Investment Q&A

Q: Hi 5i - I was very interested to read about Lightspeed's new partnership with Latin American fintech dLocal. It appears that this new partnership, will enable LSPD merchants to accept local payment options. It appears it's live in Mexico now, but given the breadth of dLocal's operations throughout Latin America and other emerging markets, do you not think this may be a major accelerator to scaling and growth for the company outside Canada & US?

Q: LSPD has 115,000 locations (74,000 in third quarter report on February 2020 and 47,000 in third quarter report on February 2019) serviced by their SaaS. Dax has indicated that there are 49 million SMB and there are targeting 7 million of those. My question is what is the projected number of locations in five years? If they are targeting 7 million SMB then those businesses have 1.5 locations per business (my estimate) gives 10.5 million locations. What is the probability they can get 10.5 million locations - zero chance. What is the probability of getting 5 million locations - zero. What is the probability of getting 1 million locations - 100 %. If they have 115,000 locations today and they will get to 1,115,000 locations in let’s say five years that is a 10x increase. I understand the metric will change from price per sales to price per equity because they will be profitable. Is it possible to say that the share price increases by a factor of 10?
Clayton

Q: Hi Peter,

Please recommend a basket of small caps (7-8 names) that are looking attractive today. Long term growth, medium to high risk. Would you initiate new positions in any of the noted names?

Thanks in advance.
Kevin

Q: Hi. It seems that you like LSPD but at a glance it looks like they have an operating loss every month. Can you explain your thinking of why you like LSPD when they are not making money? Thanks in advance

Q: Hi,

Looking for about 5 Canadian growth names to add to my TFSA. What would you recommend right now?

Thanks,
Jason

Q: Hello

Our US holdings are up 36.25%, where as our Canadian holdings are only up 17.22%.
The five mentioned above are our only real shining stars at this point.
Is one better to have all US holdings and forget Canada?
Thank you
Mike

Q: Hi 5i
My son-in-law has a Registered Disability Savings Plan, and I'm going to help him to invest and manage the money to achieve growth with low to moderate risk. He's only 30 so has many years to grow his (and the Government's) contributions. Presently, he only has a mutual fund in it, the Mackenzie Ivy Global Balanced Fund which I've discovered has a 2.38% MER.
Firstly, I'd like to replace this mutual fund with a low cost ETF that is relatively safe but can still show some good growth. To this end, can you recommend two or three Canadian ETFs that might be suitable for me to do further research on.
Secondly, in addition to an ETF, at this time he wants to have some single stocks in the RDSP as well. Can you please recommend three or four Canadian blue-chip type growth equities, and that would be of interest to a millennial...so not too boring : )
Thank you!

Q: Good Afternoon,

I am overweight in tech. Which of these would you reduce/sell first?

Thanks.

Q: Hi group ITP now 20 % off the highs generated by their last quarterly report. Any idea what is going on with this stock is it a buy sell or hold
Second question if you were to buy 3 stocks in the US and 3 Canada with moderate risk/reward what would your picks be and why ?Thanks for all your help its much appreciated

Q: Let's build a three stock portfolio and have some fun :)
In it there needs to be one small cap, one mid cap and one large cap.
For long term hold 10+ years
No etf's and only CND stocks.

On another topic, Peter if you were in France, on your road bike, climbing l'alpe d'Huez (It being the stock market) Where on that climb do you believe you are at before heading down? In other words, how much more RPM(revolutions per minute) does this market have before the chain comes off it's derailleur?

Thank you,

Biking Enthusiast :))

Q: Hi,
What price do you recommend to buy LSPD?
Thank you.

Q: Hi team,
I currently have small positions in both OTEX and ENGH. I would like to add a position in either DSG or LSPD. Which do you think would be the better choice for a 3-5 year hold, looking for growth with some stability. If you could also provide the reasoning behind your choice and whether you would add to these at current levels or wait for a pull back I would appreciate it.

Regards,
Paula

Q: Which one do you think offers the best return over the next 5 years.?

Q: Good morning 5i team
Regarding 'Lightspeed Capital' (Ref: Aug 5, 2020 press release), where Lightspeed announces up to US $50,000 funds per retail location, who is providing the funding? Lightspeed, Stripe, or a third party? I don't see any Loan Receivables on LSPD's December 31, 2020 Balance Sheet, and I hope this means Lightspeed is not bankrolling their clients. Thank you for your help on this.
Edward

Q: According to the portfolio analyzer, I need to reduce my tech. These are the companies I own (I'm not entirely sure WELL belongs on this list). Where should I start with reducing? Probably 2-3 names, or a partial disposition of a few. I'm up on all. Thanks!

Q: Could you please rank the above tech stocks in order of preference please. And thanks for the great service.

Q: Can you please comment on the share offering - what this means going forward. As well as what price would you be comfortable adding to LSPD If the shares dip.

Thank you!

Q: Peter; Now I know why LSPD has been weak lately- comments on the issue? Rod

Q: 5i has stated in the past that the above companies have no debt (LNF "very little debt") - is that still the case? If possible, can you please name 5 additional good CAN and 5 US companies that have no debt or very little?
Thanks!

Q: Hi,
What price would you recommend to buy and sell LSPD, NEVI and TOI?

Thank you.