Investment Q&A

Q: I have held TRP for a long time recommended by all analysts who cover it. I do understand that pipelines are rarely to be added in the future and TRP is a huge owner operator in N.A. They also manage to increase dividend (now @7%) every year. It's payout is in excess of 500%. Can you explain how TRP is so overrated with such a poor payout ratio?

Q: I own the above pipeline stocks in various accounts. In my flee to safety and dividends, I am now overweight in this sector. Could you please rank the above securities and which security you would hold or sell.

Thanks
Dave.

Q: I'm considering adding PPL to my portfolio and just went through their website. I found the mix of Oil vs Nat Gas vs LNG very easily...Oil = 40%, NG = 25%, LNG = 35%.

For comparative purposes, I went through TRP and ENB websites = not so easy to pull out the same data breakdown. Can you help...thanks...Steve

Q: I am looking at reconfiguring my newly established RRIF into the above equities with the 3 etf’s being 25% each with the remaining 5 stocks being the remaining 25%. What is your opinion of these stocks and portfolio composition? Am I being too cute ? Thanks. Derek.

Q: Retired, dividend-income investor. I hold AQN in my RRSP, bought it in 2011 at $5.60 (not a typo) and have trimmed it multiple times due to asset allocation. Not that it matters, but I am still up 15% over my ACB.

Looking forward is what really matters. AQN is up roughly 20% from it's low of around $9/share. Q#1 = Do you think AQN can continue their short term performance?

I hold AQN, FTS, TRP, NNRG, NRGI, and utility-energy stocks held within CDZ, ZLB, ZWC. Q#2 = What conservative utility or infrastructure stocks should I consider that might "fill the gap" in my current holdings? Please list 4-6 stocks for me to do further research on.

Q#3 = Should a component of "renewables" be a consideration? That was one of the reasons for holding AQN. Ideas?

So the bottom line is = what's done is done. AQN appears to be starting to recover and there is always the chance of being bought out.
1. Hold of sell,
2. Replace with what,
3. Include renewables?

Thanks for your help....Steve

Q: Hi 5i,
TRP executive team members seem to have little direct ownership in the stock but a significant amount of out of the money options for compensation. It looks like CEO bought stock on recently but do you think the executive team has much skin in the game? Can I get your high level thoughts on whether this might be a high quality income stock as well as a good entry price?
thanks

Q: I have owned these stocks in my non-registered account for 12 years except ETF IGM, T, CTC.A (bought 2 yr ago - up a fair bit). T bought 5 years or so ago. GSY, MFC & GRT.UN a year ago - all 3 up nicely. I buy dividend growers for the most part. I have been retired for quite a while - so, more interested in dividend growth. Large portfolio with banks 40% of total. Do not worry about market downturns: add to positions when they go on sale -08/09 and 2020. Sitting on cash and looking to add to these positions . Do not own ENF.CA - typo. Suggestions?? IFC 5-6 years up 220% including dividends.

Q: Robert Gill of Goodreid Investment Counsel had a bullish opinion on TC Energy in today's Globe. Recent opinions on TRP from 5i are less bullish. Do Gill's opinion or numbers do anything to change your opinion? ENB is my long term hold in the sector,  TRP would be a 'clip the coupon  while awaiting some reversion to mean on the share price' type holding.  
A related question: With these high debt utility type stocks, how great are the risks we go into multi year period of higher interest rates? 
Thank You.

Q: Retired, dividend-income investor. Your thoughts on their latest quarter? Would you add?

Thanks...Steve

Q: Retired, dividend-income investor. I have monies dedicated to top up reasonably full positions held in BCE, FTS, LIFE, NWC, PLC, TRP. Ignore asset allocation. In what order would you deploy monies, based on total return over the next few years?

Thanks...Steve

Q: You have an updated report on Enbridge (ENB) dated 24 January. In the SUMMARY section of that report I see the words "bond proxy". That's an interesting concept. I own a full allocation of ENB because it is a safe, stable source of tax-advantaged income - indeed a sort of "bond proxy". Staying with that idea, are there other equities/ETFs/products that 5i would consider to be "bond proxies"?
Can you suggest a few?

Would a close look at your Income Portfolio provide a selection of appropriate names?

Tax-advantaged income is preferred over interest-producing products.

Thank you,
IslandJohn

Q: Either or neither:

ENB vs. TRP.

Q: i am trying to make some little changes to my rrsp. If i can have your opinion on the rail way companies i have been holding UNP for around 3 years now can not complain much i am up 35% on it i am thinking of selling it and replacing it with CNR i would like to know if that will be better for me looking at around another 5 year hold. And my other question would be is i hold TRP and ENB in my RRSP as well would you sell one and if so which one would you think i should sell. Thank you so much and take what ever credits you need for this

Q: Hi, Trp is down 5% on announcement it is raising its estimate for the cost of its Coastal GasLink project to $14.5 billion, up from an earlier estimate of $11.2 billion. I believe this is the second cost increase on this project. Will Trp have to eat these increases or be able to eventually recover them from customers? Do you believe with the current price decline and yielding around 6.5% Trp is a decent buy for income investors?

Q: Why the drop today? Would you continue to hold?

Q: I must progressively restructurate a non-registrated portfolio, recovered in early 2022 for self-managing... Here are the percentage of each stock vs all portfolio, and also indications (+/-) if they are at a profit or at a loss on paper. stocks at profit are: BIP.UN (8% of portfolio), CM 5%, DIR. UN 3%, BIPC 1%, BCE 5%, ENB 2%, SGR.UN 1,5%. Stocks at a loss are: BN.PF.D (5% pf portfolio), TRP 1.5%, VET 1.2%.
My objectives are in order: stability, dividends, and some growth if possible.
Some stocks represent a probably too high percentage of the portfolio, I would not sell them “only to rebalance the portfolio” if they are still safe (to avoid non necessary capital gain tax), but I shall sell if they represent a risk. On the other hand, I would not sell stocks with a loss if they respond to my objectives.
I have already balanced a good part of this portfolio with ETF and a selection of stable dividend stocks. Those are the remaining stocks from the original portfolio..
Please give me suggestions for each stock according to objectives as : keep, sell, or sell partly. All of your comments are always greatly appreciated.

Q: Hello Team.. My question is on TRP which has a 48% ownership position of Bruce power station. Could this be considered a risky asset considering the high cost of future repairs and the potential liability of an accident given its advanced age. I have considered TRP as core holding with a great dividend but the nuclear side of the equation concerns me. I have a strongly positive bias towards nuclear energy so your perspective would be appreciated. Thanks. Gary

Q: Good day,

Can you please rank the following for me in terms of personal preference - ENB, KEY, PPL, T, BCE, SLF, TRP. I own them all, but just want to see how closely calibrated my weightings are compared to your relative rankings.

Thank you.

Q: The above companies dividend yield is more than 6%. Three of them, BNS, CM, and POW have dropped in price by 20% or higher. BCE has dropped by 8%, and TRP has dropped by 6%. ENB has actually increased in price around 8%. I own all of them. Thinking of adding some Canadian dividend shares. Question is which of these dividends are safe going forward. Can you rank them based on dividend safety. Also, please rank them for potential price gain/loss for 2023. Any other with reasonably good dividend, dividend safety and potential for gain in price.

Q: I see there are stocks with an RSI near 30 and at a 52 week low; BNS, TRP, BEPC, and BCE. Also, WCN is not at a 52 week low but has an RSI at 30. I am very tempted to add to my positions at these levels. How much weight would you place on a stock's RSI and 52 week level?
Many thanks, Dennis.