iA Capital's 2022 Picks Equity analysts at iA Capital Markets unveiled their “2022 Top Picks” in a research report released Monday.
The list of 14 preferred equity selections is smaller than last year’s 17, due to a recent change to the company’s real estate coverage team.
The 2021 list delivered a total return of 9 per cent, outperforming the 5.2-per-cent jump in the TSX Composite Index. That result was down from a 15.7-per-cent gain in the first half of the year in an “extremely dynamic environment” that prompted analysts to adjust five of their 17 picks midway through the year.
The firm’s selections for 2022 are:
Premium Brands Holdings Corp. (PBH-T) with a “buy” rating and $145 target. Average: $148.40.
Mr. Linsdell: “We switched out Premium Brands in July 2021 as the stock had gained 26 per cent in the first half of the year. Our call was timely as PBH ended 2021 at about the same level that we had left it in July. Since then, however, the Company has continued to perform well in a difficult environment that included commodity cost inflation and labour constraints. With those 2023 targets firmly within sight, we are confidently picking PBH as a Top Pick for 2022.”