Q: I'm looking to close out some minor gaps in my portfolio & I would really appreciate your view on TMX & Loblaws (obviously 2 very different companies). Are you currently liking them? Would you buy today? Are there other alternatives in their sector or industry that you would prefer instead? As always, thank you for your great advice.
5i Research Answer:
We like both; X is somewhat unique and other than a typical financial (i.e. a bank) there is not really a Canadian equivalent. The stock has been weak but we consider it quite attractive today for the long term.
L we also see as solid. It offers stability and some growth at a reasonable price. In a risk-off market it can certainly outperform as investors seek safety. It has done well over the past year (+35%). We. would be quite comfortable today buying it as a buy-and-forget type of stock.