Investment Q&A

Q: Hi: The above three seem to be dead money or major losers. Is there any hope for them? If not, is it time to sell them or wait longer for a possible bounce?

Q: Hi 5i
I thought I understood the DRIP or cash distribution concept but I've just received a cash distribution equaling 25% of the expected amount. On Oct 10th, Crius announced 4th Qtr distribution amounts of 0.0697. Then on the 24th announce the initiation of the DRIP.
As I am not eligible for the DRIP (currently resident outside of Canada), I expected 0.0697 per unit but have received 0.017425 (25%). This is a surprise to me - I'll need to discuss this with the broker but just wanted to clarify that there wasn't a cut or some other reason triggering additional foreign withholding tax (or ???)
Is this cash distribution amount an issue with my expectation ? Is this something you could clarify for me ?

Thanks
Mike

Q: Market beat had 3 analysts with buys and 1 hold with target of 9.25 and Thomson a 10 with buy.Does KWH.UN, these guys just not give good guidance and to be believed going forward.

Q: Hello, I have just found out that you were dropping KWH from the income portfolio. I own KWH, would it make sense to wait until the end of the tax loss to sell (after Dec. 15th)? Thanks, Gervais

Q: What is the difference between shares and units? On the TSX site the June 2018 quarterly report shows diluted average shares as 75.23m. In the most recent SEDAR filing they talk about diluted average units of 56.7m and do we divide the net income of $7.7m by 75m or 57m? (units are defined as the units that are traded on the TSX)
Also in your Nov 8 reply to Peter you indicated that EPS of $0.11 and revenue of $260m were expected. In the SEDAR filing we are told that the income per unit was $0.14 and revenue was $359m. Is this an improvement over expectations, or are we talking about different things?
Thanks Mike

Q: On the weekend you sent an update that you were dropping KWH from the income portfolio. Can you point where that is noted on your web site please.
Thanks

Q: Hi there - down 40% on both. If you had to get rid of one, which would it be?

Q: One more question on Crius and it relates to the capabilities of the management. Given the sell off and the recent results it would seem that the decision as to whether to hold or not has to do with whether management can be believed. If the outlook for adjusted EBITA of $100m annually is to believed, this seems quite positive since annual distributions would be $36m. In fact management says it makes the distribution sustainable.

However, this is the same management that a year ago was positive about the solar division, and municipal aggregations (even though they acknowledged the latters lowering effect on gross margins). In fact they were sufficiently sanguine that they even increased the distribution.
This year they are exiting solar and divesting municipal aggregations. The new strategy is to go back to focus on the original deregulated energy business. They acknowledge that the customer count will continue to decline over 2019 and the costs to obtain the high margin customers in the deregulated business is high. How long will it be before they get to their $100m?

In case you think these are the comments of a short seller I am in fact a shareholder who is wondering if this emperor has any clothes. Your opinion would be much appreciated.
Mike

Q: I am down approx. 30% on this stock. Would you continue to hold or move on? Thanks Clare

Q: I am missing something with Savaria
Where is the big miss in the quarter. is it not expected with the acquisition of Garaventa, that the EBITDA would be affected. there 9 month numbers are up substantially, With the sell off today would you be a buyer now?
With Crius the sell seems warranted as they continue to disappoint. Are you willing to hold?

Q: Your analysis on todays results ?
Customer base keeps going down. There’s a fairly large expense relating to solar ?
Is the recent acquisition going to put them back on track ?
Don’t think the market is going to be impressed ?
There is a comment about the distribution being ok after adjustments ?
Thanks !

Q: of the stocks listed can you please rank in order from 1st to last for adding to at this time as I have some cash to add to these stocks that I currently own.
Thanks

Q: Hi team,
On Nov. 8 you said expected EPS is 0.11...... previous year was 0.44.....Wouldn't that huge difference concern you and would be bad for the stock price?
Thx!

Q: As noted,KWH beat estimates 50%.What are u expectations for this Q on Nov 14. Have a 3% position @ $9.43 p/p,down 27%.Thinking of adding additional 1/2%.Your view please,Txs for u usual great services &views

Q: KWH has started a distribution reinvestment program. It appears they intend to buy the shares in the market. What is the advantage to the company when they do this? It seems to make sense not to issue new shares when the yield is so high. (makes for expensive money).

Mike

Q: Would you take the cash or the drip for KWH.UN ? Thanx Robbie

Q: Can i get info on the following; payout ratio; eps for 18@19 estimate for upcoming report in nov .How often do they beat or miss.Will interest rates have a big impact on them.Do they have much dept. Thanks Harris

Q: Help me understand. If a company pays a 5% dividend on a 50.00 stock I get $ 2.50 annually.
The sp goes to 40.00 I get 6.25% dividend, while still getting my 2.50.
The dividend payout does not change until the company’s board decides otherwise. If the company has the cash flow to pay 2.50, why would they care if the yield is now 6.25 and not 5%. In the case of KWH, it is now over 13%. , so I understand they would prefer a higher sp, who would not ,but if the price dropped because of interest fears only and only, then should KWH management have anything to fear, and should I ?? Whenever you talk about high yields, I get the impression that stock is a no go zone why ?
Thanks

Q: These are my current doggies by % loss and have been for a while. Can you recommend replacement(s) or would you suggest just holding?

Carl

Q: Members keep asking about the dividend safety for this co. It sits in an interest sensitive space so it is down, it is a unique business model as well but am I wrong in thinking that so long as profits are not changing and their subscription base is not changing significantly then the dividend is better than safe and could even increase. I could see stock price being an issue if the company were needing to raise money or make a purchase with stock but a company making the same money now and now maybe more with cost cutting as when it was significantly more expensive is a great value. Is there a metric I am missing that puts company at risk.
Thx for the great service