Rebecca Teltscher

Click here to watch Doug Kee on Market Call Tonight on February 26, 2015.

Doug estimates that the range for the TSX to be 13,000-15,500 with an emphasis on the bottom of the range. If commodity prices continue to stay low and if interest rates go up faster than people anticipate, he believes we would be testing the lower range. The top of the range would have to come from a run in energy and commodity stocks since other sectors have performed well. He hopes oil prices may recover in 6-12 months as supply comes down from companies cutting their capex. He believes it is possible for the Fed to raise interest rates later in the year.

Doug’s past picks were Rogers Communication, up 4.3% while they continue to upgrade their services and increase their dividend. Fortis, up 24.41% has done well with earnings from two US acquisitions now coming through. And finally, Cenovus, down 29.42% has been hit along with all other oil stocks but holds good assets with better growth than its peers.

Doug’s top picks are Pembina Pipelines since the stock has recently come off. They still have a strong capex program of $6 Billion and 70% of their assets are contracted which will increase to 80% by 2018. Royal bank increased their dividend 3% when they announced strength in the domestic retail and capital markets segment this quarter and will most likely increase their dividend again later this year. And finally, Cenovus has long term assets and is a low cost producer. Their balance sheet is in good shape and they instituted a drip program with a 3% discount. The dividend is important to management and Doug believes they will maintain it.

For the full video replay, please click here.

dougkee

 

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