TFI International Inc (TFII.TO)

Quickly becoming a monopoly trucker in Canada. What he really likes is their packaging and courier business, especially if Canada Post decides not to deliver packages. Retail through the Internet could be a tremendous opportunity for them. Generates a lot of free cash and there is lots of insider ownership. Thinks this is a $30 stock in a year’s time. Yield of 2.45%.

4 segments to this business. Packaging/Courier, less than truckload, specialized services, which includes energy and waste management. CEO is expecting a pretty much flat environment on the top line. Third-quarter revenue came in later than was anticipated. He is choosing this because of their operations, the way in which management goes out there, buys companies, and consolidates and integrates them. They have the ability to unload unnecessary assets and drive the cash flows into more strategic acquisitions. Yield of 2.73%.

Transportation sector has seasonality and starts around Oct 10th. Peaks out a little bit in November, and then once again runs into the springtime. Technically this one is looking really good right now. It is in a positive trend.

(Top Pick Oct 17/12, Up 28.11%) Results were a little lumpy last quarter and the quarter before that was devastating. They had trouble with trucking and courier areas and some short term headwinds coming but he will still hold it. Acquired VTZ.

Continues to like it. Long term value. Company struggled with rig hauling business because of a change in drilling but did a good job of growing through acquisitions. Transformed the company into package hauling (Courier) business. 2.5% dividend and unlikely to increase any time soon.

(A Top Pick Sept 26/12. Up 23.68%.) This was more of a valuation story and he sold his holdings to take profits. A good buy below $20.

An excellent barometer for the North American economy given that it is a full-service transportation provider right across North America provided both courier services and oil/gas transportation services. The record amount of online purchases that are going on will benefit courier and package delivery companies. Largest trucking fleet in Canada. Pretty good dividend of 2.57%.

(Top Pick Sep 26/12, Up 20.74%) It hit his valuation target. Growth by acquisition. There have been some issues since then with their oil rig moving business.

Benefited from a lot of acquisitions. Transformed the way they were doing business by getting into waste management and into the US with their P & C business. Saw valuations getting a little bit extended and when it hit his target he sold his holdings. About a week later they announced another deal in the US which will add to earnings. Good for a long-term hold. Safe dividend.

Great company and it’s going to go higher. Just upgraded his target to $24.50. Did a new acquisition which is going to provide further synergies in fuel growth. Have done a great job of buying other companies and making accretive synergies. Not that expensive.

A barometer for the North American economy. Full service transportation provider across North America. Largest trucking fleet in Canada, offering trucking, courier, packages, etc. As the global economy grows and more parcels have to be delivered, this will benefit. Trading at 10X price earnings. 3.5% yield.

Largest trucking company in Canada. Recently completed an acquisition and will be able to improve their margins in packaging and courier. Also, has the opportunity to clean up their portfolio with some divestitures which would surface some value. Sees it $24-$25 in 12-18 months. 2.7% yield increase could definitely be a possibility in the next few quarters.

(Top Pick Sep 26/12, Up 6.58%)

Has had a very difficult year as all of the logistics (trucking) companies have had. This one had a 58% increase in growth last year. Lots of money to cover the 2.93% dividend. Will probably do some share buybacks as well as some acquisitions along the way. You might also want to look at their convertible debenture.

Not growing organically right now but had much better than expected 2^nd quarter margins on better-than-expected restructuring. Thinks this can drive earnings for the next couple of quarters maybe. Trading at a fair valuation. Whether you Buy depends on your view of whether they can continue to grow by acquisition. Have done a great job buying and synergistically wrapping them in. Try to buy at $16.85.