Updating TRANSCANADA CORP., CANADIAN TIRE CORP. and IGM FINANCIAL INC.

Article Excerpt

TRANSCANADA CORP. $32 has started building a gas-fired power plant near Phoenix, Arizona, that should start operating in May 2011. The $500-million U.S. cost is equal to 60% of the $319 million, or $0.51 a share, that TransCanada earned in the three months ended June 30, 2009. TransCanada has a 20-year deal to sell the plant’s power to an Arizona utility. This cuts the project’s risk. Best Buy. CANADIAN TIRE CORP. $58 is the subject of a “mini-tender” offer from a private investment firm that wants to buy 1.28% of the retailer’s class-A non-voting stock at $54.00 a share, or about 7% below the current price. Investors should ignore this offer. Canadian Tire is still a Best Buy. IGM FINANCIAL INC. $42 reported that as of August 31, 2009, its assets under management fell 3.0%, to $114.7 billion from $118.2 billion a year earlier. IGM’s fees rise and fall with the value of the mutual funds and other securities it manages, so…