Investment Q&A

Q: Hi Peter,

In preparing for the eventual oil recovery, what would be your top 3 names in the sector right now for capital appreciation and medium risk (i.e. survival during this down turn)? I assume WCP would be included since it is held in the model portfolio?

Thanks for the great service!
Angelo

Q: What is your opinion on this equity issue by Whitecap?

Q: I have almost no direct energy exposure except for 2% in a services firm with high recurring revenue. Of course, there is lots of indirect exposure through banks, industrials, etc. I am interested in wading in, mostly for a yield play with some growth, not looking for a ton of torque. I understand that no dividends are entirely safe in this environment. I was wondering if it is better to go for a mid-size E&P such as Whitecap or Cabot, a pipeline such as Interpipe, a services firm such as Gibson Energy, or a global giant such as Chevron? Generally my portfolio is diversified across geography, industry sector, and market cap. I would look for an initial half-position and prefer a yield above 4%. Which names would you recommend? Thanks as always!

Q: Good morning! I recently took a position in WCP, it went up for a couple of days and now it appears to be under attack! Any reasons you know of why this is happening?

Q: If one were to slowly start dipping their toes into the oil sector, which 2 would you rate the best buys at this time: WCP, CPG, NBZ, GXO, CJ, TOG.

Thanks

Dave

Q: 5i Team -

Can you please provide your analysis on Whitecap Resources? What is their debt/cash flow? Can they survive with $30 WTI over the next Year? How does WCP stack up against CPG? Thank You!

Q: Which energy companies would have costs in Canadian and get paid by WTI or USA funds ?

Q: With the US going to allow oil exports for the 1st time in 40 years what will the effect be on oil prices ?

Q: They have reduced their capital program by 27% from their Nov. announcement. I think this is prudent...market not so much. Your advice please.

Q: Coudn't find any industry news but WCP is down a whopping 12% today.

Have you heard anything?

I don't own it yet cause I hate the business right now. Given the steep decline would you suggest stepping up or standing on the side lines at this point?

Thanks

Q: Your thoughts on earnings please. They seem to have a decent, if partial, hedge on oil through 2016, and have indicated that the dividend is safe through 2016. Thanks

Q: Hi,

It is in the model portfoliio. In Oct. 22 on MarketCall, Eric Nuttell mentioned that he has a high regards for the company, but that the dividend may be at risk.

Do you perceive any risk in the dividend?


Thanks,
IF

Q: Today, Barbara asked you for the name of five companies you would consider a buy in the oil sector. I noticed that you didn't include WCP. Does this mean you don't think it is a buy at this time? I currently have no oil exposure and was thinking of starting with WCP.

Q: With oil down for the week and settling at 48.50 why would WCP be up 5% today?

Do you think that signals a bottom?

Thanks

Q: Hello Peter, Question about income portfolio holding. I have WCP,ZRE,BCE,WIN,VNR.
For new funds, would you advise topping these up or replace any or add any new to the mix.
Thanks and have a good summer.

Q: Hi,I have a basket of oil and gas stocks, tog,bte,pxt,cpg,re,spe,Wcp,at fairly equal weighting around 7% of my portfolio.That may be a bit high,would you sell some or just wait it out,I have 3-4 year time frame.
Thanks,great service,Brad

Q: Good afternoon. Saw the "Top Pick" recommendation on WCP. Would you sell SCL (Shawcor) to buy WCP? Overall exposure is good so wondering if a swap is the best strategy. I like to leave stocks and not trade too much, 5-10 years. Thanks!

Q: Would you sell Crescent Point to buy Whitecap?

Q: Hey Peter & Team,

Have approx 25% cash on the side and am waiting for something of value to appear.

I have been watching Whitecap closely and noticed today @$14.04 it is trading below it's 200 day moving average ($14.08) and considerably below it's 50 day moving average ($14.47)

At the same time on a technical basis it has been showing higher lows and higher highs since it's low point Jan 12.

Please provide advice regarding whether now would be a good time or not necessarily a good to take a 5% position and why you think as such?

The balance of my portfolio contains 7% in O&G. (TOU & BTE) and I recently put new U$ money into BP (20% of my US portfolio) @ $39.64.

As always, thanks for all you do

Gord

Q: Hi 5i,

Thank you for you answer today on Royal Dutch Shell RDS.B. I have a follow up question please.

I own Chevron (CVX) (which you also mentioned in your earlier answer), Husky (HSE), Peyto (PEY), and while not directly comparable, Methanex (MX). I am contemplating one more energy stock which is why I asked about RDS.B.

If you could buy only one more energy stock for some growth but also a high sustainable and hopefully growing dividend, which would it be?

My research indicates RDS.B looks attractive, but so does Whitecap Resources (WCP) and possibly Vermillion (VET). The latter two are obviously Canadian which means I can buy them in $CDN of course, which may be doubly beneficial when oil prices recover and move the Canadian dollar.

Thank you again.

Michael