Investment Q&A

Q: 12:29 PM 10/6/2014
Hello Peter
I am principally interested in stable low risk higher-yielding stocks for my income portfolio as I depend on the income. I am thinking about taking a small position in one of the smaller higher-yielding Renewable Energy Utilities and am considering Capstone Infrastructure [CSE], Transalta Renewables [RNW], Northland Power [NPI], and Innergex Renewable [INE].

I see you rate both Capstone and Northland as C+, However the other two are unrated. Could you please give provisional ratings for RNW, INE, ENF, EMA, and TA.

I already own large positions [2% to 5% in each, totalling 28% of my portfolio] in these "Utilities" : BIP.UN, BEP.UN, PKI, ENB, ENF, EMA, FTS, PPL, and TRP. Is 28% getting too big? The rest of the portfolio is well diversified in Banks, Gold, Consumer, Infotech, Telecom, Industrials, and Oil stocks.

So my question is should I be "reaching" for yield by buying one of the 4 small renewables which may be much higher risk or should I be content with a somewhat lower yield and just add to one of the strong companies I already own?
Just what would you recommend [large cap or small cap], which one, and why?
Many thanks...... Paul K

Q: Hello Peter and Team,
I need to consolidate my Utilities weighting in an otherwise diversified income portfolio. I need to keep 3 of the four listed, proceeds of the sale being re-invested into the residual holdings. Please rate these four against each other in terms of consideration of my preference for valuation and growth potential over an extended time frame of 5 years As always I appreciate your thoughts on this. Rick.

Q: Hello;

What's your take on the following please.
Western One, WEQ
Emera, EMA

Thank you,
Steve Mason

Q: I have decent gains in Emera (EMA) after buying in the fall. The dividend yield is now getting towards my lower range for a non-growth type company. Would it make any sense to swap EMA for Brookfield Renewable (BEP.UN). This would give me a 1%+ bump in yield but stay within the industry. Which company has the better blend of growth/dividend increase potential going forward? Is the relatively high P/E ratio at Brookfield a concern?

Thank-you

Q: Hi Peter. What are your thoughts on Emera? Earnings have dropped the last quarter. Thanks.

Q: Hello Peter and 5i staff: Wishing you all a Happy Christmas. I note you are okay with EMA but with the new common stocks at 28.85 announced on the 10th would you continue to hold in a registered account or suggest an alternative. Thank you Barb

Q: Hello 5i,
Out of the twelve utility stocks I own two are underperforming, which are Emera (ema) and First Energy (fe). From this starting point, in your opinion should I sell and buy CPX or wait for them to come back
Thanks

Q: What are your thoughts on EMA for a long term hold versus AQN or FTS ?

Q: Hi Y'all
Could you please tell me whether EMA is a decent buy at these prices?

Q: Hi 5i Team,
I've read your previous comments on EMA regarding the stability of the company and the safety of the dividend. I noticed the stock did not react favourably (or react at all) to EMA's announcement of their purchase of 3 New England power plants from Capitol Power. What is your take on this purchase, and what will it do for EMA's bottom line?

Q: Do you like Emera(EMA)purchases going forward.Seems like a good time to buy and hold.Thanks Don

Q: I am looking at the Emera Preferred E. It looks like it was issued at $25.00 in May and is now 20.99. Is there a problem with this issue because of the lower price. It has a good yield and the parent is blue chip.

Regards

Gary

Q: EMERA has dropped a lot lately, do you think this is a buying opportunity? THANKS

Q: I would appreciate your opinion on Emera (EMA) versus similar stocks such as Fortis. TIA
Gary

Q: Do you see EMERA as a good buy right now? It has come off a little bit lately. Thanks.

Q: Enjoy your Holiday season with family.When the time comes can you please give some advice on Emera for an investment