Topic: Growth Stocks

BOMBARDIER INC. BBD.A $2.13 and BBD.B $1.94

BOMBARDIER INC. (Toronto symbols BBD.A $2.13 and BBD.B $1.94; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.7 billion; Market cap: $3.3 billion; Price-to-sales ratio: 0.2; Dividend suspended in February 2015; TSINetwork Rating: Speculative; www.bombardier.com) is the world’s third-largest maker of commercial aircraft, after Boeing (No. 1) and Airbus (No. 2). It also makes passenger railcars.

The company has delivered its first CSeries passenger jet plane. The client, Swiss Air, has firm orders for 29 more of these planes. Bombardier should complete the deliveries in 2018.

Air Canada has also finalized its order to buy 45 CSeries planes, with options for 30 more.

In all, Bombardier now has firm orders for 370 CSeries planes. If customers exercise their options for 252 more aircraft, the entire order of 622 planes would be worth about $45 billion U.S. at list prices. However, the company typically offers discounts to clients that buy multiple planes.

Bombardier is a hold.

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