Investment Q&A

Q: Sold both for tax loss.
Wondering about proxies for both. Could you suggest a couple? If the proxy goes up in the 30 days, I presume you would keep the proxy until it changed direction. What is the thinking on this process. What if it goes down?
Thanks on your thoughts
John

Q: What is your opinion of Rogers Comm. today. How have they performed compared to the other Cdn. telcos. Is their future any different then BCE/Telus?
Would it effect their performance if they divested of their sports teams. Are the teams a distraction? or do they add to the bottom line. My opinion is they should concentrate on the telco business.
Thanks

Q: Hello. I'm a bit concerned about the payout ratios of BCE and Telus. Telus has an even higher payout ratio than BCE, and I'm wondering what their prospects look like for the next few years. Will they be able to keep up these high dividends? Is there a chance they might cut their dividends? My question is, should we reduce our exposure to these telecom stocks and reinvest in other areas? Your insight would be really helpful. Thank you!

Q: to start a new position in telcom today.

assuming same dividend growth average of the last five years for each company and asssuming it is maintained moving forward,

how long would it take for the dividend of telus to catch up to BCE when they are starting as far apart as they are currently ?

Which of the two do you prefer for a long term hold and why ?

Q: If/when rates are lowered should the steady/higher paying dividend stocks do well ? Any favorites ? Thank you.

Q: Hello. I’ve held Algonquin Power & Utilities Corp. (AQN) for quite some time now. Unfortunately, all the gains have vanished, and the investment has turned negative in my non-registered account. Should I sell, hold, or consider other options? I also have Brookfield Renewable Partners (BEP.un), Brookfield Infrastructure Partners (BIP.un), Fortis, Enbridge, Telus, BCE, TD, SLF, NWC, BAM, PFE and Exchange Income Corp in my portfolio. As a retiree, do you have any suggestions for a dividend portfolio replacement? Thank you.

Q: Hi group can you help me sort out your top2 buys in each sector cw rating the sector(1-10) 10 being the highest. Also rate the recommended buys (1to 10 cw entry target price )

- Power infrastructure , Bio Tech, Health care, Financials, Tech, utilities, Commodities, Power infrastructure , Consumer staples, Consumer discretionary, Communication Thanks for your help.

Q: It seems that the telco sector will faced with challenges for the foreseeable future with price pressures on fees (I see it on my own bills) and likely not being able to recover for quite sometime. It was easier to sell the position on the non registered account and take advantage of the tax loss. I have kept my positions in the registered accounts for the dividend but am now wondering if perhaps a sell would be make sense and what to replace them with. Any ideas with some dividend and a little bit of growth?
Much appreciated.

Q: I never thought I would be contemplating whether or not to continue to hold these “sleep at night stocks” but here we are. I have no doubt they will recover but in what timeframe? I am particularly concerned about TD. I believe regulators are going to set an example. I am 75 years old and time is at a premium. Please give me some guidance.

Carl

Q: Sorry about this tax loss question but I find it a little confusing regarding the minimum 30 day waiting period.
If I sold all my BCE shares on April 16 for a loss.
What is the "earliest" exact date I can start buying BCE back and still claim
the loss in my taxable account?

Q: 5i, As Im heading to retirement in the next 3 months, I'm searching for stocks/etf with good yields, of these stocks/etf in which order would you add, after reviewing "Questions" I get BCE is good to start accumulating now, any other suggestion/advice, please and thanks

Q: BCE has dropped in value significantly. Heavy debt load is putting pressure on sustainability of dividend growth and people are talking about a dividend cut.

Can you give us your view of what the optimal capital structure would be for BCE relative to the current leverage? And whether you see the decline in share price as a buying opportunity. Thank you.

Q: Was there any discussion, either in the earnings release or the conference call, about the dividend sustainability, dividend growth, etc?

I own what used to be a full position and with the continued decline, was considering topping it back up...some soon then the rest later in the year. No rush to deploy the cash...it's sitting in RBF2010, earning 4.55%.

Thanks for your help...much appreciated...Steve

Q: Comments please on earnings release today? Thank you.

Q: Seen most of my Telecoms including Telus and Rogers depreciating in value, is this a lack of confidence in these investments?
Do you believe the dividend rates will might be cut?
Long term, do you feel a recovery is in sight?
Thanks in advance for your great service! Ted

Q: Hello 5i team,
I currently hold Telus and was thinking of switching to BCE since the dividend is larger. It seems telcos are not doing well over the past few years and was wondering what you think may be the cause of this? Also I was thinking that BCE is at a 10 year low and may be hitting a bottom, so there would be a better chance at appreciation as well as the dividend.

This is also to simply having a telco in my portfolio for exposure and it looks like BCE has a better chance of improving than Telus (TIXT is probably dragging it down).

Thank You,
Andrew

Q: What are your thoughts on buying some Telus right now ? Also your thoughts on BCE as opposed to Telus?

Q: Could you please suggest 3-5 of the 'safest' products that provide a 7% yield. They could be stocks, preferred shares, corporate bonds, GICs... whatever. No specific time horizon. Could you please list them in order of safety. Thank you very much.

Q: My question pertains to the risk associated with BCE. It is often recommended as a good dividend stock (which it definitely is). However, when I buy dividend stocks, I am equally looking for safety in my investment. The following are few notes:

• The share price is lower than it was 10 years ago.

• In a response to Nick on April 3 you mentioned “the dividend in FY2023 was $3.7B, which is covered by a cash flow of $7.9B,” (which aligns with the Operating Cash flow). Looking at the FY2023 report “https://bce.ca/investors/AR-2023/2023-bce-annual-financial-report.pdf” (page 20) they mention that their dividend payout policy is to fall in the range of 65-75% of free cash flow and that their payout in 2022 was 108% and in 2023 111%. I would think that this may be a better gauge as their capital requirements appear to be regularly high, and a number exceeding 100% may not be sustainable for long.

• Their level of debt appears to be very high.

• Their revenues have had minimal increase year over year and their net earnings declined quite dramatically.

• I understand they are trying to turn things around but are heavy regulated.

What is your opinion considering the above, your understanding of the situation and the current share price which appears to be historically low (offering an incredible dividend).

Would you be a buyer of the stock? Thank You!

Q: When I read your answer to Richard on April 11th about BCE I shook my head and said, 'Yes, you've got it right.

Then I read the speach of the BCE CEO from the BSO conference and he stated as follows:

An important mandate is to create greater diversity within Bell Media, adding that diversity makes for great business. He said the company wants half of the English and French language programs it commissions this year to be generated by creatives from Black, Indigenous people of colour and nder represented groups. He wants to make sure the company delivers "differentiated storytelling" by having a "diverse inclusive workforce".

I have been a shareholder of BCE and have not been pleased with its performance to date, by a long shot. If I read the above, that the CEO delivered I wouldn't go near the equity.

Given what you said in your prior answer that needs to be done to retain the dividend and grow, I'm not sure this guy wants to, or knows how to do it.

I just feel he wants to run the most woke communications company in Canada.

Do you have faith in him doing what you stated to succeed?

Thanks

Sheldon