Investment Q&A

Q: Could I have your analysis and comparison of Long Run Exploration (LRE) and Surge Energy Inc (SGY). Production, sales, management, properties, future prospects, m&a and who is the better of the two at this point in time for dividend, value and growth?
Thanks for your help!

Q: peter I hope your trip was successful.
Why the huge volume today on bce over 7million traded
Kind regards Stan

Q: Hi team:
there was a statement on the Globe and Mail on Sat that one of the Malaysian companies that has interest in the LNG in BC is threatening to pull out of the deal as there were too many red tapes to cut through
What would you think of ALA (altagas) and Pey (gas) as a long term hold, I am thinking of 3 years or more ? it is risky to buy or to add to an existing position ? they generate good dividends and I am looking for abit of capital growth as well, thanks

Q: Telus has a health care division (who knew?) that is generating 5% of its revenue, employing 1600, and according to the CEO, "...we've got the tools to be a major player in that business and it's one of our fastest growing business areas now as a result." The Telus investment seems to be in the area of Electronic Medical Records where I recall the Ontario Govt. here misspent $1billion not long ago under eHealth, before pulling the plug on the whole mess, and going back to the medical IT ways of 40 years ago. (My Family Dr., in his 40s, still writes prescriptions by hand, but keeps all my records on his laptop showing he's computer savvy, and I can't contact him electronically.)

Do you see Telus Health as having the knowledge and patience to succeed here in what seems to be a high risk area? I know 5i must be working on a Telus report since the stock's been in the model P/F for 2+ years but I can't find any earnings or EBITDA numbers for this division in their financials. Do you know? I've happily owned this stock for several years and it's in my Top 5 weightings; do you see risk or reward on the horizon with the health care part? Thanks, J.

Q: When you discuss pipelines you never seem to mention Veresen as a top pick or a pipeline It owns 50 % of the Alliance Pipeline and has just done a major deal and aligned themselves with Kinder Morgan What classification do you give VSN if not a pipeline

They are just waiting for final approval from the DOE.It has almost 6% yield . I am thinking of taking it up to a 5 % weighting in my portfolio Could you give me your opinion on the potential earnings growth and dividend safety Thanks so much Paul

Q: Would you please give me your opinion on Bird Construction?

Q: Dear Gentlemen,
I want to increase my Income PF.
Your opinion on Aston Hill VIP Income VIP.un
Any better suggestion for high income.
Thanks
Best Regards

Q: Hello 5i,
My strategy is to buy and hold dividend paying companies for the long term and I’m currently looking to pick up another financial company for my portfolio. I already own 12 companies in this sector, which of the companies listed below would you chose.
Mercury General Corp (MCY), Oritani Financial Corp (ORIT), HSBC Holdings (HSBC), Banco Latinoamericano de Comercio Exterior (BLX).
Thanks,

Q: 5:48 PM 9/25/2014
Hello Peter
We own a large position in Sherritt 8.0% Unsecured Debentures 15/11/18. Sherritt are offering to buy them back at a $1.045 which is just about what we paid a couple of years ago. Should I accept their offer to buy, or wait for a better offer, or just sit tight and collect my 8% interest for the next 4 years. I really cannot see a replacement for these if we do sell them unless you have a good suggestion.
Many thanks...... Paul K.

Q: What do you think about RET? Their last earnings were pretty good. Do you think it is a good position to hold for takeover potential? Thanks

Q: your comments re this co. with a 2 year projection.

Q: Today I want to open position in pipelines.Please tell mi which one of this three IPL ,PPL,KEY is # 1, 2 and 3 to buy and why?
If possible please answer my question during today's market hours. Thank you

AndrewB.

Q: Team - with the recent pullback, COS, FRU and BTE are looking interesting to add to a portfolio for both income and perhaps over the mid to long term some capital appreciation also. Do you agree with this observation? Would you consider buying now or wait a little longer to see if they continue to drop? Many thanks in advance.

Q: Is it a good opportunity to buy Surge for a 12 yr olds Resp ? For a seniors Tfsa ? Thank you

Q: Freehold (FRU) and CDN Oilsands (COS) are both down quite a lot from their highs and both pay a decent dividend. What would your preference be wrt safety of dividend and growth? Thanks.

Q: Veresen (VSN)

Hi Team - I was hoping you could please explain the apparently high payout ratio of Veresen. According to CIBC Investors Edge, the payout ratio is 439.63%. From what I can see with FASTGraphs, the payout ration has been over 100% (sometimes well over) since 2001.

I don't understand how this can be possible over such a long time period. I've noticed this with other companies as well from time to time. Generally though, the commentary you provide suggests a low payout ratio is best.

Could you please help educate me?

Thanks very much. Michael

Q: hbc/tsx could you give me your opinion on this stock-thankyou

Q: When companies like Veresen sell subscription receipts at prices below the stock price does it impact the stock prices going forward ?

Q: I appreciate the wealth and wonderful information you have been accumulating on your site. I have a general strategy question. On building just a dividend income portfolio, using Canadian blue chip companies, there is a sense that the rise and fall in stock market price becomes back ground noise. These tend to be very long term holds however some of these companies can get some bad press which exaggerates a fall in price and then it bounces right back. Is there a critical no return price to watch for in these blue chip long term hold companies? For example would a fall of more than 15% in price be a trigger for something more than just stock market noise?

Q: Article in this weekends Globe suggests defense and aerospace is a good place to put money with countries putting in extra effort to defend against terrorists. Berman mentioned Alliant Techsystems as well as others. Would you recommend following this path and perhaps suggesting a Cdn possibility that could benefit from beefing up defense positions. As always thanks so much. Maureen