Investment Q&A

Q: Good morning,

In an answer to Danny on August 13, you said that BCE's trailing twelve months dividend is around $3.7B, which is covered by the operating cash flow of $7.6B, I read a post from Reddit yesterday that says BCE's free cash flow payout ratio is 109% stating that its dividend is covered by debt and equity dilution. Can you explain why these numbers are so wildly different? Thanks very much,

Q: What are you highest conviction Canadian dividend stocks at this moment with interest rates falling, if one is looking for a combination of dividend yield and total return.

Q: I've read through the comments on BCE today. Do you see it as a hold, or sell? If sell, what do you see as a good dividend-paying replacement?

Q: What are the implications for BCE to be cut to One Notch Above Junk by Moody’s last week ? Thanks

Q: Hi,
On September 4 in an answer to Ritwick's question, you said: "BCE did not cut its dividend in other times of crisis...".

I thought BCE cut its dividend by about half in 2008. It did raise the dividend again to previous trend levels in the subsequent year(s).

I vaguely recall at the time that the 2008 dividend cut was quite a dramatic move for a "widows and orphans' stock and of course no one could predict at the time the dividend would be reinstated the next year.

Cheers, Michael

Q: The Globe reports that Moody's just downgraded BCE. I understand that the downgrade means borrowing costs are higher. What else does it mean?

Do you think that BCE will have need to borrow money in the next couple of years.

Thanks a lot for your views.

Q: 5i Research has been always positive about BCE and its high yield as manageable and the Management is doing a good job through challenging times. BCE bonds last week were rated at just 2 notches above junk by Moody & S&P Globe ratings. I am wandering if you can justify your optimism in this light of downgrading. If so please provide reason for your optimism.

Q: Good Morning

I have to raise some cash for a riff payment
Which would you sell out right AW.UN or BCE
Both are about equal in a in a loss position


Thks
Marcel

Q: My husband is 8 years away from retirement and wants to buy dividend stocks to leave mostly alone (not checking daily like me!) - he'll check in on it now and then. This is the list he's come up with - slightly higher positions in BCE, BPF.UN and slightly lower in AW.UN, CAR.UN and OLY, otherwise fairly evenly split. Do you see this a good list for his purposes, and is there anything you would leave off, or add? Any other alarm bells? Thanks!

Q: Good evening!
I have shares of BCE at an ACB of $55.40, which today closed at $47.03. I thought maybe of establishing a rather large capital loss for future use by selling them and buying Telus as a proxy for the necessary holding time frame of 31 days to confirm the loss. However, looking at the charts I saw that Telus has been fairing a bit better than BCE lately, so I am not sure that there would be some 'reversion-to-the-mean' happening during the 31 days. That could mean I end up with less shares of BCE when the dust settles!
Sort of a two-parter here. First of all, is this a good idea at all? Second of all, if it is, is there perhaps another 'proxy' you might suggest I look at?
Thanks!
Paul K

Q: How safe is the dividend of Telus and BCE?

Q: Is there any CAD dividend stock paying over 6% yield that you feel are safe and can be invested for a long-term.

Q: Good day,

Is BCE still a buy at this price of $48.20?

Thanks,
George

Q: As boring as they may be, these six represent a large portion of the income aspect of my portfolio. Any of the six that you would say just sell?

Q: Good morning,

Please comment of Q2 Earnings for BCE .

Thanks,
George

Q: What canadian dividend stocks are most suitable now to buy on margin to enjoy the preferential tax treatment of dividends and possible capital gain due to lower rates.
Please list three stocks in order of preference
Thanks
Raouf

Q: Hi with interest rates beginning to edge lower what would be the sectors most likely to benefit? Could you give me a couple of your favourite picks for each of those sectors. Would you be edging in, fully buying in, or hold off for a possible October correction? With the likely chaotic return of Trump to the Presidency would the Renewable stocks such as BEPC be at risk of correcting under this scenario? He does not like windmills much... Thank you for your service and deduct credits as you see fit.

Q: I am contemplating to sell the LSPD (1.1%, -63%), MG (1.2%, -43%), TD (0.3%, -15%) and BCE (0.2%, -57%) from my portfolio and deploying the proceeds elsewhere. Please rate and recommend the selling preference order. Thank you very much. Bill.

Q: We have held BCE for many years in a RRIF account, generally for income (position size about 2%). Yes the dividend is great and likely to continue, but our position is now showing an unrealized loss close to 25%. I am thinking of selling and moving on to another opportunity that will provide better growth and returns. Comments please. Maybe the money is better placed in GOOGL, also in the communications sector? Or possibly into another USA dividend position? In our two RRIF's we hold ABBV, MSFT, PAGP, BTI. Rio Tinto, along with Canadian companies: MFC, WCP, BNS, TD, LIF, BIP.UN, AD.UN and USCL (for income). Growth may be a higher priority than income. Overall portfolio weightings for all six accounts combined is approximately 50% Canadian and 50% USA plus International. RRIF accounts are relatively small in value compared with non registered accounts

Q: Morning Team,

How would you rank the above 3 telcos from high to low and why?

As alway, thanks for your invaluable help.

H.