Report by Veritas Investment Research

Analysts at Veritas provide their best ideas for taking advantage of volatile markets. This series of reports features: 1) Veritas President and CEO Anthony Scilipoti providing an overview of why he is more bullish on Canada than the US. 2) Martin Pradier (Materials Analyst) on why he favours gold with Agnico Eagle Mines his preferred play. 2) Darryl McCoubrey (Energy) discusses why he favours pipeline infrastructure with Enbridge and TC Energy his best ideas. 3) Ben Butler (Utilities) looks at valuations in the sector with Fortis his top pick. 4) Liam Gallagher (Communications & IT) on why Quebecor is the best positioned operationally and from a valuation perspective. 5) Shalabh Garg (REITs) covers long-term interest rate trends and why he believes Chartwell Retirement Residences and Granite REIT are best positioned to take advantage of market dislocations.

Communications

Report by Veritas Investment Research

The case for a major comeback - already disappointed that Rogers didn’t take CCA out, the market is terrified management will embark on a long, expensive wireless network build-out. Veritas do not believe that this will be the case. Shaw and Quebecor have already proven how expensive it is even to try, and there are better ways to build out a wireless business without destroying $1bn+ in capital. CCA’s shares are discounted by 2-5 turns of EBITDA vs. peers. CCA only needs to be rational with its wireless expansion for shareholders to reap attractive returns - a very low hurdle. TP C$130 (60% upside).