Investment Q&A

Q: hello
like to start a partial position
on DRX
what would be a good entry price? it has been on a delcine
thanks
Michael

Q: Hi, The stock has been on a precipitous decline, almost every single day( Down over 35%, from post earnings high ) and can's seem to find a floor. The earnings were considered to be spectacular, but what spooked the market, perhaps was the owners' sale of 2.8 mln shares @ $17.31, being 8.5% below the prevailing market price, causing a surge of sellers and profit takers.

Most of the infrastructure/steel fabricators companies stocks are doing excellent, but DRX happens to be an outlier. Should this be a red flag and a concern ?

5i recently bumped the stock weight in the Growth Portfolio to 2.5%, which speaks of your conviction.

Do you see the market sentiment shifting and stock trading back to its recent high, any time soon?

Thank You

Q: Which would you prefer going forward at today's prices?

Q: The long term chart of this one shows the current price back to where it was in 2002. Is that correct?

Thx

Q: Good Morning, I am currently looking to add to my industrial holdings. I already own TIH and ATS but I can either build up my ATS position or introduce DRX to the mix. Your thoughts please. Thank you

Q: Hi, We have some large capital gains crystallized this year, as a result of trimming of some overweight holdings and rebalancing of our Taxable account portfolio. The two securities, we have some losses in, are DRX and TVK. We are toying with a plan to sell those positions in full ( 2% and 1.75%, respectively) in order to book some losses to help us offset the large gains.

We also intend to buy back full or partial positions, after 30 days, as these are some of highly recommended companies by 5i.

Considering that both stocks are trading close to their recent lows, do you see any merit in this strategy ? Are there any catalysts, in the near term for these companies, which could be favourable to stocks but pose a risk to our buyback plan ?

Thank You

Q: Hello, I know 5i like both of the above but if only one could be bought today for a 3-5 year holding period which one would be best. Thank you

Q: Hello Team,

I was wondering if you could rank the attached 12 companies from 1 - 12. I have some money to deploy in my cash account and already own all 12 in my TFSA/RRSP. Will be a 3 year hold.

No worries on size, risk or industry, looking for best returns only.

Thanks!

Q: I am up 140% on NVDA and 65% up on DRX ( DRX has lost some gains recently

I am looking to maximize gains for the next 2 years.

I am planning to sell half of my NVDA shares and all my DRX shares to buy MU and AVGO.

The thought is that I want to cash some gains from NVDA and DRX might not grow much after the recent insider sale.

Does this sound like a good plan? Or do you think that NVDS, AVGO and MU are in similar markets and would suffer once AI-hype dies down in the next 2 years?

Do you have other alternatives for a 2 year hold? I am buying with Canadian dollars. So stocks need to be listed on TSX or NEO.

Thanks

Q: In your answer to Kim yesterday, you indicated that there had been no news to explain the decline in DRX. However, after reaching a multi-year high on June 11, there was a trading halt on June 13 to announce the purchase and cancellation of almost 2.8 million shares from an insider family at $3 below market value. The shares have been on the decline since this announcement. Is it possible this large insider sale is being considered as a lack of confidence in the stock or an indication that the stock has perhaps maxed out in the short term?

Q: I have a large (15-20%) holding in CSU, as it has grown really well. They say to keep running with your winners; as I continue investing, would it be better to continue slowly adding to my CSU position, or to work on diversifying my portfolio? If diversify, I am obviously looking for other stocks that will compound at a high level over the long term. At today's valuations, in which order would 5i recommend buying these other stocks? Similarly, to diversify, does it make sense to sell some CSU to reinvest in any of these other stocks? Thank you so much!

Q: What is the problem with DRX?.This is now down 25% plus from earnings?

Q: I have narrowed down 4 choices of Industrials to add to my portfolio: DRX, HMM.A, HPS.A and BYD. The reason is they are all currently under valued compared to fair value according to Morningstar.
Please rate these 4 in descending order of confidence. Preference is growth in the next 3-5 years. And also please include suggested entry price. Thank you very much.

Q: Hi, The recent sale of 3 million shares by the owners' family members at $17.31 appears to have placed a near term top on the stock, which continues to trade well below this level and 20% down from their recent high of $20.80. Do you believe this to be the primary reason for its weakness and loss of momentum ? What should investors expect from the company in order for stock to break out of this impasse ?

Do you still see stock reaching $20-$25 level in 12-18 months ?

Thank You

Q: What are 5-6 stocks 5i would pick that are Canadian, profitable, and less than $1 billion market cap for the higher risk/growth part of a portfolio, to hold for the long term?

Q: Do you thing Small/Mid cap companies will do well in next 2 to 3 years?

What are your top 5 Canadian and US names in this space that you would buy today?

Thanks
Tim

Q: If you were looking for best overall return, how would you rank the following equities for the next two years: BEI.UN, DIV, DRX, GIB.A, HME, HMM.A, NVA. What would you suggest purchasing each at? How would you rank them for risk?

Q: Hi, All above stocks have been beaten down over past few weeks, after a strong run. They are now trading at much lower valuations compared to their larger industry peers in Canada and US. Power Infrastructure, Construction, Industrial and Banking sector have been in a steady uptrend for most of this year and growth is expected to be solid in the foreseeable future.

Just wondering, if they are simply following the trend in US markets where small caps continue to lag the market. What are your thoughts and do you see the trend reversing anytime soon ?

On a different note, ADF Group stock is now trading below $17.31 ( price at which the owners sold some shares recently } and Terravest trading below the recent secondary at $74.25. Some investors seem to be freaking out ?

Thank You

Q: Canadian Investment Regulatory Organization Trading Halt - DRX 06/13/2024

Can you explain this?

Thank you.

Q: The super brief flurry of interest in ADF seems over.Short of major material contract announcements;is there any reason to hold this name until next earnings?