Investment Q&A

Q: Hi Peter : I recently bought Tembec (TMB)because it is a re-organized company that hasn`t participated in this year`s forestry company rally . It moved up slightly , then tanked 25% in two days after the co. reported a $50 million writedown on the closing of a B.C. pulp mill .This shouldn`t have been a surprise . The selling was only 2% of the shares but at market paniced investors creamed TMB . I bought some more but not fast enough . The shares bottomed for two days and in the next three regained all the lost ground and then some . I`m not going to list all of the companies recent innovations or the steadily improving forest products picture but Tembec has been left behind . For example last week the company`s market cap was less than they are spending to build one power boiler at a Quebec mill with excess bio mass power sold to Hydro Quebec at a cost with turbine and building of $190 million . Am I wrong about it being undervalued. Last week Chad Wasilenkoff CEO of Fortress Paper said they would be looking at a merger with Tembec in the future . News to Tembec apparently . My experience with foresrty CEO`s is that he will wait till the price is much , much higher before driving it up some more with an offer.
What do you think ? Thanks ; BILL

Q: Please let me know your opinion on Asian Television Network (SAT)...

Q: Hi Peter,

What is your personal opinion o n the STO and PRY merger. The analyst community as well as the shareholders seem to dislike this deal a lot as is evident from the drop in share price of both post merger. Do you think this will be a good hold into the next year maybe for a one year time frame. Thanks

Q: Could I have your assessment of Richelieu Hardware - RCH. Thanks.

Q: Hi Peter,
I hold GlaxoSmithKline PLC (GSK) in my RRSP and which is 1% of my total stock portfolio. I hold it for both income and growth. I would appreciate your opinion on 1) this company 2) what % of a portfolio is recommended in this sector ( pharmaceutical) and 3) other names you may recommend in this sector.
Thanks John

Q: Peter
Is now a good time to invest in COH or EBAY . I`m looking to have some exposure to some U.S. stocks ?
Thanks
Bill

Q: Northwest healthcare REIT looks good at this price. I like the REIT sector and like healthcare and the combination of both appeals to me. What are your thoughts.

Q: Do you have an opinion on Chorus aviation (CHR.B)?

Thank you,
Sandy

Q: Hello Peter. My question is what are the differences between Common Shares, Deferred Share Units and Options. When looking at insider ownership of a company what kind is better in regards to the insiders confidence of a companies future? Thanks Max

Q: Could you please comment on Torstar?

Thank you very much,

Dave

Q: HYD Hyduke I've been looking over this company and liking what I see. What does your team think of it?

TIA

Q: Further to the previous questions on gold, I understand that you prefer senior gold companies over junior ones; and prefer dividend paying gold producers over holding the bullion itself. Given this, I would like to ask how you think a royalty company fits into the mix. As a hedge against inflation, would a royalty company (i.e. Franco Nevada) be preferable to senior gold producer (i.e. Barrick Gold) or would the two types of companies complement one another in this scenario? Thanks.

Q: Good morning Peter, Could I get your opinion on GMCR (NASDAQ), thank you?

Q: Thank you for your prompt response to my past questions. I find this to be a very useful forum.
I have a general question for you. I am looking at adding equities to my portfolio. Am I best to wait until after the tax-loss selling season, say mid to late December?

Q: Hi, what do you think of Calvalley petroleum (CVI.A) ? Do you think the positives (a lot of cash, no debt, free cashflow, high insider ownership,brent price for their oil) outweigh the negatives ( most of assets in Yemen and the possible claim/lawsuit against them in Yemen) ? Finally, what do make of the fact that the company is looking for "strategic alternatives" ? Thanks a lot !!

Q: Hello,
I would like to get your opinion on Edulen. The analysts covering this stock generally rate it as a strong buy, yet it contiues to drop. I do own a small amount and am wondering if I should continue to hold it.

Thank you for your response.

Q: Hi Peter: Portfolio questions about Gold: In your view, is it necessary to maintain gold exposure all the time (given that the portfolio is small enough to maintain reasonable liquidity and allow one to be nimble) or is it something that one can move in and out of depending on how things are going? In either case, what signs would cause you to increase/decrease exposure? On a percentage of total investments basis, how much gold exposure do you think is appropriate at present and how high or how low could you see that going over the next few years? Can one's gold exposure be expected to provide a good ROI, even if the various things it is supposed to hedge against aren't materializing over the next few years? Finally, what category of gold investments would you favour to provide both the hedge/insurance aspect and a decent prospect of a return in the meantime. Thanks!

Q: Hi Folks,
First off, I must thank you for your service.I have always respected Peter's advice on tv & that trust has been continued with his staff at 5I.
My question concerns cross border income trusts from the US.The trust is Argent Energy Trust which is located in Texas so they get $10 above the posted West Texas price.They pay a 11% yield, increased production 15% 2nd qtr. and have access to acquistions.This all sounds wonderful but I'm interested in your comments on this trust.
Thanks,
Dave

Q: Your answer regarding PSN as a takeover candidate ...are you saying PSN rebounds to $10 if it is not taken over? TY.

Q: Re Bonavista Energy Corp, BMO is reporting that the 9% dividend yield is sustainable. Do you have any concerns or comments on this as a buy for a 2-3 year time-frame? Many thanks.