Investment Q&A

Q: Hi 5i Team:

Before you reach out to that rotten egg to hurl in my direction for asking yet another question on this stinker of a company (!) let me say a few words in my defense! I spent the last 39 mins or so going through all the recent questions on BCE using your symbol search! I couldn't find the answer to the question that I am going to ask now!

Hypothetically IF BCE were to cut it's dividend by 25% ( currently at 11.58%) then what will be the stock price post cut? It is 34+/-.
However if the stock price drops a lot, wouldn't it make the dividend go up? I thought there's an inverse relationship between the stock price and dividend, no?

In any case, I know you are not too keen in speculating about price targets. Based on your experience with large companies that cut their dividend, what's your price target for BCE assuming it cuts it's dividend?

Many thanks.

Q: Hello Team,

A lot of power producing companies, including CPX, had a great run since the advent of AI and the need to power data centers sprouting everywhere. With the news about Deep Seek a lot of them took a shaving yesterday. Do you think CPX can recover? Thank you as always for your valuable insight.

Adel

Q: it is noticed that there several (8) analysts rating ENB a hold , also 8 analysts rate it a buy, while the average price target has already been reached, it seems that the former analysts believe some head winds are coming soon, which will force the price to drop. is it the new Trump era affecting ENB ?

Q: In my question of yesterday, you suggested a 2% weighting for TRP. Please provide some comments as to why you selected this weighting. ram

Q: Hi,
Thank you for answering my question on US Utilities. Much appreciated.

You mentioned that Canadian utilites may be a better option in your answer. I have H, EMA,FTS. Should I add to these or add another utility? Any suggestions in this space?
Thanks again.

Q: td analysts see this going up 100% this year and also dividend raises. It has done well compared to other canadian telcos and pays a 6.5% dividend and has been raising some 8-10%[just raised 8%]. Am i missing something since bce drops 30% for year and will not raise dividend or possibly cut in future. what is your take on cogeco for future as a dividend investor

Q: Can we have your thoughts if you think the dividend is safe given the payout ratio is in excess of 100%
Analysts are constantly pushing for a dividend cut which is favourable for the people that purchased for both growth and income.
Management has said that they wont cut dividend , but what other choices do they have . ? selling the maple leaf assets has been more then offset by the purchase of the US fiber assets

Q: Retired, dividend-income investor.

I've held Alaris just about forever and the current AD.UN iteration since 2018...bought in the $12 range. It has been on a bit of a run lately and hit $20 today. It is now in the asset allocation range I usually reserve for blue chip companies....instead of a smaller allocation reserved for smaller, higher risk companies.

With their portfolio of partner companies, I have also considered Alaris as almost ETF-like. I break out their holdings into the various asset allocation sectors, while maintaining a 50% weight in financials.

Q#1 = related to their valuations (P/B, P/CF, P/S, P/E), is Alaris on the cheap or expensive side?

Q#2 = do you agree with my thinking, that AD is almost ETF-like? If so, then I can live with the slightly higher asset allocation. If not, then I could comfortably trim and reallocate the proceeds.

Any comments would be appreciated. Thanks for your help...Steve

Q: I'm sorry . I meant to ask on LIF as opposed to LAB
it has a low P?E, High dividend yield and a high payout ratio of over 100%
Just wanted to gather your thoughts as to the sustainability of the dividend and the growth potential given the high payout ratio

Q: Hello team 5i:

It seems that for better or for worse utilities seem to have entred into a "union" with Technolgy sector, thanks to the perceived putative need for high energy demands !

Therefore utilites espcially in the US no longer have an inverse relationship with growth stocks. So it seems to me. I thought they will play the role of a "stabilizers" for my portfolio. That has not been the case.

Any thoughts? Should I consider something else (sector or stocks) to lower the volatility? Can you give me some names, say 3 to 5 stocks in the US utility sector that are NOT involved with AI energy demand craze?

My Canadian utilites fortunatlely remain "boring" and chugging along nicely :) Of course I can collect some nice dividends plus in my non-regd account, dividen tax credit helps!

Thanks for your help as always.

Q: Why the rather large decline of CPX today? Is it a good opportunity to buy?

Q: Late to the party?? I have telcos and not overly excited about their near-medium term prospects. Would you you consider moving some , all to EQB? Apples and oranges but an idea for some maybe?

Q: In a portfolio where capital preservation and income are the goals there are 13 equities including 2 banks and one insurer. H is in a small loss position; it currently has yield of around 2.84%. POW has a yield around 5.2%. What would your thought be about switching from H to POW? Many thanks for your excellent service.

Q: Good morning,

Would you consider switching EQB for TD today, if EQB is already held?

Thanks,

Brad

Q: Hi 5i Team,

I invested in MFC and GWO roughly 2.5 years ago amongst a fairly diverse portfolio. I originally purchased both as a dividend play with potential for modest appreciation, but they have far exceeded my market value appreciation expectations over this time frame. I since purchased a smaller position in Sun Life roughly 3 months ago. For the first two, I likely need to trim for rebalancing / concentration sake.

My question(s) is as follows (and please deduct how many points as necessary):

- At a high level, what is your outlook for the Insurance space over the next 1-3 years and what indicators do you look at when making this assessment?
- Amongst the three companies listed, how would you rank them in terms of expected growth over the next 3 years?

Thanks and really appreciate the advice from 5i.
Erick

Q: Hello, I have held Northland for 20 years, gradually building a full position, but it is now coming back to my average cost. I understand renewables are not trendy these days, so should I 1) hold on to it, 2) add to it (no longer a full position now) or 3) let it go. FYI, I also have BEPC in renewables and EMA and FTS as utilities as well. It is part of a dividend portfolio and the div is good…Thanks!

Q: Hi 5i - what would be your top dividend paying stocks (minimum 4% yield) to invest in at the moment? My ENB position is getting too large, so would like to trim.

Thanks, Neil

Q: Are the telcos oversold? Are they a good dividend play at the levels?

Q: Good morning

I noticed today that BEPC is trading at round $36.00 and back in December it was at around $44.00 Is BEPC a good entry point today for a long term hold? Any reason for the drop?

Jimmy

Q: Are there any particular CDN dividend stocks that you find particularly attractive presently - either for valuation, or long-term "growth" potential?