Q: In one answer to someone's question, you rated CAR.UN a sell. I have a full position in a TFSA as a long term hold and am down 18%. Should I continue to own, add more as it goes down, or sell. What is the health of this company especially if inflation/stagflation and interest rates get worse going forward. What is your 5 year outlook on this name? Thanks!
5i Research Answer:
We have comments also posted today. With its recent larger than average decline, we are OK with it as a HOLD, but as noted in the prior answer are fine with a tax loss/re-buy. Over five years, much will depend on housing and interest rates. We would expect it to show about a 6% to 8% annual gain, in a normal market environment. It does have the potential to raise its distribution.