Investment Q&A

Q: Hi Peter and 5i team
I put some bids in on Costco 18 months ago and never got the stock. I gave up chasing it as I hate paying >25 earnings on a stock. BUT.....
Costco seems to be doing everything right. We all know their retail store is about as good as it gets. What is attracting me now is their online potential. I have been purchasing goods from them online and the process has been excellent. Their shipping costs are built into the price and so appear to the customer as "free". Of coursebthey are not but this is good marketing. Just think there is lots of room to grow there. Plus it is always easy to return things to a costco store.
They are trading at 28x earnings. Is that just too rich for the stock? AMZN afterall dies trade at 300+ x earnings. Should I hope for a pullback?
I am well diversified and have almost no retail or consumer stocks, except QSR

Thanks
John

Q: What are your thoughts on Andrew Peller's (ADW.A) earnings? What would your expectations be on fiscal 2017 earnings considering that in the first 3 quarters of 2016 ADW.A had earned $1.50 a share but in Q4 suffered a 12 cents a share loss on apparently one time items?

Thanks.

John

Q: Hi Peter,

What do you think of Pulse Seismic as a oil recovery play, both in terms its current fundamentals and positioning in the sector? It was once a favorite of Jason Donville and others before it got trashed along with most other resource stocks.

Thanks for your great service.

Q: I just noticed your Watchlist feature and have been inputting companies. Can you please add PRW (Petrowest) to the list. It won't show up. Thank you.

Q: When I look at the last 10 years of Cineplex data, I see a plodding yearly price increase without any particularly exciting price swings, a continuous series of modest quarterly profits with few exceptions, a series of fairly regular dividend increases - in a word DULL!

Do you think that they'll continue to be similarly dull? Can you point me to 4 or 5 companies that might be similarly dull over the next 3 to 5 years? I could use some dull (other than financials, where I'm a bit over-weight) to add to my portfolio.

Thanks.

Q: My parents purchased RBC Monthly Income and Dividend funds for me with the family allowance cheques. In recent years I have sold funds and purchased AW.un, AGT, BDT, DH and BPY.un. I have about $20,000. Would you suggest three funds, other than financials, that pay dividends and have reasonable growth prospects. Thank you

Q: Any reason GUD was up so nicely on some pretty heavy volume Thursday?

Thanks

Sheldon

Q: I have the following 4 companies in a conservative, "steady-eddy" portfolio: T, SPB, SLF, and BNS.

I have cash to add two more Canadian companies. What would you recommend in order to add some diversification to the above 4 but to maintain a conservative portfolio?

Thanks,

Q: Hello Peter and Staff
If you were going to start a small position in one of the two - long term hold considering dividend income and appreciation which would you choose and why?
Thanks for all you do
Dennis

Q: Hello, I've noticed that Open Text is in the Growth Portfolio and Kinaxis is in the Balanced Portfolio. I would have guessed they would be the other way around. Do you believe OTC has more growth potential than KXS?
Thank you!!
Dave

Q: Hi Peter & Team!
Please could you list some companies that have exceptional high quality management and own a reasonably high level of the outstanding shares. Thanks.
denzil

Q: Lots happening here today. I understood from all the different sources that there was an auction and identified bidders were Blackstone, Carlisle and Apollo Global and maybe others. Blackstone and Carlisle are out for now because their bids were not competitive. There is a deadline on this auction.

Who knows what is true here but is this a real process. Wouldn't there have to be something more formal that would require a news release?

Thanks for you input.

Q: Is CXR a buy in the $34- $35 range?
With appreciation
Ed

Q: Well, that was a wild turn of events.

Buy more? Sell or hold for better days ahead?

If the private equity firms have indeed walked away, does that make the business less valuable or should it still recover into the $40-50 range once the hysteria dies down? Put another way, was it at $45 because it was worth that or is it a $35 stock with hype and upside priced in on the deal.

Thanks

Q: Greetings, Concordia is enjoying a bit of a lift off today in both price and volume. Is there anything on the wires to account for this or is it another example of early leakage of privileged information ?
Cheers
Tim

Q: I do not have any exposure to financials. I am conservative and looking more for growth. Considering equal weights of HCG and EFN. Would these make a good pairing? Thank you .

Q: Redknee has had a jump in sp of over 15% in the past two days. Do you know of any significant news? What is your opinion of a smaller investment over a period of two years or more?

Q: I was considering a position in ZCL and read the question posted earlier on ZCL and it looks good but I have noticed some insider selling the last few days. Should that be cause for concern or is the selling minimal. Thanks

Q: SPN.V is down this week after what appears to be a good report. Please comment on this stock.

Q: I am thinking about parking some cash in one or both of these ETF's (perhaps a 50/50 split) for the next 12 months. I understand that rate increases could adversely impact the unit price but given that rates are not expected to increase in Canada anytime soon and these are Canadian corporate bond funds not American would there be any impact from a US rate hike? If so, why? Secondly, what do you think of the downside risk and is there a better option you would suggest.
Thank you