Investment Q&A

Q: Since the oil downward spiral starting 8/2014 I have gradually reduced my energy stocks from about 15 down to just one name - CJ. In spite of the analysts' ongoing optimistic support this stock continues to be depressed. In fact, just this week, when it comes down to selling either SGY (a known under performer) or CJ, I opted for SGY since I can salvage more of my original investment.

Anyway, why is CJ continues to underperform so much? And what catalysts you can see that can pull CJ out of this slump?

Thanks for your insight.

Q: Hi; I know US stocks are not your focus but I wanted to ask your opinion on CVS. It seems like a great, stable US franchise not unlike Shoppers in Canada. It trades at a historically low valuation and below the broader market multiple. It pays a dividend. It seems like a great long term buy and hold for my RRSP. Is there something I'm missing?

Q: I have been reading up on solar energy which represents only 1% of the total energy used for now, but that should change dramatically in the years to come. Can you suggest a company or campanys which are involved in solar equipement .

Q: Hi. I am interested in putting away 10% of the fixed income in High Yield Bonds. Below is a list of high yield bond offerings.

http://campaigns.questrade.com/Libraries/bonds/Questrade_Bonds_List.sflb.ashx

Page 10 of this link has a list of high yield bonds, of which I've listed a few that seem promising:

1) AIM 4.01% expired 2019

2) XRS 4.86% expired 2021

3) PKI 4.17% expired 2021

4) PKI 4.97% expired 2024

5) QBR.B 5.22% expired 2023

Are they ok or do you have any other suggestions? Please choose two for me. THANK YOU IN ADVANCE

Q: Hi Peter & team,

What's your take on Friday's selling? Do you think the company is going bankrupt, if not what's your opinion on buying little bit once/if the price stabilizes in the coming days? Please also let me know whether the price action in bonds also suggests a much higher risk?

FJ

Q: what is your outlook on the market for the next three months and also the next year tsx dow jones and nasdaq?

Q: Hello,
May I have your opinion on selling part if my Amaya (3%) and Boyd (7%) positions to purchase Premium Brands. As I am over in consumer discretionary and hold only a 2% posit in Saputo in basics. This would bring basics up to approx. 5% and discretionary down to approx. 16%. I also hold aw.un, bpf.un cgx dhx.b and gsy. In your opinion is there a better rebalancing option?

Your input is much appreciated.
Brian

Q: Have to choose between HR reit and Car.un what do you think or is there a yet better choice ?

Q: You have been moderately positive on Cargojet. Today, RBC raised its target price from $41 to $52. Are they being overly optimistic?

Q: Hello 5i,
I hold GWO with only about a one percent gain, so not much cap gains tax to pay, and was wondering, since I know you like SlF, whether you thought it worthwhile to sell GWO in order to buy SLf. i would like to have the cash too, (GWO is in a margin account). So i would also sell it for that reason.
thanks

Q: I understand that you will be giving a speech on when to sell stocks. Since I find that selling is much more difficult than buying, would you consider posting the speech on the website after it is given ? Thanks Glenn

Q: Hi 5i team,

About 18 months ago, I invested 20K in my girlfriend’s newly opened TFSA. I had asked a question where I was looking for stocks (medium to low risk) with dividends above 3% and still have potential for some growth for a 2-5 year hold. These were and still are her only investments.
Following your recommendations I bought equal weights of CDZ, WSP, BNS, AD and WIN. I have since sold WIN for ATD.B

If I were to start over today, what stocks would you suggest? Would you recommend that I adjust the current holdings to match any new suggestions? Or would you just stay the course? Thanks

Q: My understanding on the ownership of the common shares is that 70% is controlled by insiders who take their dividend by DRIP. The dividend is now at over 13%. At this rate, they will continually dilute the 30% of us who take the divy in cash. In addition the debt levels are dangerously high. Am I flogging a dead horse here?

Carl

Q: Hi, As part of a portfolio cleanup I am considering replacing <1% positions in DSG and ESL, and adding some more cash and add a full position in OTC. Does this make sense? With the new purchase of DELL EMC enterprise..I think OTC has positioned itself for growth. Are the liabilities increasing due to this purchase? How does it plan to fund this purchase? Do you think it would be better idea to wait for the benefits/issues due to this purchase to sink in?

Q: What is your outlook on the Canadian dollar for the next three months and also the next year?

Q: You said on an earlier post that you are surprised GoEasy went up 30% during the late market weakness. I came across a post on StockHouse. I don't know if this information is true but here it is:
"Citi is selling its CitiFinancial operations in Canada: 200 branches for a rumoured price of about $400 million. Teachers' is apparently interested. It is a similar business to GSY, although I think they offer mortages as well as consumer loans. Even so, the 200 locations / $400 MM translates to $2MM per location. GSY with about 180 locations and a market cap of 305MM is about 20% less ($1,680,000 per location). So, on that basis alone, GSY SP may rise toward the CitiFinancial valuation. On top of that, GSY has had a single digit P/E for years and still does even with the recent SP rise. If the market bestows even a modest multiple expansion to 10 or 11X, that would push the SP up as well. It is possible that GSY could hit $25 - $28 based on the CitiFinancial metric and over $30 with multiple expansion."

Q: this stock has been rising.any news?

Q: What is your view of this company. Others seem to like it. Thanks very much

Q: ENB. and TRP: I've owned both for 6 years now; so, my returns on a ACB is very high - however, both are carrying very high debt loads of $50 to $45B on their books. Should I be overly concerned with holding these stocks over the longer term?

Q: Hi 5i, can you tell me why CCL.B is showing a negative forward PE ratio? I was looking at starting a position but am wondering if this should be a concern.

Thx much.