Q: I purchased FSV at $17 and have held it since 2015 in a registered account. I missed selling it at the recent high as I consider it to be a well run company. I notice it has declined even though the latest earnings were ok.
What has been the cause of the decline over the recent months and what is your advice about holding or selling at this time.
What has been the cause of the decline over the recent months and what is your advice about holding or selling at this time.
5i Research Answer:
The momentum here is not great and the macro backdrop for home renovations provides a bit of a headwind for the company. It is well run and we think they will emerge from this slowdown overall but markets will take time to be interested in this again until some of the headwinds dissipate. We are fine with holding it with a long-term outlook but if a tax-loss is available we think an investor can take the loss and return to it in 30 days.