Melcor is updated and continues to be rated Strong Buy now at $16.37. And the report continues to indicate that the stock is not without risk. This company is trading at 59% of book value and I believe that buyers will be rewarded as the company has a history of profitability even in most recession conditions.
On Wednesday, the S&P 500 was up 0.1% while Toronto was down 0.5%.
AutoCanada was up 3.7%.
Boston Pizza Royalties Income Fund was down 2.0% despite the fact it reported a decent Q2. Same-store sales were up only modestly but that is not too bad considering the fact that Canada appears to be in a mild recession. I continue to like this for the yield which is now about 6.8% and I expect the distributions to continue rise slowly over the years.
Bombardier has reportedly received another credit down grade. It was already well into junk territory and I have mentioned that this could be a big problem for it. Who wants to order a plane or a train from a company with such a poor credit rating much less give a deposit to such a company?