About excitement (EDIT)

One of the things that make me the most angry about human nature is when I see that Jason Donville says that company X is his top pick and the day after, a bunch of brainless assholes buy without any reflexion. I was like that about one or two years ago. It reminds me how a brainless asshole I was back then. Now, I'm much more mature (36 years old instead of 34).

At least, these people follow Jason Donville you may say. Yeah, you're right, they don't follow some fucking technical analyst who's saying that he sees some fucking pattern in a curve. Some fucking shape of a cunt. 

Some people keep asking me what I think about two stocks in which Donville seems to have a lot of convinction: CRH medical and Patient Home Monitoring.

I've written about Patient Home Monitoring before. So I won't write a lot about it, but let's just write down some important information.

Patient Home Monitoring (PHM.V)
Market cap: 225 million$
EPS last quarter:  -0,06$
EPS 2015 estimates: -0,02$
EPS 2016 estimates: 0,11$ (which seems pretty optimistic)
Actual PE ratio: Negative earnings. Fuck the PE ratio.
Forward PE ratio: 6 (for very optimistic analysts. How could a small cap go from -0,02$ to 0,11$ within a year?)

CRH medical (CRH.TO)
Market cap: 328 million$
EPS last quarter: -0,01$
EPS 2015 estimates: 0,11$
EPS 2016 estimates:  0,20$
Actual PE ratio: Negative earnings. Fuck the PE ratio.
Forward PE ratio: 25 (for very optimistic analysts. How could a small cap go from 0,11$ to 0,20$ within a year?)

Big point: The track record is small for these two companies. More, activity in these companies is pretty recent (about one year). Before, nothing seemed to happen. So, they still have to prove that they can acquire other companies in an accretive way. THEY'RE ABSOLUTELY NOT IN THE SAME LEAGUE AS COUCHE-TARD, CGI OR CONSTELLATION SOFTWARE.

Let's compare with Callidus Capital, a financial company which I like but which is new on the stock market (so, the track record is small there too). Take note that the market doesn't like Callidus because it lends money to distressed companies. However, management is buying back a lot of stock recently and they initiated a 5.5% dividend too.

Callidus Capital (CBL.TO)
Market cap: 603 million$
EPS last quarter: 0,36$
Actual PE ratio: 9
Forward PE ratio: 6,6

I don't see a lot of downside possible with Callidus and I can see that management believes in the stock. The street seems to loathe Callidus at the moment. But I'd buy it before CRH and PHM even if Jason Donville has said that he didn't like Callidus the last time he was on TV (some months before, he said he liked it though..., it looks like he doesn't always take the time to analyze everything he is talking about, just like you and me).