American markets finished the past 12 months in positive territory, but you’d never know it from looking at some of the Canadian stocks listed there. Of the 10 largest Canadian public companies by market value that trade primarily outside the country, only two finished in the black.
Resolute Forest Products lost more than half its value as the newsprint maker dealt with a challenging market. Canadian Solar dropped 50% when energy prices fell and solar panel demand dried up. And London-listed Entertainment One slid 34% due to its bombing film division.
McEwen Mining was the best-performing expat listing, with a 184% gain over the past 12 months. It’s a remarkable turnaround for the gold and silver miner, which as recently as February was at risk of losing its NYSE listing because its stock was trading below the exchange’s US$1 minimum share price requirement.
Fortunately, investors who got in on some of the past year’s biggest domestic initial public offerings fared much, much better. The Ontario government’s decision to sell off a portion of Hydro One was 2015’s biggest deal. In a little over six months, the electrical utility has already rewarded investors with an 18% return.
But that gain pales in comparison to that of TMAC Resources. The gold company’s shares have almost doubled since it went public last August. TMAC is focused on developing a mine on Hope Bay, a 1,100-square-kilometre area in Nunavut. The project is a Newmont Mining cast-off, although the U.S. miner holds a significant stake in TMAC. Terry MacGibbon, a familiar name in the mining sector with a solid track record, now leads the company.
Cap (mil, CAD)
EPS Change (%)
|Canadian Solar Inc.||NASDAQ: CSIQ||1,180||4.7||1.1||3.96||-19||-50.7|
|Entertainment One Ltd.||LSE: ETO||1,440||11||1.9||0.3||-||-33.7|
|Gran Tierra Energy Inc.||NYSE: GTE||1,039||-||0.8||-1.22||6.3||-24.8|
|Imax Corp.||NYSE: IMAX||2,903||35.2||3.8||1.21||2,378.30||-4.7|
|Lululemon Athletica Inc.||NASDAQ: LULU||11,149||33.4||7.8||2.52||9||3.8|
|McEwen Mining Inc.||NYSE: MUX||979||30.2||1.8||-0.06||100||184.4|
|Mercer International Inc.||NASDAQ: MERC||730||8||1.3||1.44||-33.3||-30.2|
|Mitel Networks Corp.||NASDAQ: MITL||1,031||39.2||1.4||-0.55||-||-18.1|
|Resolute Forest Products Inc.||NysE: RFP||622||-||0.2||-3.46||74.3||-61.7|
|Tucows Inc.||NASDAQ: TCX||315||19||9.2||1.34||81.3||39.7|
More from the 2016 Investor 500 Market Guide:
How to position your portfolio for the rest of 2016
Risk-tolerant investors will find opportunities over the next 12 months. The rest of us should keep our heads down