Today, we have shortlisted 11 stocks across sectors which have registered low degree of operating leverage (i.e. how sensitive is operating income to a percent change in number of units sold) and low degree of financial leverage (i.e. how sensitive is the net income to a percent change in operating income) during the fiscal year 2013. Moreover, these stocks are expected to register attractive return on equity for fiscal year 2014.
|
Company Name |
Ticker |
Exchange |
Sector |
Market Cap |
Last Price |
Average Volume |
Price Change |
DOL |
DFL |
ROE 2014(E) |
|
Badger Daylighting Ltd |
BAD |
TSX |
Industrial |
1,038.4 |
28.04 |
242,125 |
-20.2% |
1.1% |
1.0% |
27.7% |
|
Questor Technology Inc |
QST |
TSXV |
Industrial |
93.2 |
3.61 |
143,672 |
-18.3% |
2.7% |
1.0% |
27.3% |
|
Labrador Iron Ore Royalty Corp |
LIF |
TSX |
Basic Materials |
1,407.4 |
21.99 |
282,497 |
-27.5% |
1.0% |
1.0% |
21.9% |
|
ShawCor Ltd |
SCL |
TSX |
Energy |
3,652.5 |
57.17 |
186,990 |
-3.7% |
2.1% |
1.1% |
21.4% |
|
Freehold Royalties Ltd |
FRU |
TSX |
Energy |
1,732.2 |
23.39 |
164,713 |
-12.7% |
2.4% |
1.0% |
20.1% |
|
Linamar Corp |
LNR |
TSX |
Industrial |
3,853.9 |
59.48 |
149,065 |
-5.5% |
4.0% |
1.1% |
19.2% |
|
DeeThree Exploration Ltd |
DTX |
TSX |
Energy |
829.7 |
9.34 |
550,271 |
-18.1% |
2.8% |
1.1% |
17.4% |
|
Bankers Petroleum Ltd |
BNK |
TSX |
Energy |
1,479.2 |
5.67 |
1,269,564 |
-16.9% |
1.4% |
1.1% |
16.6% |
|
AutoCanada Inc |
ACQ |
TSX |
Consumer |
1,340.9 |
54.71 |
146,052 |
-30.8% |
1.4% |
1.2% |
16.3% |
|
Martinrea International Inc |
MRE |
TSX |
Industrial |
1,170.8 |
13.85 |
325,323 |
9.2% |
3.2% |
1.2% |
16.1% |
|
Mullen Group Ltd |
MTL |
TSX |
Energy |
2,359.7 |
25.76 |
251,390 |
-16.1% |
3.1% |
1.1% |
15.0% |
Source: Bloomberg
DOL: Degree of Operating Leverage
DFL: Degree of Financial Leverage
Company Description
Badger Daylighting Ltd (TSX: BAD)
Badger Daylighting Ltd. provides non-destructive excavating services. The company works for contractors and facility owners in the utility, transportation, industrial, engineering, construction and petroleum industries.
Questor Technology Inc (TSXV: QST)
Questor Technology Inc. develops environmental technologies for use primarily by the oil and gas industry.
Labrador Iron Ore Royalty Corp (TSX: LIF)
Labrador Iron Ore Royalty Corp is an unincorporated open-ended trust. The company, through its subsidiaries, holds an overriding royalty on all iron ore products produced, sold, delivered, and shipped by Iron Ore Company of Canada.
ShawCor Ltd (TSX: SCL)
ShawCor Ltd. is an energy services company focusing on technology-based products and services. The company serves exploration and production, pipeline, petrochemical, and industrial markets around the world. ShawCor operates through its partial interest in Bredero-Shaw, and through its OMSCO, Guardian, Shaw Pipeline Services, Canusa-CPA, DSG-Canusa, and ShawFlex business units.
Freehold Royalties Ltd (TSX: FRU)
Freehold Royalties Ltd. produces oil, natural gas, natural gas liquids and potash. The company operates in western Canada and Ontario.
Linamar Corp (TSX: LNR)
Linamar Corporation manufactures precision machine components, assemblies, and castings primarily for the automotive industry. The company also sells to the defense and aerospace industries. Linamar manufactures engines, transmissions, drivelines, steering, suspension components, and brake components.
DeeThree Exploration Ltd (TSX: DTX)
DeeThree Exploration Ltd. explores for and produces oil and natural gas. The company provides gas transportation through its usage of natural gas production. DeeThree Exploration mines in Canada.
Bankers Petroleum Ltd (TSX: BNK)
Bankers Petroleum Ltd. is an oil and gas exploration and production company. The company has a working interest in the Patos-Marinza oil field in Albania.
AutoCanada Inc (TSX: ACQ)
AutoCanada, Inc. retails automobiles in Canada. The company owns and operates franchised automobile dealerships retailing American, European and Asian automobiles.
Martinrea International Inc (TSX: MRE)
Martinrea International Inc. manufactures metal parts, assemblies, and systems focused on the automotive/industrial sectors. The company also manufactures automotive fluid management systems, tubing, tooling, and other products.
Mullen Group Ltd (TSX: MTL)
Mullen Group Limited owns asset based oilfield services and trucking businesses. The company’s oilfield services division provides specialized transportation equipment and trained operating personnel to the oil and gas industry in western Canada. Mullen’s trucking division provides bulk hauling, truckload, and other services to shippers in Canada and the United States.
