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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: For the past while, I have been watching BCI. I have done well with consolidators, I liked their last earnings / growth yet their presentation (my opinion) was not well delivered. Unfortunately, it has not attracted much volume. This morning they have traded 148 shares and are up 3.61%. Do they need a professional or more effective investor relations team?
Thank you
Read Answer Asked by Martin on June 19, 2018
Q: Hi there,

If one were buying NFI and TSGI today - would you add equal weight into both positions, or would you be adding a larger position to TSGI over NFI? In other words, if the combined weighting was 7% between the 2 names, would you do 3.5 in each, 4/3, etc? My investing goal would be to achieve higher growth but still maintain diversification between the two holdings.

Thanks!
Read Answer Asked by Michael on June 19, 2018
Q: I came across this when I was doing research on small cap funds and found this in the portfolio of Mawer New Canada funds. Seems to be a very good on most financial parameters. Seems to have high institutional holdings and has strong growth.
Your views on the future growth outlook. Being a $1 billion company in IT sector with umpteen number of players, do you think it has reached a saturation in Canadian market and may see moderation in growth rates compared to the past?
Would you recommend this stock or do you have better picks in the IT sector?
Read Answer Asked by Sridhar on June 18, 2018
Q: The company looks good and valuation seems reasonable given growth prospects. I've seen your positive comments on it.
However, why are they not paying dividend?
Given recent news regarding Toys R Urs Im wondering if its a low margin business that is purely a volume play. Or is it too dependent on high capex and inventories which lock up cash flows for long periods. Two questions on this
1) What are the net profit margins like in this sector and specifically for Spin master
2) Does Spin Master make good free cash flows and is the FCF growth really good looking back historically? How do you see the future given their international spread
3) Why is the company not paying dividend if it has a stable business with reasonable growth? Is it because of focus on growth over rewarding shareholders?
Read Answer Asked by Sridhar on June 18, 2018