Investment Q&A

Q: The US has been increasing its supply of oil steadily for the last few years, yet the price of oil held up until its steep and swift decline starting in mid-2014. This price decline seems to have surprised many investors and analysts, even though the supply increase was predictable. Is there more to it than simple supply/demand economics?

Thanks,
Hans

Q: Is this a good level to get back in Enerplus, or should I
wait for further damage, and is the dividend safe.

Q: Would you still view High Crush Partners as a hold or should I sell and take my remaining 50% profit (I am retired and in a relatively low tax bracket).

Q: Hi folks,can u please clarify when u have to buy a stock to collect it's dividend,I always thought as long as u bought on ex-div date,u would collect.I bought penn west on ex-div date of 29 December,thinking I would collect .14 div,am I right or wrong,thanks for help,jb

Q: I would like your opinion on questor in light of the lower oil price environment. Do you think this will adversely affect uptake of their technology as oil and gas companies cut capital spending? I note that their last quarter had only grown 6% in revenue and 5% in earnings compared to last year's quarter. What do you get as the forward p/e? Thanks!

Q: Would you recommend trading baytex bte for bonterra .DO you think bonterra will recover faster than baytex. I want bonterra for income. THANKS

Q: Could you please comment on Dtx and if it can survive thru this market downtown
Many thanks for your great service

Q: I'm getting ready to make my 2015 TFSA contribution for myself and my wife and I'm looking at Delphi for a 3+ year hold. I only have a 5% weighting in my portfolio to energy and would like to take a full 5% position in DEE. I'm well diversified across most other industries. Do you feel we've bottomed in energy sector and would Friday Jan 2 be a good time to start my position in DEE? Thoughts?

Q: Hi 5i team,
I would like to have your thoughts on ZCL, and an estimation of what would be your rating. Balance sheet is clean (no leverage, little other items on the asset side). Dividend is growing. Past management problems integrating acquisition seems no longer an issue. Insiders bought shares in late November. On the minus side: revenue growth has been variable, profit margins are close to their historical high, exposure to the oil industry.
Has ZCL stock price been hit too hard recently? What P/E multiple or P/CF should it trade at in the current environment? What could be a future catalyst (developing new geographical markets, acquisition)? Where would you classify ZCL: industrial or energy? Should it be a long term investment or a cyclical investment based on the economy? What is your view on this industry, and the position of ZCL in it?
Thank you for your help, Eric

Q: Peter and Team,
A quick question re: averaging down. First, we am doing very well with the overall portfolio; Thank you !! BDI is a outlier down 65% from where we bought and is now a minor player for us. With your positive outlook for BDI, is it time to average down ? Is this a typically a prudent strategy ? Many other "experts" frown on this. All the best to you all for a safe rest of the Christmas break and for a really Great 2015. Paul

Q: NAL : TSX. According to yahoo's website. NAL's projected revenue Est for 12/14/14 is 858.04M. It's projected revenue Est for 12/14/2015 is 994.56M. It's Est growth Est for 12/14/14 is 11%, it's Est growth for for 12/14/15 is 30%
It's growth Est for the next five years is 22.5% with a five year PEG of .80
All the numbers look good and it's not more than twice growth. I compared to same numbers to Canadian Oilsands, to my surprise the numbers tell me NAL : TSX is way better. What are your thoughts.

Q: I would like to buy a stock for my TFSA in January 2015 that will have a good chance of having a large gain and long term growth. I am thinking about beaten up stocks like BDI, CPG or Cos. What would you recommend?

Q: I am a retired dividend investor with 30% exposure to clobbered oil/gas stocks. When the price of oil finds a bottom and begins to rise again, should I increase my exposure at much cheaper prices to pursue potential capital gains?

Q: energy complex

I am heavily invested in the oil, gas, services and pipelines.
I would like your cometary oil prices as it pertains to the below areas:

1. cost of and continued use of gasoline additives and their impact?
2. economic lift to large economies from low oil prices and how that may influence demand?
3. how current prices might influence supply and how fast ?
4. supply disruption due to instability and political factors in many producing countries ?
5. how much supply will be deemed not profitable at $60 oil.
6. other then the weather where do you see NG prices long term 93 years) especially in light of NLG projects in North America

bottom line do you feel that oil price will be at a reasonable and sustainable $70- $80 when and why?

thanks
happy holidays to everyone at 5i and all subscribers
Yossi

Q: How is that no analyst ( to my knowledge) covering the oil and gas sector was able to predict the substantial imbalance between supply and demand of oil which lead to the ensuing collapse? The information was out there. Merry Christmas

Q: Please give me your opinion on Bankers Pet.bnk.Thank you for all your fantastic advise during the year.I have been investing for over 35 years and your advise is by far the best I've ever had.Merry Christmas and a Happy and PROSPEROUS New Year to you and your staff.Jim

Q: I would appreciate your expert opinion on Pengrowth Energy. It was just recommended on BNN as a top pick with a $15.00 target price.

Q: Hello 5i
I own Talisman and with the offer from Repsol on the table
I would like your opinion as to hold for a higher offer or
sell and take the tax loss.
Thanks

Q: Can you provide an update on your opinion of Enerplus? I have owned it since 2011 and have a significant unrealized loss. My question is should I sell for tax loss reasons (as I have a gain to offset) or just sell and get out altogether given its performance? The yield has been pushed up to 9.5% and I have 100% track record of incurring perm losses on stocks with yields that have risen above 10%. I have enough allocation in the O&G sector and would like to allocate to a mining/materials ETF (any recommendations?) where I have very little in that sector. Thanks again and enjoy the holiday break! Regards - John

Q: Convertible question (asked by Kelly)on Dec 22, 2014

The 5i response of Advantage AAV) convertibles being OK
is questionable as the bonds redeem on Jan 31/15 and trade at the redemption price. Publish at your discretion.