Investment Q&A

Q: You have liked these small/mid cap names over past couple of years and most have done well, thank you.

Under current market conditions and entering a second Trump Term, what would be the order that you would buy these names? Is there any of these names you would not buy and move on from?

Thank You
Tim

Q: Hi 5i,
I really like your creation of DOCCKS through amalgamating those 6 Canadian names, and the comparative 5 yr history you've put together of some salient numbers.
I think it might be helpful to also see where the money comes from, and wonder if you would also be able to break down the geographical origin (percentagewise) of each company's revenue and, further, compare those results to the net profit, FCF etc resulting from each geographical source of revenue?
Thanks 5i,
Peter

Q: So what gives with kxs? 5i gave it good reviews on earnings (which appeared to be strong), but it's down over 3% as of 11am. I realize it's a down market day but with good earnings, it shouldn't be leading the pack downward. So what gives?

Q: Please comment on earnings. Would you add here? Thank you.

Q: Hi. I need to generate some cash out of a portfolio holding these positions. Can you please rank the noted companies in terms of which you would sell now based on current valuations and outlook over the next 2-3 years?

Q: Any reason KXS is down $5 at this writing? There was an open letter yesterday to shareholders from a firm that owns 1.4% of the company questioning company performance. Is this the reason? What do you make of KXS performance? What do you see over the next 6-12 months?

Q: Thoughts on the hiring of Goldman to review a possible sale?

Q: Retired relying on DB pension. In small cap growth oriented TFSA holding PMZ now above ACB so it is on sell list. Dilemma: where to add the funds to above list of existing TFSA holdings? How would 5i rank existing holdings in terms of probability of highest growth in next 2 to 3 years?

Q: Any stocks you see that have strong fundamentals and show some god technicals as well ?

Q: Hello Peter &5 I team,
What do you think of the Daventry Group letter asking Kinaxis to initiate a sales process?

Q: Can you rank in order the top 10 small caps that you feel have the most potential over the next 6 months and provide a quick statement on why each is included?

Q: So KXS dropped $22, over 14%, and 5i has answered a few questions with general replies. Can you please use your expertise and provide an assessment of what you think the stock will do going forward? In your view, was the CEO pushed out? Was the sales person pushed out? What change in direction do you forsee? It's in the growth portfolio. Does it warrant still being there? It's been an under-achiever for some time and 5i says it needs to deploy some of its cash and expand. How long do you wait for this to happen?

Q: Pretty big price drop on the news of CEO retiring, also Chief Sales Officer leaving. When two high profile positions announce leaving at the same time it feels like a warning flag, can you read the tea leaves here?

Q: What do you think about the decision to have the CEO step down and be replaced by the end of the year?

Q: Thanks, 5i for your efforts that have meaningfully helped me to a more secure retirement which I am enjoying now. I do have a question: please can you compare and contrast PLTR and KXS going forward?

Henry

Q: I've owned these for quite a while (KXS 5 yrs; WELL 4 yrs; CTS 3 yrs) but they haven't performed as I'd hoped (KXS +17%; WELL +4%; CTS -1%). Note that I've added to each since the initial purchase.

I understand 'wait time' and that the market sometimes takes a while to respond to fundamentals, but I feel I've given these all a fair chance and yet I continue to believe - and to hold!

Can you offer me any assurances to either continue holding or selling any of the three stocks? Interestingly, when starting a position in KXS I made a decision to purchase that and not Descartes which 5i also supported strongly at the time. Needless to say, I've watched DSG clean up and KXS tread water.

Q: I learned of something that I had never heard of before when someone adked 5i's opinion of "the magnificiant Seven Companies" and learned they are American companies. Also was impredded with your answers of why they made the list of 7.

This leads me to ask what 5i's opinion of what would you say the Mannificiant Seven Canadian companies been in the last 7 years with the expectation that they will be still in busines 7 years from now?

Q: I'm going to sell OTEX. What would you replace it with?

Q: Sir:
In reviewing the trust holdings for Grandchildren, I noticed that these previous darlings of 5i are all on life support. So , going forward, what are your recommendations? Thanks- Jim

Q: Read the Q&As almost daily for several years now.
Senior, retired and living on government pensions.
My question is about a growth-oriented TFSA cash allocation of about 10k or less than .75% of total equity portfolio. Will not need the funds for another 34 months.
Understand you cannot indicate position size or provide personal advice.
Current TFSA holdings in order of largest %age gain to biggest losers in TFSA is: TFII, TRI, DIR.un, DSG, KXS, LMN, TOI, TVK, EQB, DOL, DOO, PMZ.un, TIXT, REAL, S, HOT.un, EGLX. Top 10 are in excess of 1.50% of position size. Bottom six are headed for exit ramp in due course.
Across entire non-reg and TFSA portfolio am underweight Cons Cycl, COMMS, Industrials, Healthcare and international multi-sector.
Pondering adding to existing or a new TFSA position to add to the 40-plus I already have. So how would YOU allocate this 10K today?