Acadian Timber Corp (ADN.TO)

Brookfield owns 45%. The rumour has always been that at some point in time they want to grow this and make it a big company and maybe make it another Brookfield timber publicly traded entity. A good play on the US housing market. Dividend yield of 5.33%.

He has owned it in the past. It is well run. They have timber assets in Eastern Canada. The upside is really figuring out how Brookfield will combine them with their own underlying timber operations over time.

(A Top Pick May 22/15. Down 0.67%.) Still looks good and lumber is a dominant theme, so if you own, continue to Hold.

(A Top Pick Nov 11/14. Up 25.54%.) Still likes this and the sector it is in. The trend is higher, so it is a good stock for an investor.

Thinks this is buyable right now, but in the context with the forestry sector. He is always a little cautious about recommending a long-term investment in a cyclical sector. They have done very, very well over the last couple of years. Has a nice association with its parent Brookfield with all sorts of plans to make nice acquisitions. They are based on the east coast which gives them an advantage.

It benefits from the increased housing starts. It is illiquid. 5% dividend.

The reason to own this is if you believe the US housing market is normalizing and will show more growth, the Canadian housing market continues to show good growth along with demand from Asia. He sees potential for these companies to show more growth. The Cdn$ is dropping, which makes the price of lumber more attractive. There is potential for rising dividends. A good place to be.

Hitting a new 52-week high today. Thinks this works higher. An overlooked stock, which is a good sign.

He thinks they have a broader acquisition strategy. Right now it is going to languish for a while, and will be challenged for the next 3-6 months. PE of about 16.85, and dividend yield of about 6.2%. Has a target price of around $14.50. Put this on your radar screen for 4^th quarter 2014.

Got absolutely slammed in 2008-2009 when nobody was ever going to build houses again. He holds this just for yield. Doesn’t expect a lot of growth. This is a multi-year recovery story in housing prices and he thinks the demand for lumber is going to continue unabated.

Has had underperformance in the last year plus. This is in a market where most of the forest products have been on a tear. On a company this small and having this kind of performance, he would be very cautious on it.

Can’t speak of the stock directly but can generally speak about the sector in that all the stocks have had a similar story. Has been a selloff of late because of questions on US housing. Sees this is a very volatile sector in a nice uptrend. He wouldn’t be too concerned about any selloff. Looking out to 2014-2015 he expects there will be some good value in these names. Prefers International Forest Products (IFP.A-T).

Pure timber producer. Pays a nice dividend yield (6.14%) and owns a lot of timber land and should benefit from the housing recovery in the US.

Lumber. Prices have gone haywire but in the last month or so they have fallen off with the rest of the commodities. Lumber prices are going to track US housing starts. He can see lumber prices staying high for a long time. His preference is Acadian Timber (AND-T) as he feels it is a safer play. Owns 2,000,000 plus acres of timber land in the US and Canada. Pays a wonderful dividend of 5.9%. If lumber prices stay above $350, it is possible to see a dividend increase by the end of the year.