Investment Q&A

Q: I am trying to evaluate a purchase of WCP, ALA, KEY, ENB, IPL or PPL. PE ranges from 9.5 (WCP) up to 57 (ENB). Would you use any other ratio to determine best buy. Of these which do you consider best buy.

Thank You As Always
Craig

Q: Hello 5i team

second week March I bought RE @ $4.52. Sept 22 I sold at $6.88. Everything I read about this company (including your Nov 6 comment) tells me it is well managed and able to earn even with lower oil prices.

I am eager to get back in and am wondering what your recommendation would be at this time... i.e. wait or buy now.

Thanks for all you do

Gord

Q: Can you give me your take on IMO, because it is an integrated company, will the drop in oil be good for the products side of the business and take the stock higher?

Q: This question could apply to all dividend paying oil company's, SGY Div on the TSX now indicates 13%+ due to the lower stock price, how quickly do company's cut the div to bring payouts back under 100% of cash flow and get the div back to a reasonable value of say 8% , at today's price of SGY it looks very attractive to add to my position for the div. and potential oversold bounce in price. Most energy stocks seem to be oversold and trading at $40 oil values seen in 2008. Your thoughts please.

Q: http://email.seekingalpha.com/track?type=click&mailingid=2725315&messageid=2800&databaseid=&serial=2800O2725315O1417550693.ee8baa118f6bde76b6a9a57f2d931657&emailid=1079842&userid=1079842&extra=&&&3000&&&http://seekingalpha.com/article/2725315-canadian-oil-sands-whats-it-worth?source=email_rt_article_readmore&uprof=46

Mr.Hodson, this is a follow-up to my recent questions on Canadian Oil Sands Ltd (COS). The market is currently doing a carnage on COS, but this paper puts things in a different perspective. See also comments by Uncle Pie, who owned COS for a long time. To what extent do you agree with the author and Uncle Pie ? Should you think this would be useful to other members, feel free to act accordingly and let them see your response. It just does not make sense to discard a company that had better days, and still might continue to do so in the future, while having a superior product (SCO or synthetic oil). Of course, the market is king, and should it decide to punish COS, just like other oil producers (with regular Canada crude), it might be better to acknowledge the market is always right. What's the correct view in such a case ?

Q: Supposing we make the assumption that oil (WTI) is going to average US$60 over the next 5 years. Are there ANY companies in North America that could continue to operate at that price for that length of time? Secondly, if that happens how much of the world oil production would disappear? Thirdly, if this lost oil production is a substantial amount of world total production (which it must be because world oil production is way up over the last 5 years due to the NA shale boom), could it be replaced by the remaining oil producers (mainly OPEC)? If not, then would that not drive the oil price back up to well above $60.00?

Q: A while back I asked about WEQ WESTERONE INC. you felt it was Ok and new the management. Recently bought more at $5.75.Its now skirting 3.50> 4.00 range.
I am assuming the latest Qtr. was not great plus the pull back in oil prices are the culprit for the price decline?
Other brokerage firms have cut their target price off coarse after its fallen significantly.
Do you any updated insight into this company?
Thoughts on a dividend cut?
Where do you see this company going under the new CEO.
Should I sell as a tax loss. Originally bought 1K at 8.00 another 1k At 5.75???
Is this stock turning into a Yellow Media or Hot Water Fund debacle?
A.J.

Q: Hi, I would like to sell for tax loss Tourmaline, Vermilion and Delphi. I was thinking about replacing them with 3 similar valuation/quality name as to keep sector exposure just in case it reverse shortly after I sell. Would you say this does make sense? I do have gains to offset.

Q: Peter and team I was away for a couple of weeks and see that TOG has taken a hard hit can you enlighten me what happened should I hold or sell .

Jim.

Q: Morning ...first of all I want to thank you and Ryan for answering all our concerns regarding the oil sector. These are trying times for us amateur investors (especially me) ...we are living the results of proper diversification and weightings, I think these are valuable lessons for all of us. My question is this ...you mention the hedging aspect of companies selling oil at a certain price ,can you tell me how far into 2015 does Surges hedging go? Would I be correct in presuming the dividend is safe till new prices (lower) then hedged in? Thanks as always.

Q: Good morning Peter and Team,

In the current sell-off in the energy sector, is IPL worth holding? I was thinking to sell it to lock in a rather substantial gain of over 40%. The portfolio is well balanced, but it's always nice to take a profit, or is it? I was also thinking that the commodity sector is perhaps not the place to "buy and hold". Your timely advice and service is greatly valued.

Q: H2O went from 33 cents to 1.65, I bought at 33. Sell? Hold? Any idea why the sudden jump in price? Also, I bought more SGY today at $4.41, I believe it's good timing - as long as they don't go out of business. Any comment on that possibility?

Many thanks, like many other customers of yours, you've made investing more interesting and profitable and I greatly appreciate and feel very fortunate to have you out there.

Dave

Q: Hi guys, as you have said oil stocks have been decimated, I have BTE & CPG, where the value has been cut in half my CNQ is hanging in haven't lost any there yet. They are in different portfolios and their weighting is pretty good in the perspective portfolio. Would it be wise to add to the positions at this time to average down. I don't have cash I would have to cut back on some of my gains. Thanks, Nick

Q: Good Morning
Some oil industry analysts believe that with the OPEC card no longer in play, the price of crude could fall as low as $60. Under this scenario are the companies in your portfolios (SGY, WCP) as well as VET, CNQ and SU at risk with respect to dividend cuts?

Q: I own Bdi cpg,tou and wcp. Which two are safest going forward?Thanks

Q: The price of Legacy Oil and Gas (LEG) dropped over 10% yesterday. Do you see any particular reason for the huge drop yesterday? Would you consider LEG to be a Buy at this price?

Q: Hello Peter and Team,
I find little discussion on this forum regarding this company ... the last questiona asked was in August of this year. In a recent analysis posted by the Globe and Mail regarding the best comparative value amongst the top ten Cdn Oil producers, Birchcliff scored better than the average in 6 of 7 categories. Neither the Globe&Mail, nor BMO Investorline provide dividend info, but according to BIR`s website,the most recent payouts were .50/quarter. Could you provide your own insight into this stock and do you have any info regarding their current postion regarding their dividend? Thanks as always for an invaluable service!
Rick

Q: There seems to be a real hate for this stock today compared to most others in the sector. I am holding it through all this carnage but am starting to feel queezy. Is there something else that could be causing this other than sheer market panic and stupidity?

Q: Do you still think Surge Energy is a hold? I have a 3 year time frame. Thanks,

Q: Will the insurance companies start to stall out if the drop in oil causes disinflation?