Investment Q&A

Q: How likely is it that Parkland will issue new stock to cover the costs associated with the acquisition of gas stations and "On The Run" convenience stores from Imperial Oil? Thanks!

Q: Hi, Can you please comment on ESL earnings release. Looks like Revenue, EPS were a bit shy of street estimates. is this mainly due to CIT related expenses? You had mentioned that CIT was the 2nd largest acquisition in company history ? How is it likely to contribute to future results ? Did FX play a role in current earnings? I just started a new position today @ $57.25. What are your thoughts on valuation and market perception of results ? Thanks

Q: Please comment on Enghouse latest quarter. Thanks!

Q: In addition to my previous question if this stock drops do you have a price that if Enghouse went below it would be a table pounding buy? Reading through some past reports the company consistently states that operating results fluctuate between quarters and I'm guessing this is one of those quarters where things fluctuated below expectations.

How much weight would one put into Sadler selling some shares in the 70s a few months back to foresee recent movements in Enghouse stock? Is the drop at the end of trading Wednesday March 9 suspicious and does the OSC monitor such activity?

Q: The company has released it's 4th quarter results and management seems to be confident they can afford the dividend although many of the financial metrics seem to have declined. I am wondering what your thoughts are? I couldn't see a cash flow in the release.
Many thanks.
Mike

Q: Further to my previous question in ENB dividends, they are paid in Canadian dollars and converted at the current exchange rate at the time they are paid?

Q: What are the chances of the Dutch Auction buyback announcement shaking off some of the short sellers?

Q: Could you please clarify the recent deal where Imperial Oil has sold its retail ESSO stations to various entitities, including PKI and ATD? In one news article, it seemed to suggest that PKI purchased all of the "On the Run" convenience stores and some of the gas stations. Howefer, in reply to a previous question, you stated that ATD had bought some of the gas stations but it would seem to me that they would want the convenience stores as well, so I am left wondering who purchased what.

Could also comment on how you see the acquistions affecting both ATB and PKI.

Thanks for the insight.

Paul F.

Q: How do the quarterly results look for CXI to you. Is this still a hold or time to add some. Thanks

Q: I haven't seen any questions about the Dutch Auction issuer bid. I am wondering what this is and what impact it has on the stock price. Why would management do this and does it have an impact on the short positions?
Many thanks
Mike

Q: I have both CGX and DIS in the consumer space, and although I have done well on both I am concerned these may be too reliant on the same movie-going public. My other consumer names are CTC.A and CCL.B. Do you agree I am too concentrated, would you recommend selling CGX and diversifying into a different part of the consumer space, and if so, what do you suggest?

Q: Further to the concrete rail ties comment, in my travels (North Shore, Georgian Bay) I've noticed when a wooden pole needs to be replaced, hydro technicians install a pole made from a resin-like material. These new poles come in stackable pieces that enable the height of the pole to be adjusted according to the terrain. On seeing these, my thoughts were no more hydro poles full of giant woodpecker holes and are these new poles a threat to Stella Jones?

Q: How would you view a switch from FSV or CIG to ECI? Both offer a lower yield but do they have better growth to make up for it? I have these companies before the split so there would be some capital gains tax. Should I switch out from one(which one) or both to ECI or you think it does not make much of a difference?
Regards

Q: Can you please comment on the prospects for this company and the cancellation of coal contracts. They will apparently be reimbursed for their stranded assets. Mike

Q: You answered a question about BDI only a week ago, but earnings were released since then. Has your outlook changed? You stated the company was "...likely the strongest and best name in its sub sector..."
As per the 2015 results, BDI reduced capex and general expenses and they also paid down some debt. Payout ratio for 2015 was 43% and should be similar for 2016 since they reduced the dividend last quarter.
The stock fell again today with the pullback in oil and I'm tempted to put a little cash into this name with a 3 year time frame in mind. The yield is 13% right now, but I wouldn't be heartbroken if they reduced it again - as long as we saw some capital appreciation in the next few years. Thoughts?

Q: The market reactions right now are perplexing. With a financing 5% below the market price (that seemed oversubscribed as many only received 25-33% of what they requested) and an acquisition that is 25% accretive to shareholders, I'm surprised that ECI didn't pop 10-15% on the news, leaving still significant upward potential for the deal needing to close/execution risk, etc. Am I missing anything? Are they taking on too much debt perhaps? Or perhaps significant short selling to lock in a guaranteed profit and buying back on the financing...
To me, it seems an excellent time to purchase ECI, 5.5% yield while you wait and over the next 1-6 months, one would think the share price has as much as 25-30% upward potential.

Q: which of the two has more growth potential between Savaria Inc and Knight Therapeutics? and which one would be considered less risky? which one would you prefer out of the two and why?

Q: Hello Gentlemen,

I am looking to add to my income portfolio this company. Yesterday they declared strategic acquisition of SEHAC Holdings and today IIROC made a decision to halt ECI trading... And stock is almost 4% down... Volumes were much higher than usual. Your comments would be highly appreciated! Thank you for great service!

Q: Good day 5i Team, could you give some guidance on K-bro. It took a hit last week on news of lost contracts and it doesn't appear to have found a bottom. I own it and am not concerned short term but looking for guidance on its long term outlook. Thank you

Q: Hi, CSU earned a lot of praise from analyst community (including 5i)after recent release of solid quarterly results. Most analysts upgraded company outlook and revised their ratings and price targets upwards. The stock responded very well and revisited $589, close to its last high reached in late 2015. However, it could not hold there and over past 10 days has returned to pre results level. I have a decent position and continue to own CSU for long term. But, with such wild fluctuations, I am interested in your comments on TA for the stock. It appears to have again moved into oversold territory with support at $525 and $500. Is the stock presenting another buying opportunity at current levels $525-$530? I know, Tech sector has sold off recently in US and Canada, but I guess there is no other specific reason for this price decline. Thanks