Canadian Dollars Blog

For the fiscal year ended June 26, 2010, Danier Leather (TSX: DL) reported year earnings of $1.58 per share. As their business is seasonal, a quarterly loss of 0.14 per share was recorded. This was down significantly from the same quarter last year in which they lost 0.47 per share. Although there has been quite a run up in the last several months, this one is still a very compelling buy. Here are some reasons why we continue to believe this one to be a hold. 1. Increasing sales and earnings From 2009 to 2010, EBITDA more than tripled to $15.2 million from $4.3 million last year. Despite the sluggishness of Canadian retail, this brand has still managed to increase sales by a decent 4%. 2. Share repurchase Management continues to believe that the stock is undervalued, in the last fiscal year, the company has repurchase 28.9% of the prior year's outstanding subordinate voting shares. Specifically, 1,352,700 voting shares were repurchased. This is nothing to sneeze ...

With the TSX and DOW trading at near or above their 52 week highs, I've received a lot of emails asking me where I think the market is going and what should people do with a lot of the profits they've made up so far in the calendar year. Here's my answer: I don't know. My guess is as good as yours. For anyone that was brave enough to invest money back in the early part of the year, you will notice that your portfolio is up quite a bit. My best move was TCK.B when I bought it around $10. There were times when I second guessed my purchase but I'm glad that I held on to it. As it's been up 300% I got out and sold around $30. My worst performer so far has been MFC. It looked like it was starting to recover nicely until they decided to slash the dividend by half. Whether that is a beneficial thing for the company remains to be seen. The market seems a bit expensive at the moment so I've been extremely selective (more so than before) about which equities to ...