Investment Q&A

Q: On BNN today Greg Newman stated that Telus would pay out over 100% of free cash flow in dividends this year. This caught me by surprise. Do you agree and if so I wonder how they expect to keep their aggressive program of dividend increases?

Q: Hi. I was wondering what your opinion is about Fortis? Perhaps for the next year or so. Thanks Sean

Q: TBL.nt
I have owned this security for 8 years and in truth, I am probably overweighted in it.

They have never missed a payment and their financials appear strong.

I am wondering what you folks think of it.

Looking forward to seeing Peter this evening on BNN.

THANKS VERY MUCH,
Don

Q: We I currently own vfv in my husbands Rrsp account and have done quite well. Since he has now retired we are slowly repositioning his portfolio from income / growth to more income with safety we are thinking of selling vfv and purchasing a covered call etf that would still provide exposure to the us market. Do you think this is a wise decision,and if so what do you think of the Bmo Zwh? And which one would you purchase at this time-ZWH or ZWH.u? Are there other consideration we should be thinking about? Thank you
Maggie

Q: I'm building a non-registered account with companies that pay out a fairly high dividend (tax efficient for the dividend tax credit) and with an emphasis on growers. In particular companies that have indicated their intention of growing the dividend 5-10% annually and in some cases provided timelines as well. Looking for steady increasing income from this account but also hoping the increasing dividend will provide a floor for the stock prices against increasing interest rates expected over the next while. Time line 5-10 years.

For example, ENB who have indicated 10-12% dividend increases through 2024 (choose this over ENF who has indicated 10% increases through 2019). This should take ENB's dividend payout up to around 9%+ based on the current stock price. I've also included ECI in the account so far.

BEP/BIP don't fit the bill due to the distributions not being tax effective.

Looking for more ideas, perhaps 5-10 that I could consider adding to gain some diversification as well.

Thanks!

Q: I'm aware of the interest rate and housing market sensitivity, but I'm still intrigued by the yield. Are the payouts of such MIC's classified as true dividend income (eligible for the dividend tax credit)?
If you aren't a big fan of these MICs, what would be your top 3 picks for companies with high (as safe as possible) yields (north of 6%)?
Thank you

Q: I am 75 years old, have a portfolio strong in Financials,Oil, Telecomunications and Reits. I need to add fixed income, low risk with good dividend. Have looked at ZDV,CDZ,ZWH, VEE and others but hard to determine risk levels. Need to add 1 full position. Appreciate your thoughts and guidance.A dividend at 4% or higher would be ideal.

W

Q: I was looking to take a position in BB, but I noticed that they have a convertible debenture paying 3.5% and convertible until 2020 at a price of $ 10, I think that this might be a better way to play it, what do you think?.I notice that there is nothing on the ask side, why is that, is it that thinly traded.
Thanks

Q: NWC recently acquired Roadtown Wholesale in BVI. Since Roadtown is private I can't find much info. Sales. margins. Profit. Could you provide what info you have. Thank You

Q: I've read comments on this comp. based on buy-out of CUS; however, when I look at the data I have, this co. is a dog: last 4 qts made no money, negative ROE, high debt levels and business is subject to the price of the commodities it sells. As well, it is selling at a very high value. Comments please.

Q: Crius just raised its distribution again, and implied it will be raised regularly. Do you still consider it "an income stock primarily but with some growth potential"?
Any other thoughts on this name?
Thanks.

Q: I own mostly BE stocks. I've never used a DRIP plan. Do you recommend it? Or is it better to invest the money received in dividends based on sector/stock allocation and valuation considerations? For context my portfolio is growing and I actively invest what I have, so dividend cash usually does not sit idle any significant stretch of time.

Q: Alaris Royalty is down today after what seems like moderately positive recent news. Would this be a good time to add to my half position? Thank you.

Q: Any reason for the recent weakness in the stock price? Their latest update didn't seem to be negative to me. Could you comment please on whether to continue to hold in my income account.
Thank you

Q: I have been considering a purchase of AD, and am not sure if today's drop makes it more attractive or less so - are you aware of any news/actions that would result in the 4%+ price decrease? I am looking at AD more for income than growth, but obviously capital preservation is important. Would you buy AD today, why (or why not) and could you comment on the dividend sustainability.
Thank-you

Q: Hi, I am curious to understand market reaction to ALA's possible merger talks with WGL Gas utility. Some of your comments suggested that ALA shareholders will welcome the news and price could go up resulting in increase of our portfolio holdings in ALA. Market seems to think otherwise, as reflected in 5% drop in ALA price in the morning trading. WGL price , on the other hand shot up 6%, yesterday and even higher today. I understand that WGL is a gas utility, which could result in a lower price multiple for ALA, if there is a merger.Financing concerns, issue of new equity could be another concern, you think? How is it compensated with the highly accretive nature of the transaction ?

I would greatly appreciate your insight.
ALA and IPL are my midstream holdings and added ALA this morning on weakness, for stable income and some growth in future.

Q: Given the approx. 5% drop in ALA's price due to a likely merger, would this be a good buying opportunity? Also, why would this (and other stocks) drop when a merger looks to be accretive long-term unless they take on a ton of debt?

Q: BNN aired an interview with the CEO of this evolving, multifaceted energy, solar etc. company. She said a lot of the right things. With its 7% dividend, international exposure and growth potential, what is your concise up to date overview of this changing consumer energy player? Thank you

Q: Hi,
Happy New Year. Can you comment on the recent appointment of Michael Medline to CEO of Empire Co? I'm interested in his reputation, your thoughts on his ability to execute a turnaround at EMP, and what a realistic timeline might be to steer a large complex retailer back on track? Thx!

Q: Thoughts on this company? buy sell or hold. Thanks