Market Buzz - KeyStone’s Ryan Irvine Talks Small-Cap Value on BNN

This week’s Market Buzz will be in video format courtesy of KeyStone President, Ryan Irvine’s Friday morning appearance on BNN.

Mr. Irvine talk’s small-caps in the current market, briefly updates 3 companies from a previous appearance and take a quick look at 3 other stocks.

Click on the image to view the clip – please note, the clip will play only following 2 commercials.

OR Click here: http://watch.bnn.ca/#clip1051861

Current Market Conditions

Put simply, there are fewer and fewer stocks today that fit our ideal profile (strong cash generation, growth and trading at low relative multiples) than at any time in the past 5 years. Yes, we can find companies with good growth on the top and bottom line and strong balance sheets, but the majority are no longer trading at cheap prices. At present, we are asked to “pay up” for quality. As such, for investors, the margin of safety has decreased on average.

Of course, there are some good companies out there – we just need to be more selective and patient when building our growth stock portfolios. There has been a couple “pockets of strength” we have invested in over the course of 2013 and continue to be supportive of energy service or infrastructure companies with exposure to Western Canada and service or E&P companies with exposure to international energy prices – Brent Crude or LNG.