This TSX stock could get a 73% boost from Carney and Ford’s steel aid, analyst says

Skip to Content News Archives Economy Defence Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Defence Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Defence Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomeInvestorThis TSX stock could get a 73% boost from Carney and Ford's steel aid, analyst saysThe Week in Stocks: Which stocks and sectors could win from expanded trade, what tax-loss selling candidates could also be buys and moreAn Algoma Steel Group Inc. employee working inside the Sault Ste. Marie plant last April. Photo by PostmediaWhich stocks and sectors could win from expanded trade, what tax-loss selling candidates could also be buys and more from The Week in Stocks.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountStock of the week: Algoma Steel Group Inc.Shares of Algoma Steel Group Inc. (ASTL:TSX) rose 15 per cent on the S&P/TSX composite index after Prime Minister Mark Carney and Ontario Premier Doug Ford announced $5 billion in support for Canada’s beleaguered steel industry, which has been hit with 50 per cent tariffs by the United States. Stifel analyst Ian Gillies said in a note on Oct. 21 that the Sault Ste. Marie-based company in Northern Ontario could be a “key beneficiary” of the fund — some of which had previously been announced — to build a proposed beam mill. The analyst has a buy rating on Algoma and a price target of $11.50 per share. Shares closed Friday at $6.63. “Canada is a significant importer of beam products,” Gillies said, adding that both Ontario and Ottawa had previously indicated interest in helping the company build such a facility as the two governments look to reduce the flow of foreign steel imports into the country. Grants from the fund would benefit the company and the shares the most, Gillies said, since Algoma is already carrying $920 million in debt. Shares of Algoma have a 12-month price target of $7.63 based on the calls of four analysts, according to Bloomberg.This advertisement has not loaded yet, but your article continues below.Keeping scoreCanada's best source for investing news, analysis and insight.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Investor will soon be in your inbox.We encountered an issue signing you up. Please try againThese are the stocks and sectors that could win from expanded trade, says RosenbergDavid Rosenberg of Rosenberg Research & Associates said in a report on Oct. 19 that that the move to expand Canada’s trade footprint is moving from rhetoric to reality, with exports to countries other than the United States up 30 per cent year over year. The federal government is looking to double exports to other countries by 2036 and Rosenberg identified some potential TSX sector and stock winners as Canada branches out. One of his top sector picks is aerospace and defence, with the TSX aerospace and defence index already up 104 per cent since January 2025. Exports to the U.S. are up three per cent but have risen 20 per cent to the rest of the world. “With global defence spending likely to remain elevated, we see this as one of the more durable secular growth themes in the Canadian market,” Rosenberg said. He also likes the prospects for Canadian banks and their international franchises. For example, Bank of Nova Scotia (BNS:TSX) has the strongest exposure to Latin America and meaningful exposure to Europe, while Royal Bank of Canada (RY:TSX) has the “broadest European platform of all” and Bank of Montreal (BMO:TSX) has “significant European capital markets franchise.” He also suggested railways and pipelines as another way to play the export card through Global X Equal Weight Canadian Pipelines Index ETF (PPLN ETF:TSX). It has a dividend yield of approximately 4.5 per cent. “The combination of dependable income, relatively low beta (volatility), and long-term exposure to Canada’s changing export infrastructure makes the sector a valuable source of diversification,” Rosenberg said.This advertisement has not loaded yet, but your article continues below.Why these CIBC tax-loss selling candidates could also be buysMid-October is the time when investors start to pick through their portfolio for tax-loss selling candidates. In the search for shares to sell, “the same process can create opportunity” for buyers, Sid Mokhtari, an analyst at CIBC Capital Markets, said in a report on Oct. 16. Candidates for tax-loss selling can rebound, especially if the company fundamentals are sound and this is an opportunity “for bargain hunters looking for temporarily oversold and mispriced TSX names,” Mokhtari said. CIBC built a list of tax-loss names to sell and potentially repurchase. Among the criteria: shares must have already fallen at least 20 per cent as of the beginning of the tax loss selling period and have recorded an average loss of 1.3 per cent from mid-October to mid-December. Ten of 36 names that fit that bill come from the TSX 60 large cap index and include Telus Inc. (T:TSX), Rogers Communications Inc. (RCI/B:TSX), BCE Inc. (BCE:TSX), Gildan Activewear Inc. (GIL:TSX), Brookfield Corp. (BN:TSX), Intact Financial Corp. (FC:TSX), WSP Global Inc. (WSP:TSX), CAE Inc. (CAE:TSX), Kinross Gold Corp. (K:TSX) and First Quantum Minerals Ltd. (FM:TSX). On the small-cap side, some tax-loss and repurchase names included Cogeco Inc. (CGO:TSX), Pizza Pizza Royalty Corp. (PZA:TSX), MTY Food Group Inc. (MTY:TSX) and Boston Pizza Royalties (BPF/U:TSX). CIBC said it has previously tracked, on average, a 4.15 per cent return when tax-loss candidates are repurchased.This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.Price target hikes, holds and startsTD Cowen analyst Tim James hiked his price target for Mullen Group Ltd. (MLT:TSX) to $36 from $32 on better than expected third quarter earnings. Shares closed Friday at $28.76.ATB Cormark Capital Markets analyst Kalvin Baim started coverage of Parex Resources Inc. (PXT:TSX) with a price target of $35 after a pair of deals made it the largest independent oil producer in Colombia. Shares closed Friday at $30.13.TD Cowen analyst R. Scott Siefers has a buy rating on Citigroup Inc. (CI:NYSE) and a price target of US$140 after the company said China granted regulatory approval for the banking giant to establish a wholly-owned securities venture in China. Shares closed Friday at US$120.62.UBS Global Research analyst Jospeh Spak hiked his price target for Tesla Inc. (TSLA:Nasdaq) to US$425 from US$391 on the belief shares will “mostly trade with evolving views and sentiment on a potential combination with SpaceX.” Shares closed Friday at US$372.22.BMO Capital Markets analyst Jeremy McRea hiked his price target for Spartan Delta Corp. (SDE:TSX) to $18 from $16 on the belief that the market “may still be underappreciating” the scale of the company’s inventory, well economics and infrastructure ownership. Shares closed Friday at $14.87.National Bank of Canada analyst Baltej Sidhu maintained his outperform rating and $20 price target for Polaris Renewable Energy Inc. (PIF:TSX) ahead of third quarter earnings. Shares closed Friday at $13.90.CIBC Capital Markets analyst Tal Woolley started coverage of Loblaw Cos. Ltd.(L:TSX) with a price target of $81 on the belief that the grocery giant is “on the best competitive footing in its history.” Shares closed Friday at $68.67.Every week, the Financial Post breaks down the most interesting developments in the week’s world of investing, from top performers to surprising analyst calls and stocks to have on your radar.Are you an investor looking for stock ideas and market insight? Sign up for the weekly FP Investor Newsletter here to get the best of the Financial Post’s investing news, analysis and expert commentary straight to your inbox.This advertisement has not loaded yet.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.