Top Canadian Stocks To Buy For 2014

Canadian oil-sands producers may want to sing "I Want to Be Free" right about now. Between the European Union's proposal of a penalty on oil sands consumed in Europe and the political wrangling surrounding TransCanada's (NYSE: TRP  ) Keystone XL pipeline, producers just can't seem to find a market. Even without the political problems, there are still some massive logistics problems facing Canadian oil sands. Let's take a look at one critical issue with Canadian oil sands and how one U.S. energy play could be a savior.

Sweet Sticky Thing
Even though we call everything "crude oil," every source of crude is different. Crude is a collection of hundreds of different types of molecules that are based on the same basic concept: chains or rings of carbon atoms flanked by hydrogen atoms. Depending on where oil comes from, the percentages of these molecule types change, which changes the physical properties -- and the market value -- of these crudes. In the case of the Canadian oil sands, the product is considered a heavy oil/bitumen crude source. This means it has a much higher percentage of long-chain molecules used for products such as lubricants, residual fuels such as home heating oil, and asphalt for roads and roofs. By contrast, lighter oil types, such as what we're seeing from shale oil in the U.S., have more short-chain molecules and will produce a higher percentage of light products, such as gasoline, kerosene, and jet fuel.�

Top Canadian Stocks To Buy For 2014: Waste Management Inc.(WM)

Waste Management, Inc., through its subsidiaries, provides waste management services to residential, commercial, industrial, and municipal customers in North America. It offers collection, transfer, recycling, and disposal services. The company also owns, develops, and operates waste-to-energy and landfill gas-to-energy facilities in the United States. Its collection services involves in picking up and transporting waste and recyclable materials from where it was generated to a transfer station, material recovery facility, or disposal site; and recycling operations include collection and materials processing, plastics materials recycling, and commodities recycling. In addition, it provides recycling brokerage, which includes managing the marketing of recyclable materials for third parties; and electronic recycling services, such as collection, sorting, and disassembling of discarded computers, communications equipment, and other electronic equipment. Further, the company e ngages in renting and servicing portable restroom facilities to municipalities and commercial customers under the Port-o-Let name; and involves in landfill gas-to-energy operations comprising recovering and processing the methane gas produced naturally by landfills into a renewable energy source, as well as provides street and parking lot sweeping services. Additionally, it offers portable self-storage, fluorescent lamp recycling, and medical waste services for healthcare facilities, pharmacies, and individuals, as well as provides services on behalf of third parties to construct waste facilities. The company was formerly known as USA Waste Services, Inc. and changed its name to Waste Management, Inc. in 1998. Waste Management, Inc. was incorporated in 1987 and is based in Houston, Texas.

Advisors' Opinion:

• [By Tom Konrad]

  The only household name in this year's list, Waste Management is coming back for an encore performance in 2013.  WM is the North American leader in recycling and renewable biogas among waste and environmental services companies.  The industry has been in a cyclical downturn, and WM's well-covered 4.2% dividend makes it a solid anchor for this portfolio of small and micro-cap clean energy stocks.

• [By Sam Collins]

  Houston-based Waste Management Inc. (NYSE: WM) is the largest trash hauling/disposal company in the United States. This company is a model for steady growth with earnings increasing steadily over many years.?

  S&P has a “four-star buy” on WM with a 12-month target of $42. WM pays an annual dividend of $1.36 for a yield of 3.7%.?

  Technically, the stock is in a powerful bull channel with support at $36 and resistance at $39. Buy WM as a long-term growth opportunity.

Top Canadian Stocks To Buy For 2014: Canadian National Railway Company(CNI)

Canadian National Railway Company, together with its subsidiaries, engages in the rail and related transportation business in North America. It provides transportation for various goods, including petroleum and chemicals, grain and fertilizers, coal, metals and minerals, forest products, and intermodal and automotive products. The company operates a network of approximately 20,600 route miles of track that spans Canada and mid-America, from the Atlantic and Pacific oceans to the Gulf of Mexico. It serves the ports of Vancouver, Prince Rupert (British Columbia), Montreal, Halifax, New Orleans, and Mobile (Alabama), as well as metropolitan areas of Toronto, Buffalo, Chicago, Detroit, Duluth (Minnesota)/Superior (Wisconsin), Green Bay (Wisconsin), Minneapolis/St. Paul, Memphis, and Jackson (Mississippi), with connections to various points in North America. The company was founded in 1922 and is headquartered in Montreal, Canada.

Advisors' Opinion:

• [By Vodicka]

  Montreal-based Canadian National Railway (CNI) operates
  about 21,000 route-miles of rail that span all the way from the frozen north down to the Mississippi Delta — nearly enough track to wrap around the entire world. Since Canada is one of the largest countries in the world by geography (second only to Russia with an area of about 4 million square miles), the transportation and freight industries are vital and very lucrative parts of the nation’s economy.

  The reason I’m so bullish on CNI right now is that the company is a large player in transporting commodities, including Canada’s exports of timber and metals and imports of energy from the United States. In Canadian National’s latest earnings report in January, the company stated that Q4 shipments grew for coal, grain and fertilizers and petroleum and chemicals — and this is in spite of bad weather and a five-day strike that really messed with CNI’s schedule. Just imagine how CNI will do in the warmer months as the economy continues to improve.

10 Best Electric Utility Stocks For 2014: PennyMac Mortgage Investment Trust(PMT)

PennyMac Mortgage Investment Trust is based in the United States.

Top Canadian Stocks To Buy For 2014: Banco Latinoamericano de Comercio Exterior S.A. (BLX)

Banco Latinoamericano de Comercio Exterior, S.A. provides trade financing to commercial banks, middle-market companies, and corporations primarily in Latin America and the Caribbean. The company operates in three segments: Commercial, Treasury, and Asset Management. The Commercial segment offers deposits and loans for foreign trade transactions. This segment also provides various products, services, and solutions relating to foreign trade, which include co-financing arrangements, underwriting of syndicated credit facilities, structured trade financing, asset-based financing in the form of factoring, vendor financing and leasing, and other fee-based services, such as electronic clearing services. The Treasury segment offers liquidity management and investment securities activities, including management of interest rate, liquidity, price, and currency risks. The Asset Management segment provides asset management services, including investment advisory services for funds and managed accounts. This division is involved in trading foreign exchange, interest rate swaps, and derivative products. The company was formerly known as Banco Latinoamericano de Exportaciones, S.A. and changed its name to Banco Latinoamericano de Comercio Exterior, S.A. in June 2009. Banco Latinoamericano de Comercio Exterior, S.A. was founded in 1977 and is headquartered in Panama City, the Republic of Panama.

Top Canadian Stocks To Buy For 2014: Research in Motion Limited(RIMM)

Research In Motion Limited (RIM) designs, manufactures, and markets wireless solutions for the worldwide mobile communications market. The company, through the development of integrated hardware, software, and services, provides platforms and solutions for seamless access to time-sensitive information, including email, phone, short messaging service, and Internet and Intranet-based applications and browsing. Its products and services principally comprise the BlackBerry wireless platform, the RIM Wireless Handheld product line, software development tools, and other software and hardware. The company?s BlackBerry smartphones use wireless, push-based technology that delivers data to mobile users? business and consumer applications. Its BlackBerry smartphone portfolio includes BlackBerry Bold series, the BlackBerry Torch, BlackBerry Curve series, the BlackBerry Style, BlackBerry Storm series, the BlackBerry Tour, BlackBerry Pearl series, and the BlackBerry PlayBook tablet. T he company?s BlackBerry enterprise solutions comprise BlackBerry enterprise server, BlackBerry enterprise server express, BlackBerry mobile voice system, and hosted BlackBerry services. Its technology also enables third party developers and manufacturers to enhance their products and services through software development kits, wireless connectivity to data, and third-party support programs. In addition, the company offers BlackBerry technical support services, non-warranty repairs, and nonrecurring engineering services. Further, it provides BlackBerry App World that offers BlackBerry smartphone users an electronic catalogue that aids in the discovery and download/purchase of applications directly from their BlackBerry smartphone. The company markets and sells its BlackBerry wireless solutions primarily through global wireless communications carriers, and third party distribution channels. Research In Motion Limited was founded in 1984 and is headquartered in Waterloo, Canad a.

Advisors' Opinion:

• [By Fitz Gerald]

  Rumors that the BlackBerry maker hired an investment banker to assist in weighing strategic options spurred heavy trading traffic in the weeklies this morning. Shares in RIMM are up 4.15% at $21.35 as of 12:05 pm on the East Coast, after earlier rallying as much as 9.7% to $22.49. Options on Research In Motion are some of the most active today, with volume on the stock approaching 110,000 contracts in early-afternoon trade. Investors are favoring calls, exchanging nearly 2 call options for each single put in play thus far in the session. Fresh prints in weekly calls suggest some strategists are positioning for shares in RIMM to extend gains through the end of this week. Volume in the weeklies is heaviest at the Oct. '07 $22 strike, where more than 8,600 contracts changed hands against previously existing open interest of 2,399 positions. Traders appear to have purchased the majority of the contracts for an average premium of $0.59 each. Call buyers profit if RIMM's shares rally another 5.8% to exceed the average breakeven price of $22.59 at expiration. Buyers outnumbered sellers driving substantial volume in calls at the Oct '07 $24 and $25 strikes, as well. Continued speculation surrounding the beleaguered BlackBerry maker could be just what call buyers need to see the value of their call options appreciate in the next few days. Increases in options implied volatility on the stock, which currently trades 2.38% higher on the day at 81.0%, may also benefit long option holders.

• [By Kevin M. O'Brien]

  Research In Motion (RIMM) will go private. The stock, rightfully so, has been completely crushed in 2011. The negative sentiment surrounding this company makes it hard to envision the stock price recovering anytime soon. Their two-CEO structure has been a major problem. Concerns with Research In Motion are plentiful. This was once a great and innovative company. It actually makes sense to take it private sooner rather than later as the stock price looks to be headed to the single digits unless a buyout could happen, which I do not see taking place.

• [By Chuck Carlson]

  RBC Capital’s Mike Abramsky today reiterates a Sector Perform rating on Research in Motion (RIMM) shares, writing that the company’s fiscal Q2 results for the three months that ended in August likely beat the consensus $4.47 billion revenue estimate and 87 cents EPS estimate, coming in more like $4.5 billion and 90 cents.

  He also thinks Q3′s forecast will beat the consensus $5.3 billion and $1.36, helped by the introduction last month of new BlackBerry models based on “OS 7.”? The devices are succeeding in luring upgrade buyers from existing BlackBerrys, he writes, with his “checks” of 90 different outlets for Verizon Communications (VZ), AT&T (T), Sprint-Nextel (S), and T-Mobile USA showing a 20% sell-out rate across the various models.

  Despite that positive data point, Abramsky believes there’s still risk to RIM’s turnaround.

  “With BB7 uptake in line with our base case scenario QNX handsets may remain pivotal to reversing NA share declines,” he writes, with RIM perhaps having 12% share of North American smartphone shipments at present, down from 15% last quarter, and below Google’s (GOOG) 60% share by platform and Apple’s 25% share.

  “To be more constructive on the shares, we look for signs of North American share recovery, better execution, improved visibility to QNX Smartphones and related innovations (LTE, multi-device BES, Android emulation), or value-creating initiatives.”

  RIM shares today are down 44 cents, or 1.4%, at $31.05.