Investment Q&A

Q: I would like to know what valuation model could be used for an early stage exploration company that has not booked any reserves. I am looking at some old analyst reports and they are using a Net Asset Value model and assigning Chance of Geological Success as high as 25-35% on some wells. How would one come up with a realistic CoGS number in this case. Nuttall says CoGS should be 3% so now my range is between 3%-35%. Can I just put in the mid?

Q: I would like your thoughts on COS. This company should logically get taken out as it owns a stake in Syncrude and nothing else. With there debt load and oil below 50 dollars do you think this increases the chances of that happening? THANKS

Q: I never thought Oil would of went this far down. I am under water on most but not all. My percentage of oil is at 12.98% of my portfolio. My stocks are BNE, BTE, CPG, FRU, HWO, PGF, SGY, PER.US and SBR.US Just curious should I keep all or some of these. Like Rod L some days I feel like just throwing in the towle on these stocks and move on. Is 12.98 too high and if I should trim. Which ones should I trim Thanks.

Jimmy

Q: It would appear high production of oil by OPEC and the US is successfully driving down the price of oil. Can you tell what the end game is here, is there an overt pending event that we can monitor that they are driving the market to? If prices are not set by the market, but at the will of foreign entities, why are we investing in Oil Companies?

Q: Hello,

Would you considered this two equivalent in terms of future potential? If not do you have a another one?
I am considering selling TOR (for tax reasons) and buying VII?

Thank you
M

Q: I keep wondering if exchanging these 3 increasingly weakening positions for alternate positions with more optimistic horizons might be a more prudent move. What sage advice might your team have? As well, are you holding steady with Whitecap? I have difficulty in seeing the oil market with any upside over the next couple of years....

Q: Can you please take a look at this company. Could you tell me what your views are based on the most recent contracts awarded and the backlog. Looking at the charts and financials this company looks less expensive than many other in the sector. If the current price looks expensive to you, could you share what metrics you would look at for selecting a purchase price. Thank you Jason N.

Q: At $20 Crescent Point seems pretty beaten up. Even given the dividend and oil price risk do you view it as a pretty solid buy right now?

Q: With the continued discussion in the financial media about a recession or not a recession in Canada and a Bank of Canada governor who at any opportunity talks down the CAD and does whatever to lower it, this has certainly heightened the negative sentiment on everything Canadian. Is the time yet here that the risk/return ratio for investing in energy and or pipeline stocks now favourable and would a company like BNP with a healthy dividend and good management be a decent investment?

Q: Hello Peter and Co.:
If you were to suggest one oil stock to buy today for a 2-3 year hold what would it be? I'm looking at VET or WCP but maybe you like a different one.
My only other energy holding right now apart from IPL and PPL (utilities?), is PEY, which I intend to hold onto and possibly add to at these levels.
I could be wrong, but I can't see there's much downside to Canadian energy companies right now. Getting paid around 6% to wait a year or so for the recovery seems like a pretty good deal to me.
Buy low and sell high is the thing to do, we all know that, but actually DOING it is extremely hard because it feels like the completely wrong thing to do! In my limited experience managing my investments, it seems that doing the complete opposite of what feels good generally leads to success...

Would love your take on this.

Thanks for all your excellent advice over the past couple of years.

Q: please compare these including debt/cashflows and your 1-2-3 preference in this market

Q: Hello looking for some energy exposure considering
XEG
OXF
HEE
ZEO
IF YOU HAD TO PICK ONLY ONE WHICH WOULD BE YOUR CHOICE i AM LEANING TOWARDS XEG
Thnks
Rod

Q: Hi 5i advisory team. I already have WCP and am thinking of adding to the sector as it is pretty beaten up. Which one would you add between CPG and ARX? Taking into consideration the location of the resources (Alberta or elsewhere), relative weight beween gas and oil and, finally management style? Balance sheet? Thanks Henry

Q: Peter I have large holdings in Interpipe. Pembine and Veresen. I have talked to the companies and they all say the lines are busier than ever. They also told me the div, is safe for years and in 2 cases the dividends will rise, Your thoughts please. They have been stellar performers for me, Thanks Ken

Q: I noticed at noon today that BTE is at approx $14. I bought these shares originally at $37.37 and saw them go up to approx $49.00. Do you think I should sell them at a loss and use the money to buy White Cap or should I hang in there for the long slow term of recovery from low oil prices?
Gary

Q: Are these Buying Opportunities: BNK, COS, RMP, LRE & YGR? Thanks! Austin

Q: Would you buy Africa Oil And Gear energy-- either, both or neither. What is your opinion of management and their prospects in a better energy environment. Thanx Robbie

Q: I have had significant realized capital gains this year in my non-registered portfolio. To help offset the gains I would like to sell and rebuy in 30 days shares that I have a significant unrealized capital loss. SDY is one of these companies. I know it is difficult to predict but would I be better selling now or waiting to the end of the year?

Q: At one time you liked the management of baytex do think the dividend is save thank you

Q: Good morning Peter and Team! Bought for my RRSP Lightstream Res. awhile ago at about $15.00 and now it's $0.80 Do you know what caused such a drop and what are the prospects for the near term?
Thanks as always for your excellent service!