Investment Q&A

Q: CAE announced public offering of common shares priced at $27.50USD to raise $250,000,000USD to finance a portion of the purchase price and related cost of L3 Harris Military training business. What are the pros and cons of public offering versus brought deal from a company’s and investor's point of view? Is one financing deemed "better" than the other? Thank you.

Q: I am looking to put 5 stocks into a tfsa and put them in a growth portfolio. Which would be your top 5 for growth

Q: Hi 5i team
I would like to thank you for all your sound advice since inception. I would need to trim up to 5 stocks from this portfolio. If you were in that position, which ones would you cut starting with first to cut up to fifth. These stocks are in a rrsp with equal percentages. Thanks. Gilles

Q: thoughts on the cae news today? Thx

Q: CAE has been a bit of a fall lately Other than the aviation industry in a bad situation, is there anything else creating problems? As an example, the ventilators they produced to fight Covid have had several function failures.
Comments, please.
Carl

Q: First of all, thank you for your amazing work. Cannot express how helpful my 5i subscription has been. Life-changing in all honesty.

My positions in LSPD (17.3%) and GSY (12.7%) have gotten a little out of hand. I was fortunate to pick them up near their lows in April. I've already trimmed both a couple of times, but I am really struggling to sell more given the positive outlook 5i has of both for the future. I've seen similar questions asked about trimming and selling positions with phenomenal growth and seen your responses suggesting to trim positions to reasonable weightings. I thought I might have an easier time doing so if you suggested some positions to add to or some new ones viewed as favourably as LSPD and GSY.

I have the following companies in a TFSA and have included the weightings only of positions I think might warrant a second look. While I anticipate a comment about weightings needing to be personal what would YOU suggest as the highest weighting for LSPD and GSY? And, again, please suggest some positions to add to or new ones.

Feel free to take question credits as you see fit.

DOO (2.1%), ATZ (2%), AW.UN, BYD
ATD.B
BMO, BRK-B:US, GSY (12.7%)
WELL (4%), VEEV:US (1.3%)
CAE, DAL:US, AC (1%), XBC (3%)
LSPD (17.3%), KXS (7.6%), DSG (3%), CSU, PHO (1.1%), AMD:US, CRWD:US (2.4%), U:US (2.1%), NVDA:US (0.83%), TTD:US(1.2%)
ROKU:US (1.9%), TTWO:US (1.2%), PINS:US (1.5%)
AQN, BEP.UN
REAL

Thank you again

Q: Hello Team
CAE wins a $275 Million dollar contract over 8 years and the share price drops 6% on 1 Million shares traded.
What gives ? Was there some bit of news that I missed. Was the contract too insignificant?
Thank You
Clarence

Q: These two stocks in my portfolio have very high P/E ratios. Could you comment why and it’s implications? They impact greatly on the average P/E ratio of my equity portfolio.

Q: Several questions so please take credits as applicable,

For Growth please choose one, but please ignore the different sub sectors:
1. CAE or AC or or SJ, or WSP or CJT
2. CCL or WPM or TECK or AEM or FM or LUN or WFT
3. EFX or ENB or CVE or CNQ or PPL
4. DOL or QSR or TOY or CTC

Thanks!

Q: What do you think about the announcement that CAE has procured a contract with the US Airforce?

Q: Do you think Brookfield Renewable has as much chance for growth as a CAE or WELL in the next 6 months to a year?

Q: Hi Folks,
I currently have the above companies in my Non-Registered account. I am looking to add some money - can you tell me what company you would add to OR can you recommend another that I can take a look at. Appreciate your comments.
Thanks

Q: Fast forward 2 years from today, and assume a return to something that resembles normal.
Which stocks (US and CA) would you wish you bought today.

Q: Hi, which of the above has a better growth profile? Thanks and Greetings, Peter.

Q: I know it’s a good problem to have but my listed tech stocks have done really well thanks in part to recommendations from 5i. So much so that I now have 41% in the tech sector. Since selling my mutual funds and establishing my own portfolio, your guidance and suggestions have been so much appreciated. It seems that other sectors may be the place to be as we come out of the pandemic. The issue is that these are for the most part proven quality stocks. I’m not keen on selling any of these. Does one bite the bullet and sell some ? If so suggestions are appreciated? Or does one just trim profit and migrate into other sectors and buy more of companies like DOO GSY and WELL? Thanks

Q: Could you rank your order of preference today as I would like to add one of these 4 stocks, irrespective of sector? I am looking for total return for long term hold. Thank you.

Q: I have a DOY balanced portfolio (Alpha-Balanced for guidance) , with less than 10 year timeframe.
I’m underweight communication services, and energy. Not a fan at this stage of oil or precious metals. Overweight in industrials and technology.
My concern is with my overweight in technology. Reading a number of opinion articles that refer to the tech boom as another dot.com. The reply often is oh but this is different.
Here’s my two cents worth especially related to tech stocks I own. First of all investors/traders seem to be jumping in and out of technology based on the latest COVID-19 / vaccine news.
Re KXS; will still be in demand long after Covid-19. LSPD; somewhat sensitive to Covid-19 but have done a good job diversifying and adapting restaurant services etc. Will do well in recovery.
Maybe more acquisitions.
SHOP; like Amazon will carry on even though the valuation is high. Younger generation will still shop on line.
Now comes the tricky part. WELL and VEEV. I don’t quite have a handle on. Not sure if the demand for their service will still be there post COVID-19.
Your comments and/or thought would be greatly appreciated. I have a feeling that many of your clients would be interested in what you have to say.
I’m an experienced investor but don’t have access to the kinds of info I once did. I depend a great deal on your unbiased expert opinion.
Merry Christmas

Roy

Q: I see that Mr Parent has been awarded the order of Canada. A good testament to the quality of CAE management. What is the 5I view of the recent acquisition of Tru Simulation.
Is it material?
CAE management must be positive about their future.
Thank You
Clarence

Q: Given my two portfolios (TFSA, Unregistered), I just added in some inheritance - 491 shares of CAE, I'm looking to trim back a good portion and reinvest in some other ideas to accompany my total list of holdings, or add to some current positions you feel are showing promise at todays price action and growth strategy would keep accelerating post covid.

I know you guys like CAE right now, Id like to know how much you feel would be a good trim to keep diversification and what would you recommend to reinvest in? I was thinking of trimming back to $4000 - would you agree?

Q: I need to raise some cash. Could you recommend which 6 of the above list you would sell first. Keeping in mind that I would be rebuying some of those as cash again becomes available.
Thanks for your advice.