Investment Q&A

Q: Hello team,
Why the huge decline in ECI ? Would you hold, add, buy or just sell and replace with something else?
Thanks!

Q: Hi. Most utilities have taken a sharp hit over past 2 weeks, due to mounting concerns about their valuation, in the rising interest rates scenario. I guess, this could present an opportunity for long term income seeker investors. However, if rates continue to rise, these companies could also be subject to revaluation due to lower multiples, thus, being solely income vehicles with little or no potential for capital appreciation. I would like to allocate my capital to companies where there is growth and some income generation ( and dividend growth potential).
I have ENB, KWH.un and ECI in my portfolio. Enbridge has been out of favour for past year due to concerns about high debt and questions about sustaining/supporting its dividend growth. But, still there seems to be some growth potential. Crius management recently indicated their preference to reallocate their cash flow to growth and pay down debts rather continue to increase dividends. Enercare still seems to enjoy consistent cash flow but not sure where growth will come from.

With this view, I have done a bit of capital reallocation and reduced my KWH.un and ECI position to less than 2%, over past few days and started to deploy towards solid companies with higher growth potential, like, SJ, CSU, AFN etc.

What are your thoughts about this strategy ? Thanks

Q: I am looking at the payout ratio. Capital expenditures have a big impact on the calculation, which based on EPS or FCF, makes the dividend look perilous.
Considering the distinction between "accretive" and "maintenance" capital expenditures and the maintenance of debt to equity ratio/debt coverage etc., are you comfortable in general and, in particular, with your rating of B+ in March last year?
In general, what is the difference in the allocation of capex between EPS and FCF (or the comparable calculations for a REIT)?

Q: Good Day Looking to buy KP Tissue and Enercare for dividend growth and share growth. Looking to diversify my portfolio from financials, pipelines, telcos and insurance companies. Thanks

Q: Could you please rank these holdings - in terms of a hold...If i wanted to raise some cash, which would you sell first in order?

Q: Hi, I own the above companies mainly for income and some growth. Would these be negatively impacted by rising interest rates and if so, would a switch to BNS or SLF be warranted.

Thanks

Q: I have room in my RRSP to add one of the above. It's a five to ten year window and I'm looking for both growth and consistent dividends. The sector is irrelevant for this portfolio. Thanks

Q: We noticed that Enercare is down over 7 percent in the last three months. As bond yields go up and Enercare dividends are not increasing at the same rate, do you have any concerns over their valuation for the next one to three years?

Q: Any concerns over the resignation of CFO?

How do you fell about present valuation?

Q: Hello Peter,
I hold a balanced total portfolio across my TFSA, RRSP and non-registered accounts. I keep my highest dividend payers in my non-registered and currently have them on DRIPs. Are there any of theese that you don't think should be on DRIP because they are too risky?

ALA, KWH.UN, FTS, BNS, SLF, GS, NWH.UN, ECI, EIF, BCE

Q: Would you consider Enercare having somewhat of a "moat" in their business?
Is the current ratio and debt a concern to you? I know the PE is very high. Are you comfortable with the valuation now or would you wait for a pullback?

Thanks.

Q: I am looking at these two stocks for income and growth, 3-5 year hold. They are different sectors, and either one fits into my portfolio balance wise. ABT seems to be on a downward trend since it was your top pick, would you still recommend? Would you suggest a full position in one or the other, or half in each? Thanks as always.

Q: Ignoring sector considerations, which of the following would you look to take a position in today in a RESP with a 6 year time frame and an objective of achieving the greatest total return: BEP.UN, CSH.UN, BCI, ECI, DOL?

Q: Hi 5i
I am frustrated with AD and am looking at a replacement in an RSP account. Could you give your opinion and rank order for a long term hold of CGX, ECI and ABT. Do you think each will kept in the PF? Thanks for your help.
Gary

Q: Hello!

I am curious how a liquidly traded quasi utility stock like Enercare can trade as low as 17.99 and close above 20.00 on the day after reporting. Were results that difficult to interpret?

Regards,

Robert

Q: Hi, could you please comment on Enercare earnings. Thanks

Q: Hello,
5i has ECI as Non cyclical while Morningstar has it as industrial. Is their a reason for this discrepancy or is this just whimsical?
Thank you
Stanley

Q: I own all three. None of them are appropriate weightings. You say?????

Q: Hi, Could you please post earning estimates for these two companies. Thanks

Q: Lots of picking on this company from others and I want to ad more? ANY reason not to? Thx James