The strategy team at Scotiabank went all in on precious metals stocks “a tad late” by their own admission for their quantitatively driven top 30 Canadian stock picks,
“Top 30 additions/deletions: Additions (PAAS, CG, FVI, SIL, NGD, IMG, and CEU) almost all come from Gold and Precious Metal miners. CIX, ONEX, EQB, MATR, FTT, CSH-U, and STN are deleted. Miners jump to first place, with Energy in second. Financials and Industrials are in distant third/fourth places … Resource rankings continue to surge, focused on Miners, as Growth and Momentum rankings increase some more. Both Cyclicals and Defensives rankings retreat, with few sub-sectors spared. In Cyclicals, Industrials and Discretionary lose out the most, while Tech seems to be forging a bottom after having fallen every month since February. Meanwhile, in Defensives, Staples and Pipelines managed some small ranking gains while all other sectors plunged further. Overall, our Cyclicals-over-Defensive bias falls some more but remains high. Sector-wise, Energy, Financials, Gold miners, and Staples are the highest-ranked sectors”
The list as it stands now is Secure Energy Services, Athabasca Oil, Imperial Oil, CES Energy Solutions, Suncor Energy, ARC Resources, MEG Energy, Headwater Exploration, Hudbay Minerals, Kinross Gold, IAMGOLD, Dundee Precious Metals, Centerra Gold, New Gold, Fortuna Silver Mines, Pan American Silver, SilverCrest Metals, Stella-Jones, AtkinsRealis Group, Badger Infrastructure Solutions, Brookfield Business Partners, Linamar, Dollarama, North West Co., Canadian Western Bank, goeasy, Fairfax Financial Holdings, Manulife Financial, Celestica and AltaGas.