Jul 4, 2017
Kash Pashootan's Top Picks: July 4, 2017
BNN Bloomberg
Kash Pashootan, senior vice president and portfolio manager at First Avenue Advisory, Raymond James
Focus: North American dividend stocks and portfolio construction
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MARKET OUTLOOK
How the portfolio is positioned:
- Cash
- Gold
- Mid-cap versus large cap
TOP PICKS
FIRST AMERICAN FINANCIAL (FAF.N) | 4.6 per cent yield | 18.5x P/E | June 2017
- Conservative way to play the housing market and rising rates in the U.S.
- Rising home prices = rising insurance premiums
- Rising rates = rising investment income
SUNCOR ENERGY (SU.TO) | 2.9 per cent yield | 22x P/E | June 2017
- Defensive play in the oil sector
- Able to sustain investment and dividend at $40/bbl
- Canadian oil sands acquisition = opportunities for synergies
TD BANK (TD.TO) | 3.7 per cent yield | 12x P/E | June 2017
- U.S. exposure, with the safety of a Canadian bank
- Sales practice scandal overblown = long-term buying opportunity
DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
---|---|---|---|
FAF | Y | Y | Y |
SU | Y | Y | Y |
TD | Y | Y | Y |
PAST PICKS: APRIL 21, 2016
CORUS ENTERTAINMENT (CJRb.TO)
- Then: $11.87
- Now: $13.66
- Return: +15.08%
- TR: +27.83%
FIRST AMERICAN FINANCIAL (FAF.N)
- Then: $35.59
- Now: $44.73
- Return: +25.68%
- TR: +30.91%
MCDONALD’S (MCD.N)
- Then: $125.79
- Now: $152.50
- Return: +21.23%
- TR: +25.71%
TOTAL RETURN AVERAGE: +28.15%
DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
---|---|---|---|
CJRb | N | N | N |
FAF | Y | Y | Y |
MCD | N | N | N |
TWITTER: @KashPashootan