Investment Q&A

Q: Your analysis of Micron's results would be appreciated. Thanks.

Q: Hi 5I team, we will appreciate a list of at least 10 growth stocks that beat earning estimate most of the time in the past 8 quarters. Thanks.

Q: Hello Peter/5I Research
Please give me your 5 top large US company that has the most potential for growth with no other consideration.
Thank for your excellent service and advice.
Claudio

Q: With a PE under 10, and a sector with legs, doesn’t MU look like a screaming buy? Morningstar is bearish based on the cyclicality of the sector and prior management missteps. Plus insider action is bearish.
Appreciate your take. Thanks Frank

Q: Can you suggest some undervalued USA stocks one might want to look at picking up this week for short term profits?
Thanks!

Q: I have a well diversified CND and US portfolio. I have some US cash to deploy and currently own BAC, BIIB, GOOGL, AAPL, DWDP, FLIR, MS, SWKS and PYPL. I have a high risk tolerance and am looking for growth vs income. What would you top 3 US names be in order and what is your rational for the 3 picks. Thank you - Your advice has helped me become a better investor, GREAT service.
Scott

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

Q: This may fall into the category of a question that can't be specifically answered, but can you tell me why Micron Technologies P/E is so low at 7.5? Currently Apple trades at 18, NVDA is at 48 and Google is at 59. MU has good income growth and profitability but seems to trade at a much lower multiple than its peers.

Q: Hi Peter
I know the US stocks are not covered . But can you give me an idea if Micron is worth buying now . So many companies have overshot their evaluations .is it buyable to hold for 5 years .

Q: Can you please provide 3 companies in both the Canadian and US Market whose valuation and "bounce back" opportunity look compelling to you right now.
Thank you

Q: MU is down $1.24 to $42.75 as of Fri. Jan.19, 2018. It seems cheap at 6.5 times forward earnings & with a PEG of .34. I would like your opinion on buying a half position in this company. About an hour ago I asked another question re ORBK- Orbitech Ltd.& would appreciate comments on whether you would recommend either, both or neither of these companies as a half position?
Thanks, as always, for your great advice.

Q: Hi team,
I used to own MU about 10 years ago but never made any money on it. The stock was stuck in the doldrums for years. Back then it seems they had no pricing power, semiconductors were just a commodity and there were not as many uses for the product. Now there seems to be many more potential uses in future automotive design, the internet of things, artificial intelligence and many others. I missed the big run for MU the last 2 years or so (can’t be everywhere in the market). I am also following AMAT which also had a big run. What are the prospects of these two going forward in 2018 and would you buy either one today? Is there better pricing power in the industry or is it just sales volumes with the many new uses that is driving the huge price gains? Am I too late to the party?

I have some technology stocks (no semiconductors) but I am not too concerned with sectors or weightings at this time as I tend to let things run a bit until I cut back (or the market does it for me).

Thanks again,
dave

Q: What do you think of Micron Technology today after the results and the healthy bump in price? If you are positive on the company at current valuations would you buy in today or wait for the price to settle down? Would you prefer Micron or Nvidia at current levels on a risk/reward basis?

Q: You have mentioned ICHR a couple of times as your favorite small cap in the US. Can you give me a few reasons why you like it. Is it a good long term hold. What are some of the risks. I see the valuation to be pretty cheap but I see Micron is very cheap as well based on their earnings. What do you think?

Q: I would appreciate your opinion of the value, or lack thereof, that the shares of Atlassian Corporation (TEAM) might currently offer? I'm seeking investments that might reasonably be able to provide me with a 10% or better, total return over the next 12 months.

Regardless of your opinion of Atlassian; any suggestions you might have for other firms which one might reasonably be able to expect a 10% total return or better from, over the coming year, would also be welcome.

Wishing you and yours a very Merry Christmas! Cheers and thank you!

Q: Hi Team,

My U.S account is extremely heavy in the Tech sector and it’s time to scale back a couple of names to properly diversify. After making significant money on the listed names what do you suggest me dropping?

Thx
Marco

Q: I already own AMAT with good gains.
Would you be adding at this point perhaps MU or LRCX? Or do you think the industry had a good run and the gains are done? Is sentiment against them now or this is just a hiccup? I know only time will tell but I would value your take on it.

Q: Dear Abby .... I mean 5i : Given the industry’s past-habit of over building capacity in good times, I half-expected Micron to weaken a bit. Notwithstanding that, I also read that the foundries had learned their lesson and were no longer jumping into adding capacity. The sudden and scary drop from impressive heights in MU’s price doesn’t look wholly justified. Although the share price increase may appear dizzying, it isn’t THAT much when one looks at multi-year price-history. For exemple although this year’s chart shows more than a doubling in price, I show 30 odd percent gain, having held MU for several years . I checked the financial sites and didn’t see much that explains the suddenness in price drop . Morgan Stanley unkindly dropped off on Monday a negative blurb on chip makers and most Semi’s dropped after opening on Monday. I read the said report and was not as convinced as Morgan Stanley seemed to be. I later saw MU had a positive report (Baird) . Obviously, I am missing something important . I am much too shy to ask to see your Bloomberg terminal . Your insight and DEEPER look and subsequent comment into this issue would be most appreciated.

Q: You haven't been positive about this company but it has been quite some time since a question was asked and the stock has been on a tear in a hot space. Acknowledging its volatility, which is reflected in its valuation, can you give me any reasons to stay away?

Q: I have a small position in MU ... less than 1%.
It's up about 50% since I purchased about 8 months ago.
I'm concerned that as semiconductor prices are increasing, there may be increased production from other competitors and that the market may become oversupplied.
Should I hold on or is the stock becoming long in the tooth .. in which case should I sell?