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EYE ON EQUITIES / / STOCKS THAT SHOULD BE ON YOUR RADAR SCREEN

Tuesday, August 31, 2010

SCOTT ADAMS

BOMBARDIER INC. / (BBD-B-TSX)

Monday's close / $4.52, down 3 cents

Bombardier Inc.'s release of second-quarter financial results Wednesday will provide a better look at how well the company is dealing with the long, slow recovery and what the outlook is for the rest of the fiscal year. The transportation giant is also expected to update investors on how its new C Series transcontinental mid-sized jet is being received.

Upside: David Tyerman of Canaccord Genuity maintains his "buy" recommendation and sees considerable rebound potential. His target price is $7.25.

AGRIUM INC. / (AGU-NYSE)

Monday's close / $69.42 U.S., down 1¢

Agrium Inc. is finalizing a $1-billion takeover of Australian wheat exporter AWB Ltd., and has also indicated it would consider buying Potash Corp.'s nitrogen and phosphate assets if BHP were to shop these assets after a successful takeover of the Canadian potash giant.

Upside: Keith Carpenter of Canaccord Genuity reiterates his "buy" rating and raises his target price to $85 (U.S.) from $80, assuming successful acquisition of AWB by year-end.

AECON GROUP INC. / (ARE-TSX)

Monday's close / $11.86 up 25 cents

Toronto-based Aecon Group Inc. recently announced it had completed its acquisition of Cow Harbour Construction Ltd., a mining and land-reclamation company operating in the oil sands.

Upside: Michael Tupholme of TD Newcrest has adjusted his forecast to reflect the transaction. He has increased his target price from $16.50 to $17.

MOSAID TECHNOLOGIES INC. / (MSD-TSX)

Monday's close / $21.61, down 25 cents

Mosaid Technologies Inc., the pure-play patent licensing company, is coming off a "very successful" year, according to Sean Peasgood of Wellington West Capital Markets Inc. On Friday the Ottawa-based company said first-quarter revenue rose 14 per cent to $18.5-million, exceeding the Street's consensus estimate of $18-million.

Upside: Mr. Peasgood says Mosaid's guidance includes some upside for new licensees. He reiterates his "buy" recommendation with a price target of $27.50.

PLATINUM GROUP LTD. / (PTM-TSX)

Monday's close / $1.87, up 1 cent

Platinum Group Ltd., focused on moving its Western Bushveld Joint Venture platinum deposit to production, last week announced it has acquired the right to purchase surface rights and housing facilities near its 74-per-cent interest in the South African project.

Upside: Raymond James mining analyst Bart Jaworski has increased his rating on Platinum Group to "strong buy" from "outperform" and maintains his $2.70 target.

gam