Q: Hello Team 5i,
You mention the following for Algonquin Power in your Nov. 19 Tax loss screener :
‘We don’t think investors should try to catch the bottom in AQN at any price until the company manages to reduce its debt levels to conservative levels.’
Apparently, the company is trying to sell its renewables to raise money and reduce its debt load. The question becomes, in this post Trump world where renewables have suddenly become a buzz word for undesirable assets, how will the company be able to raise a reasonable amount to achieve its goals? And if it can’t what will ‘any price’ will be for you ?
As always, thanks for your valuable insight.
Adel
You mention the following for Algonquin Power in your Nov. 19 Tax loss screener :
‘We don’t think investors should try to catch the bottom in AQN at any price until the company manages to reduce its debt levels to conservative levels.’
Apparently, the company is trying to sell its renewables to raise money and reduce its debt load. The question becomes, in this post Trump world where renewables have suddenly become a buzz word for undesirable assets, how will the company be able to raise a reasonable amount to achieve its goals? And if it can’t what will ‘any price’ will be for you ?
As always, thanks for your valuable insight.
Adel
Q: Could you please comment on the third-quarter results for this company? Have they announced what they will do with the cash that they will receive from the renewable business when it closes? What do you think of the prospects for this company?
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NextEra Energy Inc. (NEE)
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Brookfield Renewable Partners L.P. (BEP.UN)
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Algonquin Power & Utilities Corp. (AQN)
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Capital Power Corporation (CPX)
Q: Where do you think this might bottom out? I sold half around 11. It’s in my rif so no tax issue. Just blow it out??