Investment Q&A

Q: With respect to the above companies, I would like to have your opinion on their potential, and whether you see any imminent issues with respect to debt levels. Please deduct credits as necessary.

Thanks

Q: CIBC is referring to an 82% payout ratio for WCP in 2019, which is different from the 35% payout ratio you referred to below....which is the correct number and do you view their dividend as sustainable?

Q: On BNN last week one of the guests stated that insider trading in large oil companies has been rising. Would this fit in with your assessment of the sector and in your opinion does this indicate that it might be time to start taking a position in the oil and gas sector. If so then would you have a few stocks to recommend, perhaps three small to mid cap and a couple of larger ones. Thanks.

Q: One of these days the sentiment on Canadian gas and oil companies is going to change.( I hope!!).
If that day was tomorrow which small cap Canadian oil and gas company would you buy?

Thanks Ken

Q: Which would you choose to add a conservative nature to a senior's portfolio, AQN or AW.UN.ca and why? I note AQN is not in any model portfolio and yet its performance seems better than that of AW.UN and with less volatility.

Q: are these stocks a buy at the present price?
Thank you

Q: Do you think a dividend cut would help or hurt Vet considering its dividend is getting lofty ?

Q: Hello guys, after PPL's takeover of KML, do you guys think the Transmountain Expansion could be a naturally and strategically fit for PPL? Not sure if PPL ever think about such a possibility considering the huge political headwind TMX is currently facing.

Q: How do the Pembinia Pipeline bid factor into the IPL valuation metrics and could you speculate if you think PPL was on a list of unnamed possible bidders?

Q: Obviously a hurting sector but what do you make of recent insider buying?

Q: does just energy still pay a dividend or not. thanks

Q: Hello 5i Team

The market has announced a takeover of Kinder Morgan Canada by Pembina Pipeline. The deal indicates that holders of KML will receive 0.3068 shares of PPL per 1.0 KML shares.
The Pembina news release indicates the value of the KML shares for the deal is $15.02 and the Kinder Morgan Canada news release indicates the value for the KML shares for the deal is $15.12.
The current price for PPL this morning is approximately $49.00 and the current price for KML is approximately $14.77. Therefore KML is trading slightly below the offer price ($49.00 x 0.3068 = $15.03). The deal is not anticipated to close until 1rst quarter of 2020.
I own both PPL and KML, however in separate accounts.
Based on today's prices, PPL is yielding 4.8 % and KML now yields 4.3 % (down from 5.9 % prior to merger announcement).
The deal does not indicate whether KML will continue to pay dividends in Nov 2019 and Feb 2020. Is this correct?
Should I sell my KML today and reinvest in a completely different security (I do not wish to own PPL in the account I held KML in) or wait until the merger occurs and then sell the PPL shares I receive).
Thanks

Q: Can I have your thoughts on Pembina's huge acquistion announced on August 21. I have held this stock for some time and have done well. What do you see for this stock over the next 5 years? Thank you.

Q: I would appreciate your view on OneSoft Solution.
Peter

Q: If we are headed to zero / negative interest rates, I am thinking of playing this thesis by purchasing XLB to capture the capital gain on the interest rate reduction and XGD should do well in a low / negative rate environment. The balance of the portfolio is VBAL and XEG. What do you think? Thank you

Q: Read an interesting article in the Financial Post about an energy company going from public to private. Can you enlighten me on the criteria / conditions when it is a better alternative?
Do you think that ENB could meet these criteria at some point?
Many thanks for your valued judgements

Q: Why is TWM stock price dropping like a rock?

Q: Could I get your take on Keyera - payout percentage, dividend sustainability, debt levels, industry positioning/competition and how tied-in to gas prices they might be. I am a retired, income-oriented investor, looking for something that has been beat up a bit and might be more apt to up than down further over the next few years(!).
Thanks

Q: This was issued Oct 3, 2016 at $12.75 and has a barrier price of $8.93 and is tied to the i shares Capped energy price. It is within a dollar of the recall price. It missed the first recall Sept 27, 2018 and the final recall is Sept 27, 2019. It is now showing a loss of $3,219 on a $10,000 investment. I have held it this long would it be advisable to hold it until maturity and recover my initial investment if it does not reach the recall price? The lure is the redemption amount.

Thank you

Donald

Q: I would like to add one or two of these dividend paying oil/gas stocks. Could you comment on the relative safety of the stock and the dividend and could arrange them in order of your preference.