As I write this early in Wednesday trading, the election result has stocks booming, with all indexes up 1.8% or more. Yesterday’s win’s biggest beneficiary, Donald J. Trump, is worth a few more dollars today (on paper), as Trump Media & Technology Group (DJT) stock is up 17%.
Tuesday's trading had 156 52-week highs compared to 42 52-week lows. Of the 42 lows, three Canadian NYSE-listed stocks were among the casualties.
Being Canadian, I wanted to evaluate whether any of them is worth owning long-term by investors on either side of the U.S./Canada border.
Canada Goose Holdings
According to data from Stocktwits, Canada Goose Holdings (GOOS) has the most followers (8,874) of the three Canadian stocks. The company represents the consumer cyclical sector and is best known for its winter parkas.
According to Stocktwits’ Trend With No Friends newsletter, the case against GOOS stock in the near term is that stocks moving lower with a large following are more likely to remain in freefall as more people pile on the short position. Fair enough.
Canada Goose stock hit its 8th 52-week low of the past 12 months at $9.32. That also happens to be its 2-year, 3-year, and 5-year low. Long-time shareholders are hurting.
The company itself hasn’t done very well as a business or a stock in recent times, which in September led to its removal from the S&P/TSX Composite Index, Canada’s broad-market index, like the S&P 500.
Canada Goose reports Q2 2025 results tomorrow, Nov. 7, before the markets open. According to S&P Global Market Intelligence, it’s expected to generate CAD$257.1 million in revenue and a CAD$0.05 a share loss. For all of 2025, the consensus is for $1.34 billion in sales and CAD$1.09 a share in earnings. The EPS estimate in U.S. dollars in 2025 is $0.79. It trades at 12.5x this estimate and 11.3x the 2026 estimate of $0.88. At its all-time high in November 2018, above $70, it traded around 65x its forward earnings.
Its business has seen sales growth and decent operating margins since fiscal 2021 (March year-end). Aggressive investors might want to make a speculative bet on its stock.
This is the Jan. 16/2026 $15 call expiring in 436 days. The ask price of $1.00 is a reasonable 6.7% of the strike price. You can double your money on the call if it appreciates by $2.98 (30%) and you sell before Jan. 2026.
BCE
According to Stocktwits, BCE (BCE) has 2,013 followers. It is Canada’s largest telecommunications company, with more than 22 million subscribers for internet, TV, and wireless services.
BCE stock hit its 20th 52-week low of the past 12 months on Wednesday morning at $28.26. That’s its 10-year low.
The company was a dividend darling in Canada, raising its dividend for 16 consecutive years. However, it announced a multi-billion-dollar acquisition on Nov. 4, which will pause dividend growth in 2025 to help fund the purchase.
Before I get into the details of the buy, it made a big splash in September when it sold its 37.5% stake in Maple Leaf Sports and Entertainment Ltd., the owners of several sports teams, including the NHL’s Toronto Maple Leafs and NBA’s Toronto Raptors, for CAD$4.7 billion ($3.38 billion).
At the time, BCE said it would use the proceeds to pay down debt, which had plagued it in recent years. As of June 30, it had CAD$37.11 billion ($26.65 billion) in net debt on its balance sheet.
Less than two months after the sale, it announced on Monday that it would acquire Ziply Fiber, a Seattle-based telecommunications company, for $3.6 billion. With 1.3 million subscribers in Washington, Oregon, Idaho, and Montana, it plans to grow to 3.0 million by 2028.
The company believes the swap of assets, selling a hard-to-value sports business for something in an industry it knows intimately, will generate far greater value for shareholders in the long term.
There are arguments to be made on both sides of the issue. However, one thing that hasn’t changed is the company’s burdensome net debt, which accounts for 103% of its market cap.
BCE is dead money for the foreseeable future.
Algonquin Power & Utilities
Algonquin Power & Utilities (AQN) traded at an all-time high of $17.86 on Feb. 15, 2021. It now is a penny stock under $5. It hit its 14th 52-week low on Tuesday and 15th early in Wednesday’s trading at $4.67. That’s also a 10-year low.
Algonquin is based in Oakville, Ontario, an affluent city on the outskirts of Toronto. It owns a collection of power generation assets that includes rate-regulated natural gas, water, and electricity generation, as well as transmission and distribution utility services to over one million customers in the U.S. and Canada.
The utility’s troubles began when it tried to acquire the Kentucky Power Co. from American Electric Power (AEP) for $2.6 billion. Initially announced in October 2021 when interest rates were lower and lenders were more accommodating, the deal had become a noose around Algonquin’s neck by the spring of 2023. With its balance sheet struggling, both parties agreed to terminate the acquisition/sale.
Several asset sales later—the biggest being the August sale announcement of its renewable energy business for $2.5 billion—it is trying to make a go of it as a regulated pure-play utility.
Of the nine analysts that cover its stock, only one rates it a Buy, with a median target price of $5.50. Trading at less than 9x its 2024 earnings per share estimate of $0.53, it’s tempting to consider it a value play.
While it might turn out that way in 18-24 months, there are better alternatives in the utility space on both sides of the border.
On the date of publication, Will Ashworth did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
