Stock Picks for December 2025

Stock Picks for December 2025

Today is December 1st, 2025 and it’s time for some new stock picks!

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What is the market outlook as of December 2025?

November was was a bit unusual of a month with stocks going down but coming back towards the end of the month to finish about even, cryptocurrencies going down a fair bit during the month, and gold moving solidly higher. Investor sentiment appears to be good at the moment so despite the incredibly high valuations, the path of least resistance, at least until the end of the year seems to be higher. Having said that, we would not want to buy the entire stock market at this point, just good businesses at good prices.

Ituran Location & Control Ltd. (NASDAQ: ITRN)

My first stock pick is a one that I also picked this time last year, Ituran Location & Control, symbol ITRN on the NASDAQ. Ituran Location and Control is an Israeli company that provides stolen vehicle recovery and tracking services, and markets GPS wireless communications products. Despite the stock being up 33% from this time last year it is still reasonably priced, which is not the case for the entire market and the technology sector in particular.

Despite its relatively small size with a market cap of about 800 million dollars the company is a global leader in its field. It is highly profitable with return on equity exceeding 30% of the last twelve months and it averaged about 29% return on equity over the last 10 years. Yet it trades at a forward price to earnings ratio of just 14 times. This is a good example of a good business trading at a good price. I like it!

Vale SA (NYSE:VALE)

My second stock pick is a a company in the materials sector, Vale SA symbol VALE on the NYSE.  Vale is a Brazilian multinational corporation engaged in metals and mining and one of the largest logistics operators in Brazil. Vale is the largest producer of iron ore and nickel in the world.

Since Covid in 2020, governments around the world used massively stimulative fiscal and monetary policies and the result has been inflation. In my estimation cumulative inflation has been around 50% for prices of goods and services that most people use most of the time. Inflationary environment usually favors 3 sectors of the stock market. Gold and precious metals, materials and energy. Gold and precious metals have done well, especially in the last year or so but materials and especially energy have lagged. It’s either time for energy and materials to catch up or for prices to come down. Continued deficit spending by most G20 governments however almost guarantees that prices will not be coming down so the chances of energy and materials doing well are high. There are other ways to participate in the materials sector but VALE is one of the safer ones being one of the largest operators in the market.

MPLX LP

My third pick is MPLX LP, symbol MPLX on the NYSE. MPLX is a diversified, large-cap master limited partnership formed by Marathon Petroleum Corporation that owns and operates midstream energy infrastructure and logistics assets and provides fuels distribution services.

Despite oil and gas prices being generally low, MPLX has been highly profitable, especially since 202 yet it trades a very reasonable 11.5 times earnings multiple. It has a dividend yield of about 7.3% which is great for income oriented investors. It is however organized as a limited partnership and pays almost all of its earnings in dividends to unitholders and company produces US K1 forms to unitholders making it a little more complex for some investors to own. Overall a good buy though.

Give Us a Call

As always, if you have questions about whether these stocks fit in your portfolio or if you have any other investment-related questions, give us a call! 604-288-2084

Thank you!

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