Investment Q&A

Q: Hello Peter & Team,

Could you give provide a "mini-report" covering the reasons for inclusion of Valener within your income portfolio. Obviously its yield is one factor but your views on management, its position within the industry etc would be appreciated. Apologies if this has been provided previously, I may have missed it.

The service you provide is undeniably the best I've come across. Thanks.

Q: Hi Peter
Could I get your view of thier 3Q results and why they may be down on the day even though the vast majority of oil stocks are up. Thanks Gerry

Q: Hi- your analysis of the latest please. It looks like loan losses are becoming more of a problem and eps is suffering. Time to cut and run?

Q: Peter; In todays Globe , pge.B10, there is a article by Tim Shufelt on active management VS ETF showing why ETF's still are the best route. Rod

Q: I have been watching both copper and Brent for an entry into both FM and BDI (high correlation to Brent and WTC). Both stocks are up today and particularly FM. But can any stock in either segment do very well as long as the underlying resource continues to tank? There is no signs of recovery in either that I can see.

Q: I've started to follow this stock recently after I read about it on BNN. What are your thoughts on the management, product offerings and future.
Thx
Jim

Q: I'm looking at investing in a high potential growth stock in pharmaceuticals with a 5 year time horizon. I have narrowed it to three, GUD, Merus (MLS) or Cipher (DND). How would you rank these three as choices one to three. Any others to consider?
Thanks
Jim

Q: Good afternoon,

I own SGY and FRU. Each of them are about 5% of my portfolio. Between those two, which one has the safest Dividend?

Thank you

Paul

Q: Would you buy CF today if you have a 2 year horizon?

Q: Hi, I wonder if you could explain the outperformance of adw.b vs adw.a. I have owned the a shares for a couple of years and while not disappointed I am wondering what it would take to get this somewhat "constipated" stock moving. Thank you very much.

Q: Question about averaging down or buying on major dips.

I have seen the comments "we don't like averaging down" on a number of occasions.

If I consider a stock like AHF, which I believe you liked when you prepared your report on this company and still like today, what would be wrong with averaging down (assuming we keep our stock weights somewhat in balance and possibly increase our exposure a little bit).

The way I read your Q&A to AHF is:
- The fundamentals have not really changed. In fact, they are possibly better. The focus is on higher margin business.
- The dividend (7%) is secure with good cash flow. (This is a great dividend which we can collect while we wait for the stock to go higher. Not many companies pay 7%.)

As a result:
- If we buy the stock at this price, our risk is greatly reduced. The stock is selling at 70% the price it was recommended at and your opinion of the company has not changed. It is like going to the store and buying stuff on special.
- If the stock goes back to the price it was at when recommended ($1.22), that is 42% upside. If we assume it takes 2 years to do so, that would be a 21% annualized gain, plus about a 7% dividend per year for an annualized gain of 28%. And this assumes the price only goes back to the price it was initially recommended at for purchase.

If averaging down is not a good thing, when fundamentals are same if not better, and our risk of financial loss is lower (as preservation of capital is paramount) and the dividend is exceptional... Then as some people would say, is it not time to back up the truck, is it not the time to be greedy when others are fearful...

And if it is not a good purchase at time price, then should we not get rid of it and move on.

Your valued opinion is greatly appreciated. I've learnt a lot.

Thank You.

Q: I'm looking at buying into either WSP or Badger (BAD). Which do you believe is the better purchase as a growth stock or (assuming sector weightings are in line)do you think taking a position in both is a good idea.
Thanks
Jim

Q: Appreciate your views on current results.
Thanks
John

Q: Hello 5i team

Saw your answer to my question yesterday. Thank you for that.

Anything else you have seen or heard which might explain the 6% plunge in share value since the beginning of the week? (down 12% in the last 10 days)

Thanks for all you do

Gord

Q: Hi Peter,

Can you please comment on the latest earnings results?

Thanks

Q: May I please have your advice on what stocks to add to the following (beginning, <2-yrs) portfolio, and/or other recommendations.

My time horizon is 10+ years, although with draw-down expected to start in 3-5 years. Low risk tolerance (except for one "mad money" stock as will be evident!). Strong leaning toward dividends with DRIP wherever possible.

KBL 14%
WSP, DH 13% each
CSS 12%
CPX, PKI, NA 10% each
AM 8%
WJX 6%
TCK.B 5%

I know it's "mad", but I'm interested in keeping the AM for the time being.

I'm needing to redeploy the CSS proceeds into probably 2 stocks, and am leaning towards AFN & CSW.

Thank you folks for all you do, and for any advice you are able to offer here within the constraints of the Q&A format.

Q: Hello and thanks for your amazing service. I have a question regarding HWO and WCP. I own both companies since end-Aug 2014, and they are down quite a bit from Aug levels. I still like their dividends/fundamentals at current levels and thinking about doubling up my holdings in these two. HWO and WCP combined are approx 1.5% (0.75% each) of my portfolio. My current [direct] exposure to oil is about 12%. Would you recommend to double HWO and WCP at these levels? Is their dividend safe if oil dips to $65-70 level? I am fine holding these stocks for 3-5 year term...
Thanks.

Q: I bought Argent EN-B CV 6.5% 31 Dec. 18 I paid $9000 and it is down 39% since purchase. Will I still get all my money back at the maturity date? They are still paying the interest each quarter. I assume if they go bankrupt I won't but what if they stay solvent.
Many thanks, and I will keep recommending people to your site.
Sincerely, Al

Q: Hey folks, I've held DCI for a while now because I have confidence in their management, but despite three good quarters the stock price just won't move much. Could I get your comments on their latest quarterly numbers, and whether you would hang in there with this stock. Thanks.

Q: Hi 5i team, FCR reported Q3 report on Nov 3rd. Would you pls. give your opinion on the results. Would you recommend it at today's price for RRSP and TFSA accts?

Thank you!