Q: Can you give me your opinion on recent acquisition of
softgate systems?
Thanks.
softgate systems?
Thanks.
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: I recently asked about Firan and the stock has done well, but I recently noticed a very large disposition ~750,000 shares (4.2% shares outstanding) by the company's new chairman - Beutel, Robert Jonathan:
www.canadianinsider.com
This worries me a lot as the shares were disposed at $2.10/share and it seems a very odd time to sell given the stock's positive momentum, USD tail winds, and the fact that its going into a quarter which should be extremely easy to beat materially from the year prior (Q3 2014)...
I realize insiders can sell for a number of reasons and should not always be seen negatively, but this sale seems a little fishy to me.
Should I think about taking profits or ignore the insider sale?
Thanks
www.canadianinsider.com
This worries me a lot as the shares were disposed at $2.10/share and it seems a very odd time to sell given the stock's positive momentum, USD tail winds, and the fact that its going into a quarter which should be extremely easy to beat materially from the year prior (Q3 2014)...
I realize insiders can sell for a number of reasons and should not always be seen negatively, but this sale seems a little fishy to me.
Should I think about taking profits or ignore the insider sale?
Thanks
Q: I have read some info that suggests this is a disruptive technology for processing of claims and it has started to turn a profit. Do you have an opinion on this stock?
Q: Hello,
Would you comment on this stock?
Would you comment on this stock?
Q: Released 2nd q results today. The trend seems upward. Would you care to comment on the 2nd q results?
Q: This is a tiny company but appears to be capturing market share in an established business( cash management etc) via new technology 80% of revenue is recurring. As typical of software company large gross margins ( 73%). I think they make as much as 3 cents a share profit this year, no debt and as almost all their business is in the US the appreciating US dollar really helps them. Assuming a 20% growth rate over next few years how does one evaluate this company?
If you feel this question requires too long an answer then you can charge me more credits or not answer.
If you feel this question requires too long an answer then you can charge me more credits or not answer.
Q: I would like to have your thoughts on AJX.
The good : balance sheet (no debt and 10 million $ in cash : 15¢ per share), but 25 % in intangible assets and goodwill; the industry, gross margin, divested non-core businesses(usually at a profit; restructuring seemed finished), strong USD (lowers Canadian expenses), positive cash flow from operation for the past two years, not taxable for the next few years (unrecognized tax losses on the balance sheet), 31% insider ownership following the merger (including 15% by Investor Growth Capital, “IGC” an independent venture capital firm specializing in expansion stage investments),
The not so good: management turnover over the last few years, erratic sales growth to be kind, cannot seem to grow revenue to amortize fixed cost (merger should help), cannot seemed to capitalize on promising industry trends, goodwill write-off $40 M, micro-capitalization, stock liquidity,
The unkown: merger (60% vs 40%) with a private entity (Novariant: $30 M in sales) that's taking awhile to get done (announced mid-March 2015), they changed auditors (KPMG to) mid-April and the CFO leaves mid-may.
This investment represents 1% of my portfolio, I am trying clean my portfolio. My decision (of selling) is almost made (do not want this type of investment in my portfolio in the future: 5i provides better risk/return recommendation), I am trying to minimize loss here. I think there is some upside at this level/time Your recommendation: wait to see some quarterly results of the merged company before making my mind (my guess is: it's going to take several quarters of good results before the market jumps in following years of disappointment)? Sell on some technical strength? Sell immediately (not seem warranted as the stock is down recently following a major selling by an important shareholder for reasons not related to AJX)?
Thank you, Eric
The good : balance sheet (no debt and 10 million $ in cash : 15¢ per share), but 25 % in intangible assets and goodwill; the industry, gross margin, divested non-core businesses(usually at a profit; restructuring seemed finished), strong USD (lowers Canadian expenses), positive cash flow from operation for the past two years, not taxable for the next few years (unrecognized tax losses on the balance sheet), 31% insider ownership following the merger (including 15% by Investor Growth Capital, “IGC” an independent venture capital firm specializing in expansion stage investments),
The not so good: management turnover over the last few years, erratic sales growth to be kind, cannot seem to grow revenue to amortize fixed cost (merger should help), cannot seemed to capitalize on promising industry trends, goodwill write-off $40 M, micro-capitalization, stock liquidity,
The unkown: merger (60% vs 40%) with a private entity (Novariant: $30 M in sales) that's taking awhile to get done (announced mid-March 2015), they changed auditors (KPMG to) mid-April and the CFO leaves mid-may.
This investment represents 1% of my portfolio, I am trying clean my portfolio. My decision (of selling) is almost made (do not want this type of investment in my portfolio in the future: 5i provides better risk/return recommendation), I am trying to minimize loss here. I think there is some upside at this level/time Your recommendation: wait to see some quarterly results of the merged company before making my mind (my guess is: it's going to take several quarters of good results before the market jumps in following years of disappointment)? Sell on some technical strength? Sell immediately (not seem warranted as the stock is down recently following a major selling by an important shareholder for reasons not related to AJX)?
Thank you, Eric
Q: Hi 5i team,
Using the following classification: micro-cap < 250 < small cap < 1000 < medium cap < 5000 < large cap. 5i recommended to an average investor (?) a portfolio allocation of: micro-cap: 10%, small-cap: 25%, medium-cap: 35%, large-cap: 30%.
I believe in and am practicing capturing the liquidity premium of small cap, and investing in companies followed by very few analysts, companies that will start dividend or that are growing their dividend. I have seen several companies in which I am invested slowly migrating up towards the next group cap. What is your asset allocation capitalization recommendation for an patient investor. I don't like the term aggressive investor, I prefer to say: not nervous, who can ride a market correction, and who is willing to reinvest in his best selections in market downturn. What additional risk am I bearing versus average investor? What economic environment should I fear?
Under the assumption that this portfolio is diversified in 20 companies and between industries. I won't withdraw from capital for the next 15 years.
Thank you for your collaboration, Eric
Using the following classification: micro-cap < 250 < small cap < 1000 < medium cap < 5000 < large cap. 5i recommended to an average investor (?) a portfolio allocation of: micro-cap: 10%, small-cap: 25%, medium-cap: 35%, large-cap: 30%.
I believe in and am practicing capturing the liquidity premium of small cap, and investing in companies followed by very few analysts, companies that will start dividend or that are growing their dividend. I have seen several companies in which I am invested slowly migrating up towards the next group cap. What is your asset allocation capitalization recommendation for an patient investor. I don't like the term aggressive investor, I prefer to say: not nervous, who can ride a market correction, and who is willing to reinvest in his best selections in market downturn. What additional risk am I bearing versus average investor? What economic environment should I fear?
Under the assumption that this portfolio is diversified in 20 companies and between industries. I won't withdraw from capital for the next 15 years.
Thank you for your collaboration, Eric
Q: Tio's acquisition of Softgate on Tuesday looks like a marriage made in heaven to me - boosts to revenue and EBITDA are expected but equally important is that they've been collaborating for years.
Your thoughts?
Your thoughts?
Q: I would appreciate your comments on GCL's results announced this morning.
Thanks!
Thanks!
Q: Please give me your opinion on tweed
Q: What metric would you use to value the company at this early stage? is 3x loan book a fair way to value it(35Mx3=105M)? How does 3x compare to its peers? Thank you.
Q: Hi guys, Michael Dalsin just launched (yet again) a new company today on the tsx venture: Inspira which targets small healthcare providers throughout the United States by offering revolving lines of credit (“RLOC”) and loans.
What is your view on it and isn't he getting a bit stretch with all his ventures: PHM, Convalo and now Inspira?
Thanks
What is your view on it and isn't he getting a bit stretch with all his ventures: PHM, Convalo and now Inspira?
Thanks
Q: Can you give your views on a company called Napec. Their book value is around $1.3 and they seem to have good business.
Q: Your view on Q2 results please. Would you continue to hold here?
Thanks.
Thanks.
Q: I am curious if you guys have any thoughts on the newly listed Inspira on the venture exchange?
Q: Given the recent quarter, expansion announcements and takeover possibilities isn't Caldwell's stock price very attractive at current levels for a small cap investment?
Q: Would you kindly up date you thoughts on Valeura Energy Inc
Thanks.
Thanks.
Q: Any idea as to why iFabric's share price has dropped so dramatically in the past few weeks? Is it just "no news" on low volume, or is something more menacing lurking behind the scenes?
Thanks!
Thanks!
Q: I see PEO has been in a tumble of late. What sort of valuation is it carrying now and what do you think of it over all? Should I wait a bit more or try a nip and tuck?
TIA
TIA