Investment Q&A

Q: What is your top 5 US buys in order at today's price for each
Small cap
Mid cap
Large cap

Thank you

Q: Seems AEVA recently announced a smart traffic lidar thing. In previous answer you've said AEVA focuses more on automotive lidars. Does this affect how you think of OUST, since OUST also is doing traffic lidar stuff?

Q: Hello Team, Can you please rank the above companies in order of what you think will give the best returns over the next couple of years. Thanks.

Q: The most recent quarter seems to be quite positive in terms of growth and profitability trajectory - how would you assess the quarter and does this confirm a rebound for the stock or reconfirm worries?

Q: Interested to hear more about your thoughts on OUST.

My thoughts on drivers for the stock
> US based company vs industry leader out of China would be a positive
> Partnership w/ NVIDIA
> themes of robotics, physical infrastructure and industrial all seem to be bigger drivers than automotive (which may be a more competitive industry)
> Physical AI as a next growth theme after chips, energy etc
> Focus on software revenues to provide stickier revenues vs chips

Risks for the stock
> Not yet cash flow positive w/ a very high evaluation and a very high stock run up
> Intense competition
> AI risks related to software
> Low insider information
> Stock volatility is high

It has very strong analyst positivity surrounding it but it is quite volatile and seems over priced vs current levels of profitability.

What am I missing on the positives / negatives and do you continue to like this stock?

Q: Hello 5i,
First of all, I wold like to thank you for the "Five from 5i" in general, but specifically the "Is Inflation Higher Than We Think" article - a great read!!
Secondly, pertaining to the article about the fee reductions for some Vanguard ETF's, I notice that VIG is there, but not VGG. Would VGG receive any benefit from the VIG fee reduction, given that it isn't specifically mentioned. (unless it was there, and I missed it - always a very real possibility....)
Thirdly, I am looking for some current recommendations for my grandchildrens' RESP's. Their ages are 5 - 7 yrs. old. One Family RESP holds BN (up 112+ %) and the other holds VGG (+73+ %). I went through the existing RESP questions, but given the current volatility and market uncertainty, I thought I would ask for your current favourites, given the foregoing. I certainly like many of the options given in previous questions, but I feel that the environment is slightly different now than it was several months ago.
As always, thanks so much for the awesome service!!!!
Cheers,
Mike

Q: Hello Team,

Can you please rank these companies in what you think will be the best return over the next 2-3 years (not worried about company size or industry). Thanks.

Q: I bought this because I know 5I likes it. Analysts seem to like it too. Do you think this is a good time to add more or perhaps wait? Of course, hard to say where markets are headed!

Q: Considering a small investment in companies that make LiDAR sensors for the auto, robotics, mapping systems, industry. Could you comment on the ones attached, in terms of most likely to rapidly increase share price, in a two year horizon

Q: If you could only own 1? BTW, my portfolio was up 51% last year, 5i staff deserve a huge tx, not only with the stock picks but portfolio managment skills I've learned, Cant thank you enough!

Q: Hello Team,

I don't currently own any of the noted stocks, can you rank them in order in which you would purchase today based on a 2-3 year return. Thanks.

Q: Good morning,

Is the recent significantly negative momentum with Intuit a sign that it's time to move on? If changing course, would you endorse a move to LAM Research or Ouster?

Thank you!

Brad

Q: Hello,

Can you please select your top three among this list based on maximum upside over 3 years? Explain why these three were your choices. Based on potential from current levels.

Please also provide a rank from highest to lowest growth potential for the entire list again over a 3 year timeframe

Much appreciated thank you.

Q: Inspired by Ryan's recent webinar (bought Ouster thank you) I spent some time over the holidays looking at other companies in robotics and automation. I would appreciate 5i's input on which (if any) they see as being set up for success based on the idea you discussed that robotics had yet to have its Chat GPT moment and therefore was not overbought.

Please provide a brief evaluation on the growth and prospects of each one and whether they are a buy today or provide a suggested entry point if they are overpriced. Please rank from highest growth potential to lowest without respect to risk and then again with a 50% weighting on growth and 50% on safety.

SYM - Warehouse automation, robotic vehicles, automated storage. Fast growth, Walmart account (concentration risk?).

PRCT - makes the AquaBeam Robotic System, a specialized surgical robot for treating benign prostatic hyperplasia. Seems like something a lot of people could use. 43% YOY growth through Q3. Acquisition target?

Alient Inc - designs and manufactures specialized motion control products that are used in advanced automation systems (robots). Under 1 billion market cap so little coverage. Profitable

CGNX - smart cameras, vision sensors, and AI-based image processing software that allow machines to see, identify, and guide

NOVT - Smaller market cap. Limited analyst coverage driving stock price. Comonent maker for automation, medical robots and industrial systems. Profitable if expensive.

AEVA - I wish I'd asked this before today's announcement. Sell FMCW (Frequency Modulated Continuous Wave) LiDAR-on-chip, which detects velocity in real-time, unlike standard LiDAR. NVDIA partner on self driving cars. Still a tiny company after today with limited but very positive analyst coverage.

AIT - They design and install robotics cells, fluid power, and motion control systems for US manufacturers. Profitable and reasonably priced. Moving from distributor to higher value robotic engineering?

Note I left out TER, KTOS and AVAV intentionally but if you feel that either have higher potential, please insert them into the rankings. Lastly, any better suggestions that the 5i Team feels strongly about would be a welcome addition. This is a lengthy question so I would support consuming an extra credit or two if that helps you allocate time to provide an in-depth reply.

Q: Do you feel OUST makes sense as a speculative add now?

Q: Could you please rank the following stocks from most to least desirable for a new position:

NBIS, NVDA, LMN, META, CSU, MSFT, APP, TOI, ASML, NOW, OUST, ORCL

Q: Hello, can I get an update on Ouster, seems to be trending down lately, is there any cause for concern here?
Thanks.

Q: Firstly, thank you for your services.
Please list “in order” your top 10 US and top 10 CND growth focussed stocks, long term hold.

Entry prices for the top in each.

Thank you

Q: Hi I'm wondering if you think BKSY or OUST will have more growth in the long term.
I'm thinking BKSY has more of a moat technology-wise but it might just be caught up in space hype. OUST could have lots of growth but aren't there like a million companies with LIDAR technology? I guess they have the whole TAM growing with robotics and cars and all that.

Q: My goal is to have $1,000,000 TFSA, currently at $320,000 (CAD) but have $40,000 USD cash in there from trims to CRWD (ty from 2018 <3) and PLTR. For US stocks I own SOFI, CELH, AMD, GOOG, META, AMZN. My plan for my TFSA is put new contributions in CAD and put in your CAD recommendations. But for the USD I have, can you recommend some US stocks WITH buy prices (willing to wait for drops to pick up stocks at a lower price)