Analysts are the most bullish on these names
posted on
Feb 05, 2010 01:40PM
Edit this title from the Fast Facts Section
Wednesday, February 3, 2010 7:40 PM
Scott Adams
WHAT ARE WE LOOKING FOR?
Stocks with the highest analyst expectations.
MORE ABOUT TODAY'S SCREEN
Love them or hate them, analysts play a big part in moving stocks. Some investors blindly follow their recommendations, while others use analysts for ideas and insight. Today we'll look at stocks with “buy” or “strong buy” recommendations and target prices that are far in excess of the actual stock price. Presumably, these stocks are the ones that analysts believe are the most undervalued.
We'll look at Canadian stocks with market caps of at least $250-million. All figures are converted back to Canadian dollars. We'll use Thomson One Analytics as the screening tool.
WHAT DID WE FIND OUT?
The list is dominated by Canadian resources stocks. Either analysts are wrong and their commodity price forecasts are too high, or they're correctly predicting where the biggest returns are coming.
As with most screens, more digging is required before deciding to buy one of these stocks. This screen wasn't able to catch how many analysts are following a stock or when recommendations were last updated. US Gold, for instance, has just one analyst covering the stock from a small shop in the U.S.
If you don't like commodities stocks, two names that stand out from the list are Cangene and Patheon, both are in Canada's small and often-ignored biotech industry.
Scott Adams
WHAT ARE WE LOOKING FOR?
Stocks with the highest analyst expectations.
MORE ABOUT TODAY'S SCREEN
Love them or hate them, analysts play a big part in moving stocks. Some investors blindly follow their recommendations, while others use analysts for ideas and insight. Today we'll look at stocks with “buy” or “strong buy” recommendations and target prices that are far in excess of the actual stock price. Presumably, these stocks are the ones that analysts believe are the most undervalued.
We'll look at Canadian stocks with market caps of at least $250-million. All figures are converted back to Canadian dollars. We'll use Thomson One Analytics as the screening tool.
WHAT DID WE FIND OUT?
The list is dominated by Canadian resources stocks. Either analysts are wrong and their commodity price forecasts are too high, or they're correctly predicting where the biggest returns are coming.
As with most screens, more digging is required before deciding to buy one of these stocks. This screen wasn't able to catch how many analysts are following a stock or when recommendations were last updated. US Gold, for instance, has just one analyst covering the stock from a small shop in the U.S.
If you don't like commodities stocks, two names that stand out from the list are Cangene and Patheon, both are in Canada's small and often-ignored biotech industry.
Stocks with target prices in excess of actual stock prices | ||||||||
Company | Ticker | $ Price Feb. 2 |
52-wk high $ |
52-wk low $ |
Median price target $ |
Market cap ($mil) |
Price target % difference from price |
Mean recommendation |
US Gold Corp | UXG-T | 2.52 | 3.90 | 1.86 | 6.65 | 267.5 | 164.3 | 2.0 |
Burcon NutraScience | BU-T | 9.80 | 10.50 | 4.05 | 20.00 | 284.3 | 104.1 | 2.0 |
Kirkland Lake Gld | KGI-T | 7.00 | 10.96 | 4.76 | 13.50 | 443.8 | 92.9 | 1.0 |
Northern Dynasty | NDM-T | 9.07 | 9.90 | 4.76 | 16.75 | 845.1 | 84.7 | 1.5 |
Colossus | CSI-T | 4.46 | 6.35 | 1.38 | 8.00 | 324.4 | 79.4 | 1.7 |
Cangene Corp | CNJ-T | 5.55 | 6.41 | 3.84 | 9.63 | 380.3 | 73.4 | 1.8 |
Patheon Inc | PTI-T | 2.66 | 3.51 | 1.56 | 4.49 | 344.1 | 68.5 | 1.8 |
Aurizon Mines | ARZ-T | 4.12 | 6.24 | 3.63 | 6.50 | 655.1 | 57.8 | 1.8 |
Dundee Prec Met | DPM-T | 3.50 | 4.10 | 1.30 | 5.50 | 341.4 | 57.1 | 2.0 |
Crocodile Gold | CRK-T | 2.17 | 2.40 | 1.32 | 3.40 | 338.4 | 56.7 | 2.0 |
Western Areas | WSA-T | 4.13 | 5.75 | 2.68 | 6.39 | 741.5 | 54.9 | 1.0 |
Ventana Gold | VEN-T | 7.86 | 12.91 | 1.32 | 12.00 | 763.3 | 52.7 | 1.5 |
MAG Silver | MAG-T | 6.24 | 7.79 | 4.85 | 9.50 | 307.7 | 52.2 | 1.8 |
European Goldfld | EGU-T | 6.06 | 7.88 | 1.98 | 9.23 | 1,099.7 | 52.1 | 1.8 |
Ram Power Corp | RPG-T | 3.29 | 4.23 | 3.06 | 5.00 | 480.5 | 52.0 | 2.0 |
Potash One Inc | KCL-T | 3.23 | 3.87 | 1.31 | 4.88 | 260.1 | 50.9 | 1.7 |
Coastal Energy | CEN-X | 4.94 | 6.67 | 1.11 | 7.46 | 525.7 | 50.9 | 1.8 |
Uranium Particip | U-T | 6.07 | 8.48 | 5.33 | 9.15 | 520.2 | 50.7 | 1.7 |
Magma Energy | MXY-T | 1.73 | 2.10 | 1.69 | 2.55 | 430.0 | 47.4 | 1.8 |
Jaguar Mining | JAG-T | 10.84 | 14.53 | 5.85 | 15.90 | 907.2 | 46.8 | 1.6 |
Yamana Gold Inc | YRI-T | 11.12 | 15.24 | 7.63 | 15.91 | 8,158.8 | 43.0 | 1.9 |
Goldcorp A | G-T | 37.48 | 49.15 | 27.34 | 53.43 | 27,493.0 | 42.6 | 1.9 |
Extract Resource | EXT-T | 7.09 | 10.57 | 1.13 | 10.07 | 1,721.1 | 42.0 | 1.7 |
Guyana Goldfield | GUY-T | 6.35 | 8.34 | 2.27 | 9.00 | 481.5 | 41.7 | 2.0 |
Sherritt Intl | S-T | 6.70 | 8.44 | 1.69 | 9.45 | 1,970.4 | 41.0 | 2.0 |
Barrick Gold Cp | ABX-T | 38.08 | 51.26 | 26.92 | 53.68 | 37,433.3 | 41.0 | 1.9 |
Intl Tower Hill | ITH-T | 6.78 | 8.35 | 2.45 | 9.50 | 404.2 | 40.1 | 1.9 |