Investment Q&A

Q: Hi 5i team,

Can you please provide your outlook on Go easy? The valuation looks attractive but I am worried that their provision may rise. Are all of their loan secured? Also, government has asking Credit Card company to reduce the interest rate, will their margin being impact as well?

Thank you,

Q: what exactly is the cash component of knight and what percentage of the share price at 5.99(fridays close) does it represent. dave

Q: Any concern on their dividend? Looking at their annual report for 2019, payout ratio is close to 70%. If this is correct, doesn’t leave much room to increase the dividend or re-invest back into the business for growth.... I would hate to see an equity raise in the near future or see then use their cash balance for a dividend increase. Your thoughts would be appreciated. Thanks.

Q: Hi there, Boyd is under pressure today - I presume based on the COVID update out today. Do you see this as a good entry for a 1/3 position or would you wait a little bit to see how the virus effects its business?

Thank you!

Q: In view of current conditions, in your opinion, is PBH a buy ,sell,or hold both a registered and an unregistered plan. Thank you,

Q: I am hearing on news that few of Senior homes dosent have all the expertise how to deal with VIRUS . Can you please advise if SIS will benefit if baby boomers decides to stay at home instead of senior housing.
Do you think in future seniors will decide to stay at home instead of senior housing

Thanks for the great service

Q: Please comment on the welcomed great performance of LSPD today--$23.75 up $5.75(32%) on huge vol.of 2.1m(av.536k) Txs for u usual great services & views

Q: If my aim is to raise some liquidity for more prudent re-investments in the coming weeks, which companies in your balanced portfolio would you consider as best choices to sell. Not seeing the road ahead with any clarity, I'm interested in keeping those companies with strong balance sheets, and selling those that may suffer the most in these unforseen times.
Thanks,

Q: Would you add to a small holding of cae in myTfsa. I presume that with the layoff of many pilots and given that eventually more will be hired and recertification is required every 6 months that cae will benefit. Should I be concerned about debt level? Thank you.

Q: The Northwest Company was left out of today's rally and is down about 13%. Is there a reason? I would have thought that grocery is a good sector in the current environment.

Q: Hi Peter & Ryan

This is just a comment but please feel free to deduct a question credit.

During difficult market times we send you questions so that we dont feel alone when markets are crashing. It's the time we need some "emotional support" and the Q & A provides just that for me.

Thank you kindly to you both for helping me navigate during these turbulent times. I bought GSY and I held even though it dropped after that.My cost was still in the region of about $28. I was tempted to sell when it dropped further but found solace in your answers to the stock. I am glad that its today up over 25%.... I can't thank you guys enough for providing me with the confidence to hang on to my positions and to cease opportunities during crazy market swings.

Once again, thank you and much appreciated.
Sincerely,

Q: I understand that Brookfield Asset Management really thrives in this kind of environment. They are very good at funding companies or buying up shares/debt in distressed markets and they certainly have lots to choose from. An article in today's WSJ said Wall street money guys are getting lots of calls from companies needing cash.

Q: Why was it hit so hard today?

Q: Any particular news or reason for the the strong increase in SHOP?

Q: What are your comments on MCR reported last night. The numbers seemed a little light but it is now trading at about 3X earnings.
Even though it is small, why wouldn't someone buy this highly profitable company?
Because of its size and present environment, are there any plans on removing it
from your Growth portfolio? Thanks

Q: Hello 5i
I've been reviewing your answers regarding which stocks to buy in this environment and noticeable by its absence is SHOP. Given it has been a top performer in Canada for a few years and has suffered a drop with the others I'm surprised by its omission.
Care to comment?
Thanks
Dave

Q: My understanding is that People is a third party administrator.
Does this mean they would be unusually busy with the EI claims and dealing with Cocid -19 etc is actually a good revenue stream that would help their business?

It has been hit hard like all other stocks. But did well in the past economic crisis in 08/09. Is there any other issues that would impact their business ? It looks like it could be a good time to get in now ?

Q: Hi, Had the misfortune yesterday of buying NFI just hours before they announced the dividend cut and closure of plants for 2 week. Ouch.

Any views on the company? Any risks that they won't recover? My thesis was that they were in good shape with their order backlog and large public sector customer base...

Q: I am in the process of switching my portfolio to Balanced Portfolio stocks only. Are there any which should not be bought at the present time?
I can buy full positions now in the rest of them. Is this a good approach, or are there some which should be bought over time and if so which ones and how? May thanks.

Q: Wow, Boyd continuing to get crushed. Sure, people may be driving their cars less these days and therefore less car accidents, but once life returns to normal, I can't rally see Boyd's business taking that big of a longterm hit. Down nearly 50% from its ATHs. What are your thoughts why this one got hit so much?