Q: Hello, With reference to your Model Portfolio changes to trim Stantec's present 2.5% weight to 2%, in Growth portfolio ( start price $68 - current price $77.50), could you elaborate on the rationale, a little more, for a better understanding. If the valuation is stretched, is the current price is expensive, in your opinion ? Also. generally, if you like a company and the sector, the model portfolio will hold a position 2.5-3.5% or higher.
We have noted your recent comments on this company and, decided to initiate a 1.5% position at $78, after the recent pullback, following company's results. We had no infrastructure/consultancy exposure before in our portfolios and have been low on industrial sector Just wondering, if our move makes sense.
Thank You
Q: An analyst on BNN said today that he feels Stantec's share price could double in the next 5 years, as they do a lot of business in the USA, which is spending a lot on infrastructure improvements, which should benefit Stantec. He felt their headcount in 5 years could be roughly where WSP Global's headcount is now, with some of the growth coming from acquisitions. Wondering what you think of Stantec's growth potential over the next 5 years, and also about their debt levels. Looking at the balance sheet, the debt to cash flow looks a little high.
Read AnswerQ: Hello, Both these companies reported solid results, after market yesterday, but their stock is dropping today. What would be a decent price to start a new position ? Thank You
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