How to Profit From Giddy U.S. Consumer

    Plus: Research on the Best Positioned Marijuana Company in Vegas

    Good morning

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    U.S. consumer confidence is near all-time highs.
    We have research on stocks that can help you profit from that enthusiasm, later today in the new Capital Ideas Digest.

    Tackling the “next great frontier” of cannabis -the huge U.S. market.
    Listen to our conversation with Cannex Capital (CSE:CNNX) CEO Anthony Dutton in our new podcast.

    CANADIAN ANALYSTS’ CALLS

    INITIATIONS

    Planet 13 (CSE:PLTH)

    Beacon Securities starts coverage with a "buy" rating and a target of $8 (Canadian). The stock closed Monday at $1.81. The analyst says the company is the best positioned than any other marijuana producer to capitalize on the potential of the Las Vegas and Nevada markets.

    You'll recall we interviewed Planet 13's co-CEO Bob Grosbeck about the massive cannabis entertainment complex the company is building just of the Vegas strip. The stock has doubled since then.

    Vermilion Energy (TSX;VET;NYSE:VET)

    Bank of America Merrill Lynch (BOAML) begins coverage with a "buy" and a target of $54. Vermilion was our cover story last week.

    Encana (TSX:ECA) BOAML also starts coverage of ECA with a "buy" and a target of $19.

    Nevada Copper (TSX:NCU)

    RBC starts coverage with a "speculative buy" rating and a price target of $1, which gives the stock a projected 12-month return of 108%. See more of this research report in today's Digest, later today.

    Spin Master (TSX:TOY)

    Barclays starts coverage with an "overweight" and a target of $65, saying the company has a strong pipeline of entertainment properties and should have higher revenue and earnings compared to peers over the next three years. The stock closed Monday at $52.83.

    Minto Apartment REIT (TSX:MI.UN)

    Desjardins begins coverage with a "buy" and a target of $19, as part of a broad bullish look at Canadian multi-family rental residential REITS.

    Valeura Energy (TSX:VLE) announced its initial production rates from its Yamalik-1 well in Turkey and the market wasn't thrilled sending the stock lower by 15%. But Mackie Research is maintaining a "speculative buy" rating and a price target of $9, giving the shares upside of 151%.

    Centamin (TSX:CEE) RBC re-starts coverage with an "outperform" and a target that implies 46% upside.

    U.S. ANALYSTS’ CALLS

    Microsoft (NASDAQ:MSFT)

    Oppenheimer lifts the target to $127 (U.S.) from $120 on this cover story idea from a few weeks ago.

    Gold Fields (NYSE:GFI)

    RBC re-starts coverage with an "outperform" and a price target that implies 46% gains. Oppenheimer lifts the target to $127 from $120 on this cover story idea from a few weeks ago.

    Americold Realty Trust (NYSE:COLD)

    RBC moves the target to $29 from $26, suggesting 16% upside, and maintains an "outperform".

    FedEx (NYSE:FDX)

    Baird raises the target to $270 from $265 after the company boosted its 2019 EPS estimates.

    STOCKS THAT MAY MOVE

    Enbridge (TSX:ENB;NYSE:ENB) is buying Enbridge Energy Partners (NYSE:EEP), Enbridge Energy Management (NYSE:EEQ) and Enbridge Income Fund (TSX:ENF) for a combined $7.1 billion in order to streamline the company's structure.

    Uni-Select (TSX:UNS) says president and CEO Henry Buckley is leaving the company, efective immediately, and that a special committee of independent board members will oversee a strategic review. Chairman André Courville will be the interim president and CEO. UNS also revised its financial forecast lower.

    Delta 9 Cannabis (TSXV:NINE) says its chief financial ofcer Brent Bottomless passed away while taking part in a bicycle trip in the U.S. Delta 9 controller Jim Lawson will serve as interim CFO.

    Canadian National Railway (TSX:CNR)

    is going to spend $350 million to upgrade its Ontario operations.

    Tilray (NASDAQ:TLRY) has received approval from the U.S. Drug Enforcement Administration agency to export medical cannabis to the U.S. for use in a clinical trial. Tilray and its research partner, the University of California San Diego, believe this is the first time a cannabis product from a Canadian company has been allowed to be exported to the U.S.

    Visa (NYSE:V) and Mastercard (NYSE:MA) and several banks have agreed to pay $6.2 billion (U.S.) to settle a long-running dispute with merchants over fees.

    Marsh & McLennan (NYSE:MMC) is buying U.K. insurance broker Jardine Lloyd Thompson for $5.7 billion.

    Thor Industries (NYSE:THO).

    The recreational vehicle maker is buying German family-owned peer Erwin Hymer Group for about $2.1 billion euros, mostly in cash.

    Google (NASDAQ:GOOGL).

    A couple of deals in which tech giants are teaming up with auto companies. Renault-Nissan and Mitsubishi will use Google's Android operating system in future vehicles.

    Amazon.com (NASDAQ:AMZN) has announced a venture with Audi in which it will deliver and install home electric charging systems for Audi's new electric SUV.

    With files from The Globe and Mail, Reuters and Bloomberg News.

    MARKETS

    TSX and U.S. equity futures are higher, European stock indices are up and the Shanghai Composite bounced of a four-year low as investors shrug of the latest tarifs imposed by the U.S. on China.

    CURRENCIES

    The Canadian dollar is up 0.4% at $76.95 U.S. after stronger than expected Canadian
    manufacturing numbers.

    Bitcoin is higher by 2% $6,375, according to CoinDesk.

    COMMODITIES WHAT WE’RE READING

    West Texas Intermediate is up 1.3% to $69.81 a barrel (U.S.).

    Gold is up slightly at $1,207.60 an ounce.

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