Investment Q&A

Q: 10:55 AM 12/19/2020
According to the Globe&Mail Dec 18, 2020 the Muskrat Falls hydroelectric project "With full power delayed until September, 2021, the project isn’t generating revenue from ratepayers and payments are coming due."

Both Fortis and Emera will have access to this electricity when it arrives [likely delayed]. How will this affect their businesses? Will they buy electricity and sell it locally and will they transmit to Northeastern US states?

Can or will they charge for transmission through the two undersea cables?

Can we expect this to be a positive event for the two utilities? Is this likely to increase their businesses and income and profit and dividends. I would appreciate your analysis on what to expect for Fortis and Emera
Thank you......... Paul K

Q: Follow up question. Who purchased most of the 2nd Lien secured note?

Q: Earlier in December the company raised $17 million of new convertible debt in a private placement at a 12 per-cent interest rate. At what price per share is this debt convertible? Other observations on this Co.
Del

Q: With resources starting to recover is it worth hanging onto PEA? What are your thoughts on this company.

Q: I would like to get your opinion of this company and its potential growth prospect? What do you think of the substantial bid offer for the class B share? What is the difference between class A and class B shares? Do you think the dividends is sustainable?

Thanks

Q: Does SCL:TSX have any prospects for improvement during the next two years? How much of the company is owned by "insiders" and are they buying or selling?

Q: I hold IPL with a large loss position. Your thoughts on selling and moving the proceeds into PPL?
Thanks
Great work!

Q: It appears that natural gas is the coming into favor over oil in Western canada. ie power plants in Alta and the lng pipeline to Kitimat. Your thoughts on the stocks that will have upside in this sector. Arx, bir, aav, key, tou, aav, come to mind. Your thoughts

Q: Re Mike's question on NPI's sudden falloff today. Apparently the CEO or founder - not clear which - sold $654 million worth of his shares in a bought deal.
https://twitter.com/BarrySchwartzBW/status/1338969613716107274

Q: I sold ENB for tax loss purposes. My interest is capital gains and a good dividend. Should I replace the sold holding with ENB, KMI, PPL, or TRP? I like both ENB and TRP but find it hard to choose between the two. What would you recommend among the four and why?

Q: What do you think of Tamarack Valley Energy's latest acquisition of Clearwater assets?
The market seems to like it as I thought the stock price would drop down to the private placement at 1.15/share.

Thanks

Walt

Q: Hello 5i. I am an income investor looking to invest in the energy sector. Which would be your preference between Topaz and Keyera right now, and why? Thanks as always for the great service you provide.

Q: What is your view of this company as a small cap growth opportunity in the energy sector? The management team has a track record through various "Spartan" companies over the years, and the company seems to have low debt levels and other decent metrics.
I have stayed away from O&G in recent years but I am considering starting some positions in anticipation of better days ahead.

Q: I am considering selling OVV at a considerable loss and replacing it with Whitecap for the 30 day tax loss. At that time I will compare the progress of the 2 stocks to decide whether to stay with WCP or move back to OVV. I’m inclined to think I should stay with WCP as they have a good dividend and I already have some shares. I would not be overweight in WCP. Is there a different oil stock you would suggest instead of WCP?
Thanks for your always great advise.
John

What do you think of my strategy and what are your thoughts on the 2 companies.

Q: If you had to buy 3 income positions today what stocks would they be.?
Please put your answer in order of best to less.

Q: Dear 5i Team,
After the recent great run up in equities you had graded highly(thank you), I’d like to move some profits to fixed income to keep close to the 40% FI.

What type of fixed income you think is most undervalued lately? Any ETFs on Canadian or US markets, any geography, graded from lower to higher risk.

Regards,

Carl van Rossum

Q: Is it undervalued at its current share price. Does the new president give you any concerns.

Q: I sold crew at a large loss 6 months back based on your concerns of its large debt and possibility of complete collapse. What is driving it’s recent resurgence in price lately. Has your opinion changed?
I held on to lxe which price has been declining steady of late. Should I continue to hold or would would sell and a buy of Suncor for exposure in oil be recommended?

Q: I own substantial positions in both TOG ( breaking even) and WCP (40% profit). Is there any reason to not sell TOG now and purchase WCP as opposed to waiting for the deal to close in 2021? Thank you for your assistance.

Q: Hi 5i,
Questor is confusing to me and I hope you can help me to understand it better than I do now.
In September, 2018 it was at approximately the level it's at now - around $2.20. But then, starting in September, 2018 it increased fairly steadily and had more than doubled to over $5.00 by mid February this year, before plunging straight down to $1.30 or so in the COVID sell off. The chart looks like if COVID hadn't come along it might have continued the upward trajectory. However that didn't happen and, unlike many others that declined hard and fast in February/March of this year, Questor's recovery has been halting - its only gotten back to about where it was in September, 2018 and not close to its pre-COVID level.
Bringing me to my confusion: Something positive appears to have been motivating buyers for the 18 months preceding the precipitous COVID decline and I wonder both what those positive factors were, and why (whatever they were) they haven't taken hold again? I wouldn't have thought that Questor's business would be COVID sensitive going forward from the February drop, but perhaps it is in some way?
The CEO was quoted in today's FP as saying that the just announced carbon tax increases will be good for "our industries", which implies they'll be good for Questor. Could it be?
Hoping you can provide some insight.
Thanks!
Peter