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Rising interest rate period. Financials are the place to be. Best in class with strong exposure to the USA. I already have a strong position in RY so I bought 14k of TD . No Canadian bank has the strong exposure to the USA as TD.
 

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Bought positions in FB and Alphabet . They both experienced price declines but the fundamentals remain vibrant. Alphabet has a growing position with its search engine, YouTube , the cloud business and is a leader with emailing and maps It has the chrome business and smartphone technology. Last time I looked at their balance sheet they have a gigantic cash position and virtually no debt.. It has a strong record for growth in revenues and earnings. FB has a very profitable and sticky operation. It ton has a great balance sheet. Between the two they might be the most common used daily service providers for most people in North America.
 

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Bought some more Googl. 2O% growth in revenues and earnings . Outstanding ROE and ROC and 100 billion plus cash on the balance sheet. Its forward PE is in the order of 20. That is pretty close to market PE average. A pile of attractive and diverse operations.
 

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Let’s see
Alphabet 2018 annual EPS was $43.7
2021 $108
share price 2018 $1000
2021 $3000
current $2500 is probably a fair value. But hardly a deal.
what will its EPS be in 2025 ? At a 20% plus growth rate it could be close to 200. At a PE of 20 that would get you a share price of about 4000. With a 100 billion plus in cash they have a lot of capital to invest without borrowing a penny or issuing shares. Gmail, Youtube, Google maps, Android, Google news , Smartphones , third largest cloud business , driverless car technology, robotics and a lot more irons in the fire.
 

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Which of those are you using in everyday life and how much Google is making on you?
I watch youtube occasionally but install AdBlocker (uBlock origin) eliminates all Google advertising (I hate ads). Other than that I don’t seem to use any of those services.
I use most extensively . Google search, Gmail, Googl news, Google maps , android on my smartphone and google play for my favourite apps. When I want to fix things I go to You Tube. I watch lots of documentaries on you tube. I understand that much of their revenue comes from collecting and selling data to advertisers . It is an extremely profitable business and they do better than anyone else. You apparently use some of their services but you don't like them collecting your data and selling it. The vast majority of users don't worry about this. Facebook does the same and they still have billions of users worldwide. Their cloud storage business is used by large enterprises to store and collect data. It is a very lucrative business., Amazon and Microsoft are ahead of Google in this area but they are a very strong third. I use an android phone. World wide their are more android phones then Apple phones. If you are on the internet it is very hard not be in the Alphabet world.
 

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I use DuckDuckGo because it doesn’t track me, I use ProtonMail (is the world's largest secure email service, developed by CERN and MIT scientists, are open source and protected by Swiss privacy law.), unsure what Google news is, use Garmin for maps, phone isn’t android, also I recommend to use Brave is a privacy-focused browser, which automatically blocks online advertisements and website trackers in its default settings.
you obviously don't like the way they do business and have acted accordingly. That has little or no bearing on the investment rational for owning this stock. People can find reasons from an ethical standpoint to avoid certain stocks. That is their prerogative.
 

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Will be buying more Tamarack Valley and ARC Resources tomorrow. This is a bull market for oil. Many are predicting $100 oil. Most of the oil stocks will be reporting in February. I expect extraordinary numbers . If this type of price holds there will be a lot of oil stocks who will double . I have 6 other oil and gas stocks. I already own these two and am adding to that holding. I think they are what I consider the best of the best. ARC has a lot of gas. May-be a bit of a headway.
 

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I use most extensively . Google search, Gmail, Googl news, Google maps , android on my smartphone and google play for my favourite apps. When I want to fix things I go to You Tube. I watch lots of documentaries on you tube. I understand that much of their revenue comes from collecting and selling data to advertisers . It is an extremely profitable business and they do better than anyone else. You apparently use some of their services but you don't like them collecting your data and selling it. The vast majority of users don't worry about this. Facebook does the same and they still have billions of users worldwide. Their cloud storage business is used by large enterprises to store and collect data. It is a very lucrative business., Amazon and Microsoft are ahead of Google in this area but they are a very strong third. I use an android phone. World wide their are more android phones then Apple phones. If you are on the internet it is very hard not be in the Alphabet world.
Googl just reported. Revenues and earnings were up 32%. They are now sitting on 140 billion in cash. The stock is up 7% in the after market. Over the long term the stocks that perform are the stocks that can consistently grow their revenues and earnings year on year. Googl has been doing that from day one and they are a big part of the world. There revenues from You tube are now bigger then the revenues for Netflix.
 

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Market is not convinced.
I can tell you are a short term investor. Comeback in 5 years and we can debate. Warren Buffet said in the short term the market is a voting machine over the long term it is a weighting machine. IN the long term the things that make a difference is growth in earnings and revenues, debt levels, earnings and other fundamentals. I have seen Amazon,Apple and Googl had short term downward periods. It was short term people who sold in those down terns the smart people were holding and buying. I believe Buffet boght a big chunk of Apple during one of those down periods. My bank research shows 27 buys, 1 hold and no sells with Wall Street top analysts.
 

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I expect all those three to get back to pre pandemic levels plus inflation, perhaps this year or next. Raising interest rates never been good for technology. If we can call “technology” internet search engine, video host, book store, and cell phone designer (Apple designed phone is made in China).
you have forgotten a few things like Android, Chrome, You tube, the cloud storage business, self driving technology, robotics, PIxel, gaming , For MIcrosoft ,Amazon and Googl their fastest growth area and most profitable in terms of profit margins is the cloud storage operations. They must be doing something right Googl, Microsoft and Apple all have in excess of 160 billion dollars of cash. Amazon is a laggard with only a 100 billion. BY any reasonable measurement they have and continue to be very successfull and innovative business operations. They are temporally out of favor because of market psychology and not because of fundamentals. That will come to pass because capitalism and the market likes a thing called profits.
 

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Bought more Enerplus, Baytex and Tamarack Valley. Everything is in line for the oil and gas sector. I like the narrative for these stocks. Enerplus has a very strong position in the Bakken and the other two have very rich production in the clearwater formation with more wells coming on. It is really hard to go against the trend.
 

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not sure about the rational for MG. It has plants in Russia which they have suspended. The auto companies have serios supply change issues which is slowing down production and driving up prices. If EVs take off the parts required are significantly reduced . There are a lot less parts in a EV. May-be someone can make a case for buying this stock given the onbvious headwinds.
 

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Probably best to go into it on the MG thread: magna (MG toronto; MG ny)

The buying opportunity is due to the shutdown of Russian manufacturing, but some feel that the market's overreacted on that. As regards their ongoing business -- last time I sat in an electric car it had an interior, seats, a body, steering, windows, lights, control modules -- a whole laundry list of generic car stuff that Magna makes. I don't see an issue with Magna keeping on with that stuff.
you might be right but given the history of the auto sector I figure there are better opportunities in other sectors I can find stocks with much superior fundamentals that have been out of favour in the current market. Over the long term fundamentals make a difference.
 

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I think oil companies do have more room to go in the short to medium term. I think oil prices got ahead of themselves and we may see more downside in the near term. As such I swapped out my Suncor holding for more CNQ. CNQ will continue to reward shareholders through dividend increases and buybacks. I still expect travel to pick up in North America this summer and that should help consumption. WTI may have got ahead of itself on price but there is still not an abundance of supply.
At $80 oil most of the oil producers will be extremely profitable and will have an extreme over abundance of cash. I think 125 dollar oil was a short term thing. I think an average of 90 over the next 6 months is a reasonable projection. There will be a lot of big shareholder payments and share buybacks . I expect June will an interesting month as a pile of these companies report in that month. Patience is your friend right now.
 

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Have sold some property and have about 45k which can be placed in our TFSAs . Will divide 4 ways among Microsoft, Googl , CP Rail and Enbridge-PR-C . Te fundamentals and outlook for the two tech stocks are compelling . CP will have a great network once they complete the purchase of KC Southern. The Enbridge preferred is trading around $19 with a 5.8% dividend. It resets in March of 2023. With interest rates on the rise the reset yield should be strong. If ENB decides to redeem the shares I won't complain. Given the current market conditions I almost consider this PR a fixed income with an outstanding yield.
 

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Have 30k to invest in a taxable account. I am looking at stocks that have a decent chance of preserving capital and have some decent dividends. I have decided to TRP, Telus and ENB. PR.D . With any luck these should get me through any stormy waters over the next couple of years. I own BCE and ENB inside our TFSAs . I guess their is some duplication . Diversification is becoming a challenge in this market. There are to many sectors that I am reluctant to invest in given the macro situation. I have been aggressive in buying oil and gas stocks since September. I figure I have moved far enough in that direction.
 

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Do you own enough bonds? It's hard to sufficiently diversify by only using stocks, as they are "risk assets". Diversifying into bonds or GICs would give you stronger diversification. Maybe you already own enough of these.

If you don't like the price volatility of bonds, then GICs achieve the same thing with no volatility.
I have bonds already . I have them laddered over 6 years. When inflation is running at 6 or 7% it is hard to invest in fixed income securities that might yield 2.5% . It is even worse in a taxable account were the interest is fully taxable.
 

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Fair enough but just FYI, there are GICs (like Scotia) right now at 3.65%
Still a problem. I figure the real rate of inflation is 7 or 8%. Add in tax on the 3.65% you are looking at losing 4 or 5% every year. Bonds/GICs were a losing proposition in the 1970s and early 1980s when we had hyper inflation. I don't think they are a good investment in this market.
 
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