Investment Q&A

Q: Hi 5i,
Could you provide your opinion of the likely direct and indirect impact of the promised US tariffs (or just the threat of same even if they don't ultimately come to pass) on the 1-to-2-year SP of the five noted names? I 'm not confident in my ability to discern which companies have a significant degree of immunity (although I think these 5 may).
Thanks,
Peter

Q: Hi 5i,
I've owned DHT.UN in the past and did quite well - all before that little management fiasco. I sense the company may have completed a turnaround and be coming out of the penalty box now. I'm considering (re)adding it to my TFSA.
To help with the decision I'd appreciate your analysis of the quarter and year end results that were just released, along with any other comment you might have.
Thanks 5i,
Peter

Q: On BNN recently this stock was recommended. I liked his justification.
I read some of your responses to questions from last year. I understand management had an issue and paid a fine and CEO replaced.
A statement I read was that currently their payout ratio is well above 100%.
I get the feeling you are not enamoured by this company.
Can you please confirm I) payout ratio and ii )your feeling is maybe hold off until fundamentals improve.
Thanks

Q: Hi 5i Team,

I'm looking at some of my losers and pondering either getting rid of the or adding to them.

DHT.UN, HMM, OTXT, TSU

With some room freed up I was thinking of starting positions in PKI and DSG

What are your thoughts on the 4 stocks I'm down on? Would you add to any of them or look to sell for better opportunities? How would you rank them if you were to sell?

What are your thoughts on DSG and PKI? Do you view them as buyable now for 5-10 year holds?

This is in a TFSA which aims to balance growth and income.

Thanks for the Great Service!

Colin

Q: Please give your opinion on their results, and the company .
Connie

Q: Morning 5i,
How serious do you think this DRI.UN management fiasco is? Do you foresee a long time in the penalty box for the name (it fell drastically today and has a lot to make up to get back) or do you think there will be a reasonably quick recovery?
(I've got a fair amount tied up in DRI.UN and got quite a shock when I looked at my accounts this morning, so I'm in need of a level headed take on the situation.)
Thanks,
Peter

Q: Morning 5i,
I haven't been able to find DHT.UN results for its quarterly earnings which I think were released on May 6. Perhaps I just don't know where to look. In any event could you please provide your analysis of the results along with any general or specific commentary you might have about the name. I've done well by it and would like to continue holding unless something material has fundamentally changed, or looks like it might.
Thanks,
Peter

Q: Could you please comment on last week's NR from DHT.UN (see below). The market responded favourably and so did the analysts with a multitude of raised targets. Thanks as always.

Immediate and accretive cash flow generation replaces structured annual caps –

– Increasing capital deployment guidance to over US$1.25 billion deployed for the five years ending 2025 –

– Now expecting high-teens Royalty Income CAGR through 2025 and mid- to high-single digit Royalty Income CAGR through 2030, excluding any new transactions –

this is the press release we are referencing.

https://drihealthcare.com/dri-healthcare-trust-announces-the-expansion-of-its-royalty-entitlement-on-the-us-net-sales-of-omidria-updates-deployment-and-cagr-guidance/

Q: Your thoughts on DRI Healthcare Trust please. I am reading outperform ratings in the Globe and Mail. It is a comfort to have 5i to ask questions - thank you. Barbara

Q: Hi Peter,

I'm a bit confused re: the dividend for DRI Healthcare. Your profile shows a current dividend of about 9.6% (even higher for DHT.U) but other sources such as G&M and Morningstar show it at 3.49%.

Why the difference? Please clarify.

Many thanks for your excellent service.

David

Q: Regarding your answer to Peter, call me cynical but this company inexplicably began a steady decline a month ago, followed by a steep decline yesterday before the public announcement of the bought deal. It looks to my suspicious mind like some people had inside information and acted on that knowledge.

Q: Hi again 5i,
Re the question I just sent in asking for information about yesterday's sharp price decline and trading halt for DHT.UN, I've now learned of the bought-deal arrangement that was announced yesterday and which led me to sustain a significant paper loss on my first day of ownership.
So now my question is - could you please provide your analysis of the long-term implications of the bought deal for DHT.UN.
Thanks 5i.
Peter

Q: Hi 5i,
On June 29 you were asked for the best metrics to evaluate a royalty company like DHT.UN and your answer was:

We think the best metrics are distribution as a percentage of free cash flow (targeted between 30 and 35% as per management), new royalty transactions or pipeline, and EBITDA and FCF multiples.

Could you please supply the current numbers and information to fill in those metrics for DHT.UN, along with your commentary about what they lead you to conclude about the current health and future prospects of DHT.UN.

Thanks 5i,
Peter

Q: Not happy at an income stock dropping 9% on the day, even with a bought deal. Do they do this a lot? What do you think of the stock?

Q: Hi 5i team. Can I have your thoughts on this company as an investment. Recently it's gotten a few upgrades in its target price.
Thanks Ken

Q: Hi
What metrics are best to use when valuing a royalty company like DHT.un? Thanks
Kenn

Q: Hi 5i,
Do you still favour LIFE over DHT.un? And what about holding both in a TFSA?
And what is your opinion of PPL? It never goes up? I also have ENB but they have the underwater pipeline issue. What would be alternatives?
Many thanks for your patience and great suggestions.
Connie

Q: LIFE,DHT.For income would you have a preference,both or neither?Thanks.

Q: You indicated back in 2021 that you would prefer this over DHT.U. Does this still stand as your preference and what do you think of DHT.UN as an income play (overall safety over the next 3-5 years) ?

Q: Would you consider it to be a buy at this time?