Investment Q&A

Q: Hi Peter,
Since Covalan Technologies is a small cap, i was thinking of trading it, but it could turn out to be a long term play. With the recent news, the stock jumped to $4.60 but has been going back and forth between 3.90 and 4.60. My average cost is 3.30. In this cases, should one simply trade it or simply hang on for more profits later given the good news release. Any idea why Pengrowth is surging over the last two days. I am not seeing any recent news and if you are able to access the recent releases, can you suggest a link please? Finally, i am thinking of boosting my GUD and BIP.UN to 5% weights which is my max per stock. Any comments. Thanks very much.

Q: I'm up about 45% on NYX and thinking of selling now rather than waiting for the deal to close for the sake of an additional 2% or so. I previously owned GUD but sold at a modest profit near $10 (I was one of those bored investors). Thinking of re-buying GUD for a long term hold and would be interested in your view or other best options to deploy the NYX proceeds. My fallback would be simply to top up a few core holdings: TD, T, FTS, SLF.

Q: Hi team, I have a small LIRA with only 40K in it which will not be touched for at least 15 years. The rest my portfolio is balanced so no need to worry about sector allocation, etc. I am looking for some growth stocks that I could buy and leave for this time period. I would prefer more medium risk growth stocks versus higher risk US or CAD. I'm thinking of a 10K allocations. You thoughts?
Thanks

Q: Hi there, how would you rank these 3 names in terms of growth profile? Thanks!

Q: I'm lookng to add one more CDN healthcare stock. I currently have SIS and GUD.

Q: I'm looking to add a healthcare stock. I sold CRH to lock in the loss and have watched it climb daily while I cannot buy it due to the 30 day CRA loss rule. I have have another 3 weeks before I could buy it. Should I look at other stocks in this sector that are better or wait and buy CRH? I have an 8% weighting in healthcare.

Q: Hi Peter,

As a follow up to my previous question, a 1-2 year hold was probably unreasonable so would you have any picks for a 3-5 year hold? I already own SIS and GUD for the long term.

Thank you.

Q: Hi Peter,

Do you know of any companies where the stock price has tanked recently and due to solid fundamentals/management/cycles/etc you would hope to see a dramatic recovery? Basically, I'm looking for good companies with a great risk to reward ratio, for a 1-2 year hold....any Canadian stocks and maybe even a few US ones.

Thank you.

Q: I have US$ in a US account and I am looking for how to best allocate the money. I am a little light in industrials, but was thinking about adding NFI and CAE in CAD accounts, or is there a better US company to add to my portfolio.

Other options are:

Healthcare I have about 5% in GUD and CSH, but I could add a US company or ETF

Or just keep it simple and add IWO.

As always thanks for the guidance.

Q: I would like to hear from you on the potential impact that bad policies such as the rise of minimum wage, high power costs in Ontario and the risk of losing the NAFTA framework may have on good companies that were thriving under previous governments.

Q: Any reason(s)for the sharp increases today on both GUD & CLS.Thanks for u usual great services & views

Q: The stock seems to have dipped for an extended period of time. Any idea why and should it be a hold, buy or sell?

Q: GUD is consistently a top recommendation as a growth stock. Have you spoken with GUD mgmt. lately to be able provide any additional info. as to when/how they are expecting to invest some of their cash and therefore move the stock in the next six months?
Without any news, it seems that GUD will continue to drift down as the 'bored' investors continue to sell.

Q: Good morning,

With sells as it was going up, I am still about breakeven on CRH but it has dropped to 1% of my portfolio. I have lost confidence such that I won't put more in. I am, however, looking for additional healthcare exposure. Right now I am also holding JNJ (3%) Danaher (DHR, 4%) which is mostly medical/dental since the spin-off of Fortive. I have been thinking of exiting JNJ due to the price that they paid for their latest acquisition. It seems a little inconsistent with their historically very conservative nature.

Would you think that adding a 2.5-3% SIS or GUD is a better approach, or should I keep CRH given its longer term potential? I prefer to not watch my investments every day and have a diversified portfolio across market cap and Canada/US with a lot of multinational companies (like CCL in Canada and UL in the US, for instance).

Do you have any perspective on the JNJ acquisition? If so, please feel free to deduct two questions.

Thanks!

Derek

Q: On a scale of 10, what is your degree of confidence in Jonathan Goodman ?

Q: Hi Team,
I own Shopify and Knight as my two main growth holdings. SHOP has blown the doors off and I am willing to be patient with GUD. As a possible re-balancing move, I am considering trimming SHOP and looking for a third growth company. I know you've suggested several alternatives in the Q&A before, but I am looking for a similarly high-quality selection. I already own OTEX and want to avoid the energy sector. Can you please name the top three Canadian growth stocks that you would suggest for further consideration as long-term holds that are not on the Venture exchange? Perhaps Kinaxis as one? Many thanks, Michael

Q: I've been waiting to take a position in GUD for a while now. Do you see it bottoming here and would this be a good entry point? Thanks

Q: Could you please recommend some small/mid cap stocks with good growth prospects, a reasonable valuation and insider ownership that you would be comfortable taking a position in at this time. I am interested in PKI and GUD if you feel those fit the above criteria but I am also interested in you input on any others. Thanks! - Rob

Q: Mr. Hodson, this is still about GUD. Considering your recent report, the rating of A- granted, its recent value of $8.31, I hope it goes well, which is not the case currently. Do you still have confidence in it ?

Q: As a new member of 5i Research, I first want to thank you for the service you provide. Fantastic.

I am reviewing the Canadian portion of my RRSP, sector by sector. I have a balanced approach and 15+ years ahead of me before transferring to a RRIF.

I find myself a bit underweight and concentrated in Healthcare, owing only NHW.UN (4% of Canadian portfolio). I was thinking of switching half into CSH.UN for diversification within the Real Estate/Healthcare space, then add a 3% position in GUD for more growth. What are your thoughts?

Note: The US portion of my RRSP, which is half the size of my Canadian portfolio, is invested in Mutual funds with Healthcare/Big Pharma representing about 16% of my US holdings. So my strategy would bring Healthcare to 10% overall in my RRSP.

Thx.