Canadian Insider

Ad blocking detected

Thank you for visiting CanadianInsider.com. We have detected you cannot see ads being served on our site due to blocking. Unfortunately, due to the high cost of data, we cannot serve the requested page without the accompanied ads.

If you have installed ad-blocking software, please disable it (sometimes a complete uninstall is necessary). Private browsing Firefox users should be able to disable tracking protection while visiting our website. Visit Mozilla support for more information. If you do not believe you have any ad-blocking software on your browser, you may want to try another browser, computer or internet service provider. Alternatively, you may consider the following if you want an ad-free experience.

Canadian Insider Ultra Club
$500/ year*
Daily Morning INK newsletter
+3 months archive
Canadian Market INK weekly newsletter
+3 months archive
30 publication downloads per month from the PDF store
Top 20 Gold, Top 30 Energy, Top 40 Stock downloads from the PDF store
All benefits of basic registration
No 3rd party display ads
JOIN THE CLUB

* Price is subject to applicable taxes.

Paid subscriptions and memberships are auto-renewing unless cancelled (easily done via the Account Settings Membership Status page after logging in). Once cancelled, a subscription or membership will terminate at the end of the current term.

The Canadian insider blog discusses news and insight found among insider and significant shareholder filings in Canada.
 
Ted Dixon is co-founder and CEO of INK Research. He is the creator of the INK Canadian Insider Index, and is the editor of the daily Morning INK and weekly Market INK reports. He is a regular contributor to the Globe and Mail's Globe Investor pages and has also worked as a part-time lecturer in corporate finance at the British Columbia Institute of Technology. Before starting INK, he worked at the Connor, Clark & Lunn Financial Group where his responsibilities included portfolio strategy and product development. He has also been an analyst at the Fraser Institute and a treasury specialist at the TD Bank. He holds an MBA in Financial Management from the University of Chicago, and a Bachelor of Commerce from UBC.

The sun is still out for Alimentation Couche-Tarde

July 29, 2015 - Today we revisit Alimentation Couche-Tarde (ATD) which we last featured in our morning report on October 16th. On that day it closed at $35.25 and it is up 63.3% since then, closing at $57.56 on July 28th (and setting a new 52-week high of $58.75 on July 20th along the way). There has been some recent insider selling from the CEO and CFO which is something to keep an eye on, but at this point it may be nothing more than clearing the decks for more option grants.

Alimentation Couche-Tarde is ranked tenth on the July edition of our INK Edge Top 40 on the equally weighted basis of valuations, insider commitment and price momentum. This is up thirty spots from its rank in the June edition of the list, and it appears to be the beneficiary of the trend that has seen other grocery type companies like Empire Company (INK Edge Outlook: sunny; EMP) and George Weston (INK Edge Outlook: sunny; WN) added to this month's edition of the list.

As Ottawa beggars thy consumer, insiders tag along

July 27, 2015 - The Canadian consumer put in a strong showing in May as retail sales jumped 1% over the previous month. That strength could be in jeopardy, however, as policies targeting a lower loonie may put a dent in the prosperity of most Canadians. In particular, if BMO Chief Economist Doug Porter and his colleagues are right, a weakening loonie could soon clobber the real spending growth of Canadians. According to their July 24 report, as the loonie rose from 2002 to 2008, real consumer spending growth in Canada averaged an annualized growth rate of 3.8% which compared favourably to the weak loonie period from 1992-2002 when real consumer spending rose only 2.4% per year. The bottom line, according to the BMO team, is that a weak loonie for the Canadian consumer "is bad news, period."

North American oil & gas insiders showing caution

While Canadian insiders continue to signal that the Energy sector is undervalued, they are being much more cautious in their buying during the current pullback in oil & gas stocks than they were in early winter. The muted response of insiders may be partly explained by trading blackout restrictions. Alternatively, insiders might be content to wait to see how oil markets settle out given the risk of more Iranian crude hitting the market next year on the back of the 6-nation nuclear deal struck in Vienna.

CEO buying at NioGold

While yesterday we featured a junior stock which was a contrarian situation, today we look at an example of relative strength in NioGold Mining (NOX). We last featured NioGold here on April 15. The stock has been relatively flat since the report which translates into strong relative performance against the broad iShares S&P/TSX Global Gold Index Fund Units (XGD) which over the same time period is down 25.5%.

The stock has come to our attention because CEO Robert Wares (featured on our Power Player blog last year) was a cofounder of Osisko Mining and has been buying recently. It is also notable that Osisko Gold Royalties (INK Edge Outlook: cloudy; OR), a spin off of Osisko Mining, is the largest insider equity holder at NioGold with 19.36% of shares outstanding.

Oversold signals at Foran Mining (FOM)

The share price of base metals junior Foran Mining (FOM) has tumbled since we featured it in our morning report on May 4th when the stock closed at $0.265. The share price last closed at $0.14 on July 17th (and hitting a new 52-week low on the day of $0.13). The stock has been dealt a double-whammy of renewed US dollar euphoria on the back of a promised but undelivered rate hike, and a wave of risk aversion stemming from concerns over Greece and China. Certainly, China has played havoc with commodity markets over the past 48 hours as a tightening of rules governing non-bank lending may have contributed to broad selling of precious metals. Many industrial metals including copper were dragged down for the ride.

Who is clapping for Canada's central bank planned economy?

July 20, 2015 - If there was any doubt that the current government in Ottawa has thrown in the philosophical towel on free market oriented economics, it was removed last week when its central bank governor cut rates back down to great financial crisis levels. The lack of a crisis did not deter the central bank from pushing overnight rates into emergency status, a situation last seen during 2009 when the global economy was on the brink in wake of the Lehman bankruptcy.

On Wednesday, central bank governor Stephen Poloz even had to admit that the rate cut could negatively impact financial stability "vulnerabilities." This rolling of the dice has brought out the critics, which now even include some Bay Street money-bank economists. 

Make that two Poloz rate cuts to go!

Bank of Canada rate cuts may well have been the most popular item at global convenience store operator Alimentation Couche-Tard (INK Edge outlook: sunny; ATD.B) Wednesday, if not with their customers certainly with shareholders. The stock was the best performing name (+4.2%) in the INK Canadian Insider (CIN) Index as insider stocks rallied on the back of a quarter point drop in the central bank's overnight rate. However, the Poloz cut did not lift all boats. While both the INK CIN Index (+0.14%) and the S&P/TSX Composite Index (+0.43%) rallied on the rate news, both the S&P/TSX Completion (-0.37%) and Small Cap (-0.44%) indices dropped. Perhaps most surprising was a drop in the Dividend Aristocrats Index which suffered a -0.47% loss.

Insider sentiment remains upbeat despite China and Greece woes

July 13, 2015 - As of early Monday morning, there were only a few details available of a deal reached between Greece and its creditors for another bailout. Early indications suggest the agreement will on balance support growth. It may also increase the chances that the Federal Reserve will be able to raise rates later this year.  

Meanwhile, in China it may be too early to tell whether the summer collapse in the stock market signals either a growth or political set back for the world's second largest economy. In particular, China-related margin calls may well have been primarily responsible for the plunge in metals markets last week. It will take some time to see whether there was more to the metals wipe-out than simply the margin clerks at work.

As historic policy decisions loom, Canadian insiders still bet on reflation

The margin of error for policymakers around the globe has not been this narrow since September 15, 2008, the first trading day after the Lehman collapse. However, there is one big difference: the stakes have never been personally higher for individual policymakers.

In particular, German Chancellor Angela Merkel must balance the demands of her conservative political base against the possibility that over-pandering to her supporters could lead to an unwinding of the euro via a Greece exit. In contrast, for Greek Prime Minister Alexis Tsipras a post-euro Greece would no doubt stumble badly; its pain would not be made up for by the fact that Germany would be on the hook for billions of euros in debt.

Insider buying jumped on Monday

Insiders were quite active on the TSX yesterday. As the broad market fell about 2% on fears over Greece, insider buying surged based on TSX insider summary marker data. There were 94 stocks with buys versus only 19 with sells.

Pages

Subscribe to RSS - Canadian Insider