Investment Q&A

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: In your answer to Judith today, you identified four outstanding Canadian stocks that may develop, over time, to be as good as LMN. Could you identify 4-5 US stocks that have similar characteristics?

Q: I currently own the VGT etf and would like to buy another technology etf but one that does not have apple and microsoft as the main holdings. What are my options?

Q: Hello,

You frequently reference valuation ratios (EV/EBITDA, P/E, P/B, P/Sales, P/CFO,etc) in your answers to questions.

Sometimes earnings appears to be a reasonable representation of performance, other times it is cash flow from ops, others it is free cash flow or sales.

This also appears to change due to amount of debt carried or the sector.

There is definitely not a magic ratio that addresses all situations, co's or sectors but a combination of the above and/or others.

Could you add some clarity to appropriate application of ratios and if the topic is too large please suggest a resource?

Thank you

Q: In any otherwise well diversified RIF portfolio I am considering exiting T and BEP.

I am looking to replace them with a couple of holdings that you feel have far greater upside in the next 3-5 years (realizing that the volatility may increase to some extent but in line with the potential for greater returns).

I have referred to several of your current favourites (which we do not currently hold) as potentials and am open to other suggestions you might have along the same lines.

If you could comment on the elimination of T and BEP and also if you believe any of the listed ones (or others ) would provide a substantially better risk/rewad profile over the next 3-5 years it would be appreciated.

Thanks,

Terry

Q: Hello,
Thank you for all your great information.
I am heavily weighted, between LIRA, CASH, TFSA in some of the magnificent 7.
NVDA - 10.6%, MSFT 8.73%, APPL 7.59%, GOOG 7.44, AMZN 4.15%
ETF's - VFV 4.97%, XLK 4.94, ZQQ 3.84
the remaining of my portfolio is split between banks, Brookfield co's and smaller growth stock.
My horizon is decent - and, as you can see, I consider myself an aggressive investor.
My question - I wonder if I should sell and move and if yes, where to move to? Some thoughts.
Thank you for your assistance. I appreciate it.

Q: Hi, Boyd Group stock has been declining after its recent earnings. The company is one of the favourites with 5i. Do you believe that the issues highlighted by the management in the last earnings report are transitory and company's long term growth profile is intact ? If so, would you start a new position at current levels and at what price stock would be Extremely Attractive ? Thank You

Q: AEM has moved up a lot the last month, is it time to take some profits?
Is it fully valued or has room to move higher?

Thanks,
Georfge

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

Q: Your take on Whitecap’s quarter please.

Q: Hi Team,
Two part question . What’s your thoughts on metas earnings and their big sell off today? Unjustified ? Buying opp , hold or sell?? Can you give your thoughts on the company? I would have hoped these trillion dollar companies would eventually quit moving like small caps. Unreal really .

Also can you give me your take on Now earnings and your thoughts on the company as well.

Thanks ,
Shane

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: This company is trending upwards and I’m considering a starting position. What’s your current take on this company?
Thanks

Q: Astera Labs (ALAB) sounds like an interesting software company with a focus on making computer systems more interoperable. What are 5i thoughts? and how would you compare to LMN. Thanks a ton for your valued thoughts.

Q: Hi 5i: I have a small position in LMN. I will add PRL with a pullback??? I would like to add a 3rd Canadian from the tech space.
I would appreciate your recommendation for this addition. Thank you for you your suggestion.

Tom

Q: Good morning 5i
I sent in a question but it must have gotten lost over te weekend. A member recently said that if he should become incapacitated he left instructions for his wife to sell all stocks and buy vbal, as she was not interested in stocks and this would be a solution.
There are probably many of us in this situation. But,i wonder if one would not be better to sell gradually while alive and capable. After all, you will bot get the big tax hit. Also, in case of the death of one partner, it maybe better to start selling earl, even though it involves capital gains. Because the tax on the one remaining spouse , without the benefit of income splitting will be very high.

One problem i have with this plan is that i have a lot in US dollars. And i want to keep them. One solution i thought woul be to put much more in berkshire. But I don’t know of any US etf that works like vbal. Would you have suggestions on this?
Thanks

Q: Your thoughts on TI. Is it a Hold or a Sell? Thanks

Q: Can you please comment on CP's earnings and whether you would buy for the long term.

Q: STOCK DOING WELL. RECENTLY DIPPED. ANY CONCERNS?. YOUR OPINION PLEASE?

Q: On 9 Jan 2023, Horizons ETF issued a press release with the following comments on HSUV.U:
“suspension will help manage potential tax implications and ensure that HSUV.U can continue to reinvest its distributions”
“Horizons ETFs is strongly discouraging investors from purchasing shares of HSUV.U”
I was wondering what the risk was for: a) managing potential tax implications, and b) the inability to reinvest its distributions. The other point discouraging investors from purchasing shares was new to me and I’d be grateful for your views.

Also, in the not so remote possibility that the growing US Govt debt finally produced the anticipated “big bang” (ie. default, no new ceiling, … what else?), what would you expect to see just prior to the explosive event? If you were retired and had 65% of your nest egg presently in money market funds (100% safe), what number (% safe) would you apply to moving the funds to HSUV.U?

Your deep and practical insights into how the market reacts continue to surprise and impress me. I have learned so much since my first subscription to 5i and can simply offer a big thank you. And, of course, keep trying to do my own financing homework !