Investment Q&A

Q: A&W issued a release regarding a private placement this morning which itself isn't out of the ordinary.

However what caught my eye was what will happen with the proceeds. They will be given to 'certain indirect shareholders' for 'their personal financial planning requirements'. So the fund is selling units to Laurentian, and all of the money is being handed out to unknown shareholders. None of the funds will be distributed to other shareholders, nor will the Fund hold the cash.

I'm no expert but this doesn't pass the smell test. Am I missing something?

Q: Can you please comment on earnings. Is it a good name to have in a portfolio?

Q: AW.un just issued at private placement with the stock price being $39.25. Currently the stock is trading at about just less than $41.00. Should I expect the current price to decrease to be closer to the private placement price, today or over the next few days?

Q: Could you comment on the private placement, is this why the shares are down ~$1 this morning? will this put a ceiling on the share price until the placement closes?

'VANCOUVER, Feb. 17, 2017 /CNW/ - A&W Food Services of Canada Inc. ("Food Services") announced today that it has entered into an agreement with Laurentian Bank Securities Inc. ("LBS") to complete a secondary offering of 373,300 units of A&W Revenue Royalties Income Fund (the "Fund") (TSX: AW.UN) in a private placement on a bought deal basis. Under the agreement, LBS has agreed to purchase 373,300 units of the Fund (the "Units") from Food Services at a price of $39.25 per Unit, for gross proceeds of $14,652,025. The transaction is expected to close on or about February 28, 2017, but not later than March 8, 2017.'

Q: Never see a lot of interest from member questions on this Canadian Institution, which has a lot of fingers into Canadian wallet's, with MARK'S, SPORTCHEK and gasoline. The latest quarter looks outstanding. Give your thoughts and where the stock is heading and it's value today.
THANKS

Q: Are both of these stocks worth owning or are they too much the same?

Thanks for all you do!

Q: Dear 5i,
I reviewed the Intrinsyc technology website to gain a better understanding of their products. ITC has a lot of innovative products/ideas with many future applications. I don't have a lot of knowedge in this area. What is there competitive advantage? Who are their main competitors? I assume there are many major tech companies developing similar products. ITC has a tiny market cap creating more risk/growth. What makes them a better company?
Thank you,
Kerri

Q: I have a position in Canam Group, the value of which has dropped significantly over the past few months. With today's ~16% drop following earnings, the stock has hit a new low. Given where it is now, should I hold or abandon ship?

Thanks!

Q: It looks, to my untrained eye, that the earnings of TFII got out to certain individuals/brokers at 3:45 ET. Do you think that TFII is worth holding, please?

Q: I know this is a bit of a crytal ball question. But do you expect the Bayer deal to go through? Any idea how long it would take?

I have held this for a couple of years and am wondering if the funds could be put to better use with a company like NVDA, ULTA or FB .... even though they are all in different industries?

Thanks for any guidance you can provide.

Q: Do you see more upside potential before the deal with BAT winds up?

I have an 80% plus gain on the stock and wonder about taking the money and move on to something else with more upside potential?

Q: What do think of CGI group as a long term investment?
Would you buy today?

Q: Do you see Enghouse or Open Text as having more potential?
Thank you

Q: Hi, I own the Sentry NCE 1032 fund in my rrif for many years ,what is your opinion about this fund ? ,Im thinking about switching to another one maybe in the Mawerfamily.or do you have some other suggestion?
thanks for your advice.

Q: Could you please comment on their earnings? Looks like they unwound their short position at great cost.

Q: A nice run in the stock the last 2 days. Comments please.

Q: The fundamentals I get from CIBC on the company look awful: FPE 26x, ROE is terrible, debt is high at 1.5x Equity or so, P.R. is 4 digits - how can they sustain the very nice dividend and grow it over time? They must have a heck of a lot of non-cash write offs like depreciation, maybe goodwill etc.. Comments please. I'd like a company like this for diversification; but, this one looks like it is way ahead of itself based on positive sentiment NOT fundamentals.

Q: Prometic: you are probably up to speed on this one by now but do not see anything on the Q&A section. But California Capital Equity picked up 44M shares ... warrants at 0.47 cents. Dumb questions looking at the drop in price today (-7%). I am assuming this is not looked upon favourably?

Q: Regarding PLI's drop, if there is no apparent reason, does it indicate that the stock is being manipulated in some way? Does a halt like this with no apparent reason for the drop concern 5i as it is one of your "holdings"?

Q: I am helping my sister with her work RRSP in which she has to choose which funds to invest in and just want to know if you were to increase a fund from 2.5% to 5% (Real Estate) and sell some units in another fund that is 24% (Income Growth)of her total holding would you sell 2.5% all at once or best to sell over a period of time? She has 10 years before retiring.

Thanks
Dolores