Investment Q&A

Q: this is a general question on options but could pertain to my holding of a fair number of $20 mar 17 call options on DH corp. So what happens when a companies shares are halted and remain halted thru an option expiry date? I assume there would also be no trading in the options either. what options would an option holder have in say a case like this with my holding of dh calls well into the money. In this case I would assume it would be halted due to an offer but also in a different case it could be a bad situation which could cause the stock to drop. would the option expiry date be moved forward to date when the halt was removed?
thanks Tom your article on ala was timely as I was just about to buy it and bought the ala.r instead, thank you.

Q: Hello Peter and Ryan,

DH has been slowly creeping up the last few weeks. Have you heard any new developments on the potential takeover or has the gains come from Trump's plan of deregulation of financial sector?

Thanks for the great service!
Angelo

Q: Hi, DH Corp is down over 4% today with heavy volume but I don't see any news. Is this just simply profit taking from the lucky people who bought it a few months ago.

Q: Is there some news in DHs strategic review which would account for the lathe drop yesterday and today? Is it worth holding any longer and if you had to sell Dh or Xtc which would you let go first and why?
Thank you.
Maggie
.

Q: Hi Peter and gang,

I notice that 5i's Income Model Portfolio sold its full position in DH as of Nov 30,2016, was the decision based solely on the fact that DH had recently reduced its dividend payout significantly or other factors were also at play? If yes, what are these factors?

I am currently down by about 35% on DH, just wondering if I should hold or sell. If I were to sell my full position and put the money on something else such as Kinaxis or Premium Brand. And of these 2 companies, which one is your preference?

Thanks and much appreciated.

Q: I know 5i's focus is not value investing but could I get the top 3 picks from your coverage universe that would fit or somewhat fit the criteria of a "value" stock at current prices.

Thanks

Q: Hi Guys,

Any update or news on the DH take over?

thanks,

Jim

Q: This is a quote from Ryan's piece on DH.

"The reduction adds $85.5 million worth of additional cash flows. DH plans to spend 45% to 50% on share repurchases and 40% to 45% toward debt repayment.

Why would a company that has a debt problem buy back shares? Is this basically a way to line management's pockets?

Q: For tax loss purposes, which of these would you sell and is there a case to keep holding the others?
Thank you

Q: I have to raise some cash in my non registered account. Please rank (with some reasoning) the named companies from most desirable to least desirable . I will likely have to sell 2 of them.
Thanks once again RAM

Q: I still have a small position in DH. Dump it or hang around for possible takeout?

Q: Hi Peter and Team,
Could you please estimate fair takeover price for DH?
Thanks

Q: Good morning. To what do you attribute the recent run for DH?
Is it likely to continue? Seems counter-intuitive especially during a time you might expect to see tax loss selling.

Q: After the stock price of DH rose significantly and then dropped back today, trading has been halted, presumably because of the company's news release that, "a process has been established by its Board of Directors, including the formation of a Special Committee of independent Directors, to address expressions of interest from certain third parties to acquire DH. No formal offers have been received and there can be no assurances that any transaction will result from this process."

Once the situation is clarified please comment on the implications for holders of this stock. Thank you.

Q: Good morning 5i,

I sold my DH holdings this morning as you recommend it. With the available cash I would like to invest in Information technology or Material. What are your recommendation? The stock you will recommend need to pay a dividend.

Q: I note that you are selling DH from the 5i income portfolio. Unfortunately I hold DH in my TFSA so cannot claim Capital Loss. In this case, would it be better to hang on for a bit?

Q: Good Morning Peter, Ryan, and Team,
I hold DH Corp in an income oriented account which closely tracks the 5i Income Portfolio. Now that the dust is just starting to settle on this name, after the dividend cut, would you recommend buying more, holding what I have, or selling it ??? Thank you for your sage advise. DL

Q: There is a saying "the first dividend cut cut is never the last dividend cut". Excluding resource stocks, in your experience, is this true more often then not?

Just as a company paying its first dividend is a very strong buy indicator, is a dividend cut equally as strong a sell indicator?

Thanks.

Q: Due to the sell-off in DH do you anticipate management issuing any sort of statement re: dividend reduction, thoughts on 2017 earnings,etc..or...are we to held in suspence till the next qtr. results? Thanks Ron

Q: They cut the dividend. What do you think and how do you think the market will react?