Second stock in the clip; he and his family also own it personally. GLTA
https://www.bnnbloomberg.ca/video/paul-harris-top-picks~2708949
Canadian banks.
Not trading at high multiples, around 1.1-1.5x book value. Great dividend yields, and all have increased over the last little while and will continue to do so. Lots of capital, except for CM, even if OSFI decides to increase required levels. Difficult macro environment, which is reflected in the banks.
TSX can't go up unless the banks go up, as banks are 30% of the index. Good time to buy. A year from now, banks will be substantially higher.
Highly regulated, in good shape, oligopolistic. They experience volatility due to events in the States, but we won't have a collapse in the banking industry.
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TD Bank (TD TSX)
As Canada’s second-largest bank, TD has developed a strong franchise in the US. The stock trades at 1.4 book value, 10 times 2021 earnings, and 4.8 per cent dividend yield. It has strong capital ratios and a diversified business with a large percentage from fee income.
TOP PICK
Toronto Dominion (TD)(TD-T)
15/06/2023
Trading at 1.4x book, close to 10x next year's earnings. Great franchise, lots of capital. Will probably go after another US acquisition. Very diversified, which protects them in a difficult environment. Good time to buy, you'll do well. Yield is 4.78%.
(Analysts’ price target is $93.73)
Banks
Paul Harris
$79.920
Owned