The wise investor | Mackenzie reduces exposure to BRP

Every Sunday, we shine the spotlight on financial and stock market news items that may be useful to the investor, but which may have passed under the radar.


Asset manager Mackenzie has just sold more than $100 million worth of BRP shares.

A document filed this month with stock market authorities reveals that Mackenzie sold just over a million shares of the Valcourt recreational products manufacturer during the month of December.

These transactions substantially reduce Mackenzie’s interest in BRP. This participation was close to 15% at the beginning of October. It melted to 10.9% to start the month of January.

Titles of Quebec companies Innergex and Tecsys will be removed from the S&P/TSX Canadian Dividend Aristocrats Index on 1er february. The decision was announced on Tuesday.

A major institutional shareholder of DavidsTea has just increased its stake in the Montreal retailer. Domo Capital disclosed to authorities this month that it started the year with an 11.4% stake. The Wisconsin institutional investor previously said he owned 10.3% of the shares. Domo is the second largest shareholder in DavidsTea behind Placements Mauvais Jours, a holding company owned by DavidsTea co-founder Herschel Segal.

Gildan lost support from TD earlier this week. Brian Morrison on Monday withdrew his buy recommendation on the title of the Montreal maker of t-shirts and socks. His decision comes a month before the release of Gildan’s year-end results. The analyst says he is leaning towards a short-term approach due to the economic outlook, recent stock appreciation, and upcoming comparisons for the first half of 2023 (vs. 2022). Eight of the ten analysts who officially follow the title still offer the purchase.

Stock markets are expected to “crash” later this year, according to Picton Mahoney Asset Management. Experts from this firm point out in a report on the outlook for 2023 published in recent days that the final milestones of a bear market are among the most brutal, but that any economic or market pullback should be expected to force the federal government and other central banks to loosen their grip on monetary policies, bringing us closer to the next cyclical recovery.

TD no longer suggests ECB. Analyst Vince Valentini on Monday withdrew his buy recommendation on the action of the Montreal telecommunications company. He notes the stock’s recent appreciation and is particularly worried about the imminent intensification of competition in wireless, as well as high interest rates for an extended period. He still considers the stock to be low risk and appreciates the dividend, but does not anticipate a sufficiently large upside potential to justify buying the stock. They are now only 5 analysts out of 18 to suggest the purchase.

Bomber lost an analyst’s recommendation earlier this week. Robert Stallard, of the firm Vertical Research, no longer suggests buying the shares of the Montreal business jet manufacturer.

The CEO ofInnergex bought this week $100,000 worth of shares in the NC. Michel Letellier bought 700 shares of the Montreal rail carrier during Thursday’s session. He joined CN’s Board of Directors last October.

“Some studies show that once past 8%, inflation has historically taken an average of 9 to 12 years before returning to 3%. During these cycles, there have been false starts in the stock market, over many years. There is therefore a chance that inflation will be entrenched for several years and that stock market values ​​will be affected in the medium term. But the context is always different from one era to another and we believe that no one really has the answer,” reads Préfontaine Capital’s financial letter published this week.

The Quebec titles of 5N More, MTY and Supremex all reached a new 52-week high on the Toronto Stock Exchange this week.


source site-55