Investment Q&A

Q: Thanks for your response on the renewable power /clean energy participants; it prompted a closer examination of earnings expectations and current rating for each. With certain exceptions it seems to me that i) rerating and price enhancement took place mostly in 2019, ii) that for the most part valuations are now generous and iii) that the participants are primarily utilities such that, absent special situations, sustainable earnings growth will be modest when compared to growing industrials and others with which we have become accustomed. The discount issue then hinges on valuation methodology; their pe/peg ratios are excessive unless the conventions applying to utilities are very different from generally accepted norms, and I am not familiar with accepted cash flow ratios for the sector if these are appropriate and used. What is the generally accepted pricing criteria for these names and customary ratio ranges. Thank you again.

Q: The stock keeps shrinking. What are the odds that Vermillion will simply disappear.

Q: I have owned Enbridge for many years and have a fair but dwindling gain.
It seems to have persistent negative momentum, perhaps because of high debt and the perception it is tied to non-renewable energy.
Do you have some degree of confidence the stock price can stabilize or reverse? The dividend is nice, but not at the cost of capital loss

Q: Can you rate the following companies in order of expected dividend growth over the next 5-10 years: CU, EMA, FTS. How do they rate in respect to their renewable energy prospects and growth?

Q: Using the valuation metrics that produce a Topaz IPO price at $14, what would Keyera have as a stock price? ( Am I correct in assuming the two companies run a very similiar natural gas infrastucture business ? )

Q: Retired, dividend income investor. Currently own AQN, FTS and TRP. If I wanted to add a 4th name (with a focus on renewables), what would you recommend? It would be mostly in a taxable account, with possibly some in a TFSA account. Or if AQN and FTS are enough names, should I just add funds to them? If AQN-FTS are not enough names, would you consider BEPC or BIPC? I like utilizing the dividend tax credit.
Thanks for your help...Steve

Q: It looks as though renewable power is becoming politically accepted, with the above as assumed potential sector participants. What is the anticipated growth rate for each and to what extent have each potentially already discounted the coming year's anticipated growth in value. I Look forward to your response.

Q: Thinking about stepping into a little energy. Could you provide me with some names that you would consider safe going forward.
As well, am curious about Surge, do you think it is likely to survive?
thx for your help
Joe

Q: What are you thought on Suncor? What are your mediumand long term thought on the industry?

Q: What area your thoughts on the upcoming IPO that Tourmaline is doing on Topaz energy. Topaz estimates that upwards of 90% of cash flow will be distributed as dividends. Would this be a good dividend play or is this very speculative ?
Don

Q: In several responses to questions on Keyera-KEY you have suggested it could be a takeover target. Is this a rumour on the street and if so, would you please elaborate on who you think would be interested and why. Thank you.

Q: I own pxt,su, and cnq. For growth and dividend safety,(pxt) has none), which company do you prefer? Is there any other oil and gas compan worth speculating on?
-asked by Rene

Q: Tou & Topaz deal announced. Would it be beneficial to own both stocks or will TOU still derive income from topaz.

Q: Hi Peter,
In a reply to a question today you said ENB would become a "Cash Flow Monster" if they stopped investing in new growth initiatives. Agree.
1. Would you consider the same assumption for PPL?
2. And if new growth initiatives were/are to diminish over the next 1 -30 years due to the increase in renewables what would you see ENB/PPL most likely doing with the increased free cash flows?
Thanks as always for your perspective.

Q: Hello,do you think these 2 stocks will benefit from Trudeau's clean tech announcement and if not are their companies you would reccomend that could benefit from this...thanks

Q: I hold PKI and ENB.
What do you respond to those who are saying to let go all fuel related stocks. I was having a conversation today where the other party was hard set on the world going green and will be needing less and less fuel. I think we are at least one decade or two away. What are your thoughts?
Thanks

Q: Your thoughts on CVI ? Thanks

Q: What is your overall analysis here? Is this one a Good buy?

Q: Dear 5i,

Will IPL's recent sale of European oil storage business have a meaningful reduction to their overall debt situation?

Q: I have a question about my TFSA - is there decreased value to own US-traded income stocks in a TFSA? If I'm obliged to pay non-resident withholding tax, doesn't that partially defeat the benefit of my TFSA? In particular, I've read with interest the 5i researchers' (the "5iR") position that ENB is generally favoured over PPL presently. Would the 5iR's position change if the holding were in a TFSA? Is the withholding tax a material concern?
Thank you in advance for your advice,
IK.