The Globe and Mail attempts to identify Canadian stocks growing their assets by reinvesting profits back into the company in its Thursday, April 2, edition. The Globe's Ian Tam writes in the Number Cruncher column that the reinvestment rate measures the percentage of a company's earnings (after paying out dividends) over the book value of a company's equity. Mr. Tam says companies that reinvest back into the business are expected to have good future growth prospects. For the current column Mr. Tam looked at smaller companies as well as large ones. In making his picks, Mr. Tam considered the trailing reinvestment rate (using trailing earnings per share and trailing dividends). He also considered the forward reinvestment rate (using analysts' earnings estimates and expected dividends). He looked for positive estimate revisions over the latest three-month period. Positive earnings surprises were also considered. Mr. Tam only picked companies with positive quarterly sales momentum. Qualifying companies had to have at least three analysts actively covering the stock. Mr. Tam's recommended stocks are NeuLion, Great Canadian Gaming, Kinaxis, Cipher Pharamaceuticals and Exco Technologies.