The Successful Investor, in the September, 2020, issue, says hold SNC-Lavalin Group Inc., recently $25. The Investor said buy 12 times from April, 2000, to December, 2015, at prices ranging from $12 to $56 (the stock split 3 for 1 in March, 2006). Assuming a $1,000 investment for each of the 12 buys, the $12,000 position is now worth $15,200. SNC is an engineering and construction management company that specializes in large-scale infrastructure projects. It recently announced a restructuring program whereby it will exit lump-sum turnkey construction projects that are often plagued by cost overruns. As well, SNC is narrowing its oil-and-gas-related work to services such as design and consulting, rather than construction. The oil and gas business will also focus on just nine countries (down from 30) and have a work force of just 6,000 (down from 15,000). SNC's hope is that these actions will allow its resource division to turn a profit in 2021. The company had a healthy backlog of $14.59-billion as of June 30, 2020, which should help it rebound alongside the global economy, says the Investor. SNC also has a dividend yield of 0.3 per cent. Hold.
© 2021 Canjex Publishing Ltd. All rights reserved.