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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: Over the last 2 years, I lost quite a lot of money investing in a promotional companies, or, companies with growth profiles too good to be true. On the other hand, I always made money investing in a company that meets all the following criterias: (1) boring (2) sells products I use (3) existed for 5 years (4) pays a dividend under 4%. Jean-Coutu meets passes this test so I'm considering it my father's portfolio. Is there something *not* to like about it? How about the latest news on the government meddling with drug generics pricing. This this take a positive turn? Thank you!
Read Answer Asked by Matt on May 02, 2017
Q: Regarding VSN (Veresen) being bought by Pembina (PPL), some are suggesting this might put Enbridge in an untenable position (50% of Alliance!), and they will/should/could make a competing bid, particularly as the premium for VSN is still below what it was trading for a year or two back (as high as $19.40 in 2015, although they have sold assets since). Do you see this as a likely possibility? Is that what is causing VSN to trade below its takeout price?
Read Answer Asked by Paul on May 02, 2017
Q: Hello, 5i Team,

This is a question from a neophyte investor.

In a recent press release BUS announced the acceleration of A & B Convertible Debentures. To quote: "The Debentures will result in the issuance of up to 2,235,294 Common Shares at an issue price of $0.68 per share."

Can you tell me a) why a Company might accelerate the issuance of debentures and, b) just as importantly, how such an issuance, at that price, would impact upon current shareholders and the value of their shares.

Thank you
Read Answer Asked by Ryczard on May 02, 2017
Q: I understand that you guys don't like this space. I'm warming up to it and would like to take advantage of HCG's collateral damage. Pls rank the above and describe how they fund their deposits. Thanks!
Read Answer Asked by Eric on May 02, 2017
Q: Can you please give me your thoughts on Imperva (IMPV)?
Read Answer Asked by adam on May 02, 2017
Q: Please, Peter: Forward earnings for TMB look exceptionally good, ratings, too. TMB is much more than softwood lumber, including a lot of earnings coming from a specialized pulp (prices up, WTO ruled largely in Canada's favour with China in a tariff dispute)yet TMB has traded in a very NARROW range over the last 3 months or so and continues to do so. OK, TMB is a risk because of high debt... but can you explain the reason for the narrow trading range? I'm thinking it might be a big company like Fairfax, somehow able to buy and sell in a way that affects the price in this way but I don't know anything about how to dig further to get an answer to "why this range"?
Can you help?
Read Answer Asked by Harold on May 02, 2017
Q: My only gold holding is McEwen Mining (MUX)and I am looking at either Kirkland Lake (KL) or B2Gold (BTO).
BTO has almost one billion shares outstanding while KL has less than 200M although their respective market caps are close in size. Is this a determining factor and which one would you favour, and why?
MUX was my first choice because the CEO owns 25% of the company, he has a great track record and they have no debt. Good choice?
Thank you.
Read Answer Asked by Steven on May 02, 2017