May 24, 2019
KeyStone’s Your Stock Our Take is Premium Brands (PBH:TSX), our two Dogs are Encana Corporation (ECA:TSX) and Stornoway Diamond Corporation (SWY:TSX)
This week in our Your Stock, Our Take segment we look at Premium Brands (PBH:TSX), owns a broad range of leading specialty food manufacturing and differentiated food distribution businesses with operations across Canada and the United States. A listener noted that the stock had a nice move up this week after a very poor year of performance. The listener has been watching the company for a while and wondering if now is the time to pick up a position. Last week we had 2 Stars, this week we have two Dogs. Our first Dog of the week is Encana Corporation (ECA:TSX), an independent oil and gas producer (43% oil and natural gas liquids and 57% natural gas) with key assets in the Permian, Eagle Ford, Montney, and Duvernay areas. The stock is off 21% this month as energy prices have dropped just under 15%. Our second Dog of the week is Stornoway Diamond Corporation (SWY:TSX),which has dropped 50% this week and roughly 85% year-to-date. Stornoway owns a 100% interest in the Renard Mine, Québec’s first diamond mine. Unfortunately, the operation has run into some market pricing and debt issues. Dog or opportunity?