Investment Q&A

Q: My wife recently purchased a pair of glasses on-line. I was skeptical but the process was very easy, the fit turned out to be much better than her last pair that was purchased at a store and the price was a small fraction of the cost of a store bought pair. My concern about BCI is how are they going to counter this trend with some very aggressive players moving into the on-line glasses business? Would this be a concern going forward?

Q: I have owned AYA for almost 3 years and have sold when when my weighting was more than 7%, so I am just holding my profits now. I think when the stock was trading higher than $35, 5i was recommending the stock. As far as I can tell the fundamentals have not changed and that is why I am still holding some AYA stock. I can understand that external events may have turned some shareholders off and therefore the shares are trading at $19. On a stock like AYA, is it the momentum or in this case the lack of it that drives the price? If the potential was there when the stock was $38, is the potential not there anymore? I have my doubts that the privatization bid will succeed; but in the next two+ years is there not good growth expected?

I think 5i is the best!

Q: Magna pays their dividends in USD. On their website they indicate that their dividends are "eligible" thus eligible for DTC. How does one be as tax-efficient as possible, not pay brokerage a conversion fee for USD to CAD conversion, and apply DTC? Cannot apply DTC if held in TFSA or RSP.

Q: Hi Peter and gang,

Would you please comment on the gradual pull back in the stock price of these two companies over the last 6 months. Thanks.

Q: Good morning. To what do you attribute the recent run for DH?
Is it likely to continue? Seems counter-intuitive especially during a time you might expect to see tax loss selling.

Q: After the stock price of DH rose significantly and then dropped back today, trading has been halted, presumably because of the company's news release that, "a process has been established by its Board of Directors, including the formation of a Special Committee of independent Directors, to address expressions of interest from certain third parties to acquire DH. No formal offers have been received and there can be no assurances that any transaction will result from this process."

Once the situation is clarified please comment on the implications for holders of this stock. Thank you.

Q: I've been delighted holding BYD.UN for the past 2 years (up 50%).

I'm tempted to sell and capture the gains as it seems to be losing ground steadily since Nov 16th (and down 2.25% today). (per the old adage "No one ever went broke by taking a profit"). What are your thoughts?

Q: Hi Peter and Team,

In your answer to Helen, you said: Generally, we prefer to sell the stocks that have underperformed, preferring to keep strength rather than hope for a recovery."

Since we're down substantially with XTC, and it's held in a margin account where I could claim a tax loss, would this one be in the same category as your answer? Is XTC a case of "good company, bad stock"?

Thanks in advance.

Q: I am trying to high grade my portfolio and looking 2-3 yrs out for total return, would you swap the stocks in the following 3 scenarios or would you stay put. 1. TFI for CNR, 2. MX for SJ, 3. Bad or RUS for SIS. A small explanation as to why would be appreciated. Thanks and keep up the fantastic work.

Q: What would you buy today PUR or ABT and why.

Thanks,
Milan

Q: MDA has dropped allot over the last week, is this just year end tax related or is there something else going on? Would you consider it a good buy right now?

thanks,

Paul

Q: Hi there,
GUD has lots of money already, it is out of the question to think they may be considering a run at Paladin?
Thnx,Simon

Q: Good Morning,
Would it be a good time to buy some more GUD
with the stock being down so much today?
Thank you always for your great help.

Q: As a follow up to my previous question regarding the drop in the price of Stella jones shares I too did not see anything in the company specific news that would affect the price of the shares. But when you see the shares dropping as they have there may be other underlying reasons for other investors to sell their shares. Under a Trump led government in the USA is there anything in the policies, attitude toward free trade etc that you can see as potential negatives for the company?

Q: Hello 51 team,
Please remind me of your rationale for particularly holding SYZ in the balanced portfolio; the allocation in the tech sector being at 18.5%
Thanks,
Antoine

Q: Another raise of 75 million,
Old saying the bulls have their day the bears have their day and the pigs get nothing,
Has goodman gone to far with this raise or do you think it is because he has a huge deal planned. Dave

Q: Hi Peter A lot of concerns over PBH the recent downward pressure is the result of on analyst's downgrade for reasons he only knows .
By selling into this crap only exacerbates this issue .
The company is preforming well and expansion is on target and is raising cash through debenture offering at a great rate and as a investor I believe this is the best form of debt ,in a worst case is exchangeable for shares.
As members of 5i we are fortunate to have this private forum to share thoughts
Stan

Q: What opinion on Home Capital and the information from short seller Marc Cohodes reported by BNN
Sudden un explained departure often mean problems on the inside.
Thanks
Jean

Q: There are two companies in your model portfolio ( SJ and KXS) that are being taken out behind the wood shed and being thrashed severely. Can you offer any reasons for this? Are there any possible concerns regarding the companies that we should be aware of and should we continue to hold the shares. Stella Jones is of particular concern with its downward spiral and down around 5% this morning.

Q: Hi Peter, just curious why Knight would do a bought deal for a relatively low amount ($75M) vs their total available cash. Is this because they thought when the stock hit $10 that it was a great price ? Thank you, Paul