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Technology Stocks : Wi-LAN Inc. (T.WIN) -- Ignore unavailable to you. Want to Upgrade?


To: Uptickin who wrote (495)8/8/1999 12:45:00 PM
From: Uptickin  Respond to of 16863
 
Look to smaller caps for excellence

August 7, 1999
Sonita Horvitch
Financial Post

Investors in the Canadian equity market will find some good opportunities among smaller- and mid-cap growth stocks, many of which are still trading at reasonable valuations, says Gerry Brockelsby, a partner in Marquest Investment Counsel Inc. of Toronto.

"It will be these stocks that will outperform the market," says Mr. Brockelsby, who called for a rebound in the "much-neglected smaller-cap sector" in the column of May 8.

He remains positive on the outlook for North American equity and bond markets. He considers there to be no inflation problem; therefore, North American interest rates are unlikely to go higher.

"The U.S. economy is likely to slow in the second half of 1999, which will give the anxious bond market a reprieve."

A growth manager, Mr. Brockelsby likes companies that dominate their niche, produce steady earnings growth and trade at multiples below those earnings growth rates.
Turning to other mid- and smaller-cap stocks, Mr. Brockelsby has selected:

- Wi-Lan Inc. (WIN/ASE) $8.25 ($12.15-$1.18). Based in Calgary, this company develops wireless data communications products and provides infrastructure and high-speed networking equipment. The application of its technology is very broadly based, says Mr. Brockelsby.

Wi-Lan's can hold its own in a competitive market, he says. There will be considerable demand for its products from original equipment manufacturers.

"From an investor's standpoint, there is a huge market for this product and the demand continues to explode."

Happy investing,

Uptickin