Investment Q&A

Q: Hi,

Due to the recent capitulation in small cap stocks, I am concerned about DEE and QST which have been cut in half. My average price on DEE is 4.25 and that on QST is 4.35. Unfortunately, I have more than the required portfolio weight in these two stocks and I am not able to double up because of the already high weighting. What do you suggest and what impact woould the next one or two years have on these two stocks.

Q: With the acquisition of Westar Oilfield Rentals Inc. ("Westar").
how will this affect not only the stock price through dilution and the forward momentum of Enterprise?
"The final purchase price for the acquisition will be $13.5 million, which represents approximately a 3.3 multiple of Westar's EBITDA for the twelve-month period ended August 31, 2014. The purchase price will be satisfied through a combination of $10.0 million in cash, $2.0 million in Enterprise shares (2.5 million shares at a price of $.80 per share), and $1.5 million in vendor take-back financing, which will be paid over the next two years"
Quote from news release.
Thank you for the great work you provide
Henry

Q: Hello,
I have small position in High Arctic and it is down 35% from it's June high. At current price the company pays 4.8% dividend and trades at very low P/E. I am considering increasing my position, what is your opinion of the company in 2-3 year term? How safe is the dividend? Do you consider HWO a sell, hold, or buy?
Thanks!

Q: Hi Peter, After the recent market weakness I am looking to deploy some funds in some non-energy sector small caps.
I noticed from your report on TMA the following "Trimac transports products for many industries including forest products, food processing, mining, oil and gas, manufacturing, automotive and chemicals. Trimac has enjoyed a long-term relationship with the majority of its major customers. In 2013, its 20 largest custom- ers accounted for 67% of revenue. One customer accounts for 9.7% of revenue".
You also state that lower fuel costs should be a positive for TMA.
With the recent downdraft in oil I am considering TMA. My question is,approximately how much of their revenue is from the oil/gas sector and who is their largest customer and is that customer from the oil/gas segment.
Thanks for your valuable advice.
Rob

Q: Hello,

Interesting times, and I'm already seeing opportunity, though am waiting.

I've recently read some bullish articles on SA with respect to Richmont Mines. The most recent article mentioned RIC upping their YTD production by 68% (http://seekingalpha.com/article/2552425-update-richmont-mines-reports-year-to-date-gold-production-up-68-percent).

I see many positives with this company (please correct if wrong):
- 32 million Cash
- low debt
- $800 / oz cash costs
- mines in Canada

Since 2012 I see 5i has a varied opinion on this stock, including it being a good takeover candidate. Could you update on your opinion of this gold stock?

Thanks,

Cam.

Q: hello 5i Team,

First, am loving the correction and the opportunities it is providing. With that in mind I would like to hear your thoughts on PRW.

There is tons of commentary regarding the BC LNG proj and the probabilities of it moving forward in the foreseeable future. There is no question it would do much for the BC economy. For every positive comment you hear, there are just as many negative comments stating it may not move forward for many years.

My Questions???? PRW has many projects in the works. How would their prospects be effected IF the LNG project did not go forward in a reasonable time frame? What is you thoughts on whether it will or will not go ahead? And lastly, what are your thoughts on PRW in general (sell, hold or buy) at this time with the pull back in full force?

Thanks for all you do

Gord

Q: hi, is prw a longterm (2yrs plus) buy. thanks.

Q: Is there a way of telling just when that huge reversal of SYZ's fall happened? At one point very close to end of day it was showing down over 8%. Then suddenly it rocketed up to finish the day even. The weird thing is I was looking at it on my TD screen. I wasn't going to sell that low but it suddenly showed SYZ as being back up to 10.95. I sold some at that point, for this stock has gotten way too volatile for me, but when I checked it turned out I sold at the low of the day somehow.

Q: PLI looks like it has had the rug pulled from under it. How do you feel about it today and would you jump in even knowing its volatility.

Q: Hello,
I am not aware of any recent news that would justify investors dumping Sensio Technologies (SIO). Any comments? Also, is the drop in CPG mostly due to drop in oil prices? Thanks for your ongoing unbiased advice.

Q: I am considering a 1/2 position in GH and CFL.
I would appreciate your opinion on these two stocks at this time.
Tks Stan

Q: Hi 5i Team,

My question is on Cerf Inc, what is their payout ratio? and is their dividend sustainable in a low oil price environment?

Thanks,

Keith

Q: Saw an advertisement for this company on the last page of the Financial Post, today. It is bidding on contracts to supply body cameras for police - a timely device considering the problems in the US lately. It is very small mkt cap at the moment. What are your thoughts on GSI (venture exchange), and who are its competitors? Thanks, as always

Q: i just went under water with canamax which trades on venture. I failed to take profits and regret it. really didn't expect it to drop this much. do you see anything wrong with holding on till I get back into positive.

Q: Could you please comment on MVN is down substantially today and I am wondering, has there has been some negative news that I am missing. Thank you.

Q: Team,

E or MCR, which falling knife do you prefer standing behind? I own small positions in both as part of a basket of small caps, but they are both back under my 1% threshold where I either have to add to the position, or cut it loose. I'm thinking of selling one, and topping up on the other. thoughts?

As always, thank you!

Q: I have a small speculative holding of 49 North Resource (FNR) and received a rights offering and would like to have your thoughts on whether or not I should exercise the right. (4 rights plus $.30 required to subscribe to 1 unit)
Thank you...

Q: Hi Peter and team, Banro Corp down nearly 72% YTD. Will this stock eventually be worthless? I hold a smaller position and down about 45% on it. P/B ratio is only 0.01. Is this a cheap stock with a chance of revival or a bad investment that an investor should run away from?

Q: Kelso being added to the New York Stock Exchange. Good exposure for the company? And can you explain book value of .23 and p/e of 59? I know it is a growth company but how can a stock that trades at $6.40 have a book value of only .23? Are forward earnings going to increase by so much that the book value will dramatically increase?

Q: Hi team. I would like your opinion on (FCU)Fission Uranium.