|Teck Resources Limited - Teck.b.t is a significant producer of copper, the second largest seaborne exporter of steelmaking coal and the third largest producer of zinc concentrate. The Company also produces molybdenum and specialty metals.|
Teck has interests in oil sands development, 13 mines in Canada, the USA, Chile and Peru as well as a metallurgical complex in Canada.
The Globe and Mail reports in its Wednesday edition that the Brazilian billionaire partners at private-equity firm 3G Capital have often been compared with Warren Buffett's Berkshire Hathaway. Globe columnist John Reese writes that the two big investors have joined for some high-profile deals, notably the acquisition of H.J. Heinz and the subsequent merger of Heinz and Kraft. However, while Berkshire Hathaway's portfolio is weighted heavily toward stocks of consumer goods companies and technology, 3G's include a heavy dose of energy, basic materials and telcos. The 3G stock portfolio appears to be a bullish bet on industrial growth and production, while Berkshire's holdings are a play on consumer confidence, heavy on banks, consumer brands, and airlines. By looking at the holdings of 3G and Berkshire we can find core themes that both firms are following. Teck Resources fits into the strategy of David Dreman, a contrarian investor who tries to identify stocks that have been overlooked. Teck's debt-to-equity ratio of 47.8 per cent is far lower than its industry's 149.8 per cent, and Teck's earnings per share have been growing faster over the past six months, at 203 per cent, than the S&P, at 5.6 per cent.