As both U.S. presidential candidates have vowed to increase infrastructure spending, the Canadian stocks on our list would likely benefit
SmallCapPower | November 8, 2016: Both Hillary Clinton and Donald Trump have pledged to spend vast amounts on infrastructure, with Hillary committing $275 billion over five years, and Donald Trump proposing $500 billion-$1 trillion over five years on roads, bridges, broadband and other infrastructure projects. If current trade deals are left in place, the infrastructure policies of both candidates could benefit the Canadian stocks on our list today, which provide infrastructure-based products or services.
Rocky Mountain Dealerships Inc. (TSE:RME) – $8.91
Heavy Machinery & Vehicles
Rocky Mountain Dealerships Inc. is an agriculture equipment dealer with a network of full-service agriculture and industrial equipment stores across the Canadian Prairie Provinces. The Company operates in two segments: agriculture segment and industrial segment. The agriculture segment primarily includes sales of agricultural equipment, parts and services, and the industrial segment includes sales of industrial equipment, parts and services.
- Market Cap: $172.71(mm)
- Total Revenue (LTM, Default, Millions): $963.61
- YTD Price PCT Change: 42.79%
- EV/Revenue: 0.3x
Distinct Infrastructure Group Inc. (CVE:DUG) – $1.26
Construction & Engineering
Distinct Infrastructure Group Inc., formerly QE2 Acquisition Corp., is a utility and telecom infrastructure contractor with capabilities in design, engineering, construction, service and maintenance, and materials management. The Company focuses on the Ontario and Alberta economic landscape of opportunity in infrastructure, utilities and telecommunication. Its services include aerial construction, underground construction, technical services and 3rd party material management. Its aerial construction services include pole installation/removal, new stand placement, cable removal and strapping, and lash/overlash cabling.
- Market Cap: $33.76(mm)
- Total Revenue (LTM, Default, Millions): $48.71
- YTD Price PCT Change: 32.63%
- EV/Revenue: 1.5x
Tree Island Steel Ltd. (TSE:TSL) – $4.21
Iron & Steel
Tree Island Steel Ltd. is a Canada-based manufacturer and supplier of wire products for a range of applications. The Company is engaged in making products from steel wire for a range of customers for industrial, construction, agricultural and specialty applications. The Company’s products include galvanized wire, bright wire, an array of fasteners, including packaged, collated and bulk nails, stucco reinforcing products, concrete reinforcing mesh, fencing, and other fabricated wire products.
- Market Cap: $130.86(mm)
- Total Revenue (LTM, Default, Millions): $239.62
- YTD Price PCT Change: 20.63%
- EV/Revenue: 0.8x
Reko International Group Inc. (CVE:REK) – $4.15
Industrial Machinery & Equipment
Reko International Group Inc. designs and manufactures a range of engineered products and services for original equipment manufacturers (OEMs) and their Tier 1 suppliers in various sectors, such as rail equipment, oil and gas distribution, mining, military, capital equipment and automotive. These products include custom machining of castings and assemblies to high precision tolerances, specialty machines and lean cell factory automation, compression molds, hydroform dies, plastic injection molds, fixtures and gauges.
- Market Cap: $26.74(mm)
- Total Revenue (LTM, Default, Millions): $50.60
- YTD Price PCT Change: 7.79%
- EV/Revenue: 0.7x