Some of the smartest investors take a different view. A contrarian view.
Colin Stewart is one of them. He looks for misunderstood companies or businesses in the penalty box. For Stewart, that is where opportunity lives. His strategy focuses on high-quality companies with high barriers to entry, predictable cash flows, and long-term upside.
In a market dominated by growth stories, Stewart seeks value where others hesitate. He is focused on defense and aerospace, where rising global spending creates multi-year tailwinds, and software companies hit by AI concerns that may now trade below intrinsic value.
Here are six stocks Stewart is watching and why they could offer compelling opportunities. This is not financial advice.
Magellan Aerospace (MAL)
Magellan Aerospace is a Canadian aerospace and defense supplier with customers across North America and Europe. The company provides complex assemblies and solutions to commercial aircraft and engine manufacturers as well as defense and space agencies. Rising defense budgets and strong commercial demand support growth, margins are improving, and the dividend was increased in 2025. The stock trades at a discount to peers, making it an appealing value play.
Telesat (TSAT)
Telesat is a global satellite operator transitioning from geostationary satellites to high-upside low-earth orbit satellites. The company serves broadcast, telecom, and government clients around the world. Its strong relationships with the Canadian government and rising defense spending provide long-term growth opportunities, although the leveraged balance sheet makes this a higher-risk, higher-reward play.
StandardAero (SARO)
StandardAero provides aftermarket services for aerospace engines across commercial, military, and business aviation. Demand is high due to an aging global fleet and supply constraints for new engines. Most revenue comes from long-term contracts, giving the company strong revenue visibility, and the current valuation remains attractive relative to peers.
Altus (AIF)
Altus provides valuation and analytics software to commercial real estate developers and owners, with its Argus platform widely recognized as the industry standard. The stock has been repriced due to AI concerns, but the business remains high-margin and highly recurring. The company plans to return nearly half its market capitalization to shareholders via buybacks in 2026, highlighting strong capital discipline.
Kinaxis (KXS)
Kinaxis provides SaaS-based supply chain software to more than 400 blue-chip customers globally. Its contracts are long-term, retention is high, and EBITDA margins are strong. Recent AI fears caused the stock to drop, but it now trades at a deep discount compared with the quality and growth of the business, presenting a potential opportunity for patient investors.
Thomson Reuters (TRI)
Thomson Reuters offers essential software to legal, corporate, and tax professionals. The company holds top positions in key markets, generates a high proportion of recurring revenue, and has a strong track record of cash flow and shareholder returns. Despite a sharp stock drop amid AI concerns, the company maintains solid free cash flow and a healthy dividend yield.
The Ticker Take
Stewart’s approach shows that value investing is not just about cheap stocks. It is about finding quality companies misunderstood by the market, in sectors with long-term tailwinds, and holding them with conviction. Defense, aerospace, and AI-impacted software may be areas where disciplined investors can capture meaningful upside.
Jon Erlichman is a BNN Bloomberg contributor and the host of Ticker Take on YouTube.
