Investment Q&A

Q: The CEO has made clear that his number one objective is to grow revenue and to do so profitably. Short-intermediate term share price be damned. He is prepared to compromise earnings, increase debt and reduce margins to achieve this objective. At some point I presume he expects to drop revenue to the bottom line and show strong earnings. My question for you: is this a sound corporate development strategy and do you feel this approach will prove successful?

Q: can you look at the investment receipt for Algonquin Power. is it worthwhile at this value?

Q: TNT.UN announced today they are raising additional funds and issuing more shares Is this a concern as they just did another raise several months ago

I would be purchasing the stock for income only The payout ratio is 97%

Would you rate this stock a buy sell or hold

Thank you

Paul

Q: Hello Peter & Team, in my portfolio I have positions in all sectors of the economy except for materials. Other than gold stocks, could you suggest 2 or 3 names, in the materials sector, that have decent dividend and growth potential ? Thank you, Gervais

Q: Hello Peter:

Ithaca released their 2Q results on Monday and it appears that the FPF1 is on station and is in the process of getting its 14 anchors hooked up. What is your viewpoint of the results? Do you think that this stock is nearing the derisking point? I know that there is still a risk with dynamic commissioning of any platform but once oil starts to be produced in Nov the daily production should double to 20-25k a day. With the production starts where do you think this stock could rise to in a $50/bbl environment with an operating cost of $20/bbl?

Thanks,

Brendan

Q: May I please have your current views re Sapiens Int'l. Thank you.

Q: I am liking what I see with recent results and news on FLY and am looking at taking a small position of 1% possibly 2%.
Would appreciate your review in light of latest news and financials.
Thanks
John

Q: bce , aw.un, with stocks like these , they seam to stay the course when people get scared they even tend to go up. do you see any stocks like these with that potential ,thank you.

Q: Hi Peter, this company (Red Eagle Mining - RD) is way too small for my taste but has had a good run up. Does it look promising?

Q: Hello Team, I realize these three are very different companies. But could you please rank these in order for a conservative investor with at least a 5-year time frame to hold the chosen stock? No need to hit homers. A longer-term 5-7% annual return would be just fine! Thank you.

Q: Your thoughts on Enerplus would be appreciated.
Thanks so much.

Q: Hi Peter & Associates!

I've held Questor for some time and the stock has fallen dramatically over the last couple of years. Would you recommend holding on to the stock or perhaps holding out in the event the stock recovers?

Ian

Q: Hello Peter, I know this is a low-volume traded company, and that things have seemed rather quiet lately. Do your views remain positive for a longer-term hold? And do you have any information as to the likelihood or timing of CXI obtaining its banking license? Thanks!

Q: could you please comment on the recent activity regarding the Crescendo Partners' Letter? I have held this company for some time (avg price $4.75) and kept expecting to see it return to those levels only to be disappointed each new quarter. The letter definitely sums of my feelings, but not sure if it was the proper way to do it. Any guestimations on the sum of the parts if RKN decided to sell. p.s. wasn't too impressed with the response letter.

Q: Could you please give me an update with regards to VNR. Is it still a good buy for growth and dividend?

thanks

Dave.

Q: I see DHX is moving today. Your comments please.

Q: In concurring with Clarence's comments and observations around CXR.

This includes that management must have integrity and be honest I have learned.

To that point many CEO's, and high level management got to the position they are in due to their sales skills to the board of directors, the public and shareholders and thus meeting, talking with them and listening to them can often only make an investor vulnerable to their sales pitch of saying all is well, do not worry. I have learned that many big investors never talk to the management for this very reason. They do not want to get sucked in so they remove that possibility.

Reading the annual and 1/4'trly reports including the address and final notes can usually reveal the truth as the reports are reviewed by the company's lawyers and they do not want a law suit once they are published.

I understand that earnings and other #'s can me manipulated but over time this can be detected by looking at the other #'s. FCF, Free Cashflow cannot be manipulated as a company either has cash or it does not. They can lie about is but that would not serve them very long or well. Growing FCF year over year over year is one good thing to look for for sound well managed companies.

Also how the CEO is compensated which was over-looked by many in the case of VRX. Are they in for themselves or the long-term business and shareholders?

Q: Just wondering what your thoughts were on what sectors look beaten up and/or unloved and provide a decent entry point for a longer term hold? Materials, healthcare, US Banks come to mind. Any others?

Q: If I was to invest now … Could you supply the % weights of the individual stocks in both the BE portfolio and the Income portfolio. Thank you, Rick

Q: I would like to thank you for insisting on having a portfolio approach and always trim/add to maintaining the balance weighting was able to absorb the AVO shock. I have BAD which went up 25% and AVO went down 25% with no net loss. Had I maintained my high weighting on AVO I would have been a sad story.On the question I would like to know if I can sell gain on BAD and buy AVO that will balance it. I am having a long term view and would like you opinion.