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Visa Inc. (V)
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Toronto-Dominion Bank (The) (TD)
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Sun Life Financial Inc. (SLF)
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Bank Nova Scotia Halifax Pfd 3 (BNS)
Q: I am overweight in financials with BNS, TD, SLF, POW, Visa and underweight in Utilities. I was thinking of letting POW go. Thoughts on this?
For Utilities, I looked at TA with its very low P/E but it is still stuck in non-renewables at the moment. Thoughts on this? What utility (ies) would you suggest?
I am just asking for thoughts/suggestions.
Your advice is greatly appreciated.
For Utilities, I looked at TA with its very low P/E but it is still stuck in non-renewables at the moment. Thoughts on this? What utility (ies) would you suggest?
I am just asking for thoughts/suggestions.
Your advice is greatly appreciated.
5i Research Answer:
POW is cheap at 8X earnings, and has a solid dividend. It has done well in the past year, but we would hardly consider it best-of-breed for the sector. We would be fine letting it go if an investor was reducing sector exposure. We would feel generally the same about TA. It has had to cut its dividend in the past, which we never like, and many others in the sector have pristine dividend records, such as FTS, which we would suggest, or BEPC also as 'better' than TA.