Rebecca Teltscher- BNN - TOP PICK NFI Group (NFI TSX)
NFI Group is the leading manufacturer of transit buses and motor coaches in North America. It also provides after market parts and services. During the pandemic the stock was penalized due to supply chain issues for several bus components. Management has worked hard to alleviate these issues, and the stock has rebounded nicely in 2024. However, recent issues with seat availability have caused the stock to give back most of its gains it made throughout the year.
Despite some short-term supply issues that management has previously demonstrated they can resolve, NFI’s backlog continues to grow which will support bus delivery through 2026. Also, since the pandemic, many competitors have left the space making NFI one of the few remaining players. As demand for zero-emission busses surges, NFI is only manufacturer that is compliant with buy-America standards. After climbing almost 40 per cent in the first half of this year, the stock has given back most of its gains creating an attractive entry point for long term investors.
stockchase.com
TOP PICK
Automotive 
$14.340
Owned