MEILLEURES SUGGESTIONS DE LA SEMAINE

YANNICK PRINCE BIDOUNGA, PRESIDENT & CHIEF INVESTMENT OFFICER

Adidas (ADS GR) by Mark Grammer, Senior Vice
President Investments, Mackenzie Investments.
The stock has performed poorly this year due to
concerns about their U.S. business, particularly
weakness with Taylor Made. We expect TaylorMade
to show moderate improvement this golf season.
Additionally, sales from the World Cup should boost
revenues. We expect Adidas to return to double digit
earnings growth by the end of the year. Finally,
Adidas should gain shares (part de marché) in China.
The stock trades at a significant discount compared
to Nike (discount = le p/e ratio que les investisseurs
paient pour Adidas est moins élevé que le p/e ratio
que les investisseurs paient pour Nike, malgré un
potentiel de croissance des profits similaire).

Michael Kors Holdings (KORS NYSE) by Brian
Huen, Managing Partner, Red Sky Capital Management.
Recent pullback in the stock presents an attractive
entry point for a long-term growth company that will
continue to deliver double-digit bottom line growth
for years to come. Trading at high multiples (p/e
ratio payé par les investisseurs déjà très élevé) for this
stock with company continuing to demonstrate an
ability to deliver solid growth in the U.S. and plenty
of global expansion opportunities. Also lots of room
to grow the brand beyond its core handbag segment
with men’s, shoes and jewellery as future growth
potential opportunities.

United Technologies (UTX NYSE) By Christine
Poole, CEO & Managing Director, GlobeInvest Capital
Management.
United Technologies is a high quality, diversified
industrial company, with 60 percent of its sales from
international markets. Its business units include
Climate, Controls & Security (brands are Carrier,
Chubb), Pratt & Whitney in aircraft engines, Otis in
elevators, Aerospace Systems (Hamilton Sundstrand
and Goodrich) and Sikorsky in helicopters.United
Technology is one of the few global industrial
companies that can offer an integrated offering
within building & industrial systems spanning
building controls, elevators, fire & security and
HVAC. Catalysts(éléments déclencheurs) for United
Technologies include the recovery in commercial
aerospace aftermarket, the stabilization in China &
Europe and the cyclical rebound in U.S. non-
residential construction. The company is uniquely
positioned to capitalize on two megatrends – mass
urbanization and growth in commercial aviation.
Reasonably priced and a consistent dividend grower,
UTX provides a yield of 2.0 percent.
Disclosure: YYY: Recent purchase price $115.60 range in July 2014
SALES FROM THE WORLD CUP
SHOULD BOOST REVENUES. WE
EXPECT ADIDAS TO RETURN TO
DOUBLE DIGIT EARNINGS
GROWTH BY THE END OF THE
YEAR.
Club d’investissement responsable du
Québec
07/06/2014 Édition 1, volume 3

RECOMMANDATIONS DE LA SEMAINE
Cascade Bancorp (CACB NASDAQ) – by Benj Gallander, President, Contra The Heard Investment Letter
Cascade is growing as it took over Home Federal Bancorp as the number of branches (nombre de succursales)
jump to 40 from 28. Regulators would only allow this deal if they felt that Cascade was in fine form. Insiders own
over 38 percent of the stock (Ce qui est vu comme étant quelque chose de positif, puisque ça démontre que le
management de la banque croit au potentiel de croissance des actions et y investit ses épargnes personnelles).
Apple (AAPL NASDAQ) by Zachary Curry, Chief Operating Officer and Portfolio Manager, Davis Rea
The iPhone 6 introduction should be positive given the refresh cycle, as well as potentially having 2 different
screen sizes. AAPL’s higher-end products have traditionally performed well. An iPad refresh could also benefit,
given the rise in use of tablets. The deal with IBM will also help Apple grow in a segment where it’s been almost
absent (enterprise).
The unknown remains all-new product introductions which could further benefit the company- through both
hardware and software. The dividend yield of 2 percent is a benefit.
Last purchased at $73.23 on January 28, 2014

Rogers Communications (RCI.B TSX) – by Barry Schwartz, Chief Investment Officer and Portfolio Manager, Baskin
Financial Services
Rogers offers a compelling opportunity for value investors. The company has at least $5B of assets that could be
unlocked to create shareholder value. While waiting for Rogers’ operations to improve investors can collect a
dividend yield of 4.2 percent.

Sun Life Financial (SLF TSX) – by Lyle Stein, Managing Director, Leon Frazer & Associates
Sun Life Financial is attractively valued relative to banks, with better upside potential in a rising interest rate
environment. They have a large domestic life insurance business, complemented well by offshore activities and
U.S. money manager called MFS they own. Resurgent markets benefit MFS and very good capital position affords
company opportunity to return capital to shareholders (buybacks, dividends). Yield of 3.6 percent is competitive
and dividend increase in 2015 is not out of the question.
Recent purchase at $40.00

Deere & Company (DE NYSE) by Paul Harris, Partner and Portfolio Manager, Avenue Investment Management
We see Deere as well positioned to benefit from long term trends toward increased crop production and food
consumption. The stock is cheap trading at 12 times earnings, has a dividend yield of 2.6 percent and trades at
price to book value of 3.1 times.