Investment Q&A

Q: Hello. How would you rank these companies in terms of growth and valuation in the communication sector in the next 3 years?
How does a U.S. communication stock compare to a Canadian one?

Q: What are your thoughts about this as a US/CDN high yield income portfolio? Any ideas would be appreciated. Please take as many credits as needed.

Q: Hi 5i,

My current communications holding (VZ:US/Verizon) only amount to 3.5% of portfolio and should be at about 8% according to Portfolio Analysis.
1. Would you continue to hold VZ?
2. Either way, could you recommend some additional/better opportunities?

Many thanks

Q: Good morning,

I know there are risks with owning Verizon right now, but with another recent dividend increase (now 17 consecutive years of increases), forward PE ~ 7.0, and a dividend yield approaching ~ 8%, do you think there is merit in buying for an income investor?

Q: You last looked at this in 2022 and didn't sound very good. But the stock stopped going down in October and has been driving higher since then, especially over the last few months. Has something changed with Comcast's fortunes?

Q: By the end of this year, I will set up a RRIF. I would very much like to have dividends fund the expected withdrawal of 5 to 6%. There are many TSX stocks which will help achieve this goal. For example, ENB, BCE, BNS, CM, PPL, MFC, SLF etc. Currently, my RRSP is 67% CDN$ and 33% US$. I am having great difficulty finding anything in US$ that comes close to the dividend yield offered by the CDB$ stocks that have listed. BTW, my CDN$ would have about 15 positions. Big Question: How to achieve my goal with the US$ component of my RRIF? One obvious option is to move to funds CDN$, but that goes against country diversification which you often note. I am not very keen on US stocks or ETFs that pay a 2.5% dividend. Your thoughts and recommendation would be greatly appreciated. Thanks Dan.

Q: My long-term interest in VZ was partially founded on it's extremely low correlation with almost every other equity and fixed income category. I am "off" VZ due its recent issues and am curious as to whether you are aware of any similarly low correlation, reliably high income alternatives?

Q: Big down day for these two. Is this a great opportunity for the long term?

Q: I recently shorted some puts on VZ with the idea of locking in a "decent" ($34) purchase price and making a few $$ in advance of the next dividend. The lead wire scandal seems to open up VZ and the other telecom carriers to punitive lawsuits akin to the situation with MMM and the earplugs. Given the seemingly inevitable assignment of my puts and the grindingly long-term nature of U.S. group personal injury claims, and the words of the Clash, "Should I Stay or Should I Go?". I am a retired income investor who, at 62, still needs inflation resistance.

Q: We have small positions of the above stocks in a well diversified portfolio. Which would you recommend holding and adding to vs eliminating completely?

Q: AAPL caused some stress for payment companies with their announcement re: getting more serious about the payments business some weeks ago. Do you think Amazon’s announcement re: “free wireless to Prime members” has a greater or lesser potential impact on VZ and AT&T?

Q: Hi team,

I recently trimmed my position in NVDA and I would like to add the proceeds to my dividend income.

I currently owe BAC, BX, DFS, DUK, HAS, GLW, KMI, NVT, PAC, SWKS, VZ, WMB AND ABBV for dividend and some growth. I would like to add one or more US company to this list.

Any suggestions to add to this list? And, what company would you replace in this list if you have any concerns?

Oh, I'm not a big fan of tobacco companies.

Thank you for the great service and I really appreciate your insights.

Stephan

Q: Hi Folks
Verizon has dropped below $35. It pays a healthy dividend. Is this a good time to buy some shares? Do you think the dividend is safe? I am looking to add it to my RRSP account.
Thanks

Q: Hello 5i,
I am down 25% with Verizon. As an income investor, should I just hang on and collect dividends as I wait for the turnaround or sell, take the hit and get something else?
Stanley

Q: What’s up with Verizon? It’s fallen by about half over the last few years, but doesn’t appear to have ever cut its dividend which is now north of 7%. Is it all debt concerns? Is this an opportunity currently or trying to catch the falling knife?

Q: I need to raise some $US cash soon. Could you please rank these stocks for how they would perform during a recession? Thank you.

Q: Hi 5i,
I am turning 72 and moving from an RRSP to a RIF and think this portfolio should be more orientated towards income.

In that light I wonder if you could suggest some replacement stocks for the non dividend paying TMUS and DIS on the US side of my RIF? Thanks as usual for you help.
David

Q: I am considering the addition of VZ given what I consider to be solid numbers: it's P/E of 7.4X, RSI of 0.34 and yield of 6.77%. I would appreciate your opinion of this company over the long term, and the sustainability of the dividend.
Thank you.

Q: Verizon dropped today in conjunction with ATT’s unfavourable cashflow news, etc. Any fear for VZ’s cash flow/dividend? Any thoughts on a good buy-in price for VZ?

Q: BIZD is detained in US RRSP (significant downtrend this year),I plan to sell BIZD for VZ for income + some future capital appreciation ,unless it is recommended to be patient and wait that BIZD recovers ? all suggestion or impression appreciated !