Investment Q&A

Q: Would you buy ATZ below 20$.?

Q: This is a portfolio management question. I help manage my retired sister’s stock portfolio; it consists of 36 generally high-quality companies, with focus on Canadian dividend-paying stocks (as she benefits from favourable taxation of eligible dividends); the portfolio has done very well over the years (thanks to advice from 5i); the philosophy is generally "buy-and-hold" with minimal turnover. Portfolio breakdown is roughly 60% Canadian (many with U.S./international focus, e.g., TD, RBI, TRI, etc.), 30% US, 10% foreign. All 36 stock holdings are 2.0-5.0% positions (median weight, 2.7%), except Aritzia (ATZ), which due to declining share price is down to only 1.4% weight. My question is: what to do with a stock like Aritzia? the portfolio management style would be to add to this position, given that it is fallen a lot, and the expectation is that it will recover, and potentially do quite well, in the long-term. On the other hand, there is a risk of continuing bad performance, and one doesn’t want to add good money after bad (the ATZ cost base is already near the median for the 36-stock portfolio). So, from a portfolio management perspective, how would you handle such a stock that has fallen quite a bit below the 2.0-5.0% target weighting of the rest of the portfolio. (Further, it doesn’t pay a dividend, either.)

Ted

Q: hi,
of the equites in the 5i model growth portfolio as of June 30, 2023 that are down 50% or more from inception ( ie in the portfolio ), are they all still recommended? buy/hold/sell? are you able to rank them in regards to which you think will perform better going forward at least 1 year? and, do you like any other CDN growth equites right now more than some that you have in the growth portfolio right now?
cheers, chris

Q: Can you comment on illumin holding's announcement yesterday? how will it impact the company and the stock price going forward?

Thanks

Q: I am looking for a replacement for cae in the industrials. Already own wsp, mg, tfi. Also can you give me 3 or 4 solid companies with little dept and low valuations.
Thanks Steve

Q: As i get older i am always thinking about reducing risk in a reasonable way. I have about 2 per cent of my portfolio in pbh. I know it is a smaller company and i have been thinking about taking a cap gain hit to transfer to atd. I was wondering how you would compare these two, rather than by size alone
Thanks as always

Q: Retired investor with a long term view. I will need to take some money from that account for living expenses. Holding both stocks sitting at a 4% weighting in a taxable account with 180-300% profit. Industrials are my largest holdings. I would like to take one down to 3% and reap some profit on the way. Which would you sell first or would you scrape a little bit of both?
Thank you for your invaluable service.
Yves

Q: Gentlemen;

Any news out that would explain the sell off yesterday? The stock has been on a tear so normal profit taking?

Q: Aritzia stock was done close to 4 per cent today. I read an article that looks like it came out today that exposed problems with the work place culture and complaints from employees. I didn’t see other news. Do you think this is the reason to the Stock decline and do you think this will have a material impact on the stock short and long term based on similar past situations a companies

Q: I manage my son's TFSA and have just sold his NVDA shares at a 200% profit. Many thanks for 5i's excellent advice on this purchase! He needs the money next year and I felt - after a good run - it was time to play it safe and cash in. I would now like to reinvest the funds in a less volatile stock - in any sector - that still has reasonable growth prospects over the next year. CSU comes to mind (and I know you're a big fan). MSFT and GOOG already owned. What would be your top three choices for replacing NVDA - Canadian or US? Thank you,

Q: with so much extra copper needed in the future ,because of EV and clean energy what are your thoughts going forward on the copper price in the future?
It seems to me a no brainer as building a mine will not happen overnight either.
How would you play this as an investor?

Q: Good morning,

A follow-up question to Angus’ question from yesterday about the P/E and PEG of these three companies…

As I understand the PEG ratio, a PEG under 1 suggests the stock is undervalued for its expected level of growth and over 1 suggests overvalued. So would you interpret these three PEG ratios that WSP is currently overvalued? If you were adding to these three, all other things being equal, would you be least likely to add to WSP, adding to the other two first as they have a a better current value?

Thank you for your insights in these early learning days of my investing journey…

Doris

Q: I hold EQB in my income portion of the total portfolio. Where as 5iR allocates EQB to the Growth Portfolio which I don't have as a portion of my total portfolio. After reading the recent flash report of EQB, I'm inclined to now hold it in my Balance portion of the total portfolio. What do say you about this EQB transfer in my portfolio portions??? Also, I hold TRI that is now in the income portfolio. What do you say about transferring it to the Balance portion of the overall portfolio??? Thanks for the guidance......as I like to hold 20% in Income, 40% in Balance that is all Cdn and 40% in US stocks with more of a stronger tilt to growth that includes technology and healthcare........Tom 

Q: Would you be able to tell me the adjusted cost base of the shares when the dividend from Constellation Software was declared?

Thanks for your great service!!

Q: What are some blue chip higher yielding stocks on the TSX that you recommend for a very long term hold?

Q: What are your favourite companies for long term holds with strong balance sheets that are attractive from a PEG perspective today? Can you please list 5 US and 5 CAD? Thanks

Q: I was wondering what companies in Canada might be in a position to benefit from the AI technology? Would SHOPIFY be on your list? Thank you.

Q: Thank you for your market update. Following on your comment that real estate sector will play catchup 2H23, what are your best suggestions for capital appreciation? Also what is the rationale - debt/mortgage rates up, not a drain on

Q: I am a little bit puzzled. On a previous question, you stated PEG of .6 for ATS. From TD, I see earnings estmated for '24 being $2.66 (growth of 12%). To get your PEG, we need $3.39 for earnings estimated next year (growth of 43%). Could you explain the discrepancy please.
Thanks

Q: Why did NVEI go down 10% on July 20th? Is it worth investing in this company now?