Investment Q&A

Q: Hello
BDT has pulled back recently despite decent earnings
what are the fundamental reasons for the pull back
does the upcoming D Trump tariffs affect this stock?
should one wait until feb 2025 to see ?
please give me an entry point , thanks
Michael

Q: I don't have any exposure to energy and wanted to know what your views are for the sector going forward. In the current market environment, what percentage of your portfolio would YOU invest in it? Your top stocks for growth? Would the 4 stocks mentioned be good candidates? Thanks in advance.

Q: Is there something to see here regards to UMAC or is it mostly the Don Jr. affect?
Why is RCAT following a similar pattern?

Q: All of the above companies have gone down recently. Is the US threat of 25% tariffs the reason for this decline or are there other factors in play?

Q: The Canadian market has been weak lately, and I think Trump's potential tariffs will mean more weakness near term. Rather than top up a TFSA in January, how about waiting for the near term anxiety to produce lower prices, and then get in?
John

Q: is this a good way to put cash to US dollars while we wait to see how negative the trump effect is going to be on the Canadian dollar/economy
Is there a better way that you would recommend
Many thanks

Q: Greetings:
In the December issue of CMS Norm Rothery picked his 10 stingy stocks. The above 3 have gone down continually since, to almost the 52 week low. Please give your opinion as to why the refiners are getting hit so hard. I realize that all energy stocks are in a slump, but not to this extent. Have the crack spreads narrowed ? and or what other reasons. Your analysis please?
Thanks,
BEN.

Q: Good morning Team, Regarding the consequences of Trumps threats I read the following (in the Globe): 'Our most sensitive name to Canadian economy and labour markets is Goeasy Ltd' What are your thoughts about that quote in particular and the most exposed Canadian companies in general? Thank you, Adel

Q: A significant portion of my portfolio is allocated to SPY and QQQ. When i feel a need to hedge what are the pro's and con's of Shorting (using inverse etfs) as opposed to just selling the SPY and QQQ positions.
I'm not trying to sidestep a routine pullback (< 10%) it is more the corrections (10 to 20%) or Crash scenario's that i'm wanting to protect against.

Q: Hi Peter & 5i staff

Thanks for answering my recent real estate sector question in which you suggested that Granite could help diversify my sector holdings.

According to a recent Globe and Mail article, would you agree that Granite "will experience tailwinds because it derives most of its revenue from US based assets"? The article focused on how to manage Trump 2.0.

Thanks as always for your timely responses.

Q: What is the impact of the proposed Trump Tariffs? Is this the reason for weakness in rails, oil and gas, and in general, the TSX lately? Happy holidays and thanks for all you do!

Q: Hi Team,
Is it just me or why do I get the feeling this market is getting a bit “out of whack” in some areas . It looks to me like people are selling the solid winners such as Nvda , for names such as Tesla and Bitcoin. Am I the only one that thinks some of the moves made since Trump got in will end up painful when the hype fades and there’s no real meat to back the valuations ? It’s almost like the irrational excuberance phase has kicked in like it did at the end of 2021 before the tech sector crashed. Except this time only in certain high flying names.

Just looking for your take on things as they stand today. Stay the course ? Join the Tesla party and fly into the sun ? Or buy the laggards perhaps in undervalued areas (Gsy , or even add to nvda dip for example, or trim nvda if the justification is there …which I don’t think it is) . Hard question perhaps!

Thanks ,
Shane

Q: Happy Holiday Season all! Our question is not about a specific stock but rather we will need to take a fair sum out of our TFSA and/or non-registered account within a month or so. We will need to sell stocks from a well diversified portfolio. Can you give us any direction as to which sector it would be best to target for this withdrawal. We would likely re-invest the money over the course of te next 12-18 months.

Q: Assuming stable oil prices and no Trump tariffs ( having no expectations on these 2 assumptions occurring or not ), which of these 2 companies dividends will grow more quickly ?

At what price of oil have the companies stated that their current dividend level could be maintained before lowering it ?

Thanks. Derek.

Q: With Bank of Canada cutting interest rates and oil up, why would pipelines be lower? Shouldn't this also be good for telcos/pipelines/reits or are institutions positioning themselves in cyclicals for new a economic cycle so these rate dependent areas areas are under pressure. I have noticed Pembina was doing well but has been consistently down for many days. Thank you!

Q: Peter et al:
An opinion please on this one with the following points in mind. We all know the sector has lagged, but CVE has a lot of people putting it in the enigma pew. Quality inventory, 71% heavy, diversified with three refineries, fair dividend, BS ok and yet it goes no where. Sentiment is definitely against these guys. G&M article Dec 3, Brian Donovan " The intrinsic value of Canadian oil stocks and what Trump's proposed tariff would mean for them", ends by picking CVE as the one their models show upside for . Eric Nuttall on Nov 21 said that it was one of his worst calls in 2024 picking this instead of Suncor. I await your detailed reply, and I thank you by not asking questions with 30 companies like some. I do my own ground work.
All the best,
Ben.

Q: Hi 5i

What are your expectations for the upcoming year for both Canadian and US markets?
It's understood that you can't foretell the future but gut feel is the ask.
Thanks

Q: We’re overweight oil and gas at the present time with the idea of selling down our positions as we enter the typical positive seasonality for this sector from about now to maybe April. This leads to 2 questions. Do you agree oil and gas look good over the next few months? If this were your money what timeline would you follow to sell off an overweight position in this sector. We’re growth investors with said stocks inside our TFSAs, have positive gains and would like to maximize our gains without trying to be too clever on market timing. Thanks so much!

Q: Why do you think LHX had been weak lately? Is it related to the macro of Trump being less focused on war and the anticipation that there will be less war in the next 4 years? Or more company specific?

Q: Hi, GSY has dropped nearly 20% since it's 2024 high (~205$), any explanation for that ? If the drop continue, what price would you consider attractive?, very attractive ? for a multi-years holding period ? thank you