5 Best Canadian Stocks To Watch For 2014

Don't look now but SunPower (NASDAQ: SPWR  ) has become the best-performing stock in the solar industry. Over the past year, it's been better than fellow U.S.-based companies First Solar (NASDAQ: FSLR  ) and SolarCity (NASDAQ: SCTY  ) , and far better than most Chinese manufacturers. Yingli Green Energy (NYSE: YGE  ) and Trina Solar lag well behind even after recent pops higher; only Canadian Solar (NASDAQ: CSIQ  ) can come close to SunPower's return (and I'll get into the reason for that below).

SPWR Total Return Price data by YCharts

So, why is this stock so hot and can the streak continue? I think so, and there are three big reasons why.

Downstream solar is the dominant paradigm
If you have the choice between risky solar manufacturers and a downstream installer, it's better to choose the installer right now. They can lock in long-term power supply agreements, building a business that acts more like a bond than a volatile stock. SolarCity has used this model with success, and despite the fact that it isn't reporting a profit yet, it's building solar installations that will generate revenue for 20 or more years.

5 Best Canadian Stocks To Watch For 2014: Newmont Mining Corporation(Holding Company)

Newmont Mining Corporation, together with its subsidiaries, engages in the acquisition, exploration, and production of gold and copper properties. The company?s assets or operations are located in the United States, Australia, Peru, Indonesia, Ghana, Canada, New Zealand, and Mexico. As of December 31, 2009, it had proven and probable gold reserves of approximately 93.5 million equity ounces and an aggregate land position of approximately 27,500 square miles. The company was founded in 1916 and is headquartered in Greenwood Village, Colorado.

5 Best Canadian Stocks To Watch For 2014: Progressive Waste Solutions Ltd. (BIN)

Progressive Waste Solutions Ltd. operates as a vertically integrated non-hazardous solid waste management company in North America. It operates through three segments: Canada, the U.S. south, and the U.S. northeast. The company provides waste collection, transfer, recycling, and disposal services to commercial, industrial, municipal, and residential customers in 13 U.S. states, the District of Columbia, and 6 Canadian provinces. It also owns and operates a power generating plant fuelled by landfill gas; and generates and sells methane gas. The company was formerly known as IESI-BFC Ltd. and changed its name to Progressive Waste Solutions Ltd. in May 2011. Progressive Waste Solutions Ltd. was founded in 2001 and is based in Vaughan, Canada.

Advisors' Opinion:

• [By Sean Williams]

  Keep in mind, though, this is a sectorwide problem, not just one affecting Waste Management. Canada's Progressive Waste Solutions (NYSE: BIN  ) delivered an 11% increase in first-quarter revenue but succumbed to a decrease of 0.5% in recycling revenue because of lower realized metal prices. �

Best Tech Companies To Invest In Right Now: Sensata Technologies Holding N.V.(ST)

Sensata Technologies Holding N.V., through its subsidiaries, develops, manufactures, and sells sensors and controls primarily in the Americas, the Asia Pacific, and Europe. It operates in two segments, Sensors and Controls. The Sensors segment offers pressure sensors, force sensors, temperature sensors, speed sensors, position sensors, motor protectors, and thermal and magnetic-hydraulic circuit breakers and switches. Its sensors are used in various applications, such as automotive air-conditioning, braking, transmission, air bag, heavy vehicle off-road, industrial, aerospace, defense, and data/telecom applications, as well as heating, ventilation, and air-conditioning (HVAC) applications. The Controls segment provides bimetal electromechanical controls, thermal and magnetic-hydraulic circuit breakers, power inverters, and interconnection products. This segment also offers application-specific products, including motor and compressor protectors, circuit breakers, semicondu ctor burn-in test sockets, electrical HVAC controls, power inverters, precision switches, and thermostats. Its products are used in heating and air-conditioning systems, refrigerators, aircraft, automobiles, and light industrial system applications in industrial, aerospace, military, commercial, and residential markets. The company offers its products primarily under the Sensata, Klixon, Airpax, and Dimensions brand names. It serves original equipment manufacturers and suppliers in the automotive, industrial, and commercial end-markets; and industrial and commercial manufacturers and suppliers in the climate control, appliance, semiconductor, datacomm, telecommunications, and aerospace industries, as well as motor and compressor suppliers. The company was founded in 1916 and is based in Almelo, the Netherlands. Sensata Technologies Holding N.V. is a subsidiary of Sensata Investment Company S.C.A.

Advisors' Opinion:

• [By Toshiro Hasegawa]

  Commonwealth Bank of Australia (CBA) fell 1.1 percent to A$73.73. Singapore Telecommunications Ltd. (ST) retreated 1.1 percent to S$3.78 today after posting earnings.

5 Best Canadian Stocks To Watch For 2014: Canadian Pacific Railway Limited(CP)

Canadian Pacific Railway Limited, through its subsidiaries, operates as a transcontinental railway providing freight transportation services, logistics solutions, and supply chain expertise in Canada and the United States. It transports bulk commodities, including grain, coal, sulphur, and fertilizers; merchandise freight; finished vehicles and automotive parts; forest products, which include wood pulp, paper, paperboard, newsprint, lumber, panel, and oriented strand board; and industrial and consumer products comprising chemicals, energy, and plastics, as well as mine, metals, and aggregates. The company provides rail and intermodal transportation services over a network of approximately 14,700 miles serving the principal business centers of Canada, from Montreal to Vancouver, British Columbia; and the Midwest and Northeast regions of the United States. Canadian Pacific Railway Limited was founded in 1881 and is headquartered in Calgary, Canada.

Advisors' Opinion:

• [By Matt DiLallo]

  Canada's national tragedy
  Unfortunately, the year was marred by more than just close calls. Earlier this month, a runaway train loaded with oil derailed in a quaint lakeside town in Quebec. An ensuing explosion caused an estimated 1.5 million gallons of oil to catch fire, ultimately killing 47 people. Despite a previously stellar safety record, oil-by-rail has seen several spills this year, including three small spills earlier this year by Canadian Pacific (NYSE: CP  ) . Its largest accident resulted in a spill of 30,000 gallons of oil in Minnesota. However, those spills are really a drop in the bucket when compared with the devastating tragedy in Canada, which is by far the worst oil-by-rail disaster since the industry started relying on the rails because of a lack of pipeline capacity.�

• [By Eric Lam]

  BCE Inc. (BCE) dropped 1.3 percent to a February low, after Macquarie Group Ltd. said that phone shares are vulnerable amid increased regulation. Canadian Pacific Railway Ltd. (CP) lost 4.4 percent to extend losses to a fourth day after its largest shareholder said it will sell part of its stake. WestJet Airlines Ltd. slid 2.3 percent after a measure of customers on its flights declined. A gauge of real estate investment trust fell for a seventh day, the longest streak in three years.

• [By Marshall Hargrave]

  Ackman and Pershing's largest position remains Canadian Pacific Railway (NYSE: CP). Back in 2011, Ackman launched a campaign to oust CP's CEO and install the former CEO of rival railroad company Canadian National. Ackman was successful, and the stock has been on a tear ever since, nearly tripling from his original investment. 

5 Best Canadian Stocks To Watch For 2014: PPL Corporation(PPL)

PPL Corporation, an energy and utility holding company, generates and sells electricity; and delivers natural gas to approximately 5.3 million utility customers primarily in the northeastern and northwestern U.S. The company operates in four segments: Kentucky Regulated, International Regulated, Pennsylvania Regulated, and Supply. The Kentucky Regulated segment engages in the generation, transmission, distribution, and sale of electricity; and the distribution and sale of natural gas to approximately 1.3 million customers in Kentucky, Virginia, and Tennessee. The International Regulated segment owns and operates electricity distribution businesses in the United Kingdom that deliver electricity to 7.7 million customers. The Pennsylvania Regulated segment delivers electricity to approximately 1.4 million customers in eastern and central Pennsylvania. The Supply segment owns and operates power plants to generate electricity using coal, uranium, natural gas, oil, and water res ources; markets and trades electricity and other purchased power to wholesale and retail markets; and acquires and develops domestic generation projects. It controls or owns a portfolio of generation assets of approximately 11,000 megawatts in Montana and Pennsylvania. As of December 31, 2010, the company?s distribution system included 649 substations with a capacity of 25 million kVA, 28,838 circuit miles of overhead lines, and 24,131 cable miles of underground conductors in the United Kingdom. It also operated 377 substations with a capacity of 31 million kVA, 33,122 circuit miles of overhead lines, and 7,368 cable miles of underground conductors in Pennsylvania. The company was founded in 1920 and is headquartered in Allentown, Pennsylvania.

Advisors' Opinion:

• [By Justin Loiseau]

  Oil continues to prove less and less useful for generation as prices head higher, and hydro represents a calculated decision to focus its energy portfolio elsewhere. PPL (NYSE: PPL  ) announced this week that it has successfully completed a $209 million hydroelectric expansion project, increasing output 70% to 60 MW.