Investment Q&A

Q: I have 1/2 a position in Stantec at $31 - now that its nearing its 52 week low, would you add to this or buy WSP? Thanks!

Q: Hello Peter & Co,
Question 1: I've been holding STN for about a year to watch it hibernate (long winter of discontent) while WSP seems to be the flavour of 2015 (investors seem to like its recent acquisitions sending the RSI way up in the overbought stratosphere); your thoughts please.
Question 2: I have lumped BIN, BIP.UN, CCL, CNR and STN in the Industrial, Transports, Infrastructure sector and CHE.UN, IFP and SJ in the Materials sector; is it reasonable?
Thanks for your A+ service
Antoine

Q: Would you kindly comment on Stantec's latest merger?

THANK YOU!
Bryan

Q: I know that you like Stantec as a good, solid performer. I own both Stantec and WSP Global, 4% each. My other holding in industrials is CNR, at 8%. (it's grown nicely and am loathe to part with it yet.) My question is: how do you think Industrials will perform in this environment. Seems like Stantec has been taking a rest for a while. I was thinking of switching Stantec for CGI group, which would increase my holdings in Technology to about 19%. I'm looking for a good company with a bit more "ooomph" in it right now, regardless of sector, but CGI's growth appeals to me. Your comments are always valued.

Q: Hi Peter and the team,

I acquired stn in middle of 2013 which did well in that year, then it stayed flat in 2014. Recently, it goes in opposite way from TSX like today for example. Anything wrong with this name? Should I sell it and move on to other name? Do their projects involve with energy related business? Their debt level is about 22.5% to their capital (based on data posted by TD water house), which is low comparing with their peers such as SNC. What is your view of this company this year?

Q: STN has averaged 17% for last 10 yrs (source: G&M). Total 10 yr. is ~410% - nearly all of this was made in a parabolic move of ~1 ½ yrs starting in mid-2012. Since Sept it has dropped like a rock. Do you suspect it will continue falling this year? (I am interested in growth stocks). Thanks.

Q: Stantec is almost at it's annual low. Do you think this is warranted, or rather an opportunity to purchase at these levels? or wait for it to plunge further?
PS I assume you still see it as a long term hold.

Q: Of all the A-B companies you cover, could you indicate one or two in each rating category (A, A-, B+, B) that you consider to be the best "bargains" at this point. By best bargain, I mean considering risk/reward profile, you look at the share price and say, "Wow, I can't believe that this stock is trading at that low price." (I'm guessing: (A: Stantec), (A-: BNS), (B+: GIL or BAD?), and (B: NAL or ACQ?) What say you? Others?

Also, if possible, of all companies at any rating level (A to B-) on your "watch list," could you indicate one or two similar bargain companies? Energy sector included.

Thank you,
Cheers

Q: Hello Peter and team, I have some money available to invest for a longish term (5 years+). Can you suggest around four names to add to a diversified portfolio, in particular companies that you think may currently be at unduly low prices due to tax loss selling and other year-end positionings. Stantec and Surge come to my mind. Would you agree, and if so can you please also suggest two or three others (though no more in the Oils; I'm already quite full there). Also, I've separately wondered about acquiring a foreign stock like Nestle. Do you know if/how I can acquire that in my self-directed RRSP? Thanks in advance!

Q: Considering adding to Stantec after recent 15% pull-back from Sept. highs. Your most recent comments suggested recent performance could be result of sector rotation. Wondering if STN does significant amount of work in energy area and if this could be contributing factor in recent decline?

Q: I have held STN for several years now and it was always a nice steady performer. In the last 12 months it is almost flat but still over 12% off its highs. I have noticed that WSP has also gone very quite. Is there a sector rotation going on in this space? This is a stock that i have been overweight on, (7% position)and i am thinking of reducing to a 4 or 5% position. It has been a good year for small/medium cap stocks but STN is not participating. Any comments you have would be appreciated.

Darcy

Q: Hello 5i team

Long term holder... have been reading comments in the forum but have not had the opportunity to see anything accounting for the 9% drop in share value since 60 days ago. Obviously the market correction probably accounts for some of that... anything else going on? Does the upcoming split have something do with this?

Thanks for all you do

Gord

Q: Could you please give your thoughts on the earnings announcement from Stantec?

Do they change your perception of the company for the better or worse?

Would you be a buyer at this time?

Thank you.

Q: Wonderful site.
I am still confused. If I buy the shares today or tomorrow will I still get the split shares and if so based on what price?
I see that the stock has gone down today
Thanks

Q: I've been a very happy holder of this for 2 years. Just wondering: they announced plans for a spectacular new headquarters in Edmonton that will change the downtown landscape. Would the expenses of building this and the potential disruption of moving when it is finished have a materal effect on future earnings, even if just for a Quarter or two? If so, it could be a good time to add more if short-sighted investors sell on a couple soft quarters?

Q: Hi 5i team, I also own Stantec and I applaud M S's support of Doctors Without Borders. It is one of the charities I support. I also supported Peter's cycling run. Hope he did too. Henry

Q: Hi 5i team. I hope you had a great Thanksgiving. I have held Stantec in an unregistered account for several years, selling some a couple of times when I thought it really couldn't get any higher, but it did. My question is, is it still a high growth stock? I am thinking of donating100 units to Doctors without Borders, and then buying them back, but in my TFSA in January. Does this make sense?

Many thanks

Q: My TFSA makes up a tiny portion of my overall portfolio and I have maxed my contributions to date. I have to sell about 1/2 of the portfolio within the next few weeks to pay for a wedding (life can get in the way of long term investing!).

However, I am stuck on what to sell. I hold AVO, AYA, BDI, CGI. DHX, CF, ESL, STN in a fairly balanced portfolio. I am trying to determine a strategy of what is best to sell. I am comfortable with all of them, long term. Do I sell 50% of each (even the couple I am down on), are there some that you expect to grow a lot sooner than the others (it will take a couple of years to probably replace the withdrawals), is CF anticipated to declare a special dividend, etc?

Any assistance as to how to orient my thinking would be appreciated.

As a caution to others, I should add that I did trim a bit earlier but I became complacent with the high valuations and didn't prepare for this September drop in the markets.

Appreciate your assistance and I hope you are transitioning well from all your riding. I did the Ride to Conquer Cancer and it took me a few days to slow myself down!

Paul F.

Q: stn Stantec announced a 2 for 1 stock split on September 5th. Since that time the stock has traded at a high of $76.06 and a lo to-day of $7l.95.
Any reason for this decrease in price. Is it a good time to buy. Thank -you

Q: With stanteck 2 for 1 split by way of a dividen does that mean you recieve equvilant cash instead of stocks. If so i would rather have the stock.