Investment Q&A

Q: Good Morning!

Both ECA and CQE are trading at ultra low multiples. Realizing the challenges ahead facing the oil and gas industry, which company would you consider to be the best speculative value investment for midterm/long term growth? Or, is there a better choice that I have not identified?

Q: Hi team:
as a Canadain investor I have held the above for a few years, on BNN
market call late last week, the speaker was answering about a question re: pipeline and energy stocks in general, the caller was implying that the US does NOT want us to sell our oil and gas to Asia and the 3rd world at the Market price, but want to buy our oil cheap, I understand that as a Canadian, it would make sense to ship our oil to the East where the refineries are (we are importing oil from other countries); the BNN speaker also mentioned that all the provinces due to political reasons refused to co-operate to have a pipeline built to ship the oil and gas from Alberta to the East coast (The Federal govt does NOT want to see that either)
What is the real future for CNQ; SU, CVE and the big name oil companies ? I do think that unless one trades them as short term trade, the outlook for the long term is bleak for the investors due the the negative political situation. Many thanks for your comments and insights
Michael

Q: Hi 5i team,
Using the following classification: micro-cap < 250 < small cap < 1000 < medium cap < 5000 < large cap. 5i recommended to an average investor (?) a portfolio allocation of: micro-cap: 10%, small-cap: 25%, medium-cap: 35%, large-cap: 30%.
I believe in and am practicing capturing the liquidity premium of small cap, and investing in companies followed by very few analysts, companies that will start dividend or that are growing their dividend. I have seen several companies in which I am invested slowly migrating up towards the next group cap. What is your asset allocation capitalization recommendation for an patient investor. I don't like the term aggressive investor, I prefer to say: not nervous, who can ride a market correction, and who is willing to reinvest in his best selections in market downturn. What additional risk am I bearing versus average investor? What economic environment should I fear?
Under the assumption that this portfolio is diversified in 20 companies and between industries. I won't withdraw from capital for the next 15 years.
Thank you for your collaboration, Eric

Q: I am interested in your opinion on Prism Medical.Thanks for the invaluable website.

Q: Peter; Last week I asked a question re the large insider sales of PHM. You basically answered my question in reply to " Stephens" - so I did not need a reply- my point is there a way I can recall/ cancel my question so you don't have to bother with a reply and save your group the time? Thanks..rod

Q: I think on June 17 you mentioned tpk as cheap at 12X earnings. I seem to see fy2014 earnings .45/share and q12015 .11/share This is more like P/E 20. Am I missing something??
Thanks Jim

Q: Hello All,
The silence is deafening. Since Lehman Bros., Central Banks have been in lock step in printing money and keeping interest rates artificially low. Both inflationary. Commodity prices have plunged. World economies have been relatively healthy.
The stock markets and real estate have performed. WHY THE DOLDRUMS IN COMMODITIES? No one seems to be discussing the implication of such huge worldwide debt and how we work ourselves back to normality. Such silence! Your thoughts, please.
L
Thank you,
L

Q: Hi Peter
Thanks to you folks I'm up 20% on GILDAN. However, I read where 18% of the stock is being shorted. Should I be concerned about this. Thanks, as always
GUY

Q: Please provide your analysis on TELUS' stock in the next 6 months, what are the key risks and opportunities ahead for this business?

-Should we expect growth within core services of wireline, wireless?
-Given CRTC's ruling for pick and pay TV packages and also the change to 2 year cell phone contracts (exit contract free of charge after two years - what is the impact of these regulation changes on TELUS?
-What is the impact of losing the acquisition battle with Rogers on acquiring Mobilicity? Does this immediately impact TELUS' stock price?

Q: Hi PETER ! i curently hold 1000 Shr. w.$=6.20 (average)in a TFSA Account. Last Closing=$5.23. i do NOT need This money before a Better Investment Opportunity. Keep Holding /or Sell / When ??... YOUR Advise = Highly Appreciated . [i Mss YOU & F.Tardiff from BNN / at Least i find YOU] = Best Rebards / peter.

Q: Peter & 5i team,

Why do you frequently recommend WSP as a dividend growth stock when they have not raised their dividend since 2008?

Q: MDA hit a double top @ some $101 in 2/15 & 5/15,then dropped to this level.Note it increased $1 plus on 7/16 & then dropped $1.03 on 7/17.It reports on 7/30.What do you think of the results?Is this an entry point no?.Appreciate your usual great services & views.

Q: Having just noticed that the two main principals in PHM "privately disposed" of over 13 million shares each, I am wondering if my recent praise was premature. What is the difference between a disposition being carried out privately or publicly? Would privately mean they may have simply transferred their shares to a separate company as both now show zero shares on Canadian Insider?
Thank you.

Q: Confusion abounds me again, a previous question on portfolio allocation consisted of 25% Income ,55% Equity and 20% Growth (high risk) ... I have not bought into high risk portfolio and my other are a 50/50 split ... I am 59 and in the first year of retirement and have set up LIF,RIF etc to access monthly payments. And now your latest news letter says to make sure I have international diversification in my portfolio(s) ... do these 2 portfolios , Income and Equity cover this international allocation?? Disclosure ,I am a follower and am emulating these portfolios to a T , TY for all you have done for all of us.

Q: I would appreciate your thoughts on the movement in price today (up nearly 10% today). I realize price is still down 20% from 3-months ago, is this simply the market adjusting as the stock was oversold, or was there an announcement today I'm missing. Appreciate your insight.

Q: Dear Peter and team:
I know in your recent answer to a question about TFSA, you had suggested a US stock and an ETF (VIG) It is my understanding that US withholding tax applies to TFSA. (not to RRSP.
Therefore wouldn't it be prudent to buy either Canadian stocks in TFSA or pure play growth stocks from the US or Europe or Asia. My question then is this: what are such pure play growth stocks in the US/Rest of the world that I can hold in my TFSA without worrying about withholding tax?
Always appreciate your measured answers.

Q:
Peter; I am sending the below re CPH and the June 17 Question re the technical chart then saying it could head to $1.75-2.00. As you said it's for the brokers benefit.Publish if you wish.Rod

Q: Amaya did not get Bwin. What are the implications for aya?

Q: What are your thoughts on KP Tissue? Thanks.

Q: Good-day!
My niece (33 years old, well paid employment) has about $15K to invest, will add at least $10K every year, has no idea what a dividend is (and doesn’t want to know!), and wants my advice. I am suggesting a TFSA with probably a few ETFs, or possibly a basic 3 or 4 stock “beginner’s” portfolio inside the TFSA. For a long term holding I would appreciate it if you could you provide a few suggestions both from ETFs and a few basic stocks, perhaps with the thought of a minimum of $5K in each, maybe incorporating drip. This would all come with the usual wish list of course of some foreign (US at least) exposure, maybe some dividend income, secure payout ratios, reasonable ROE, and capital security. Not too much to ask, of course! ... and if I do ever spark her interest in the investing melee, then my first advice will be a subscription here!
(This question may have already made it to you earlier this afternoon, but I am unsure after some computer hiccupping after I pushed send)