Investment Q&A

Q: Heard some commentary that BCE is "borrowing to pay div"
and this is quite concerning. What is the payout ratio and what
is their debt level? The market seems to think their business
is not going well .

Q: You have indicated a preference for T over BCE based on growth. When I look at the analysts estimates, the earnings growth for T is 5.6% and BCE 4.6%. The forward P/E is T 16.3 and BCE 14.6. However the 1 year return to the analysts median target price is T 6% and BCE 16%. The analysts seem to feel BCE is currently undervalued. In your assessment do you disagree with the analysts assessment? Are you looking at a different time frame?
Mike

Q: What are your top 10 defensive canadian stocks that, in your opinion, will best weather a significant economic downturn and/or market correction.
Thanks

Q: I would like to add one of the Big Three telcos. Which one has the best upside in your opinion over the next 1-3 yrs?

Q: Good morning,
Looking to understand BCE 's ongoing weakness, especially relative to Telus, in light of a more than a 1% differential in yield in BCE's favour. Is the market telling us something that we are missing? Should we be buying or reevaluating?

Thank you,

Q: Good day to all. I am looking for a few very good value stocks. It seems that many investors are beginning to do the same. I am well diversified so your answer could include any sector and dividends are not that important but would be a nice bonus.
Thank you
Have a great weekend

Q: My non registered portfolio consists of blue chip dividend stocks and the goal is to keep the stocks forever and use the dividends only. I’d like to add BCE as the dividend is great, but I’m on the fence because it seems to have less growth going forward and more competition. What is the thesis for buying bce and what are the risks?

Q: Hi all at 5i, I have about 45k invested with only 5k in cash. I own all of the above names and was wondering if you were to free up some cash which of these stocks would you trim. If you think 5k in cash is enough, do you think any of these names would be good to trade for another name? Do you have any concerns over any of these names at this moment in time.

Feel free to deduct as many points as necessary.

Thanks,
Dan

Q: Now that both companies have reported, which one would be the better choice for a 3 year hold?

Q: Hi,
For an income investor, BCE is looking pretty good right now. I have about a 3% position now and I was thinking of bumping that to 4.5% once the dust settles a bit. Was there something in the recent quarterly report that you'd be concerned about over the long term?

Thanks,
Gord

Q: I just read an analysis lower his target on this stock from $61.00 to $60.75.why would an investor pay a fee/ a percentage of their total assets for such information when they can receive valuable info from this forum?

Q: I have the above securities as well as RBC Cdn Equity Inc-D shares, Sentry Cdn Income, Sentry Global REIT. I am a retired conservative dividend income investor with a company pension, CPP, annuities and Fisgard Capital for fixed income.

I currently own ECI and will sell and look for a Consumer stock to replace it (not interested in BIP...I have a full slate of Utilities). I filtered several candidates using fundamental metrics (P/E, beta, P/BV, P/CF, P/S) and technical metrics (200 dma, etc), as well as yield and price targets (for what they are worth).

I will keep my CGX and PBH. I'm looking for a long term hold (conservative, liquid stock with a good and growing dividend). My short list of candidates include CLIQ, CTC.a, PLC, TCL.A. I already flushed ADW.A, KBL, RSI and since I already have 1 food stock, I flushed L and NWC.

Please provide your insights into the appropriateness of these Consumer stocks (CLIQ, CTC.A, PLC, TCL.A) for my portfolio, given my circumstances and existing stock positions.

Are there other securities I should consider, even those that I have flushed?

Thanks for your help...Steve

Q: Hi,looking for a good dividend company for 4+years with,
Good Mngmt
Low or manageable debt
A little growth
Could weather a 20%+ market correction
Could you please rank these companies or add one you feel is better. Sector not a issue
Thanks, doing good following your picks. Brad

Q: My family has inherited a quantity of BCE shares. They are physical paper shares, legal, not held in an on line brokerage. They are currently part of the estate. We are being quoted horrendous fees by the bank/ third party agency to sell them. Do you have any suggestions on how we can sell these shares at a reasonable cost. Would BCE buy them back directly?
Thanks , Brenda

Q: I sold BCE above 60.00 and decided to get back in starting at 52 and 53.00. It is now close to 56.00. Should I continue to buy. I really like dividend and would maybe buy more and would welcome your thoughts on BCE. It is less than 5% of my holding.

Q: Despite increase in rate by BOC,BCE is up nicely the last 3 days.Note that telcom services up 1.5% today.Any reason for BCE's performance?Is this an entry point for BCE,Thanks for u usual great services & views

Q: Payout ratios

I am confused about payout ratios. I have read here several times that you prefer to stick with dividend income stocks that have payout ratios below 50%. You have also suggested recently that the following were good solid choices for dividend income stocks. Your website does not include payout ratios, but I suspect your calculation is different from those I have found elsewhere. Below are the payout ratios I found in other places. As you can see, they are mostly above 50%, and some are above 100%!

Could you please comment on your calculation of payout ratios, that have these below 50%, or why the high ratio is acceptable presently?

Thanks again.

PWF 72%
BCE 97%
CU 116%
TRP 78%
ENB 182%
TRI 169%
QSR 79%
AQN 130%
T 82%

Q: I have recently taken over my parent’s investment account management because of health reasons. I found that my parent’s financial advisor had their money tied up and mutual funds with heavy fees, as well as GICs that were locked in for a long period of time. The money is now available for investing. They are retired and in their 80s. I will be keeping most of the money in HISA, GIC, and some short term bonds if the yields ever go above GICs. I would like to include a couple of stocks that are quite secure and pay decent dividends. And suggestions? I was thinking of RY, CM, BNS, PWF, BCE, CU, TRP, and ENB. Do these sound good, and do you have other suggestions?

Q: Company and dividend as of close
KWH.UN 11.3%, BCE 5.6%, ENB 6.3%, ALA 8.3%, EIF 6.8%, HR.UN 6.8%, RUS 5.5%, BEP.UN 6.2%, GS 6.1%, AQN 5.1%, EMA 5.2%, FTS 4%, H 4.59%
Hi
Could you please choose from the above list (or any additions of your choice) the stocks that you feel would be best suited to be held in an income/dividend non registered account for a long period of time. It would be great if you could also guide me as to whether I should do equal weight or if it is better to invest by a percentage of one company over another. I am interested in trying to have the highest return of dividends but I do not want to reach too far for it (ie 50% KWH.UN). If I could get a blended 6% annually over 10+ years that would be super. Not all the companies need to be included. I know there are some that overlap sectors.
Thank you for all that you do. You are great guides.
Jeremy

Q: Just the read the article on your website about dividend vs growth investing. What are your suggestions for solid, blue-chip dividend stocks that should be held long term in a portfolio?