Investment Q&A

Q: With a market cap of almost $700mm and little to no sales revenue, investors are stampeding into Canopy and anything weed related.

When recreational marijuana is legalized should we expect bigger participants to enter the industry? I keep thinking that the current names are run by greedy white-collars who have little expertise but do have access to capital. Will these early RTO's get weeded out when big pharma and the gang step into the sector?

People are talking about weed as if it's the rediscovery of the wheel and fire. This is an easily replicated farm crop that requires very little skill, capital outlay and maintenance.

Care to share your thoughts on the zebra-striped elephant galloping through the green house?

Thank you

Q: PUR and AYA are taking it on the chin today. PUR has been one of your favourites. Comments please?

Q: Could I have your thoughts on AC? Specifically current stock price run up vs business prospects? The sentiment and the stock trajectory is good but everything has its limits. I am looking for a reason to sell (so is the stock still a buy?). AC has grown to 3.5% of my portfolio (up 40% now).

Q: I am thinking of selling ARZ and looking at PBH or EIF. Disregarding sectors, could I please have your opinion and what would favour or keep ARZ. Thanks

Q: https://www.thestar.com/news/insight/2016/10/16/justin-trudeaus-trillion-dollar-question.html?campaign_id=A100
Peter and Ryan ; Could you comment on this article with respect to (1) which companies would benefit most and (2) do you think this " Infrastructure Bank" will be a reality? Thanks. Rod

Q: Slow but sure over the past 2 years or so have been putting in a small position into this company. How do you see their prospects looking ahead a couple more years.

Q: just released Q 2 would you recommend buying. book over $20 over one year back login orders, over $80 m in cash. but sales and per share earnings down.

Q: Do you know anything about a company cannabix technologies symbol bto on the cse. Dave

Q: Hi, Here is another stock in which I built up a full position over past 6-8 weeks. Based on your many comments, I believe that you like the company but last time decided to add Spin Master instead of Sleep Country, due to higher growth prospects.

The company also appears to be a favorite among many guests appearing at BNN and has been often compared to Dollarama, with respect to its future growth potential and expansion plans.

The stock quickly rose to a high of $33, but has been on a constant decline over past few weeks, losing over 12% of its value, closing at $29.01, today. Recent weakness has been attributed to soft results from Temper-Pedic and also a M&A few weeks ago which was completed at a much lower multiple than what Sleep Country had been trading.

When an expensive stock like ZZZ continues to trade lower, what could be the next event or catalyst, which could help stock reverse this trend and regain market confidence? Or, it's time to sell before stock loses more value and redeploy capital in more consistent names in your portfolio? Thanks

Q: On Oct. 17 Bill asked about his half-position in PIH: Invest more or get out? Your reply was to "stick with it", but do you mean stick with what you have, or yes, buy more?

Q: I find the market expensive and would like to short 5 Canadian stocks for protection til Dec 31. Your best short ideas please and thank you.

Q: Just a comment on David's question about RRIF withdrawls. It was suggested on another board that if election for minimum Payment is set as one annual payment to be received in December, say December 15, it does not limit the flexibility to make RRIF withdrawls throughout the year, as and when needed.These are known as "unscheduled withdrawls". As long as total of these withdrawls does not exceed minimum amount for the year, the final December payment can be adjusted. David may want to confirm with TDW this as well as exemption from withholding tax for unscheduled withdrawls.

Q: Hi,Peter
I suggested sometimes ago to make response always available without having to open the link... I did get no reaction.
without loosing my commitment to your daily Q/A, I have another suggestion.
Context:I reopened a suscription to a London (UK) site which is very similar to yours in content and presentation, but geared more to the macro picture, balancing, I hope, your "permanent" positive views on the markets.
They also have 2 managers and I hold them in very high regards. They are allowing themselves to trade worldwide BUT they are reporting their trades on a regular basis wich force them to put their money where their mouth is.
I consider this arrangement in fine much better than prohibiting any trading, and give a lot of credibility to their comments, as well as a lot of weight to their judgement.

Another food for thought, and may solve your problem of hiring top notch analysts.
All the best,
Claude
Ps: publish at will

Q: I normally keep my new additions to my portfolio for two quarters and evaluation if they are keepers by the third quarterly results.

I now have five stocks in this category and they are all either slightly above or under water at this stage. If I am going to keep just three of these five stocks (and drop the other two), what would be your ranking? Certainly the decision, as always, has to be based on projected forward earnings, growth in future cash flow, and the prospect of dividend increases.

The five are: INE, FSZ, SOT.UN, TCN and BLX.

Thanks for your insight.

Q: I would appreciate your opinion on Reitmans.
Recent price action has been impressive.
Thanks,
NA

Q: I have a question about 1119
Holding Potash (POT) for growth. Should I trade out of it for something you prefer more or give it a bit more time. In at about $22.

Q: I have a question about 932
Hello 5i:
in response to a question on MG/LNR, in, I believe August, you said "MG has a solid balance sheet and a very cheap valuation. Recent earnings were solid and we would consider the sector fairly attractive right now overall." From everything I can read, it appears that LNR has a substantially lower valuation than MG. Am I missing something?
Can you elaborate on LNR, and discuss why you think MG has a lower valuation.
thanks
Paul L

Q: I keep reading and hearing that coffee prices are set to rise substantially... What stocks, both Canadian and US, are available to play the coffee commodity

Thank you

Q: The best investment I made this year was joining your service.
I was just chasing stocks.
What sector should I be looking at first.
Could you recommend any to get started.
Thanks.

Q: Hello, I am reading there may be increased money flow back into agriculture, besides these two etfs, do you recommend any Canadian etfs/stocks that may provide similar exposure. Would it be better to stick with these with the added benefit of a possibly strengthening US dollar?