Investment Q&A

Q: A year ago Barret took a reserve charge of $80 million against unsettled claims going back a number of years. The stock took a tremendous hit. Almost a year later to the day their independent auditors have issued a letter saying that they will not be able to submit their reports by the Sept deadline because information that has come to light suggests that Barret may have created too large a reserve and that some actions may have been illegal. The stock has subsequently taken another huge hit before the market opened this morning. How can a company issue that kind of a letter without issuing a cease trade order until every one has access to the same information at the same time? Thank you for your help

Q: Hey Peter & Team,

Caveat... It's a US company so I appreciate if you are not prepared to answer but considering the Canadian market right now, the US is where we need to be until O&G starts to return to it's old self.

In Feb 2014 I inquired about MCK and you replied with;

"solid blue chip company in the health care space. At 20 times' earnings it is not cheap (after a 70% one year gain) but we note a strong balance sheet, good revenue growth and solid earnings growth."

At the time it was at $176.50. May of this year it peaked at $240.61. As of today with the healthcare sector getting hit in the last 6 months it's around $182.00 which is the lowest it has been since May 2014.

It has a reasonable and very sustainable dividend. Guidance continues to be excellent on both the top and bottom, and they just announced a $2BB share buy-back program.

It appears to me this equity is considerably cheaper than it was back in Feb 2014 when it was $170/sh, and I am having a tough time finding reasons why we shouldn't expect this stock to bounce back over the $200 mark in the very near future.

Am I missing anything? Not aware of something? What is your opinion of its recent report and do you still consider it as expensive as it was in Feb 2014? Finally, do you think I should buy or hold?

Yours Truly

Gun Shy Gord

ps... thanks for all you do

Q: Could I get your opinion on Alcoa? Thanks

Q: I've held this now for close to two years...my cost is about $ 77 per share... I should have sold it in 2014 when it was approaching $ 120.00 ...such is life. Should I stick with it or just walk away and put my money to use elsewhere ? If so, a couple of US stocks you'd recommend (besides JPM which I own)?

Q: I have made a double on this ETF which follows the S&P 500. It is a full position in my portfolio.

Would now be a good time to sell and switch into the Russell 2000?

If so would XSU be better than IWO due to the CAD being lower than average for the last few years.

Or would it be good to a half position into XSU, and buy Alphabet?

Cheers.

Q: I own shares of GE which has an Election to exchange $100USD GE
shares for $107.53USD Synchrony Financial shares. In your view is it advisable for me to elect to accept this exchange?

Q: Can you comment on Priceline Group's earnings? They seemed alright to me, but looks like the stock is still down quite a bit today.

Thanks,

Jordan

Q: Air Lease had reported excellent Third Quarter results. There sales and earnings were up twenty percentage. Are there other problems and factors holding this stock's price from going up?

Q: What is your opinion of Greenbrier Cos? I believe there may be an investment opportunity in this industry.

Q: What do you think of ventas at this price. Is it a buy?
thanks for your great service.

Q: What do you think about this stock it has a great yield pushing 15% is it sustainable, buy or not?

http://stockcharts.com/h-sc/ui?s=ALDW&p=D&b=5&g=0&id=p30984674907

Q: Hello, my previous advisor had this stock in my rrsp, I have a 3.4% weighting in my portfolio, but is 15% of my rrsp account. I am down 11% currently. It has a decent dividend, but it seemed to have peaked during the spring of 2013 and has been trending down ever since. Do you think it's worth holding or should I look for better opportunities. Thanks.

Q: Can you please provide an update of your opinion of AMZN (last update 14/07/15).

Thanks

Dave

Q: Seems too cheap! What's your analysis?

Q: Hi 5i - considering making a switch from WIN to QCOM (which now pays a yield of 3.8% after a big drop today)? Im looking for long term yield and some growth. Does this make sense? Thanks!

Q: Walmart looks really attractive at these levels. Do you think it is a good long term buy and hold?

Q: I currently have no exposure to the health care sector in my portfolio. I'm looking for companies that pay a bit of a dividend which is sustainable and have the ability to provide some steady capital appreciation. I realize that American stocks are not your expertise, but keeping my criteria in mind and watching what's going on with Canadian health care, I would appreciate your opinion on three American companies. Gilead, JNJ, and Walgreens.
Looking to the future, which of these companies has the best prospects? (keeping capital gain and dividend growth in mind)
Which 2 Canadian companies who you add to diversify my health care holdings?
Thanks for your guidance.

Q: I am looking to purchase an equity in a USD account in the tech area for a long term hold. Currently no tech exposure in the account.
FB or APPL ?.......or would you have a better recommendation. Thank you.....Jim

Q: Good morning. My question is regarding the recent news on AIG. Would you recommend staying the course or taking profits now?
Thanks so much.

Q: Could I have your opinion on FB please. Is this a good time to add???
Thank you!