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GLXY...continued consolidation or new bull underwayGLXY has been correcting/consolidating during the last year but is starting to show signs of a potential new bull leg. The upmove from 2020 to 2021 was impulsive in nature (white) and has been correcting/consolidating (purple) forming a slightly downward channel (blue). Price has recently broke above the 55wk EMA (yellow) and needs to stay above there and break the upper channel (low $40s) in order to confirm that a new leg has started, but the structure looks complete and ready. Small long positions with a stop below the 55wk EMA are worth exploring in the short term for a run to the low $40s.
TSX:GLXYLong
by PD_Capital
LONG TERM Dividends TA on ENB?Technical Analysis $ENB for a friend looking to add $ENB as a long-term investment ENBRIDGE has been making gains and is a great Low P/E High Value Dividend Investment here is a TA that brings us into 2026 $ENB Is no doubt a safe long-term investment no matter the price but that being said in this current GeoPolitical new world ENBridge could also show some growth potential that could send this stock price into a much higher tier with not much downside risk
TSX:ENBLong
by bmoneytree
1
$TRIP hidden gemCanada as well as multiple states are legalizing magic mushrooms. RedLight Holland is a leader in this space as well as recreational use in the Netherlands. They have made strides with the Canadian government to import magic truffles as well as made waves with Colorado's bill to legalize mushrooms for recreational and medical use. This stock was once valued 5x it's current price and it will go back. Anyone should buy as much of this stock at this retactment level as possible. Expected levels Low - 0.10 High - 0.50 An easy way to 5x your investment. The year 2023 is a big year for legislation surrounding mushrooms in the US and Canada. This will only increase the attractiveness of this stock. Its extremely undervalued as is.
CSE:TRIPLong
by BlueDayTrader6676
3
LSPD (potentially) in a Trading rangeI think we recently assisted to the selling climax followed by the best rally since the beginning of the down trend (Automatic Rally). If so, the 2 parallel lines on the chart should be our trading range for the next little while. It’s too soon for me to tell if it will be a redistribution or accumulation. Time will tell. Until then, there might be good long and short trades near the edges of this trading range. A secondary test of the selling climax low would be a good confirmation of the trading range.
TSX:LSPD
by Madcaptains
Momentum Play for PlantXAfter over a month of trading sideways with low volume, both of PlantX's tickers (CSE: VEGA)(OTCQB: PLTXF) are exhibiting encouraing signs of a bullish reversal. First off, PVT has been following a nice step-ladder pattern over the course of March, with the most recent and significant "step up" starting on 3.18 and continuing yesterday after the weekend. MACD is also flying high, with a strong positive differential in the signal line, green histogram, and the most positive overall value seen by VEGA.CN YTD. The last part of the equation is short activity--short activity for VEGA decreased by some 160k shares to 458 from 2.28 through 3.15. With the books cleaner and a back-up of delayed asks cleared, VEGA may be cleared for a nice run of gains in the short/intermediate term.
V
by jw_empower
Investment idea - forestry and lumber. - Interfor Corp - CanadaInterfor Corporation IFP - Canada (IFP) Interfor Corporation is a Canada-based forest products company. The Company and its subsidiaries produce wood products in British Columbia, the United States Northwest and the United States South for sale to markets around the world. At the time of writing this on, 19/3/2022, the share price at $42 is just a whisker below the all-time-high of $44 reached in mid January. Interfor Corporation is the 7th largest producer of sawmill timber in the world. Interfor Corporation operates about 15 sawmills in Canada, Oregon, Washington, South Carolina, Arkansas and Georgia. Most of the land on which the company harvests timber is owned by British Columbia. Interfor makes lumber for the construction market, logs for industrial processing, and wood chips for pulp production. The company says it is “The only pure-play lumber producer of scale” Why am I buying Interfor? With a prospective p/e ratio of below 4, a possible dividend yield of over 5%, (see dividend comments below), high historical sales and earnings growth, and sharply rising analysts' forecasts, the fundamentals make Interfor look like the most attractive in the forestry and lumber producer sector. I like the inflation play. It has very strong positive cash flow. Net income, (before non-cash items and acquisitions), is equivalent to one-third of its market cap. Catalyst for more growth The timber production market is highly fragmented. This has historically worked to Interfor’s advantage. Multiple acquisitions have have helped Interfor to grow. Potential takeover offer Interfor’s annual accounts and cash flow statement show that in 2021 they had net earnings of CAD819 million before items not involving cash, and before investing activities. That’s a third of its CAD 2.4 billion market cap. A takeover of the company could be easily financed out of its own cash-flow, with plenty left for the acquirer. Given their modest size of USD 1.92 billion, they could easily become the target of a larger rival or a value investor. I think Interfor would be an interesting acquisition for a seasoned Canadian investor, such as the 91-year-old Jim Pattison of Jim Pattison Group. He owns 51% of rival Canfor Corp. The largest investor in Interfor is Letko, Brosseau & Associates Inc. They own 10.8% of Interfor Corp. They are a Canadian institutional investment manger, with an interests in "Growth Through Value Investing" and in "Sustainable investing". They often exercise their shareholder votes, particularly when there are takeover offers, typically refusing what they see as low-ball offers. If Jim Pittard wanted to acquire Interfor he would need to get Letko Brosseau onside first before making any offer. Lumber Prices High Lumber prices boost Interfor’s profit. You are no doubt aware that Lumber prices have been strong over the last 2 years. Year end Price Random Length Lumber futures on CME front month. 2014 $319 2015 $247 2016 $328 2017 $459 2018 $343 2019 $416 2020 $716 2021 $1227 18/3/22 $1200 The average selling price of Lumber in Q1 2020 was $842. In Q1 2021 it was $1143. So far in Q1 2022 it looks like it is going to be about $960. See the 50 year and 3 year charts below. Various reasons are being given for the high Lumber prices. These include flooding in British Columbia. It knocked out road and rail links in December. Mudslides disrupted Vancouver shipments. Beetle infestations, wildfires, and government restraints on tree harvesting limited availability of mature trees. Sawmills were said to be struggling to keep up with demand in part due to a shortage of workers. At the same time the supply chain was being disrupted by the pandemic effect on the transportation network. There simply were not enough vehicles or trucks to get lumber to market, so backlogs were building up at sawmills. The net effect was that supply to the market fell. At the same time, the Pandemic created unprecedented demand for home improvements. Home improvements more than compensated for any fall in homebuilding due to the pandemic. It was a perfect storm. Supply fell and demand rose. Since some of these one-off effects are now dissipating we could see lumber prices going lower as supply returns to normal. On the other hand any extra supply might be absorbed by new home construction. Home-buiding is said to have been constrained during the pandemic. Going forwards, lumber prices are likely to be heavily influenced by housing starts. With property prices up around 15% over the last year, it looks like demand is currently strong. Freddie Mac sees house price inflation gradually dropping to 2.5% by 2023, but obviously that still means higher prices than at present, and ongoing demand for new constructions. According to many articles housing inventories vs demand are at record lows for decades, and it’s likely to take years before the supply and demand balance out. Dividend: In May 2021 Interfor declared a "one-time special cash dividend" of $2. At the time they wrote: "“This special dividend reflects a partial distribution of the extraordinary cash flows being generated from record lumber markets” said Ian Fillinger, President and Chief Executive Officer. “We are able to reward our shareholders with this return of capital, while retaining ample financial flexibility to complete our multi-year strategic capital plans, grow significantly through acquisitions and continue to buy back Interfor shares.” Will this “one-time” special dividend be repeated this year? I am concluding that it is possible for several reasons: Firstly the company has more liquid cash on hand at the end of 2021 than it had at the end of 2020. In fact it has more than four times the cash needed to pay the same dividend. Secondly, the price of lumber remains strong, well above the average during 2021. Thirdly, the company recently expressed strong confidence about the lumber price driven by strong demand from new housing starts, and stated that it is well positioned with a strong balance sheet and “significant available liquidity”. Fourthly the company share capital has reduced by about 10% due to share buy-backs in 2020. This means that the same special dividend would cost less than last year. If the company pays a $2 special dividend - as per 2021, the yield will be 5%. The decision on dividend should be made in May. Share buy backs In 2021 Interfor purchased nearly 10% of its share capital. It was 100% of the amount allowed. The authorisation has been renewed again for 2022, again allowing for the purchase of nearly 10% of the share capital. Sales Growth Interfor’s historical lumber sales growth is reported as being 16.41%. In 2021 it was +50% helped by the acquisition. Analysts are forecasting that Interfor’s sales will increase by 17.3% in 2022. Acquisition The company made a major acquisition late last year (Eacom Timber Corp). As a result of this and high lumber prices, analysts have been raising their EPS forecasts for 2022. Currently analysts are forecasting EPS of close to CAD 11 per share. in 202 Interfor reported EPS was $12.80. The share price is currently close to $42 so the prospective p/e ratio is low (around 4x). If the company pays a $2 special dividend - as per 2021, the yield will be 5%. The decision on dividend should be made in May. Interfor’s historical lumber sales growth is reported as being 16.41%. In 2021 it was 50% helped by the acquisition. Analysts are forecasting that Interfor’s sales will increase by 17.3% in 2022. Earnings The future earnings of the company will, to some extent, depend on Lumber prices. The higher the better. The demand for Lumber will be heavily influenced by new home constructions. Interfor is thus an inflation play, especially if house prices keep rising. Analysts are increasing their earnings forecasts. Click below to see the latest lumber price progression CME:LBS2!
TSX:IFP
by Clive_Thompson