Investment Q&A

Q: For growth, would you buy 1, 2 or all 3...and which?

Q: I am puzzled by recent share-price movement downwards in homebuilders, especially given the alarmingly low interest rates. Are UShome builders likely to stay in the doldrums for more than a year , do you think? For example, DHI is profitable; has very low PEG (0.54%, I think); reasonably good cash flow; manageable debt &c., yet shares are going down. (Incidentally M/I Homebuilders, symbol MHO, is even better valued!)

My question however is only about DHI. Please give your views on what you think one should do with holdings in DHI if one wants to build a cash cushion to deploy when markets panic and sink. Please ignore tax consequences.

Q: EGLX seems to be in a big downtrend since April, why are investors selling the stock. Another 5% haircut today on good volume. Wonder if I should buy more, hold or move on. As always thanks for your insight. Anthony

Q: I realize that you have a generally favourable view of EGLX, but it seems overly extreme that the SP has declined more than 40% since 3 May. Any insight other than investors shunning small caps? A short attack?

Thanks as always.

Q: Peter; If PPL loses the IPL fight what do you think the stock would do ? Thanks. Rod

Q: Why no love for this stock? Looks inexpensive for the growth.

Thanks for all you do

Q: Hi Team,
Three part question. Firstly, I know as professionals you do not recommend “winners” climbing to over a certain % of ones Portfolio. However, if early investors in Apple or shopify for example would of bailed ; some would not be millionaires now. Or in some cases , billionaires where the CEO’s are holding most their wealth in their company stock. How can one hope to land that “life changing trade”(1000% or more) if one keeps trimming eternal winners ? Does it not make sense if a person finds that “winning company” to keep holding of goals are set high?

Secondly..is GSY one of those stocks, if you were to choose the likelihood of a solid company with good prospects, to choose to be overweight in and aim for that life changing 1000% move over a 10 yr or so period? I ask this company specifically because I am overweight this company and this is my goal. (Up over 200% so far and metrics still make this stock look cheap to me)

Thirdly… if you were to speculate a few different companies, either US or Cnd as your “best guess’s” so to speak of having the likelihood of producing 1000% gains over the next 10yrs or so; what would they be? Thanks for your input and deduct credits as you see fit. Thanks
Shane

Q: Hi Folks,
I currently own the following in my RRSP account (weightings in brackets ) - PG (4%), TD (13.5%), BNS (10%), MFC (3%), ABBV (6.5%), PFE (12%), BCE (14%), T (14.5%), AQN (6.5%), BIP.UN (6%), and ENB (6.5%).
I want to reduce my exposure to TD, BNS, BCE, T and PFE to bring them in line with the others - can you suggest some names that will complement the portfolio, keeping in mind I am looking for Income with some growth - long term hold.
Thanks

Q: In a receent article in Barrons a 'new' sector called 'observability' was referenced. This is a fancy word for companies that provide third party mangement of IT infrastructure of I assume large companies. They touted Datadog and Dynatrace as opportunities although expensive on an EPS basis. Any thoughts on the sector and these stocks?
David

Q: Any further comments on this fund since the last comment in February?

Q: Please comment on the earning report. Big drop afterhours. Thanks a million.

Q: Since LAC has invested 6 million into Arena (AN). What is your take on this exploration company. I think it must have good prospects as both LAC and Gangfeng Lithium have invested in it. The number of shares has also probably risen. So how much risk is there in buying this company?

Thank you

Steve

Q: Are there any companies you like in the MIC space right now?

Q: This company has shown up in Loblaw's stores. Are they making any headway in other merchandisers and is there any profit in it for DVN. Thanks Harry.

Q: Hi Everyone! Me again. I have been listening to some financial podcasts and the discussion came around to a liquidity crisis which these folks are predicting may happen in the fall. Now taking this all with a grain of salt, what , in a nutshell , is a liquidity crisis and under what circumstances could this becoming our way??? Cheers again, Tamara

Q: What is the reason for the large drop today? Would you continue to hold here or sell? Thanks Clare

Q: Recently, CP Rail went down by about 5%. This seems to have been related to a Biden administration announcement about regulating prices and profits for the rail (and for shipping). The only other rail I see the share price for is CN; CN seems to have been hit less severely by the announcement and seems to have recovered a bit better. Can you identify any reason(s) why CP was a bit more badly off? And how does CP compare to other US rails in this recent event. On a completely unrelated issue, BC (and other places of course) has experienced another season of terrible forest fires, Sparks from railroads are mentioned as a possible cause of these fires, and there have been some Orders made for the rail companies to take steps to mitigate the hazard. Are the fires a risk to CP, either for potential liability for causing the fires, or for extra operating costs with lower profitability? Thank you for your excellent service.

Q: I hold a position in XBC that was roughly 2% at purchase, but has dropped by roughly 40% (meaning the position is closer to 1% now). I still believe that this company could return to a better valuation, but that I have an opportunity to crystallize a loss before that time. I would like to purchase a placeholder investment in the same space which XBC operates, and I already have a position in CMC that I am not quite ready to increase (even though it is up nicely since my initial purchase). Is there any other company that you might suggest as a candidate to act as a placeholder for thirty days before I purchase XBC once again, after the loss can be crystallized? Conversely, would you feel that a strong argument could be made that even attempting to crystallize a loss in this position would introduce undue risk to a portfolio? Any insight would be much appreciated, as always. Thanks so much, and I look forward to your response.

Q: HI Team

I hold a small position in Brookfield Infrastructure Partners (BIP.un) and I would like your opinion on two questions.

What is your take on the long-term prospects of BIP.un if the Inter Pipleline takeover goes through? Will it be a negative or positive long-term impact if such a large deal happens?

Also, was BIP.un ethical in using total return swaps to avoid the minimum 10% holding disclosure rule? This seems like an underhanded way to gain control of Inter Pipeline.

Thanks

George

Q: Hi Guys....great service. Looking for an undervalued stock that you think could have a big rebound in the next 6 months to 1 year...do you have a few on your radar?(US or Canada)….thinking of something at least mid-cap....thx