WEDXF - 2019 Top Pick
Our best idea for 2019 is to buy Westaim (TSE: WED; OTC: WEDXF). At today’s price of $1.80, Westaim is trading for ~75% of book value and <2/3 of our assessment of fair value. We believe 2019 should be a year of significant value creation for Westaim as they conclude their strategic process for their insurance company (Houston International Insurance Group, or HIIG) and as their asset manager (Arena) begins to achieve significant operating leverage. Management also has a track record of creating value through opportunistic acquisitions; we have not given them any credit for