Dec 13, 2018
Kash Pashootan's Top Picks: Dec. 13, 2018
Kash Pashootan, CEO and chief investment officer at First Avenue Investment Counsel
Focus: North American dividend stocks and portfolio construction
MARKET OUTLOOK
- Current market volatility is likely to persist.
- The Canadian economy remains soft, the BoC should be cautious.
TOP PICKS
ISHARES 1-3 YEAR TREASURY BOND ETF (SHY.OQ)
Stock has a 1.6 per cent yield.
- Opportunity to buy good assets at cheaper prices in the future.
- Helps insulate the portfolio.
- Will benefit if the fed continues to become more “dovish."
NOVO NORDISK (NVO.N)
As of December 2018 stock has a 2.8 per cent yield and a 18x FP/E.
- Largest market share and broadest diabetes portfolio.
- Market for diabetes products expected to double by 2035.
- Healthcare typically non-cyclical or defensive.
OPEN TEXT (OTEX.TO)
As of December 2018 stock has a 1.8% yield and a 13x FP/E.
- Largest Canadian software company.
- Historically acquisitions generated growth but now organic growth is accelerating.
DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
---|---|---|---|
SHY | N | N | N |
NVO | Y | Y | Y |
OTEX | Y | Y | Y |
PAST PICKS: JAN. 10, 2018
GENERAL MOTORS (GM.N)
- Then: $43.00
- Now: $35.87
- Return: -17%
- Total return: -13%
LYONDELLBASELL INDUSTRIES (LYB.N)
- Then: $115.03
- Now: $84.96
- Return: -26%
- Total return: -23%
BROADCOM (AVGO.O)
- Then: $262.82
- Now: $259.34
- Return: -1%
- Total return: 1%
Total return average: -11%
DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
---|---|---|---|
GM | Y | Y | Y |
LYB | Y | Y | Y |
AVGO | Y | Y | Y |
Twitter: @kashpashootan
Website: www.firstavenuecounsel.com