15 Canadian Stocks that Would Welcome Weakening Loonie: Investment Idea of the Day

The Canadian dollar touched the lowest in 5 1/2 years versus USD due to the slump in price of nation’s biggest export, crude oil. With the Federal Reserve remaining on track to raise interest rates this year as U.S economy is accelerating and Bank of Canada’s governor pointing to low growth due to oil’s decline, USD would continue to appreciate against CAD in the near term.

Today, we have picked 15 stocks across sectors of Canada that would benefit from weakening loonie and enhance top line results in the coming period by translating sales generated in terms of USD into CAD. These stocks have derived significant portion (>55.0%) of their revenues from U.S. during the latest reported quarter. During the past one month, majority of the stocks have registered price gains with daily average trading volumes in excess of 100,000

Source: Bloomberg

Company Description

Parkit Enterprise Inc (TSXV: PKT)
Parkit Enterprise Inc. acquires diversified portfolios of income producing parking facilities. The company is actively seeking to acquire additional income producing parking facilities across North America.

Epsilon Energy Ltd/Canada (TSX: EPS)
Epsilon Energy Limited acquires, explores, develops, and produces oil and natural gas.

Absolute Software Corp (TSX: ABT)
Absolute Software Corporation has developed and markets a software-based monitoring, tracking, theft deterrence and theft recovery service. The company’s CompuTrace Theft Recovery locates and recovers lost and stolen personal computers. Absolute’s customers include large and medium sized companies and several United States and Canadian government agencies.

Photon Control Inc (TSXV: PHO)
Photon Control Inc. develops products which incorporate switches and sensors made from polymer optical fibers and plastic components. The company has developed the core technology for its initial medical applications. Photon Control’s products include industrial explosion-proof switches and fiber optic products for the medical market.

Just Energy Group Inc (TSX: JE)
Just Energy Group, Inc. sells natural gas and/or electricity to residential and commercial customers under long-term fixed-price and price-protected contracts. The company also offers its customers the option to receive all or part of their electricity and natural gas from renewable sources. Just Energy operates in Canada and the United States.

Xtreme Drilling & Coil Services Corp (TSX: XDC)
Xtreme Drilling and Coil Services Corp. operate as a private drilling contractor that uses coiled tubing drilling rigs. The company has hired third parties under contract to build these units which are used by oil and natural gas exploration and development companies in both Canada and the United States.

Ainsworth Lumber Co Ltd (TSX: ANS)
Ainsworth Lumber Co. Ltd. manufactures forest products, including specialty plywood, veneer, and wood chips. The company conducts operations in British Columbia and Alberta, Canada. Ainsworth’s products are distributed in markets throughout North America, Japan, the Pacific Rim, Europe, and South America.

AirBoss of America Corp (TSX: BOS)
AirBoss of America Corp. develops, manufactures, and sells proprietary rubber based products. The company engineers and molds specialty rubber-based products for the transportation, defense and industrial markets as well as for its own proprietary designs of military protective wear.

Symbility Solutions Inc (TSXV: SY)
Symbility Solutions, Inc. is a software company dedicated to developing applications for the insurance industry in North America and Europe. The company’s subsidiairies, provides software solution for the adjudication of health and dental claims and automates property insurance claims through its complementary components.

Extendicare Inc (TSX: EXE)
Extendicare Inc. provides post-acute and long-term senior care services. The company has a network of owned and operated health care centers that provide skilled nursing care, rehabilitative therapies, and home health care services.

Superior Plus Corp (TSX: SPB)
Superior Plus Corporation distributes propane, supplies chemicals and technology, and produces potassium products. The company also distributes wall and ceilings construction products, and provides fixed-price natural gas supply services.

Progressive Waste Solutions Ltd (TSX: BIN)
Progressive Waste Solutions Ltd. provides non-hazardous solid waste collection and landfill disposal services for commercial, industrial and residential customers in British Columbia, Alberta, Manitoba, Ontario and Quebec. The company also serves customers in the southern and northeastern regions of the United States.

Mood Media Corp (TSX: MM)
Mood Media Corp. offers digital music services. The company operates an Internet radio network for emerging recording artists; offers videos by emerging artists;distributes music by emerging artists through retail stores; sells magazine advertising; and licenses music.

Interfor Corp (TSX: IFP)
Interfor Corporation harvests timber and manufactures and markets lumber products, logs, and wood chips. The company has logging operations and sawmills in Western Canada.

Avigilon Corp (TSX: AVO)
Avigilon Corporation manufactures surveillance equipment. The company produces high definition, network-based video surveillance systems and equipment for video capture, transmission, recording, and playback.