Investment Q&A

Q: If you were asked for 5 top stocks recommendations to invest in in the USA what would they be ? RAK

Q: My IT stocks have grown to 24% and I want to scale back to 20%. Currently SHOP 7%; ZQQ 7%; KXS 4%; OTEX 4%; PHO 2%. I am thinking of reducing SHOP to 5%; selling ZQQ and OTEX and buying AMZN 4.5% and SQ 4.5%. Your comments greatly appreciated. I know the valuation of OTEX is much lower than either AMZN or SQ but the growth in these two stocks are much higher.

Q: I am looking for the next Amazon or Constellation to put way for next 5 years.Can I have your thoughts on this. I was thinking of the two I mentioned along with SHOP, MSFT, BABA, 10 CENT, TESLA. What other names ? What do you think ? RAK

Q: If you were to start a growth and balanced portfolio in the USA tomorrow, what would be your top 5-8 picks for both portfolios. Also, based on your experience, what management teams do you regard as top allocators of capital, USA firms. Thanks for your great service.

Q: Do you think that the significant increase in SHOP on Tuesday was due in whole or in part to AMZN's release of its international shopping app? I own both companies so if this is the case, are SHOP's fortunes so tied to those of AMZN so as to present significant concentration risk?

Appreciate your insight.

Paul F.

Q: Good morning5i team,
I am thinking about buying Amazon, especially following the positive way in which you view it. I am wondering about the timing, though. I noticed on a number of questions recently asking about the best US stocks to buy at the moment, that Amazon is not on that list. With it's recent fall I am a bit surprised by that. Is there something in particular about Amazon at the moment that would prevent you from adding it to such a list?
thanks

Q: Hello,
At some point 5i seems to have changed direction with Amazon. Earlier on you thought the p/e ratio was just too high. For instance, this was your objection to buying Amazon in July 2014:
5I RESEARCH ANSWER:
We think Amazon is a great, well-managed company, with excellent potential and a solid niche that it continues to develop. Clearly the leader in the space, it further consolidates its position nearly every day. It has $5 billion net cash. We like the 'company' for sure. However, the stock trades at 279 X forward earnings estimates, and we simply cannot get our heads around its valuation. It is a high beta stock, but this year the market is up and it is down 12%. We think there are better growth companies to own.
According to Yahoo Finance the P/E ratio is higher now than it was then. I am interested in buying Amazon amidst its current troubles but the cost really makes me question that decision. I am curious as to what exactly were the elements that brought 5i to become much more favourable towards buying Amazon?
thanks

Q: Which FAANG stock(s) would be most attractive today for long-term growth? I plan to hold longer than Trump will be President.

Q: Hello Peter/5I
I am thinking of purchasing a some amount of these there stock , what are your thoughts ?
Regards
Claudio

Q: it is mind boggling how one man can do so much devastation to a world economy. is there one or two stocks you can recommend to protect me from this lunacy. I hope some sensibility comes out of this mess. thanks again bill

Q: Hello Team,
Could you comment on the recent pullback in Amazon and do you feel it is overdone?
Thanks,
Barry

Q: I am not understanding why NFLX would be caught up in the tech slide. It's more of a media than a tech stock, no? In any case, these large cap techs with high valuations seem to be suffering disproportionately. I am down considerably from the highs but still up nicely on both of these and am seriously considering getting out now. Do you think that would be a mistake?

Q: Hello,

How do you feel about Amazon's performance lately. Its obviously doing very well but do you think it will continue to perform like this or could you see a correction and price decrease in the near future? My shares have exploded and i'm glad to ride the wave but don't want to get caught in a bubble.

Do you think it will split?

Thanks!

Q: On the US side, what are your 5 favorite companies for the long term?

Q: Hi,
I would like to own amazon. Do you think it will be negatively affected by nafta / potential trade issues? With the volatility in the markets I am thinking about putting in a stink bid before going away on holiday for a couple weeks. I have enough enough money for 4 shares. I was thinking about a bid for 2 shares at around $1350 and a second bid around $1200. Does this sound reasonable? different numbers? Bad idea?
Thanks
Kerri

Q: Hi 5i:

Two questions: (1) I think you said in response to a recent query that AMZN could be put in the consumer cyclical category. Is that correct?
(2) Paychex has been mentioned several times recently on BNN. What is your assessment of this company for the next two years, say. How robust to a downturn would it likely be?

Many thanks RT

Q: Suppose the 5i US growth portfolio launches on Valentine's Day. What are the top 5 holdings please?

Q: If you could only hold one us stock in your tfsa for ten years, what stock would you choose. I would say Facebook. What would be your pick and why?

Q: What is the Q4 consensus for AMZN's net sales and operating income?

Q: Hi,

I have 2 questions:

1) What is your opinion on Apple and Amazon's current stock price? Is it too overvalued (to buy)?

2) What do you think the impact of the new $14 minimum wage in Ontario will be on the food industry, particularly, on Premium Brand Holdings?

Thank you