Investment Q&A

Q: Hi 5i Team,

DHX.B was downgraded by Scotiabank to an “underperform” rating and cut its price target from $10 to $7. RBC Capital, CIBC have both cut DHX Media’s price target as well. What is your outlook on DHX.B and is it still worth holding? Thanks as always. Jerry

Q: There's been insider buying as well, from at least two insiders, since March.

Q: This seems to be a recurring question, but do you see any news that's continuously pushing down the price of Amaya? With solid earnings and 2015 guidance, I'm concerned by the continuous downward trend of the stock with no apparent news.

Q: Is it too late to buy CXI?
How is an increase in interest in USA going to affect this stock?
Margita

Q: DHX seems to have taken quite a hit today though I can't find any news. Corus also just reported it has secured the Canadian licensing rights to the Disney Channel's content. But as a content provider, this shouldn't adversely affect DHX should it? Seems a little overblown otherwise.

Q: Any comments on the impacts on DHX on the Chorus deal with Disney.
Thanks
Chris

Q: Do you think the new carbon pricing plan will affect Trimac transportation? I do not know much too much about how other jurisdictions impose this structure on transportation companies.

Q: I'm looking at the debentures. I thought I read that the new issue will be added to last years debentures, is it just one debenture - CSU.DB? The way this is structured with the 5 year notice, if notice is given, would the principal be paid back at 100 after 5 years, I don't fully understand the may redeem "at a price equal to the principal thereof and accrued and unpaid interest.....". Would interest rate increases move the price of the debenture down a lot because it is 2040? Would this be good to buy right here at $122 with the intention of holding for 5-10 years and then selling?

Q: Hi Peter, Watched you on BNN Market Call with great interest !!! Could you please comment on the recent insider trading activity ? Also there was a large block of 177,200 shares traded by Acumen Capital on Apr/15 @$7.75. Does it mean anything ? Thanks

Q: Hi 5i! What's happened to Enghouse these past couple of days? Big drops and high volume on Tuesday!

Q: Wow, this stock is down well over $7.00 today, yesterday up approx $5.00. What is the correlation, must be connected. Is there something significant going on?.

Q: I have been looking for an entry point into Amaya. The weakness today has me interested. I don't see a catalyst for the down trade today unless I'm missing something...?

Q: Greetings. any idea when the Bell takeover of glentel happens?

Q: I use Canadian Insider on a daily basis as part of my ongoing checklist of investments. Would you please clarify the term "acquisition under a prospectus". A recent example - DH - 3/10/2015. Thank you.

Q: Since your most recent adjustment to your model portfolio, I have been looking at Progressive Waste Solutions (BIN). Today, I was planning to purchase until I noticed a PE ratio of about 27. Since this is much higher than the 10 -15 that I usually target for buys, I thought I would investigate further. Their growth is about 5% which indicates a relatively poor PEG ratio of about 5 and I see that their cash flow for the year indicated borrowing to pay a large portion of their dividends and share buy back. Also the dividend is relatively low at about 1.7%. I am certain that you would not place this company in one of your portfolios if the negatives I have described above was the basis for your decisions. Can you explain what I am missing and why this is one of the new replacements to the portfolio? Thank you very much. I always value your analysis and opinions.

Q: Hi Peter & 5i. Would this stock be a good time to buy, also in the Stock Charts its a 3 box reversal, what does it mean. Thanks Gene.

Q: I did a little digging around with SYZ and a statement on a report caught my eye. "Net loss reflects stock based compensation increase from $31 K to 1.6 M". This was for year ending Dec/14. Have you met with management recently? Is this a one time management move or a trend? Not very shareholder friendly. Thank you for your opinion. Unfortunately I bought this one for my son at it's peak. Not looking like super mom at this point. An opportunity for a learning lesson.

Q: CCL has been on quite a run lately but is currently trading ~ 19x forward earnings and estimates suggest a 10% growth rate. Do you continue to see any significant upside from here or has the "best before" been reached?

Thanks, Clay

Q: 2:30 PM 4/10/2015

Hello Peter :

I purchased McCoy Global [MCB] this morning on your recommendation and for the fine dividend since you just added it to the Income Portfolio. I was a bit shocked just now to see you recommend Pason Systems over McCoy in your answer to Jim!!

1. Did you choose McCoy over Pason for the Income Portfolio because Pason has a much lower 3% dividend?

I see the TSX lists McCoy as an "Energy, Oil & Gas - Services - Support Activities for Oil and Gas Operations" I suppose because their main customers are oil&gas E&P companies but I would have thought McCoy would be classed as "Industrial - Manufacturing" since they mainly manufacture equipment.

I was a little concerned buying it as I have a 17% sector allocation to "Energy" companies as classified by the TSX but these are all pipelines which I hold for the income and which are more utility-like.

2. Should I consider McCoy as part of my Energy Sector holdings for weighting considerations or could I add it to my Bird Construction and Algoma Central under the Industrials Sector?

3. Do these Sector Classifications and Allocations really matter that much when all is said and done?

Thank you.... Paul K

Q: After seeing it on your filter list yesterday I checked the company and distribution and read that the distribution is "100% OF capital". What is the advantage of this? Doesn't it just mean that one gets one's own money back?
Thanks.