Weekly Summary - QIS Blog - June 7, 2019 - June 7th 2019
Weekly Summary - QIS Blog - June 7, 2019
As we head into the summer months, we'll continue to study many small caps in the struggle to find fundamentally undervalued companies. Many micro-caps seem to be focused on revenue growth and fast expansion while profitability takes a back seat. And for those companies which have been producing profitable growth, the P/E multiples at which they trade would have been thought absurd 15 years ago. We seem to have entered a new era in investing and it will take some time before we feel comfortable becoming more active in the fundamental small-cap markets again. That isn't to say there aren't opportunities, but they are just fewer and harder to find.
We are always looking for new investment ideas and are open to researching any promising companies discussed in this forum or presented to us via email or phone call. As always, we have a preference for those stocks which are fundamentally sound, undervalued and underfollowed.
The latest three QIS Capital Updates were issued to all subscribers on May 23, May 14, and May 7, 2019, respectively. These updates included financial results and news from NTG Clarity Networks (NCI:TSX-V), and the latest news from Deer Horn Capital (DHC:CSE).
To receive QIS Capital’s email updates directly in your inbox as they are issued, please sign up at: http://www.smallcaps.ca/investor_signup. We typically send out 10-15 email updates per year.
During the first trading week of June 2019, the TSX Venture index posted a loss while the other two indices tracked had positive weeks. The S&P TSX Venture Composite Index came off by a combined 5.01 points on the week to close on Friday at 596.54. Canada's most tracked market index, the S&P TSX Composite Index, was up on the week, finishing on Friday at 16,230.96 points. In total for the week, the TSX Composite increased by 193.42 points. South of us in the United States, the Dow Jones Industrial Average had a very strong bounce back week after six straight weeks of losses. The Dow Jones added a total of 1,168.90 points on the week, closing on Friday at 25,983.94 points. This marked its highest close since early May 2019.
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