Investment Q&A

Q: In your monthly reports, you have been rating NFI as B. At the same time you have been advising against acquiring it at this bargain price because of high debt load. Could you please explain how do you rate the companies?

Q: NFI has announced a package of initiatives which I assume are intended to address their burgeoning order book. There are a bunch of questions which arise as a result of their action including but not limited to adequacy and effectiveness, dilution, balance sheet improvement, residual problems etc. Could you please appraise their initiative and offer your comments?

Q: Your observations on todays earnings please.

Q: What is the #1 problem with this company?, poor management? supply chain?. It seems they get all kind of orders, make basic buses, electric buses, what they just cannot deliver the product. If the supply chain improved would it make much of a difference or are there to many other issues?
Thanks Again

Q: Hi 5i,

In Sept 22 you gave NFI a "B" rating. You commented that it is a little on the risky side.

Do you think the Balance Sheet and Cash Flow are strong enough for an investment in their convertible debenture (NFI.DB) which is due in 2027? I realize their would be no conversion possibility with the bond.

Thanks for your opinion on NFI.
John

Q: Good morning Team,
In a registered growth account, for min 5+ years hold. Which ones to keep, to sell, or to add
Cura 11%$ -60%
NFI 12%$ -70%
SIS 55%$ -15%
TOI 23%$ -44%
Thanks
Regards

Q: I bought these shares today at the open after I saw the news of the amendments to their credit facilities and government support.
Is this company another Bombardier or is there a real turnaround opportunity here?

Q: The following are some of the companies I’ve lost money with and will sell for tax purposes. I am wondering what your opinion is re their repurchase as commented on below.

The following I don’t feel I need to buy back, unless you feel differently.
NFI, QST

The following I would like to buy back ASAP unless you feel otherwise. Considering the state of the market do you think I would need a proxy for the next 30 days?
CRWD, GSY, META, NVEI, ROKU, WELL

The following are stocks I would like to buy back but don’t see the urgency, considering how the market currently views these companies, notwithstanding their financial outlook.
COIN, LSPD (I already own SHOP), U, UPST

Thank You.

Q: Hello , following is my list of losers .. and I am assessing which ones to sell this month for YE capital loss. I appreciate your comments.

As an aside; in watching the huge drop in some of these stocks, one certainly wonders about the wisdom of their CEO's ... as an example META, they are spending billions on Metaverse so that people can work and play and interact in virtual reality .. maybe in the year 2050 !!. and many others that just didn't adopt their businesses to people post Covid returning to work and shop at malls... truly incompetent .. For me, this crash has convinced me to buy shares in companies that are making money and have a strong management team.

Thank you
Carlo R.

Q: Hi Guys

NFI had that warning today. Is there any hope for this company ...... given the backlog and their dominant position? It has been mentioned numerous times that it would be a good candidate for a takeover or buyout - would you agree?

Thanks

Stuart

Q: Worth sticking with NFI for a recovery given their pre-announcement?

I'm not as worried about the supply chain issues, which will get resolved eventually, but by their covenant with their lenders. A couple of quotes from TD sources:
Quote: "The company has re-engaged with its lenders for
extended covenant relief."
Quote: "NFI expects to finish 2022 with >$500mm of liquidity but will be in breach of covenants given negative cumulative EBITDA condition. NFI is in negotiations for extended covenant relief but reiterated that it does not believe additional equity is required."

Will the banks give them "time to breathe"? The company is still the largest producer of buses in NA and UK... How bad is this situation? Stick with it or cut the loss?

Many thanks!

Q: Thoughts on earnings...thanks all.

Q: How does NFI ‘s current financial performance compare with other EV bus manufacturers?

Q: Hello, My loss on these stocks varies from 25% to 65%.. As I get ready for year end losses, which ones may have some life? and which ones to sell.
Thanks
CR

Q: Can you comment on the recent quarter for these two company's

Q: Good Afternoon 5i Team
Last week BNN noted at the bottom of the TV screen that NFI was reported to be in talks. The stock has been moving up on above average volumes since this time. Have you insight as to whether they are in fact in talks and if so with who?
Thanks

Q: I have significant tax losses on NFI and am considering selling to use those losses. On the other hand if we go into recession that should help with the supply issues NFI is facing and they have a large book of orders from government bodies who should be able to pay for their orders. Do you see NFI as overvalued at this time in which case I will sell or undervalued and I should hold on in case we enter recession? Thanks for your input.

Q: Your opinion on this stock at this low price thank you for your advice
PAT KERR

Q: Good morning, 5i team!

NFI didn't perform well in our portfolio in the last 2 years. Your thought on replacing it with one of these 2: Lion Electric or Rivian. Or just get out and put in Magna or Linamar instead for auto parts instead. Thank you!

Thanks!

Q: Hi 5i,
Adam Gray who sits on the board of NFI just purchased $33M of shares recently. Can I get your opinion on the stock. Can they afford the dividend? Do you think they might cut the dividend?

thanks