Investment Q&A

Q: Can you tell me when the shares come off restriction? Iknow it is Sept. but what day? Also, is there a reasonable limit on how many options the executives of a company should award themselves and the strike price? Thanks.

Q: CPH continues to get punished, down even on big market up days. I'm tempted to take a (big) tax loss but would value your opinion on whether to hold on for a future recovery.

Q: Way down over last little while: good dividend, high ROE, ROI and trades at PE of 6, drug in long-term trial & if successful would mean a huge incr. in scripts, sold off some OTC products to another company. Comments please as I have been watching this one for a couple of years. I own J & J in my USD portfolio already & was thinking of adding this one?

Q: For high risk, what is your view on Profound Medical? It has fallen hard with other small cap. Goodman from Knight is involved financially and at the board level. Other backers include the government. I'm not in a rush with this one and under $1 it looks interesting to me.

Q: Hi Peter and Staff
The value of your service keeps shining through. At least if you sour on a stock we hear about it and if you soured enough on one in your portfolio you would drop it and we would hear about it. Jason Donville is a smart man but having added one of his Top Picks from October( Cipher) ,November (Direct Cash) and December (Biosyvent) and hearing on subsequent shows he dumped Cipher and Direct Cash since, it puts a pale note on following BNN Top Picks.....is RX a sell or hold at this time, I am under water on all 3 large.
Thanks for all you do

Q: Hi 5i team,

At this current time would you side with PLI or NHC as a buy? I currently have CRH, PHM, PLI and CXR all around half positions. I was thinking about selling PLI and increasing my positions in CRH and CXR as they seem to have better stock momentum.

Look forward to hearing your thoughts.

Thanks as always,

Jon

Q: Hello team, What's your opinion on GUD? (has hold pretty well). I was looking at a big gap @ ~ 6.15....do you think it would get fill (if you believe in gaps always getting filled)? Do you think this correction is over?
Thank you!

Q: My understanding is that the courts recently ruled in favour of ENL against Allergan and upheld ENL's patents. I have equity in both companies. What I don't understand is why ENL is down more than 12.5% today and Allergan down only 2.5%. Is ENL a stock worth considering buying more of?

Q: In response to a recent inquiry you indicated Casey Hoyt, one of two new principals at PHM, owns 1.5% of the shares. Canadian Insider shows both he and Michael Moore own 19 million shares each and Max Hoyt owns 4.7 million. Collectively, that totals just under fifteen percent. In addition, according to Bruce Campbell during his Wednesday BNN appearance, they paid $1.46 per share. If these numbers are correct, that certainly provides a huge incentive for the new guys.
Has PHM commenced their share buyback and would their listing application for the TSX be in jeopardy due to price erosion?
Thanks.

Q: I own some CRH and would like your opinion on its current state.
It seems to be dropping a bit more than most. Any fundamental news or are investors just spooked for now? Would you consider it a good hold?

Q: Hi, sorry for adding to the barrage of questions about PHM. But I notice the "forward P/E" ratio according to globe investor is now 5.9. This is very low, but do you have the current number? I guess I'm wondering what type of growth rate is built into this forward P/E number? Or another way to ask: if growth does slow or even stopped and they had to rely on current deals already in place, without buying more companies (with the assumption that they can't use their stock for acquisitions since it's now so low), where would Earning shake out at? Can they be profitable just integrating what they have, or do they need to issue stock and grow aggressively for them to be sustainable? If they can just slow and prosper, and then use earnings to grow later, maybe they are entering "value" territory at this price? But if they need to grow aggressively with stock, they might be in bigger trouble than the retail crowd recognizes?

Q: I am curious about the effect of shares coming off hold after a financing where the share price is now substantially underwater. Are investors who also owned the stock previously likely to sell those shares and take a tax loss as they will still have shares from the financing? While there are obviously other issues, could this be part of the reason for the current weak market for PHM shares? What is likely to happen when the 24,000,000 shares of PHM sold @ $1.50 come off hold in early September?
Any insight you can provide on this concept in general and PHM in particular would be greatly appreciated!!
Rob

Q: At what point do you think we could back the truck up on PHM. I understand that the fundamentals have not really changed and they are progressing forward with their ambitious growth plans. The terrible backdrop of the current market may provide a great buying opportunity?

Q: Hello Peter & 5i team,
What do you think of VRX's (shall we say, controversial)acquisition? Do we assume that Pearson knows what he is doing?
Thanks,
Antoine

Q: When the principals at phm caused the sudden downdraft there seemed to be a similar downturn in other pharma stocks in a similar market space. I tend to assume that this will not change until PHM reports earnings on a similar pace as last quarter and/or the market figures out that the new CEO has been highly successful in the past and is likely to be a good one here. 3 specific questions. 1. Do you agree with my above general assessment. 2. Does the new CEO hold an interest in the company/is some compensation in stock? 3) when does phm report earnings
?

Bryon in Elmira.

Q: Hello Peter
With the fiasco at phm .Would you ever recommend a stock in the future that was run by Michael Dalsin and Roger Greene.Even if fundamentals of the stock was good.

Q: CRHJ just announced that they filed for a NASDAQ listing. What are your thoughts on this?

Q: Hi Peter & Ryan, I'm looking for some suggestions on a solid pick to add in the healthcare sector. I currently hold PHM, GUD & PLI... Something paying a dividend would be great. Also I don't mind if it's a Canadian or US company. I was thinking of Johnson & Johnson, but would love to hear your thoughts. Many thanks. Mario

Q: CPH continues to get punished. I hold a small position. With a forward PE of over 40, it seems CPH is overvalued even at $9.

Q: Can you please comment on the recent earnings release? Also would you consider it a buy, sell, or hold? Thanks