Investment Q&A

Q: I am overweight BAM.A, and investors seem to love this company. BAM invests in utility like companies which are rate sensitive. So the thesis for investing heavily in this company has to be low rate/free money environment for considerable period (at least a decade for the long term holders). What are your thoughts? Thanks.

Q: Retired dividend-income investor. Looking to add to my Consumer sector. I already own PBH, NWC, PLC. I am looking to add one more name, preferably with a dividend > 3%, although dividend security and dividend growth are more important than todays yield.

I have looked at CTC.A, LNF, MG, PRMW and QSR. I have researched each using both fundamentals (beta, P/E, P/BV, P/CF, P/S, ROE) and technicals (higher highs and higher lows, above 200mda), as well as current analyst estimates.

CTC.A comes across as just "ok". LNF has already had an incredible jump recently, so I am hesitant to buy at current prices. MG is not bad, but shows a ROE = -1%. PRMW looks good except for the ROE = -9%. QSR also looks good, showing a ROE = +29% (I can't find P/BV and P/CF anywhere). The bottom line is there doesn't appear to be a stand out obvious buy. I am leaning toward one of MG, PRMW or QSR.

Would you please rank all 5 companies from best to worst for the following (assuming a 3-5 year hold):
a) Dividend security
b) Capital gain potential
c) Total return potential

Thanks for your help. Much appreciated....Steve

Q: What five income stocks do you see as undervalued at this time. How much upside potential in each do you calculate. What is the time frame involved before you believe each reaches its price expectation. Thank you

Q: After the reorganization of BEP.UN, I hold over 8% (for all 3) in a RRIF.
Is it worth trimming down to 1 or 2 of these and which would be better for long term hold in a RIFF?
The portfolio is otherwise fairly balanced but leaning overweight in financials and solid Dividend payers.
Thanks for the continuing advice!
Peter

Q: Does the conversion to an income trust affect shareholders with regard to dividends and potential dividend increases/decreases going forward. Will this move be an overall benefit to shareholders of the new entity.

Q: Retired dividend-income investor. I hold CDZ for the long term and currently have a 75% position, topping up regularly to achieve a full position by year end. When originally purchased the yield was in the range of 5.4%, now it is 3.7% due to some of the constituent dividends being suspended. I believe CDZ is reconstituted annually. When this happens, what will happen with the dividend? With the potential changes to the underlying securities, will the CDZ methodology cause the dividend to increase somewhat?

I am "ok" with the current dividend. I am just wondering if I will get a bit of a bonus when the ETF is reconstituted?

Thanks for your help...Steve

Q: Between these 2 ETF which one would you say is a better hold moving fowarde.

Q: Looking to deploy excess cash, mainly for dividends and some growth. I have room in both utilities and telecom sectors. If I compare the Utilities and Telecoms listed, it would seem from current valuations (Fwd PE versus historical PE average) and looking at share appreciation the past 5 years ( history of generating shareholder value) , 5yr dividend growth rates and expected revenue growth, the utilities group easily wins on all counts. Based on this analysis, I should be buying from my list of utilities before I start buying from the Telecom list. Do you agree with my conclusion? Should I add any additional analysis? Thank-you.

Q: Please give me your opinion of EvertzTechnologies - is it a buy, hold or sell - is the dividend still safe after it has been cut - thanks for your reply.

Q: Hi
If you had to put together a shopping list of solid long term dividend payers that you could pick-up if things went on sale again in the coming quarters, what would you buy? I'd want yields north of 7% so it would have to be a good sale. :)
And if you wanted to do it in one swoop with an ETF, would one of these be suitable: XEI or XDIV?
Thank you.

Q: Hello
As reported today on Globe and Mail Nutrien had the highest increase in short selling at 72.5%.
Do you still recommend this stock and what are your views on NTR going forward?
Thanks

Q: Wanting to buy a company in this sector.
Do you think its a good idea?
What would your two top choices be?

Thanks

Q: In your opinion which company would provide the best return over the next 5 years if Biden becomes president and the Democrats take over both houses?

Q: Any reason you can see for the recent fall in BCE stock price?

Q: Wondering about getting returns from non-tech companies, since I have plenty of tech. The world largely still runs on oil. Of course Russia and Saudi Arabia can swing the market, as we have seen. I have some Suncor (SU) and Exxon (XOM). Is Exxon's (XOM) dividend safe? Any wild guesses as for how many quarters out an upswing for energy might be? Thoughts on adding to XOM or SU? I feel like there is potential there that might be better than say Loblaws or other basics.
I appreciate any insights.

Q: Hello Peter, I understand that Power Corp has made nothing for investors for the past decade (apart from decent dividends). And Great-West Lifeco not much better. Recognizing that Power owns a good share of GWO, which would you prefer as an income investor going forward: POW, with an extra bit of yield and some interests other than GWO, or just GWO as a pure play on the lifeco? Thanks!

Q: Do you see any reasonable prospect that any of the above will rebound or should I just sell and move on?

Thanks for your great service, Paul.

Q: td webroker alert on Wednesday show ala as a long term sell with a $10.00 target price. Is this justified

Q: Could you provide an update on your thoughts on DIV? Your comments in May/June seemed a little negative/conservative and the price hasn't really moved since the drop in March.
Thanks for your help

Q: Given the recent corporate actions, I now own BEPC (100 shares) in addition to the BEP.UN shares (400 shares) I have owned previously. Going forward, which is the better investment to add to in my Canadian non-registered taxable account, BEP.UN or BEPC? Can you provide a brief rationale for your choice? Does it make sense to sell off the less attractive stock and add those proceeds to the more attractive position, or just carry both of them? Thanks.