Q: Hi, just wanted to get your thoughts on the outlook for SCL. Why did it suddenly start falling? It was doing well while other energy-related names were suffering. Does the recent weakness represent a buying opportunity, or would you sell? Thanks again.
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: Would a switch from SCL to HWO make sense? I am looking for growth for a 3+ year time frame.
Q: Good morning,
Please give me your opinion of SCL
Thanks
Rick
Please give me your opinion of SCL
Thanks
Rick
Q: With Trump at the controls, would this not be a good time to pick up some Shawcor?
Q: I'm thinking of selling Shawcor for the loss and buying it back after 30 days. Do you think the stock will stay quiet for the next little while?
Thanks for your help.
Thanks for your help.
Q: Hello 5i,
My only energy exposure is Shawcor. What would you recommend to complement this in energy. Thanks.
My only energy exposure is Shawcor. What would you recommend to complement this in energy. Thanks.
Q: What do you think of ShawCor's numbers today(Q2 2016)?
Q: Hi 5i, What are your thoughts on Shawcor. Still under water and holding. It looked like it was bottoming and starting to move up with oil but now stalled again. Hold or sell, take loss and move on. Unfortunately it's held in my TFSA. No need for cash for a few years.
Q: My earlier question may have gone missing and I don't see anything on SCL since Nov. Can you comment on their earnings. I dont need the cash for a few years. Should I stay patient or take the losses and move on.
Thank you
Thank you
Q: Hi there
I have held Shawcor through the downturn and have a long term view on my investments - I can wait a few years for recovery. Just wondering given the poor outlook from the company for the next year and the poor outlook on the sector whether its valuation reflects this. Would it be a hold here or would you move on. I do think they have a bit of a unique boring business - a bit like Stella which I also hold.
Thanks
Stuart
I have held Shawcor through the downturn and have a long term view on my investments - I can wait a few years for recovery. Just wondering given the poor outlook from the company for the next year and the poor outlook on the sector whether its valuation reflects this. Would it be a hold here or would you move on. I do think they have a bit of a unique boring business - a bit like Stella which I also hold.
Thanks
Stuart
Q: Could I have your opinion on Shawcor's earnings release.
Ed
Ed
Q: hello 5i:
in a recent question, asked by Justin, about the new Liberal gov't (hmm, interesting, I know his last name can't start with T), re: infrastructure plays, you advised that WSP, STN, SOX, AND BDT would be some companies that would benefit. I can see that, but wouldn't companies like SCL and BAD benefit even more? After all, they will be doing the groundwork where most of the money is spent and have the lowest valuations due to the hits they've taken.
Just wondering
Paul
in a recent question, asked by Justin, about the new Liberal gov't (hmm, interesting, I know his last name can't start with T), re: infrastructure plays, you advised that WSP, STN, SOX, AND BDT would be some companies that would benefit. I can see that, but wouldn't companies like SCL and BAD benefit even more? After all, they will be doing the groundwork where most of the money is spent and have the lowest valuations due to the hits they've taken.
Just wondering
Paul
Q: I am wondering about pipeline coating companies, as they should be in demand regardless of the falling price of oil. SCL and EFX appear to have the best fundamentals in the sector, given their payout ratios, price/sales and price/book and both are significantly down over the past 12 months. I am wondering: 1) is this a good sector given a 2-5 year time frame; 2) are these the 2 best companies in the sector to consider; and 3) which one would you choose if I only bought one, and why? Thanks in advance.
Q: I know that SCL is not in your coverage list but I would appreciate your perspective and insight regardless. The quarterly release a couple of days ago did not seem that bad given that drilling is down 50% so there are delays in capital spending all over the place in North America (I know that they are not tied greatly to drilling activity but it is a good proxy for the near term sector activity). I also understand that the NDP win means head winds for anyone involved in pipelines but that was last week's news. Earnings seemed ok but the stock is down over 10% in two days so I am not sure if I am missing something. I cannot see short interest so I don't know if it is long term investors exiting or the shorts smelling an opportunity that has caused the price drop. Their business model seems solid ND with some diversification. They issue stock rarely but the last time was last year in the mid to high $50's, well above today's levels. I would appreciate your thoughts. Thanks for the great service!
Q: I do not own, but am thinking of initiating a half position. Given how beaten up it has been over the last few months (close to its 52-week low, RSI around 20), would this be a reasonable entry point for a long-term hold?
Q: ShawCor has provided an update today on the South Stream Offshore Pipeline Project. I would appreciate your assessment of this news on the company and whether I should consider selling the stock at this time. Thank you.
Q: Hello Peter and team,
The carnage in the energy sector continues, so it is time to see where my non-registered portfolio really is on its energy weighting. Please help me understand if I am really overweight in energy. I know it is a personal choice what percentage of a portfolio is exposed to energy, and the numbers being tossed around are 10% to 15% being ideal for most investors.
If I use the TMX sector categorization then I have 33% of my portfolio in energy. As of the close on Nov 13th the stocks are:
PPL (+52%)
IPL (+37%)
ENB (+29%)
WCP (+22%)
SCL (-3.5%)
CPG (-7.6%)
SGY (-10%)
TOU (-18%)
But your sector categorization is a little different. You consider PPL/IPL/ENB as utilities, and SCL seems to be a basic material. If you slice it that way my energy component is 16%, utilities 14%, and basic material at 2.8%
When you say a weighting in energy of around 10% to 15% is ideal, would you include the pipelines, and material stocks like SCL in that weighting?
Which one(s) would you trim or eliminate to reduce the energy weighting?
Paul J.
The carnage in the energy sector continues, so it is time to see where my non-registered portfolio really is on its energy weighting. Please help me understand if I am really overweight in energy. I know it is a personal choice what percentage of a portfolio is exposed to energy, and the numbers being tossed around are 10% to 15% being ideal for most investors.
If I use the TMX sector categorization then I have 33% of my portfolio in energy. As of the close on Nov 13th the stocks are:
PPL (+52%)
IPL (+37%)
ENB (+29%)
WCP (+22%)
SCL (-3.5%)
CPG (-7.6%)
SGY (-10%)
TOU (-18%)
But your sector categorization is a little different. You consider PPL/IPL/ENB as utilities, and SCL seems to be a basic material. If you slice it that way my energy component is 16%, utilities 14%, and basic material at 2.8%
When you say a weighting in energy of around 10% to 15% is ideal, would you include the pipelines, and material stocks like SCL in that weighting?
Which one(s) would you trim or eliminate to reduce the energy weighting?
Paul J.
Q: I have roughly a 14% position in Altagas (ala), Pembina (ppl), and Interpipe (ipl), collectively. I was thinking of selling one entirely or part positions in all three and using a portion of those funds to purchase Shawcor (scl) which is trading around 12.45x 2015 earnings.
To make up for the lost dividend income, I plan on purchasing Sunlife (slf) as I only have a 1.85% exposure to the insurance sector (I have pwf).
Any thoughts? Thanks again, as always.
John
To make up for the lost dividend income, I plan on purchasing Sunlife (slf) as I only have a 1.85% exposure to the insurance sector (I have pwf).
Any thoughts? Thanks again, as always.
John
Q: Hi Peter and gang.
Question: Shawcor (SCL). I already have a 16% position in pipelines (Altagas, Inter Pipeline and Pembina). However, Shawcor (SCL) is looking extremely attractive, in my opinion, with 2015 consensus earnings, according to CIBC, of $4.35 and substantial growth continuing in the years after.
In your opinion, do you think I can hold my 16% position in my pipelines and add a 2.5% position in SCL? My reasoning is, I can buy SCL as well as hold my existing pipelines because SCL has a forward p/e of under 13 and strong earnings per share growth to support its share price. When interest rates rise, my IPL, PPL, and ALA, may experience a decline because of their very high p/e and slower growth rate but SCL could act quite differently because of its attractive valuation and growth profile.
My other option is to trigger large capital gains and sell a portion of my existing pipelines to buy SCL.
I'd appreciate hearing your thoughts. Thanks, as always.
Question: Shawcor (SCL). I already have a 16% position in pipelines (Altagas, Inter Pipeline and Pembina). However, Shawcor (SCL) is looking extremely attractive, in my opinion, with 2015 consensus earnings, according to CIBC, of $4.35 and substantial growth continuing in the years after.
In your opinion, do you think I can hold my 16% position in my pipelines and add a 2.5% position in SCL? My reasoning is, I can buy SCL as well as hold my existing pipelines because SCL has a forward p/e of under 13 and strong earnings per share growth to support its share price. When interest rates rise, my IPL, PPL, and ALA, may experience a decline because of their very high p/e and slower growth rate but SCL could act quite differently because of its attractive valuation and growth profile.
My other option is to trigger large capital gains and sell a portion of my existing pipelines to buy SCL.
I'd appreciate hearing your thoughts. Thanks, as always.
Q: SCL
Hi Peter
Hope you are holding on . The pipe people Shawcor ,they have just issued more stock Ii have this stock in my portfolio . Can you give me your views for a long term hold . Why do companies issue more stock ?
Candi
Hi Peter
Hope you are holding on . The pipe people Shawcor ,they have just issued more stock Ii have this stock in my portfolio . Can you give me your views for a long term hold . Why do companies issue more stock ?
Candi