Archives: News and Insights

Our Portfolio Manager, Sam LaBell, appeared on two segments on BNN Bloomberg recently to discuss Gold, tariffs, banks and auto parts.

 

Our top performers in March 2025 included Wheaton Precious Metals Corp. (NYSE, TSX: WPM), Agnico Eagle Mines Ltd. (NYSE, TSX: AEM) and Barrick Gold Corp. (NYSE: GOLD, TSX: ABX). These stocks benefited from a further 9% increase in gold prices in March to US$3,124, as investors continued to accumulate safe-haven assets in response to proposed U.S. tariffs. With geopolitical and economic risks on the rise, we also expect central banks to continue their
recent gold buying as they attempt to diversify their assets and hedge U.S. dollar risks.

Other top performers included Canadian Natural Resources Ltd. (NYSE, TSX: CNQ) and Cogeco Communications Ind. (TSX: CCA).

Visit Next Edge to learn more about the fund and read the full monthly commentary.

Sources: Veritas Asset Management, Eikon, Bloomberg as of March 31, 2025

South Bow Corp. (TSX, NYSE: SOBO) rose in February in advance of fourth-quarter earnings and on market speculation that the Keystone XL project could see a revival. In our view, bringing back Keystone XL remains a long shot; however, we continue to like SOBO’s dividend yield of ~8%, which is well supported by the company’s potential for long-term EBITDA growth of 2% to 3% annually.
Our top performers in February 2025 included Wheaton Precious Metals Corp. (TSX, NYSE: WPM), Barrick Gold Corp. (NYSE: GOLD, TSX and Lundin Gold Inc. (S&P/TSX: LUG). These stocks benefitted from a further 2% increase in gold prices in February to US$2,858 per ounce, as investors continued to accumulate safe haven assets in response to proposed U.S. tariffs. With geopolitical and economic risks on the rise, we also expect central banks to continue their recent buying activity, lending further support to gold prices.

Visit Next Edge to learn more about the fund and read the full monthly commentary.

Sources: Veritas Asset Management, Eikon, Bloomberg as of February 28, 2025

Our Portfolio Manager, Sam LaBell, appeared on two segments on BNN Bloomberg recently to discuss potential U.S. tariffs and his top picks.

 

The top performers of our Veritas Next Edge Premium Yield fund in January included Agnico Eagle Mines Ltd. (NYSE, TSX: AEM), Wheaton Precious Metals Corp. (NYSE, TSX: WPM) and Lundin Gold Inc. (TSX: LUG). These stocks benefitted from a 7% rally in gold prices in January to US$2,812, as investors picked up safe haven assets in response to the threat of U.S. tariffs on Canada, Mexico and China. Reportedly, worries over tariffs also led to the movement of gold from London to New York, leading to a shortage in London metal markets that increased upward pressure on prices. Central banks also continued to buy, with the World Gold Council reporting that central bank demand reached a new quarterly high in the fourth quarter of 2024.

Other top performers included Canadian Pacific Kansas City Ltd. (NYSE, TSX: CP) and Canada Goose Holdings Inc. (NYSE, TSX: GOOS).

Visit Next Edge to learn more about the fund and read the full monthly commentary.

Sources: Veritas Asset Management, Eikon, Bloomberg as of January 31, 2025

Loblaw Companies Ltd. (TSX: L), returned 4.4% in December, capping a 49% return for the year. With earnings estimates rising just under 14% on updated 2025 forecasts, Loblaw’s forward P/E re-rated over the year from 15.3x to just under 20x. We continue to like Loblaw’s defensive characteristics as we navigate 2025.

Bombardier Inc. (TSX: BBD.B) shares advanced 1.0% in December, shrugging off U.S. tariff concerns and ending the year up more than 83%. For buyers of the company’s planes, we expect that some of the tariff risk can be managed through non-U.S. ownership and leasing arrangements, should it come to that. Bombardier has made significant strides in 2024 as it looks set to post a third consecutive year of both double-digit revenue growth and positive free cash flows.

Enbridge Inc. (NYSE, TSX: ENB) was up 0.7% in December, bringing its year-to-date return to 37%, achieved through forward P/E expansion, from 17.5x to 19.8x, and a favourable outlook for 2025 earnings growth, up 9% over initial 2024 estimates. With consistent operations and a well-supported yield close to 6%, we continue to like ENB’s prospects.

Visit Next Edge to learn more about the fund and read the full monthly commentary.

Sources: Veritas Asset Management, Eikon, Bloomberg as of January 16, 2025

Air Canada (TSX: AC) was the top performer of the Veritas Next Edge Premium Yield fund in November. AC’s shares continued to rise in the month following its new labour agreement with its pilots. AC’s third-quarter results demonstrated its broad earnings power and allowed the company to raise its 2024 EBITDA target to $3.5 billion, from $3.1 to $3.4 billion previously.

Lumine Group Inc. (TSX Venture: LMN) was the second top performer, as it rallied on third-quarter revenues that topped estimates, and it posted a small net profit compared to a loss in the same quarter the year prior. Lumine showed progress on two prior acquisitions, Nokia and CASA, which were acquired at discounts that reflected short-term revenue pressures. By stabilizing these businesses, Lumine demonstrated it can integrate larger deals, which will be key as it seeks to replicate the success of its parent corporation, Constellation Software (TSX: CSU).

Other top performers were AtkinsRealis Group Inc. (TSX: ATRL), Sun Life Financial (NYSE, TSX: SLF) and Manulife Financial Corp. (NYSE, TSX: MFC).

As a sub-advisor, Veritas Asset Management Inc. utilizes the award-winning, independent, and in-depth research of Veritas Investment Research Corporation to formulate a diversified portfolio of equities with a bias toward yield, and capital preservation. The fund uses a covered option overlay to generate additional yield and further mitigate downside risk and volatility.

Visit Next Edge to learn more about the fund and read the full monthly commentary.

AtkinsRéalis Group Inc. (TSX: ATRL) was the top performer in the Veritas Next Edge Premium Yield Fund in October, as the shares rose on growing investment interest in the nuclear industry. Revenues in ATRL’s Nuclear segment are set to grow 30% to 35% in 2024, contributing just over one-fifth of the company’s earnings before interest and taxes.

Having finalized a new deal with its pilots, Air Canada’s (TSX: AC) third-quarter results demonstrated its broad earnings power. The company reported $2.00 billion in earnings and raised its 2024 EBITDA target to $3.50 billion, from $3.10 billion to $3.40 billion previously.

The Fund’s investments in gold producers also performed well in October as gold prices rose more than US$100 per ounce to finish at US$2,738, up 3.90% on the month. We have selected our holdings of Agnico Eagle Mines Ltd. (TSX, NYSE: AEM), Wheaton Precious Metals Corp. (TSX, NYSE: WPM), Barrick Gold Corp. (TSX: ABX, NYSE: GOLD) and Lundin Gold Inc. (TSX: LUG) based on their potential for volume growth and cash flow improvement, as well as their operational capabilities and reduced geographic risk.

As a sub-advisor, Veritas Asset Management Inc. utilizes the award-winning, independent, and in-depth research of Veritas Investment Research Corporation to formulate a diversified portfolio of equities with a bias toward yield, and capital preservation. The fund uses a covered option overlay to generate additional yield and further mitigate downside risk and volatility.

Visit Next Edge to learn more about the fund and read the full monthly commentary.

Our Portfolio Manager, Sam LaBell, appeared on BNN Bloomberg with Andrew Bell to discuss his take on Teck Resources Ltd, why he prefers gold over copper and why he favours Air Canada.

 

Our Portfolio Manager, Sam LaBell, appeared on BNN Bloomberg with Andrew Bell to discuss how investors can expand their portfolios within the Canadian market.