Investment Q&A

Q: .Doo continues to drop from $129.98 H in 9/21 to current $83.07.Any reasons & is it affected by supply constraints. Read u recent positive comments. On Mar 3 ,NA has a $124TP with Outperform. Txs for u usual great services & views

Q: Hello 5I
Could you please list a group of “cheap” or discounted reopening plays? As well as the pe if applicable.

Thanks

Q: I have losses in ANRG, AT, CIX, DOO, DSG, NVEI, PIF, SPB, STC, TIXT. Would you add to any of holdings or sell?
In what order would you sell?

Q: Hi Peter and team, I don't hold any of the above stocks and they have done very well the last 2 years. I do own some of your favorites like BAM, TOI, CUS, SHOP and LSPD etc. How would you rank the above stocks and would they be good buy when the dust finally settles.

Regards
Anthony

Q: How comfortable would you feel initiating a position in DOO giventhe current market and its negative trend? It looks like a steal to me.
Thank you

Q: May I have your pick-up among the compagnies in this index based on growth, management and ROE? I know that buy back program can be used for different purposes namely to invest in the business or to bonify executives salaries. Can you point out those actively buying back for the right reasons and if there is an ETF listed that mimics this index in Canada and USA?

Thank you very much

Q: Hi:

I am considering buying one of these stocks. Can you rank and comment on the growth potential over the next 5 years?

Thank you

Q: would you share with us the best value and best growth stocks in Canada

thank you for all your time and attention

Q: This is a follow-up to our question from last week (see: https://www.5iresearch.ca/questions/140708).

Based on your response that nothing in the list gives you much cause for concern, we would understand this to imply none of the 30 stocks would be considered a "sell" today.

Please divide the 30 stocks into a pair of ranked (best to worst) lists, one of "buys" and the other of "holds". As well, for each of the "holds" indicate the principal rationale for caution.

Q: 5i team:
2022 “fresh money” TFSA $6k annual allocation will not account for 1% of my total portfolio allocation. I have 60 holdings most at least 1% each across eleven sectors (max 15% for any one sector) plus a 10% sector allocation for X-Canada (currently have VTI, VIG, VIU and VEE for full 10%).
Currently underweight Industrials (-5.09%) , Healthcare (-3.48%) Cons Cyc (-2.60%) and lesser amounts for Cons Staples, Communications and materials. Overweight (most first) Fins, Tech, Utilities, RE then Energy due mostly to the Brookfield companies.
Across total portfolio current industrial holdings are BAM.A, BBU, CAE, TFII, TRI & WSP; for Healthcare have GUD and WELL; and for Cycs have ATZ, MGA & QSR.
Looking for ideas for either industrials or healthcare or consumer cyc. For TFSA do I add to existing or add a new holding like ATA, SIS or PRN, NBLY or DOO or DOL considering current state of market turmoil?
TFSA currently holds AQN , AHOTF, TFII, TRI, DSG, DIR, EGLX, HR.UN, KXS, PMZ.UN, REAL, S, TIXT, TOI. (ahotf, hr.un, pmz.un, real & s destined for the exit ramp with total loss of much more than the $6K of TFSA fresh money).
For context investment objective is to continue conservatively growing a balanced portfolio investing a growing portion in mid cap growers. My portfolio is all equity so it leans to the higher risk side. I am 69, retired, indexed DB and CPP pensions but no OAS due to claw back. No RRSP but have TFSA and non-reg accounts in $USD and $CDN. Portfolio size is low 7 figures.
What to consider doing?

Q: About 1 year ago we created an equal-weighted 'balanced' portfolio of 30 Canadian companies in a non-registered account. Most were chosen from companies either covered by a 5i research report or included in a 5i model portfolio. The remainder were chosen, based on the 5i Q&A section, from what appear to be 5i sector favourites. All purchases are made with the intent to be long-term holds (10+ years). As well, we intend to increase our investments over the next 2-3 years, and then adjust over time as needed. Currently the amount invested represents ~40% of the eventual total.

Although a goal is to keep the portfolio roughly equal weighted, of the 30 companies, the following 14 were acquired in 3 purchases (full position) and currently have weights in the 2.31% (SHOP) to 5.00% (ATA) range for an average of 3.71%: CSU, MG, GSY, WSP, LNF, ATD, ATA, SLF, BAM.A, BIPC, FTS, DOO, SHOP and TFII. The remainder were acquired in 2 purchases (2/3 position) and currently have weights in the 1.98% (BEPC) to 3.17% (TCN) range for an average of 2.56%. So, overall, the weightings currently range from ~2% to ~5%.

Over the next 6 months we will invest another ~25% of the eventual total. As we make additional purchases, we need to strike a balance between keeping the weights roughly equal while taking advantage of market opportunities. Please provide some broad guidance/wisdom.

Of the 30 companies in the portfolio, which 10 would you have the highest conviction in today? Please rank them.

Are there any of the 30 that you might consider as candidates to be replaced because there are better options, and if so, what replacements would you suggest and why (disregard tax considerations)?

What additional 3 Canadian companies might you consider adding to the portfolio and why?

As always, thanks for the great service!

Q: Good Morning,
Apologizes as I know you've been asked this question or various of a million times but here it goes. At this point in time please list your 5 favorite stocks for a 10 year hold in each of your RRSP account and your TFSA account.

Q: Hi, Interested in your take on why BRP Inc trades at such a low valuation. They have great brands, seem to have the ability to innovate, and it looks like they can continue to grow (10% for the next several years seems reasonable). What am I missing? I am a long term investor (investing for 10+ years out) and I don't mind volatility so would you recommend I look for more aggressive growth?
Thanks

Q: Hi Team,
I am an aggressive investor, which paid off lovely in 2020, but now am being crushed. I hold the following stocks (with weightings in brackets) in total in my brokerage accounts. Could you have a quick look and tell me how this basket looks "In general"? And if you see this basket doing well over the longer term (say 5-10yr hold), pointing out any suggested changes you would make, if any are "sells" or worth switching out. Note that if I sell any GSY it would incur tax (the weighting is large because the position has grown and have been a firm believer in the company as its valuation still looks cheap and am collecting a nice div off it as well). I am 42yrs old so retirement is a ways away and my goal is maximum returns with reasonable risk until retirement. Please deduct credits as required. Thanks
ATZ(3.2%)DOO(1.3%),GSY(24.7%),NVEI(6.3%),TOI(8.6%),WCP(2.8%),SQ(3.5%),APPS(2.5%),RBLX(2.7%),BAM.A(1.7%),LSPD(3%),FB(8.2%),TTD(2.9%),U(2.2%),ABNB(2.4%),CRWD(2.4%),NVDA(6%),PINS(1.7%),CRM(2.9%),NOW(2.7%),SWKS(1.7%),TWLO(2.4%),VEEV(1.4%)WELL(2.5%).

Q: GSY and DOO both in the growth portfolio are also dropping despite beating their last
Q results handily and being value stocks.

If the market is buying value stocks, why are these dropping?

Q: Please classify each of the above companies as one of the following:
LOWER RISK
MEDIUM RISK
HIGHER RISK
Thanks for your great service - use as many questions as you wish. ram

Q: what are your top 4 picks for companies who will flourish when supply chain/labour shortage issues end. thanks Richard

Q: Hi Peter and staff, Happy Holidays.

These are my holdings in TFSA account. Can you please suggest two more names, Canadian or US to add for the 2022 contribution.

Thank you.

Joe

Q: Hi Peter, Ryan, and Team,

For a TFSA that includes all sectors except for Consumer Cyclical (don't know how I let this happen!), what would be your top five Canadian picks in Consumer Cyclicals for 2022? Should all 6K go into one of them, or should two or three be purchased for diversification purposes?

Thanks in advance for your valued assistance, and the best of the season to everyone at 5i as well as your members. I've learned so much from all of you!

Q: Season's Greetings 5i team,
We will be making a 6k contribution to each of our TFSAs in the New Year. The two accounts hold the following securities:

TFSA1: ATA, DSG, WELL and TOI
TFSA2: ATZ, BAM.A, DOO, NVEI and TOI

In what order might you invest the $ in the securities in each of the two accounts? (Given the relative size of this investment, overall diversification (across all accounts), size of holdings and industry allocation will not be affected).

Thank you for your dedication and all of the great work you do for us DIY investors. Merry Christmas and HNY!
Steve