, Canada cut its benchmark interest rate by 25 basis points to 4.75% on June 5. Earlier this week, Bank of Canada Governor Tiff Macklem spoke publicly for the first time since that decision. Wearing a bright orange tie to support the Oilers ahead of game seven, Macklem told Winnipeg’s Chamber of Commerce […]
About two years ago, the Canadian Western Bank (“CWB”) caught our attention. After falling just about 40% from its November 2021 high, the stock price was certainly considered contrarian. In addition to being out of favour, we liked that it traded almost 30% below its book value (which is a financial term used to describe […]
