Investment Q&A

Q: Hello Peter and the 5I team

I have watched MRC and MEQ for some time, they don't seem to ever trade above book value. I realize that they pay either no div or a very low div, is this the reason why they trade fairly low compared to their P/B ratio? I expect that most real estate investors prefer REITs because of the Higher Div. Do you ever see a point when these companies will trade above their book value? Both companies have decent balance sheet's in my opinion? Whats are your thoughts on these companies?

Q: Hello Peter and the 5I team

I was wondering what do you consider the pro's and con's of MCR (macro enterprises. I realize it is a small cap and you probably don't follow it but your thoughts would be appreciated.

Thanks

Q: Excellent article on selling too early. Intertape Polymer Group (ITP) may make a good case study regarding this. The stock has been on a parabolic ride up for some time. They surprise on the upside; they have made great strides in reducing their debt; their gross margins are improving; they just doubled their dividend; and they are fast approaching a 1 billion dollar market cap. Would this be an example of a company that shouldn't be sold too soon despite the rapid share price appreciation? Forward P/E < 15 and PEG < 1.

Q: Peter; Is there a U.S. ETF that would cover the fast food restaurant sector? Thanks. Rod

Q: Good morning, Peter & 5i team: Searching back into the questions I've been unable to find any about graphite/graphene companies, so I guess I'll take the first plunge! Would you care to give an opinion on the future of the graphite market, and how would one invest in it, if at all? Would Focus Metals (FMS-V) or Northern Graphite (NGC-V)or similar Canadian companies present possible long-term investment opportunities? Or, would a larger mining company like Teck Resources be a sounder play? Your opinions are much appreciated. Many thanks, John.

Q: I know that you consider Norbord a buy, but it has gone down
since March.
What do you think of Int'l Forest? It was recommended on BNN
today.

What a great service you give. Thank you, Thank you, Thank you.

C.Van

Q: is MDA a good buy at this price?

Q: Greetings,

Reitman's (RET.A) results came out after the bell on Wednesday, and they were abysmal across the board.

I'm assuming the stock price tanks on Thursday. At what price should one perhaps get tempted? Or are their restructuring efforts so far behind the curve that any price is too much until they make more radical changes?

Thanks, Randy

Q: Your opinion on IFP.A, CFP, NBD, which would you prefer , additionally, is it too late in the cycle to jump in.
Thanks for the great service you and the team provide.

Q: Mr. Hodson,the consensus recommendation provided by Thomson Reuters for the following oil sands producers is as follows:
SU 1.86, CVE 2.13, CNQ 2.22, IMO 2.67, COS 3.11 (on a scale of 1 to 5, the lower the better)

Does that make sense, and is SU currently the best ? They all have enormous reserves, with no exploration risk. Is there some meaningful advantages to having some synthetic crude (CNQ and 100% for COS)?

Q: Could you please give me your opinion on GXI and their outlook.
Is it worth buying now.

Thank you.
Milan

Q: Hi Peter & 5i: Just a suggestion and a few comments on tax loss selling and superficial losses. The suggestion is that something like "strategies of tax loss selling" might be a useful portfolio management blog topic.

The comments are these: If you are worried about the superficial loss rule when selling a stock that is down significantly, think hard about what you might want to do. Imagine you have sold the stock and you now have the proceeds in cash. You can take that money and do whatever you want with it. You can invest in any stock within your discount broker's universe. With that kind of potential at your fingertips, does it really make sense to buy back the same stock that you just sold? What would that decision be based on? Is it any different than your thinking if you had not sold it but were coming to the market with new money?

Second, if you are selling something that is down because an entire sector is down and what you are concerned about is not having exposure to the sector (e.g. golds), in many cases you can pick a different stock from the same sector that is down for the same reasons. There are a number of good gold stocks that have all been trashed this year. If gold goes back to $1800, they will all have blistering upsides, not just the one you might be selling to crystallize the loss.

If I try hard enough I can imagine a situation where I might have a strong conviction that an underperforming stock is just about to turn around (within the next four weeks!) and rocket higher. It pretty much has to involve a significant catalyst event that I am evaluating correctly but that almost everyone else is missing. That is an extremely rare circumstance and not one that usually applies to tax loss candidates. One option of course is not to sell the stock. But investors should probably be wary about being guided by an emotional attachment -- of not wanting to part with a stock that has hurt them "just in case it might go up." If "just in case it might go up" isn't a good enough reason to buy a stock in the first place, it probably isn't a good enough reason to buy it back immediately after selling it for a tax loss.

Q: Anything of concern in the significant price drop in Inter Pipeline - IPL - today? Or did it just get ahead of itself?

Q: Thanks for providing such a great service. I would like to get your thoughts on Lonestar West (LSI). I had BAD for quite a while and sold out of that position (at a very nice profit)maybe a little early and am thinking of using some of the profits to purchase LSI.

Q: Hi Peter
I am up 75% on magna ... Should I be taking profit or is there more to go at 84.00?
I also bought winpak at 18.00. ... Is this still a good company to hold .?

Q: I would like a current update on DDD 3 D printing and a comprehensive report if possible Also please explain your comment in the January 19 question response "The short position is 25% of float so if earnings continue to be strong shot covering will also boost stock?

Q: Hi Peter. I am thinking about tax loss selling season which may get underway soon. Could you tell me if the 30 day rule applies if you sell a stock out of your cash account and repurchase it in your RSP or RRIF? Thanks for your help.

Q: Hi 5i Team, I was wondering about your thoughts on the recent trading of Amaya AYA. Price dropping and low vol. Just taking a breath or something more. Thanks as always!
Deb

Q: Hi, could you give me a quick summary on Twin Butte Energy TBE
Thank you

Q: Good Afternoon to all
TD Bank issues step-up notes callable every 6 months by issuer. A new issue October 2013 due October 2018 pays from 2.40 to 3.40 over the period. Considering the current low rates and risks of bond ETF'S would you recommend a small purchase 3% of total portfolio in this issue?
Thanks