RBC names the Canadian stocks set to ‘materially outperform’ in the next 12 months — here are 8 on its conviction list

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Royal Bank of Canada has named a raft of stocks it expects to 'materially outperform' over the next 12 months. Its picks are in sectors from health to software.

Royal Bank of Canada named a raft of stocks it expects to "materially outperform" over the next 12 months. Its picks are in sectors from health to software and are named on the bank's list of small-cap conviction list stocks. On average, stocks on RBC's list saw average returns of 7.3% between June 30 and Aug. 15, beating the S & P Toronto Stock Exchange Small Cap Index by 5 percentage points, according to the bank in a research note dated Aug. 17.

Fiber optic sensor manufacturer OpSens is a pick for the bank for SavvyWire, a product used during cardiology procedures, which RBC described as a "significant opportunity." 'Compelling' and 'sustainable' Lumber producer Interfor is on RBC's list for its "compelling" valuation. "On just about every key valuation metric, including on Trend EBITDA and a capacity basis, Interfor is trading at very low levels," the analysts wrote. The bank expects U.

 

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