Bruce Campbell’s Top Picks for Sept. 1, 2026

Bruce Campbell, President & Portfolio Manager, StoneCastle Investment Management

Focus: Canadian stocks

Top Picks: K92 Mining, TMX Group, Amerigo Resources

MARKET OUTLOOK:

Investors have been forced to navigate an extraordinary amount of macro noise, from tariffs and geopolitical conflict to volatile commodity prices, inflation, U.S. Federal Reserve policy and changing liquidity conditions.

That uncertainty along with slowing economic momentum in July helped trigger one of the most significant momentum rotations we have seen in the past 25 years. However, as we head into the fall, the underlying environment appears to be stabilizing.

Second-quarter earnings were exceptionally strong, with corporate profits growing at one of the fastest rates of the past two decades. Although valuations remain a frequent concern, valuation alone rarely ends a bull market. If earnings continue to grow and economic conditions stay steady, today’s valuations can be supported.

We are currently positioned on offense. All the top-down indicators we follow: including economic growth, market breadth, trend and momentum, remain positive.

One of our research partners, which models changes in growth and inflation, expects favourable market conditions through September and into the fourth quarter of 2026. Its models suggest the environment could become more challenging between February and May 2027, but we are not positioning for that prematurely.

For now, we continue to focus on companies demonstrating accelerating revenue and earnings growth where the market has not yet fully recognized the opportunity.

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TOP PICKS:

K92 Mining (KNT TSX)

Operates a high-grade, low-cost gold mine in Papua New Guinea and is advancing a fully funded expansion that is currently on schedule and on budget.

The company is ramping up toward its longer-term objective of approximately 500,000 ounces of annual production yet continues to trade at a discount to many comparable gold producers. After a period of consolidation, gold prices appear to be accelerating again, supported by continued central-bank purchases and renewed demand from gold ETFs.

That combination of rising production and stronger gold prices could translate into significant earnings and cash-flow growth for K92.

TMX Group (X TSX)

Operates Canada’s leading capital-markets exchanges but is increasingly becoming a diversified global financial-infrastructure and data company.

Through acquisitions and organic expansion, TMX has deliberately increased its international exposure and grown its base of recurring revenue, making the business less dependent on Canadian trading and financing activity. The company also generates strong cash flow, supporting continued investment and a growing dividend.

Earlier concerns that artificial intelligence, blockchain and decentralized finance could disrupt traditional exchanges have moderated, allowing investors to focus again on TMX’s expanding global footprint and consistent growth.

Amerigo Resources (ARG TSX)

Is best understood as a “copper factory.” Rather than exploring for or developing mines, Amerigo processes tailings from Codelco’s El Teniente operation in Chile, the world’s largest underground copper mine.

This makes the company a strong proxy for copper prices while avoiding much of the exploration and mine-development risk associated with traditional producers.

Amerigo returns capital to shareholders through three channels: a regular dividend, performance-based dividends tied to cash flow, and share buybacks.

As copper prices rise, stronger cash flow can support all three while increasing the underlying value of the business.

PAST PICKS: JAN. 14, 2026

Anaergia (ANRG TSX)

Then: $2.44

Now: $2.64

Return: 8%

Total Return: 8%

Tenaz Energy (TNZ TSX)

Then: $31.72

Now: $66.79

Return: 111%

Total Return: 111%

KITS Eyewear (KITS TSX)

Then: $21.93

Now: $16.64

Return: -24%

Total Return: -24%

Total Return Average: 32%