Ninja’s 2012 Canadian Stock Picks – Part 1

For the year ending December 31st 2011, investing was a mixed bag. International stocks were a loss; over -14.4% (using Vanguard’s VEU ETF) and European stocks alone were down nearly -12%. The U.S. markets performed much better. U.S. investors, especially dividend investors, saw substantial increases in the equity component of their portfolio. The return of the S&P 500 was relatively flat, but the DOW returned a positive 5.5%. Looking at Canada, The TSX was down over -8.7% for 2011. However many Canadian dividend paying stocks fared much better (assuming you could have hand-picked the winners). The Telecoms and Pipelines did …

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Is McDonalds Overpriced? Part-1

I can’t think of a stronger and more robust business model than McDonalds (MCD), and who can argue otherwise? This global fast-food giant dominates in almost every country around the world, and is currently expanding voraciously through much of Asia. Travel anywhere around the world, and you will find a McDonalds for a safe and cheap place to eat. McDonald’s has also been a stellar stock to own since January 2003, when it was trading at only $14 per share. Unlike the food it produces, McDonald’s stock is no longer a cheap deal. McDonalds was one of my Stock Picks for …

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Why I Bought Staples Inc.

Back on May 18th, 2011, Staples Inc. (SPLS-Q) plummeted 15.4% to close at $16.63, from $19.65 per share, after missing earnings expectations. It did not recover its share price, and was again walloped with the massive market sell-off that occurred in early August. It closed to a low of $12.49 per share by August 10th, 2011. But with so many other big-blue chips on sale during those few days, and limited funds to invest, Staples was certainly not at the top of my buy list. There were many more other great U.S. Stocks to choose from such as Pepsi, Procter …

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Staples Inc. Value in Office Supplies?

Last Wednesday, Staples Inc. (SPLS-Q) reported lower-than-expected quarterly results on higher costs and weak demand for office supplies. Shares plummeted from the previous day close of $19.65 to $16.63, a decline of 15.4%. Since Wednesday, shares have already climbed over the $17.00 level. Staples is not an unprofitable business, far from it. According to a recent Globe and Mail article, Staples profit rose to $198.2-million, or 28 cents a share, in the first quarter. However, analysts on average were expecting 32 cents a share. With big blue chip dividend payers and dividend aristocrats hitting their 52 week highs, there haven’t …

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