Investment Q&A

Q: Can you comment on DRX from a valuation and prospect point of view.Is their order backlog significant?

Q: If I may add a follow up to your answer to Michael regarding concentration of business. While DRX supplies steel structuring for many different buildings throughout the US, their contracts are with the general contractor/project manager who has been hired been hired by say Eli Lilly to build 12 buildings in Boone County, Indiana. The large contractors (eg Fluor Corp) like to work with companies that have a proven track record of quality and on-time reliability. ADF Group has a terrific reputation and has the most automated steel structure plant in North America. The huge large scale building taking place in the US ( semiconductor plants, battery plants etc) require a company like ADF to meet their demand. If you are good, there is lots of repeat business from the same large contractors.

Q: Are you concerned about any of these factors?
Four clients contribute to 69% of the total revenue.
The U.S. market accounts for approximately 89% of revenues.
Deferred Income Tax Liabilities increased from $9.2 million to $15.9 million, marking a significant rise.

Q: I am setting up an income RRIF and thanks for all your your answers to my questions. I would like to add one potential growth stock because that is me. It won't be a huge % say 3. Can you suggest a couple CAD and USD each? Thanks again. Dan

Q: According to Yahoo finance , HMM has a cheaper PE. How does it compare to DRX in price appreciation ? Thanks a lot.

Q: Hi team,

About 6 month ago, you provided a list of 10 stocks you considered "high conviction" buys. Thus, I bought VRT, HPD.A, LLMN. I have no regrets so far....for good reasons.
Grateful if you would provide your actual high conviction list, both in Canadian and U.S. stocks, indicating your order of strongest conviction.

Gratefully,

Jacques IDS

Q: Would you wait to initiate a position in these stocks? Or do you feel this is a good entry point?

Q: Hello, I’ve noticed that Propel Holdings Inc. (PRL:CA) is not included in the list of the 10 Canadian Small Cap Companies - Special Report. Is there a reason? Thank you

Q: What is your latest idea that you think is as good as when you initially identified LMN? Thank you!

Q: Has there been any new analyst coverage/reports that may explain in part the recent share price appreciation?
Thanks

Q: I just discovered DRX in the Globe's Stars of the Week. Do you still consider it a buy after its runup on recent earnings? PE is now over 10.

Q: Good morning,

For a moderately aggressive investor with a two-year time horizon, how might you rank the listed stocks in terms of a new purchase today?

Thanks,

Brad

Q: Everyone, I have been watching the above growth stocks since late last year. I usually have one or two high growth quality stocks that will add to the average returns of my portfolio. My last purchase of a high growth stock was LMN, which I purchased last September, with an average price of $20.50. The ones I am watching now have risen significantly and I am hesitant to buy into them since they might decline 50%. So should I buy a small portion of each to maybe a 10% holding of my overall portfolio? Or should I wait till……..
Clayton

Q: Please comment on 4th q and year end numbers. Thanks.

Q: Good Day 5i team!

My question is around DRX and your thoughts around taking a bigger position? The stock has had a good run, has work in the pipeline and will likely gain some traction fueled by high-rise residential and infrastructure work. Next TVE, which I hold a small position in my RRSP and am thinking about adding more. Mostly due to the dividend and that energy should be a growth area in the coming years.

Thank you so much for all your efforts in adding clarity to this crazy world of investing!

Q: Hello Hawaii 5i officers:

What percentage of the time does DRX beat the earnings estimate?
Does it beat/miss by a large amount or small, usually?

By what percentage does the stock price move after the report?

Thank you, officer!

Mike

Q: Hi,
I'm down 20% on this one in a very short time. Maybe just bad timing.
Has anything changed fundamentally? Why is is dropping so much so fast? Is there any news?
What is your recommendation? Keep holding? Add? or Sell?
Thanks

Q: Hi,
I have these in about equal weights and have to let one or two of these go. Can you please list them in order of selling first to last if you were in my shoes.
Thanks

Q: Good morning, you have said that DRX is a cyclable company. Where in the cycle would you say that they are these days, thanks?

Q: Any thoughts on DRX? I don't know much about it but it landed in my fundamentals screen