Investment Q&A

Q: I know one can't time the bottom. In your opinion, are we near a bottom or at a point where you would be comfortable suggesting some buying opportunities in this sector, or would you advocate waiting longer?

Thanks for your advice.

Q: In 2011, I purchased 2000 shares of CCO for growth in my RRSP prior to the collapse of uranium prices. CCO has recovered a bit but I am still down 33%. I am toying with selling now, absorbing the loss, and redeploying the approx. $42K to higher-yielding stocks like FRU or AW.UN with potentially better medium-term growth prospects. Now retired, I want more income and think CCO is dead money, at least for the next few years.
I would welcome your opinion on this approach.

Q: Peter:

Caldwell Partners International (TSX: CWL) released fiscal 2014 report this evening and the results look outstanding year-over-year. They even increased their dividends. This stock seems totally mispriced, even on a trailing basis. Do you agree?

Q: Good morning,
I would like to know your opinion on their latest quarterly earnings?
Thanks for all your good advice in a volatile market.

Q: Hi 5i Team
Referring to my question of November 13th... should I invest in TMA, QST or increase DHX or SGY or another higher dividend paying but low share valued stock to diversify sectors?
Thanks for your guidance.
K

Q: Hi 5i Team. Would really appreciate your current thoughts on Axia Netmedia as a growth stock within a senior's portfolio. Too risky or worth the gamble in a TFSA or ???. Thanks for your valuable advice. Much appreciated.

Q: IPL raised there dividends on Nov. 6/14. What is your view on this company looking ahead 2 or 3 years? Is another pipeline company a better investment?

Q: Hello 5i team

Long term holder... have been reading comments in the forum but have not had the opportunity to see anything accounting for the 9% drop in share value since 60 days ago. Obviously the market correction probably accounts for some of that... anything else going on? Does the upcoming split have something do with this?

Thanks for all you do

Gord

Q: Peter can you comment on the current price of temple reit -seems overdone to me -Kim

Q: Your expert view on Kel's results today.Is it a entry point or add-on in light of the terrible sector( oil & gas down quite sharply today).Appreciate your normal excellent services and opinions.

Q: To 5I Team,

Thanks very much for your valuable advice. Could you tell me the difference between the stock symbol DHX.A and DHX.B. You just mention DHX. Which one should we consider?


Cindy

Q: May I have your assessment of the latest quarterly results
of Logistec (LGT/B).
Thanks, Tim.

Q: Painted Pony Petroleum reported November 11 and is down around $1 today. What did you think of their results and also the bought deal financing that has been over subscribed?

Q: Peter & Team, back to Delphi, I am afraid. We have been floundering to explain the precipitous share price decline over past 2 months. A BNN market call participant was asked about DEE recently. While a core hold of his, he was critical of management for not raising capital when prices were in the high's of $4 citing an over geared balance sheet. I wonder if we have been underestimating the adverse impact on the balance sheet of the Wapiti sale collapsing? Is the leverage all that bad? Debt to equity is $165 million on $255 million; debt to assets is $165 million on $518 million; net debt to annualized FFO is 1.9x (albeit higher than the Crescent Point "gold standard" of 1.1x); adjusted quarter EBT is $6.6 million (adjusting for property gains and financial contracts) about 2.3x interest cost- does seem a bit tight.

I also note projected gas price looks low at $3.80 per mcf and they have done a lousy job hedging where contract prices are on the $3.70 per mcf range.

Your comments, please. Thank you.

Q: I should've waited a day to ask about EQI Could you give me some colour on their latest results?

TIA

Q: Hi, This is more of a trading comment to supplement your response to Steven's question about Cineplex weakness at the open, yesterday. I did not like the results too and sold half of my longtime position at open. But bought back 0.75 higher within a few minutes when noticed strength. I usually place a counter Buy order at a slightly lower price and watch, if I like a co. long term (like Cineplex). It has helped many times. Thanks

Q: Northern Offshore, NFSHF on the pink sheets has really dropped and the yield is very high right now. Do you think dividend will be cut? I was also wondering if the dividend as well as any possible capital gains would be exempt from any witholding tax if I bought it in my TFSA account. Would now be a good time to buy?

Q: In response to Steven's question on Cineplex (cgx), Patrick Horan, who has been short Cineplex since at least August, mentioned on BNN, that the CEO of Cineplex stated the possibility of acquiring Carmike Cinemas as one option available to create shareholder value. Horan thinks this is what caused the spike in Cineplex, yesterday.

I'm not certain I believe that narrative but I started researching US cinemas and it seems like quite a few publicly traded cinemas, in the US, are posturing about making acquisitions or putting themselves up for sale (Regal Entertainment, Cinemark etc.).

So perhaps it was takeover speculation in the sector that partially fuelled Cineplex's move yesterday.

Q: Please explain the drastic drop in the stock price. It seems to me that Yamana gets beat up more than the other gold stocks. Also as a new investor in the markets can U please tell me how the market works . If a price of one dollars per share is sold , I assume that the co gets the dollar, but if the price drops to 90 cents does the company have to pay back ? Thanks Don

Q: Hello Peter and team,

The carnage in the energy sector continues, so it is time to see where my non-registered portfolio really is on its energy weighting. Please help me understand if I am really overweight in energy. I know it is a personal choice what percentage of a portfolio is exposed to energy, and the numbers being tossed around are 10% to 15% being ideal for most investors.

If I use the TMX sector categorization then I have 33% of my portfolio in energy. As of the close on Nov 13th the stocks are:

PPL (+52%)
IPL (+37%)
ENB (+29%)
WCP (+22%)
SCL (-3.5%)
CPG (-7.6%)
SGY (-10%)
TOU (-18%)

But your sector categorization is a little different. You consider PPL/IPL/ENB as utilities, and SCL seems to be a basic material. If you slice it that way my energy component is 16%, utilities 14%, and basic material at 2.8%

When you say a weighting in energy of around 10% to 15% is ideal, would you include the pipelines, and material stocks like SCL in that weighting?

Which one(s) would you trim or eliminate to reduce the energy weighting?


Paul J.