Investment Q&A

Q: Can you talk about the fundamentals of these companies that are part of your Balanced portfolio? From a technical perspective they have been going the wrong direction for quite some time. Thanks.

Q: Two questions: i) You have previously voiced concerns with respect to NFI production control issues and ii) there appear to have been several additional contract awards to NFI in recent weeks. Do you consider the production issues have now been addressed and no longer a concern and, do the additional/cumulative contract awards represent a significant improvement in this company's outlook and is this a decisive move by purchasers of mass transit vehicles? I appreciate there is unlikely to be a short term profit bump but if there has been a productive move or change in purchasing trends do you expect the benefits will mostly accrue to this company and in the longer term. Thank you for your response.

Q: As a retired investor, I am keen on stocks with low betas, high dividends and some growth. AQN, NPI and BEP all meet these criteria and are all up significantly, riding on a crest of green sentiment. These three stocks now compromise 13.5% of my total portfolio. I am loathe to part with my green energy stocks as they are doing so well. That said, have I put too many eggs in one basket? At what percent should I cap my green energy investment? Other than higher interest rates, what could impact continued growth in this sector?

On a related note, I am now overweight in utilities, which now represent 21% of my total portfolio. This includes the three above-mentioned stocks, plus Fortis and BEP. Would you suggest reducing this weighting? And if so, which stock(s )would you be inclined to sell?

Thank you.

Q: Hi,

Waiting on the 30 day period to release-purchase NFI after recording a tax loss. Purchased REAL with the funds from NFI. So far the rise in SP in NFI has equaled the rise in REAL.

Based on the aforementioned, would you sell REAL in order to repurchase NFI, or just keep REAL, based on current fundamentals, without regard to weightings by sector?

Q: Investing in companies that are directly involved in the climate change space seems to be a big investment growth theme and that may explain the good performance of these stocks over the last while. New Flyer is included because of their electric bus component. Successful companies ought to see growing valuations.

Q: Looking thru your Q&A on NFI you appear to be cautious wrt its prospects, While in recent days NFI has announced several contracts - two on 30/01 and one 21/01. Your notes precede the last two. What impact do you expect these contracts to have on NFI earnings and outlook and is their announcement is indicative of a trend? Thank you

Q: Hi Peter, Ryan, and Team,

Most recently, Peter, you're quoted in the StockChase website as follows:

"They have done nothing but disappoint for the last couple of quarters. He kept it because the valuation changed and no one expects anything from this company. He is going to give it a couple more quarters."

Two even more negative sentiments were recently expressed on the same website:

"Their competitors have an electric bus and NFI is struggling with that transition away from fossil fuel buses. A value trap."

"He would not be a buyer today because there is a pending transition to electric buses. Municipalities are holding back until they become more main-stream. Wait one to two years to see larger orders."

We're down 45.7% in a TFSA, and wondering if 5i agrees that the electric bus situation is hurting NFI, and what to do in a couple of quarters if 5i drops it.

Thanks for your insight.

Q: I hold the following in my balanced equity type portfolio and they all represent less than a half position, either because they have dropped or because they have not kept up with the rest of the portfolio. I have enough new money to top up 4 or 5 of them to their original weightings. Which would you top up at this point and which would you simply let go?

Q: Would you be able to provide me with any info on insider trading over the past three or four monhs in NFI, TOY and SJ. Also the percentage of insider holdings for each company. Thank you.

Q: your latest report shows a 12% inside positn but Bloomberg shows only 2.7% which is correct? Thx

Q: Part of the balanced portfolio - which of these you like for the new money be added to (in list of preference). Total return is the goal and 3 year time frame. NFI , QSR, MX, NTR, SIS, ATD, TOY. I own all these but have lower weights in portfolio. Thanks

Q: Hello Peter, Asked this question over weekend, but may be lost somewhere so asking again.
As part of a balanced portfolio in TFSA, which of these are worthy of new money in order of preference ( FROM TOTAL RETURN PERSPECTIVE - 3 YEAR TIME FRAME), I own all of these but low in weights. X, NFI, TOY,NTR,QSR,SIS, ATD.
Or if anyone else you like better.
Also, if any of these is a outright sell and re-allocate into others.

Q: If someone own NFI and has only a 1.5% weight noticed that in your portfolio only 1.7% would you be comfortable buying more or is this considered a small weight and see what happened for the next quarter or 2 before adding?

Thanks

Q: in your report you down graded NFI. So is the dividend safe for a dividend investor. What would indicate the dividend was going to be cut.

Q: Peter i know that NFI pays a big dividend, do you think that it is the right time to buy this and hold for 1 to 2 yrs

Q: Of these two stocks which do you believe would provide a better return on investment over the next year and why please?

Q: NFI had fair bit of news over the holidays. The market seemed reasonably happy with it all. Could you give some colour to all the new bus contracts? Also, somebody on BNN was expressing concern about the competition opening up in the EV category and NFI's ability to compete. Do you have anything to add to that? I noticed one of the contracts included EV's from NFI.

TIA

Q: I note that while you and others have highlighted pressures on NFI (pre mid Dec) the news flow of orders appears to have improved of late and there has been a concurrent effort by NFI to maintain a professional approach to their business prospects. I guess the question is does the hesitancy with respect to their prospects, and particularly their share price, still apply and are the new orders significant or already factored in. Thanks.

Q: In a TFSA account (growth oriented) would exchange NFI for BYD for a 3 to 5 years time frame? Thank you.

Q: Looking at using some cash in our RIF accounts (mostly a mix of Income/balanced portfolios) to boost the yield a bit and am considering AW.un or NFI. With price pullbacks, both currently have a higher than average dividend (sustainable ?) and, it appears, some cushion against any significant capital loss, (barring any new bad news). Do you think these are now good candidates for an income portfolio ? Alternative suggestions?