Investment Q&A

Q: hello 5i:
seems most people have small cap queries, so this is decidedly not that type of question. Opinion on MCD as a value stock that is down quite substantially (is there a reason?) please.
thanks
Paul

Q: I know that you do not provide much advice on the Junior sector which I hope you expand in the future as I value all your advice. My question is on a Canadian IT Security company - Route 1. Thanks for any info you can provide. I like the product but not the amount of shares outstanding. Jim

Q: Hi Peter and team. I have been thinking about your advices that increasing interest rate will have a negative influence on REITS. I also hold A&W, Boston Pizza and Enercare (aw.un. bpf.un and eci) for income. Would these also suffer if rates were to rise? Thanks John

Q: Hi Peter & 5i: Is Bonavista (BPN) in a similar boat to Longview? Both of these stocks have been moving steadily lower. LNV's managment's recent guidance appeared to indicate that their 2013 budget, for maintaining their distributions and otherwise treading water, required somewhat higher nat gas and oil prices than present levels, as well as maintaining a reasonably favorable (i.e. small) discount from WTI pricing. They also indicated that they had no protective commodity hedging in place. I'm wondering how similar BNP's situation might be. I know that BNP is a gas-weighted producer and that they have about 40% of their distributions going into DRIPs. Is it possible for you to estimate what BNP would need as an average AECO gas price in order to continue paying at their current distribution level, make their debt maintenance payments, and fund their cap ex sufficiently to replace natural production declines, all from FFO? Also what price they would require if shareholders were to stop reinvesting their dividends? I realize that their are enough moving targets in these calculations that I can't hold you to the numbers but estimates would be appreciated in any event. Thanks!

Q: what can you tell me about reservoir minerals rmc.v thanks terry

Q: Wondering about JE (Just Energy) vs KWH.UN (Crius Energy Trust). KWH was a recent IPO at $10. Now trading at $9.15 - 10.8% yield.

Some are recommending selling JE because what they call distorted financial reporting and a current payout ratio of over 150%. The recent CPPIB investment seemed like a vote of confidence, but will this mean that they could force JE to reduce its dividend and would you agree that there’s a financial reporting issue?

Do you think one looks better than the other? Similar business.

Thanks

Q: Income Investor Question:
1. As one who prefers cash to a return on capital, is there a source to use in order to find out which companies issue a cash dividend?
2. Is my thinking regarding cash vs. roc misguided?
Thank you in advance.

Q: Hi Peter - any recommendations for companies who's stock prices have been overly beaten-up by tax-loss selling this year?

Q: Hi, guys. Do you think a move out of di.un (been holding since $10.10) and into ala reduces the risk of my portfolio while keeping the same growth potential? I have been overweight the reit sector, including d.un, for the past few years and am looking to build my positions in the pipelines (I have been holding ppl, ipl.un for the past few years and have added enb more recently). I intend to hold most of my reit positions because I like the yield but also want more exposure to the pipelines because of their growth. What do you think?

Q: Hi Team
What are your thoughts on CET ( Cathedral Energy)?
Many thanks.

Q: Peter; With Harper closing the barn door on oil sand takeovers do you see companies with diversified assets, including oil sands, ( I.e.PWT), spinning out their oil sands to make them still either an acquirer or being available for local takeovers/mergers ? Thanks.

Rod

Q: Hi Peter can you give me your thoughts on Centamin Egypt "CEE" based on the last events. Would it be worth averaging down at this point and hope for a recovery to try and recoup some loss. Thanks, Nick

Q: What is your opinion on pbn at this price level?

Q: PZA.UN - T - PIZZA PIZZA ROYALTY INCOME FUND would recommend this one for income and why. very happy with you service
thanks
Yossi

Q: On Mainstreet Equity - MEQ - there's one statement in today's press release that bothers me, "The U.S. is another area of growing interest for Mainstreet." I cannot fathom why Canadian companies that are excellent at what they do here continually try to go to the big US market only to have their heads handed to them with big financial losses. Why not just stick to doing what you're good at? So long term, if they do enter this market, would that make this stock a sell? Thanks, Jeff

Q: Your outlook on NFI-T? Order book looks good as well as their debt.

Q: At least one BNN reporter and a growing number of other reports suggest REIT's are due for a significant pull back because they have been run up by investors looking for yield. Do you feel a pull back is imminent? Why or why not?

Q: Hi there, do you have any tax-loss candidates to buy this week - ones that have a longer-term upside and good chance for improving company fundamentals also?

Q: Hi, I have been made aware that rimm will be delisted from the Nasdaq. How would this affect the share price at least in the short term?thx

Q: Peter,

Can you give a bit more insight into CLQ as to why it would be a safe/risky investment. They are going to produce 20,000 tonnes of lithium carbonate with a first year EBITDA of $33M. TLH product mix was a bit different as they had more of the low margin lithium products compared to CLQ. If ROC or someone else comes in with a takeover offer what would be a reasonable offer? Also with the smooth production rampup in the next few weeks do you see a runup in price. Thanks