Investment Q&A

Q: Hi Peter, I just filled the car up for $58. It used to be ~$80. Doesn't seem that we save that much even after the big crude decline. Why is that ? With the much lower raw material input cost and the not that that much lower finished good price, who benefits ? The refiners ? Any TSX companies ? Thanks for making the market recover some this afternoon ! Paul

Q: Do you see this company surviving the downturn?

Q: If one were to slowly start dipping their toes into the oil sector, which 2 would you rate the best buys at this time: WCP, CPG, NBZ, GXO, CJ, TOG.

Thanks

Dave

Q: Why the surge in price mid day?

Q: Hello, for a while there I thought I was the only one thinking a huge opportunity was in the offing with energy. Recently I read in 5i that there was two schools of thought. One - run for the hills / two - it's an opportunity. I like wcp and I like surge. I want to start adding as the weeks/months tick by. I might be short sighted (not to be confused with shorting, I don't have the stomach for that) but my primary worry is that either Sgy or wcp will fail and disappear. I believe if they survive there's money to be made. Are they foreseeabley at risk of bankruptcy?

Q: good morning, i don't understand what my book value will be for the new suncor shares that will be coming into my portfolio (converted from cos). Do I take the loss on the difference on the COS shares from my original purchase price, and get the new suncor shares at what they are trading at now? ~$20/sh? thx

Q: I hold EEP in my RRIF and have watched it drift lower these days from 40.00 to 17.00 U.S. in the past year. The dividend is now over 13%, is this sustainable? I also hold ENF and their shares are much in the same boat dropping from 40 to 26 dollars. Do you have any recommendations here for the future. Thank You

Q: hello team 5i: could you please tell me how my 2400 shares of cos will convert to suncor? thanks Larry

Q: Hello. How do you think Enbridge will fair over then next 1 to 2 years? Do you think it likely the volume of oil moved through their pipelines will decrease (tied to the possibility that Canadian oil producers reduce output from more expensive sources)? It certainly seems like a bad time to sell or trim ENB, but that only remains true if there is a hope for a turn around in that 1 to 2 year timeframe. Thanks so much.

Q: Good morning. After owning this stock for the past several years and having taken a severe bath, would you advise to sell now that the purchase has taken place? It would be a substantial hit on my portfolio. Yes it could be used as a tax writeoff, but I have plenty of those now. Please give me your thoughts. Thank-you

Q: I want to form an energy ETF of 10 stocks, including 4 Blue chips. Can you provide some ideas and/or stock selection? Thanks

Q: Hi
I'm looking for a low cost producer of oil with a good balance sheet and wonder if you had a couple of names I could look at. Something in the mid size.

Q: Boardwalk is trading in the low $40's due to its exposure to Alberta and the collapse in the oil price. With a net asset value in the low $60's, crude oil close to a bottom (hopefully!) and very little exposure to Fort McMurray itself, would you recommend initiating a position for a long-term hold (more than 5 years)?

Thank you,
Jason

Q: All three oil companies have reduced dividend by 40% to 50%.
Are they going to have further cut if oil stays at 20's a barrel for a while, say, to the end of 2016?
Your thoughts please.
Thanks!
Jim

Q: Unfortunately, I have held this one for the past year and watched it come all the way down. Given the IEA suggests we are a wash in oil through the end of 2016 and prices are likely to languish for longer what are odds on a scale (1-10) Baytex has to to file for bankruptcy? At $2 it's still worth something as opposed to zero. Do the odds favour selling here? Would your recommend welling now and walking away as opposed to waiting it out risking zero?

Thank you

Q: I currently have a holding in LRE which has a buy-out offer of $0.52 on the table from an anonymous Chinese company. I think this is to be voted on in February. Would it pe prudent to sell now at .30 or wait for the outcome at .52. By the way, Peter's appearance on BNN Friday was the most realistic advice I have heard anywhere since this downturn. Thans, John

Q: I have gone through homepage and financials of wcp and surge. My question is this; of the hedges that were in place for 2015 and pending 2016, how many of these were actually carried out at these prices? It seems to me if they were all carried out, these two companies would be in the black.
On a related note, if oil futures are going down, why is US and Saudi Arabia pumping and selling the oil glut. It seems to me that this is done deliberately to flush out all the other countries, and would leave US and Saudi controlling the future oil production. Just look at the price of TCW, CFW, PD. FRC. and many others. These companies are on there last legs and will be bought out or cease activities. Are there others who believe like I do? Thanks, this has been on my mind for several years. Sorry to be a pain.

Q: hi folks:

I own important, yet relatively small amounts of these energy related service co's

canyon (frc); Gibson (gei); McCoy (mcb); strad (sdy)

is there any obvious reason to sell any of them?

fairly sure they are all well run and simply affected by the obvious oil decline

what are your concerns on each one, and what order would you
buy more?

thanks in advance

Q: Hello 5i!
I have the following O&G related stocks: BAD(-20%), BNK (-87%), CVX.us(-12%), ENB(-15%), EPD.us(+12%), HWO(-9%), MCR(-43%), PEY (-30%), PRW(-68%), RRX(-26%), SGY(-74%), TOG(+4%), TOU(-58%), VET(-51%) & WCP(-40%).

I am thinking cutting down the number of positions to about 6, or whatever makes sense to have a good balance with a growth profile. I understand some of the above offer services, and BAD is not 100% tied to the energy sector, you may put these aside for the exercise if required.

Biggest losers by $ are BNK, SGY, TOU & VET and I can claim tax loss for each of them.

Based on your knowledge, which one should I keep in the list?
Also, what are your thoughts on selling everything I can claim tax loss and wait a month before getting back into the market based on the current market outlook?
I recently started to average down and it seems I could be doing that for a few months! I am setting up things for the long term and can handle risk.
Thank you so much for your usual great services!

Q: Which would you prefer in the refining space, Holly Frontier (HFC.US) or Valero (VLO.US) and why?