This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

8 Investing Ideas For 2013 From RBC Capital Markets

Every year investment houses generate a list of investing ideas that they think will reward investors. RBC Capital looked for companies with a market capitalization of $2-billion or more, along with an average daily liquidity of at least $20 million. Some of the companies making the list were:

Screen shot 2012-12-27 at 11.23.04 AM

Analysis:

Most of the companies in the above list are Canadian-listed companies.

Magna International (MGA) shares nearly doubled in 2012. The company makes automobile parts and trades with a valuation of just 10 (price of profit). With a lack of a catalyst for higher demand for automobiles, investors should not expect significant upside with Magna.

Like Magna shares, Transforce (TFIFF) shares are at a 52-week high. The company is not heavily traded, and its business is sensitive to economic conditions, according to its website.

Companies with a large market capitalization are telecom company Telus (TU), TD Bank (TD), and Valeant Pharmaceuticals (VRX). The former two companies pay a dividend that yields 3.92% and 3.72% respectively. Valeant does not pay a dividend, but grows by acquiring companies and improving their return on equity.

Dollarama has a similar business to that of Family Dollar Stores (FDO). Both companies sell inexpensive items to thrifty consumers. Dollarama shares peaked recently at CAD $66.30 and traded recently at CAD $58.00. Family Dollar Stores also sold-off recently, pays half the dividend (by yield) but has a lower valuation.

In the real-estate sector, Brookfield Asset Management Inc. (BAM) shares are recommended by RBC. Like some of the other recommended companies, Brookfield shares are at a 52-week high.

In the resource sector, Silver Wheaton (SLW) shares traded lower in recent sessions. A loose monetary policy did not help gold or silver prices, which in turn is weighing on this company. Higher economic activity would help raise the demand for silver.

Written by Chris Lau

null

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,214.42 -10.15 -0.06%
S&P 500 2,110.74 -3.12 -0.15%
NASDAQ 4,987.89 +20.7530 0.42%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs