Top PickLast stock in the clip and two sets of comments. GLTA
https://www.bnn.ca/video/ryan-bushell-s-top-picks~1057250
ENERCARE INC. (ECI.TO) – Most recent purchase $18.50
Enercare is a newer holding in our portfolios. We like the long-term sustainability of the heating-and-cooling business and the transition toward rentals from ownership of furnaces and A/C units. A rental unit costs the company more upfront, so capex will likely be high over the next five years or so as they roll out rentals more broadly. However, longer term a rental unit provides 2.5 times more value. Long-term annuitized cash flows support a growing and sustainable dividend, and the five per cent current yield looks attractive to us presently.
2017-02-14 TOP PICK Ryan Bushell
He likes this for the long-term. This services, sells and rents water heaters, furnaces and air conditioners. Increased penetration of rentals is really valuable for them longer-term. Good management team. Just did a big acquisition in the US where they are going to roll out rentals, which should be good for the company longer-term. Dividend yield of 4.86%. (Analysts’ price target is $21.60.)
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Price:
$19.020
Subject:
CANADIAN LARGE (DIVIDENDS)
Bias:
OPTIMISTIC
Owned:
Yes