Ryan Irvine, founder of KeyStone Financial, discusses his investment approach, which is centered on cash-producing businesses.
Ryan Irvine, founder of KeyStone Financial, sat down with the Investing News Network (INN) to talk about his four top picks in the small-cap tech sector. Since last September, each company has returned an average of 50.2 percent.
“We try to simplify the markets for our investors. They’re not just a symbol, but an underlying business,” Irvine said at the Extraordinary Future Conference in Vancouver, British Columbia.
During the event, Irvine shared how his investment approach focuses on cash-producing businesses. “We find eight to 10 stocks in any given year. The main thing for our market is the returns over time,” he said.
Irvine highlighted his top picks within the small-cap tech sector, which he recommended at last year’s Extraordinary Future Conference, with the first being XPEL (NASDAQ:XPEL).
“(It has) reported several quarters of record earnings, and a fourfold increase in earnings since we recommended (it) two years ago,” said Irvine. “That stock is up from US$1.40 to around the US$11.50 range over a two year period, or a 730 percent return.”
XPEL is a company based in San Antonio, Texas, that creates films for vehicles that prevent scratches from dinging or damaging a car.
Along with XPEL, Irvine spoke of an unlikely candidate for the highest-returning company on the TSX over the past decade: Boyd Auto Group (TSX:BYD.UN).
“It’s a definition of an unsexy business; 11 years ago this month it was trading at C$2.30. It trades at C$180 today.” Boyd shares have risen over 40 percent since 2018.
Along with XPEL and Boyd, the two other top-performing recommendations that Irvine made at the conference last year were Viemed (TSX:VMD), which has risen by 53 percent, and Questor Technology (TSXV:QST), which has increased 100 percent over the year.
“If we can find growth at a reasonable price, we will marry those two concepts together,” he said.
Watch the video above for more on what Irvine had to say, and stay tuned for more of our video coverage from the conference. Our full playlist for the event can be found on YouTube.
Don’t forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Dorothy Neufeld, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.