Investment Q&A

Q: Hello and Happy New Year 5i
I learned about SMCI from 5i and had great luck with it last year! Thanks! I stuck to my goals and sold all of my original investment to remain in the stock with "house money". I don't have any intentions of being a day trader but the timing of my purchase allowed me to double my money in about 4 weeks and that was my goal over a period of a year or two.
To my question
Smci appeared to be a profitable company supplying a huge company in a growth industry. I don't think that has changed? I heard in an interview late last year that the numbers of sales (provided by SMCI) to Nvidia were backed up by information released by Nvidia themselves.
#1 Is there anyway to find that information in disclosure documents from Nvidia?
#2 Wouldn't that information clear up many of the worries regarding the factuality of information coming from SMCI?
I'm not too concerned about the timing of the release of information if SMCI is really selling as much as it seems to the biggest player in the market.
Thanks as always for your terrific insight!

Q: CRNC is up big again today. Thoughts on this company?

Q: Thoughts on Trinity ? Has been in a gentle uptrend and has a substantial yield. How much is return of capital ? Thanks and all the best for a great 2025 !

Q: Hi,
I'm down 25% on AVAV. I'm contemplating adding more. Would you consider this a good move? 5 year hold.
Also what would be the maximum weight YOU would be comfortable holding AVAV if it were your portfolio?
Thanks

Q: Hi 5i Team - Could you provide an update on Axon, its fundamentals including cash and debt positions, insider holdings, as well as its potential going forward. Also is there something we should be concerned about in light of its 10% drop today preceded by poor momentum over the past several weeks. Thanks.

Q: AXON stock has been quite weak, over past several weeks, going into the close of 2024. The downtrend has continued in January, with a horrible price action, Monday, when stock opened at $605 and quickly lost another $50.

It's 5i's favorite company, and has all the right ingredients for success, AI, security, expectation of larger spending on border/law enforcement by new administration.

Why do you think stock has lost momentum and investors seem to shun the stock and sell at every opportunity ?

Stock has broken down several support levels and after reaching a high of $698, not far ago, is languishing around $550.

What is your current assessment of the Co. and is the stock still worth holding for
investors who bought at higher levels ( $625-$650) ?

Thank You

Q: Hello 5i,
I’m wondering why Axon is down over 8% today? Have the fundamentals suddenly changed? Would you be buyers at this level? I appreciate your comments.

Q: Any particular reason for the relatively large decline today?

Q: I am considering Chubb Insurance as a defensive play.

Could I have your assessment of this company?

Q: I am considering the NASDAQ stock (NDAQ).

It has a consistent record of solid earnings. With the new U.S. Administration easing up on regulations there is the potential of an increase in M&A and IPO activity for the markets this year. If so, NASDAQ could be well positioned.

What would your advice be?

Thank you

Q: Which is better to buy? Fractionl Bitcoin via Wealthsimple, etc. or a Bitcoin ETF? Why?

Thanks! Austin

Q: Happy New Year to everyone at 5i

I recently read a recent article in the Financial Post:
“The S&P 500’s performance in 2024 made investing look easy. Why bother with strategy?”

Since the ‘Magnificent 7’ stocks dominate ETFs such as VFV, I’m concerned that the S&P 500 represents a very lop-sided weighting of its constituent stocks. We do hold VFV in several of our combined accounts, but am considering selling 25% of VFV and using the proceeds to purchase some EQL.U, an ETF that has never had a question on 5i. I’m aware that an equal weighting strategy results in a tilt towards mid-cap stocks (a good thing?), has a higher expense ratio (not so good) and has higher volatility (again, not so good).

Do the benefits of equal weighting in the S&P 500 outweigh the disadvantages? What is your take on this strategy? Are there similar ETFs to EQL.U that we could consider? Would RSP be one of them?

Thanks as always for your insight.

Q: I understand CRM, a software company, is getting into AI via software. Does 5iR know any other S&P 500 software companies doing the same thing???.....Happy New Year ......Tom

Q: I pulled the chute in the summer of '24 when they had their outage issue. The stock peaked at $390 USD last year and is now back to $360. Is the coast clear? Your views for 2025?

Q: What are your favourite cybersecurity stocks these days? Thank you!

Q: Please estimate 1-2 year performance rank for these five stocks currently on my watch list. Thanks!

Q: Happy New Year to all at 5i and fellow members as well,

For this year's 7K TFSA contribution, I'm considering adding Alphabet. Due to the decline in both BCE and T, we are very underweight in this sector. Also, we're underweight in USA holdings as well. Would you endorse this strategy? Thanks as always for your insight.

Q: Which would you prefer and why?

VST or VRT, EQT or CTRA

Thanks!

Q: AAPL, MFST, GOOGL & AMZN are 24% of my portfolio. What would you considered a proper allocation for the Magnificent 7?

My financial position is 30% of my portfolio and include V (6%). Where would you classify V? financial or consumer?

Best regard for the New Year
Ray

Q: I was thinking of adding my recent TFSA contribution to EQB however then started wondering if some of the growth oriented US$ holdings in the account would be a better option. 5I has been positive about EQB but I wonder if it will have a lack lustre performance due to it being in the weak Cdn economy….that is, it may be a good company but limited to how well it can do. Your thoughts about all this, please. Thank you for your excellent service.