Investment Q&A

Q: My question is in regard of the new financing that GSY just took:
(-- goeasy Ltd. (TSX: GSY) (“goeasy” or the “Company”), one of Canada’s leading non-prime consumer lenders, is pleased to announce that it closed its previously announced offering of US$550 million aggregate principal amount of senior unsecured notes due 2028 (the “Notes”). As announced on November 14, 2023, in connection with the offering of the Notes, goeasy also entered into a currency swap agreement (the “Currency Swap”) to reduce the Canadian dollar equivalent cost of borrowing on the Notes to 8.79% per annum. Before giving effect to the Currency Swap, the coupon on the Notes is 9.25% per annum. goeasy will use the proceeds from the sale of the Notes to fund the redemption of all of its outstanding 5.375% senior unsecured notes due 2024 (the “2024 Notes”).)

It seems to me that the cost of borrowing almost doubles that of the notes due for redemption. The amount is also considerable. Is it material to the forecast estimated EPS for 2024?

GoEasy is on a tear these days and I wonder if I just add to an already 4% position size or wait and let go. Buy more on weakness or buy now or stay put?

Thanks in advance and I know position size is personnal but GoEasy will continue to grow hence position size is still very reasonnable.

Q: Many analyst reports on SHOP after investor day. A mixed bag with maybe a leaning to the downside. What do you make of all this? Stock popped a couple of days ago and then gave it back and more Wednesday. From your take on investor day, what were your impressions? Still a top pick?

Q: I have held CSU for several years and would like to add to my position. Given the recent rise in share price would you wait for a pull-back to add to your position?

What would you see as a reasonable entry price?

Thank you,

Mike

Q: I currently have holdings in ATD, CSU, ENB, SLF, and TRI in my TFSA in equal value. Are any of these worth adding to and in what order?

Q: Can you recommend a few other Canadian value stocks like SLF, with a low P/E, good dividend and little or no debt - it would appear that SLF has a net of about $74B in cash.
Thanks!

Q: I'm hoping to take profit from ATD and maybe CSU. My weight in CSU is out of hand but I find it hard to sell that juggernaut. I also have TOI and LMN. I'm happy with my weighting of TOI and i plan to add a small weighting in LMN. I'm underweight in the following: SIS, PBH, SHOP, TD, BEP.UN, ENB, T, SLF, AW.UN. How would you rank these names going forward? Would you recommend swapping any of these for better opportunities that 5i covers or are in the balanced portfolio?

Q: I see tfii is down close to 20% from its recent high. Do you still like it for a 5 year hold/

Q: Any explanation for a couple of down days? Any issues that you see?

Q: Could I get your take on Q3 earnings. Revenues are up but earnings are flat, is this only the "other charges"? Could you explain why they are reporting Q3 2024 earnings, in Dec 2023, pretty much a full year ahead... I haven't seen a company Q report that far from actual calendar Q. How does this work?

Q: Acadian Timber (ADN) has come up on my radar. In your assessment, how safe is it's dividend?

Q: Hi team, I bought WELL.CA back in Nov 2021 in my TFSA to provide some "growth" after viewing in your 5i Growth model portfolio. I am down ~38% and still waiting for the "growth" to take place. I realize it must have been bought in your growth model portfolio back around May 2020 at $2.83 so you're still up 30%. Back in April of this year it looked like there was some promise to the stock but it has since headed to the basement again. You still promote WELL so I'm wondering if I should hang on to this loser (for me) or wait it out? If a sell, what to replace with. I hear rumblings that small caps may take off in 2024? Appreciate your thoughts. Bill

Q: any reason for the move today? Time to start a position at this level?

Q: Looking at Canadian technology stocks. I'm going to assume you figure CSU and SHOP are the mainstays here, so I would like to know how you would rate the following 10 other Cdn technology stocks on a scale of 1-10, for a long term hold, with 10 being a stock you would absolutely want to have in a portfolio and 1 being something of no interest at all. CLS, CTS, DCBO, DSG, GIB.A, KXS, NVEI, OTEX, TCS, VHI. I have included very small company VHI because their recent Q3 looked quite good to me. Also, if there are 1 or 2 that look like very compelling buys at this time, could you indicate which ones please. Thanks.

Q: Hi, Constellation stock is up over 55% YTD and seems to be breaking out, making new highs, defying analysts' expectations. What, in your opinion, is causing such staller performance ? Where do you see the stock, say in 5 years ? Thank You

Q: I don't subscribe so only have the headline from The Economist of Nov. 30. Can anyone post the article?
Probably cause of recent strength.

How a Canadian company became the world’s best acquirer of tech firms
Meet Constellation Software, tech’s Berkshire Hathaway
Constellation Software company logo.

Q: I am looking to redeploy some cash,
Of these three companies, which do you prefer as an investment and why?
Thanks

Q: Hi Peter, Ryan, and Team,

For portfolio balancing purposes, I need to sell one of the above stocks, and am favouring selling TOI and keeping LMN. Would you concur?

Thanks as always for your insight.

Q: According to ycharts.com, Doo has bought and cancelled over 20 million shares since Jan 2019, rough math thats close to 25% of the float. At todays price several of those shares were bought at a higher price of course. I understand management cant see the future and has little control of the share price. In general do companies buy their own shares thinking they are undervalued mainly, does it help prop the price up? In regards to DOO and the p/e, is it fair to say todays p/e is propped up 25% due to the cancellations since 2019?

Q: Current PEs for CSU and Shop seem stratospheric and have me worried. How do they compare to historical PEs for these companies? Do the forward PEs for these two companies justify present share prices?

Jack

Q: Your thoughts please on the executive changes at Savaria?

Thx