Investment Q&A

Q: hello 5i Research team,
When you answer that Magna be among the companies that will benefit from the increase trend toward sales of EV: can you elaborate on how and why, and also which of MG reporting segments (body exteriors & structures; power & vision; seating systems; complete vehicles) will benefit and especially how will it benefit. I cannot specifically identify a winner. My intuition says « power & vison » will probably loose from the transition out of oil (it represents about 30% of sales: which is about appropriate for an entier vehicle). Therefore if I am correct, there is no specific advantage for MG from the transition to EV. Please enlighten me. Thank you for your collaboration, Eric

Q: Peter and Co. Q2 performance looked pretty good relative to expectations. The balance sheet looks like in good shape and going forward looks positive. What is the 5i opinion and is the stock today cheap relative to intrinsic value ? Much respect for you and your team's opinion.

Q: what does the market expect this quarter?

Thx

Q: After todays drop. Would you be a buyer if you already had a small position?

Q: What is the case for buying ECN? It hasn't done much since the announcement. You will get a whopping big dividend eventually but that's basically just being chopped off the value of the company so the stock value will plunge by around the same amount. Maybe the new remaining company will be worth more - or maybe not. But you can buy that after the split anyway if things are positive. Am I wrong here? Why should I buy ECN as opposed to something else which has strong momentum and performance?

Q: How did the earnings look?

Q: Peter and His Wonder Team
MND just reported what I thought were positive results. However, Mr.Market may be disappointed if they did not meet expectations. Please give your assessment and does this bowed well for the coming year...considering that gold stays above $1800.00. Thanks as usual!

Q: Kindly comment of the NVEI Q3 results and forward guidance.

As well the "funny trading" pattern of being seen too often - a big jump in SP the day before release and then a sell off on the day of actual release. Could it be such information is leaked before hand? Or it's a case of too many shrewd investors these days know when to "buy on rumor and sell on news".

Q: On Nov 9 you said: We don't like stepping into such negative momentum, and would hold off for now.

On Nov 4 you said: The stock is very cheap right now, but with some disappointment and maybe year end tax selling, we think it could remain under pressure. We might do a partial position at $5.50.

Hmmm. Such conflicting advice doesn’t inspire confidence. Which is it?

I am a long term believer in the Warren Buffet approach to investing. Study a company and its business in depth and determine if it is a sound, long term investment that you hope to never sell. A business in which you can trust management to make sound decisions to grow the business. Is AT a business worth investing in for the long term or not? If it is, then should you not be advising subscribers to buy more the cheaper it gets? It has $1/share in cash and could buy the company at current prices with its own cash in about 5 years time. Am I wrong?

Q: Could you please comment on the ER for COIN and UPST and confirm how you would rank them for growth over the next 5 years. What would be a good add or entry price point?

Thanks as always for your much appreciated insights.

Q: Hello 5i can you comment on upst earning an where do you see the company going forward from here ? Do you think its a buy

Q: Which google shares do people usually purchase, and what is the symbol. What is the difference between the two that are listed in the US.
Matthew

Q: Dear 5i
Is the drop in UPST justified ? Is it an ideal time to snap up some shares and is the growth story still intact ?
Appreciate your insight .
Thanks
Bill C

Q: What are your top 5 Canadian choices in each of Utility and Consumer Cyclical sector going into 2022, I am looking for a combination of growth and income, plan to hold long-term in registered accounts. Thanks!

Q: Hello, Can I get your assessment on this company, its valuation and growth prospects. I currently hold a position and would like to add to the position, but wondering if now is a good time. Thanks

Q: Hello Peter,
I am assuming no credits will be taken off as this is a clarification on the answer.

Asked by Robert on November 09, 2021
5I RESEARCH ANSWER:
NVEI saw revenue increase 96% to $183.9 mln and EPS of $0.19. Analysts expected revenue of $178.9 ln and EPS of $0.39, so markets are likely a little unhappy with the EPS number here. Full year revenue view for NVEI was $717 mln to $723 mln, ahead of expectations of $703 mln. At a high level, we don't think results look too bad here. Total volume were up 88% and ecommerce was 83% of that total volume. Cash was at $288.7 mln as of Sep 30. Shares are down a bit today but they are up roughly 40% prior to the release and trade at a higher valuation, so some volatility would not be out of the ordinary.

Asked by Greg on November 09, 2021
5I RESEARCH ANSWER:
EPS of 42 cents beat estimates of 35 cents; sales of $184M beat estimates of $179M. Year sales guidance was raised to $717M to $723M, from $703M estimates. Revenue rose 96%. EBITDA rose 97%. Income more than doubled. Cash is $288M. The call has not yet started but these numbers look solid. The stock is up 1% pre-market.

The earlier answer provide net income per diluted share and the latter was adjusted. I am slightly confused. What is the actual answer ?

Are the estimates normally on diluted share or adjusted share as other answers you provided showed a beat on top and bottom line. Please clarify. Thanks very much.

Q: Just a question about "Sell on news stocks", I find it quite confusing that so many stocks nosedive with exceptional earnings reports and your response is it looks like investors are selling on news?? Wouldn't it make sense to dump the stock the day before earnings came out after a big run up and buy back in later??? Thanks.

Q: Good Morning Peter & Team,

On November 3rd subscriber Peter' asked;

"Top USD stocks for dividend income please."

Your answer offered a number of suggestions all of which indeed generate good dividends but offer minimal (for the most part) in the way of capital gains.

Can you please tell me how your answer might have been different if the question had asked for;

"Top USD stocks for dividend income which have the potential for good growth/capital gains moving forward please."

Thanks for all you do

gm

Q: What are your thoughts on BBU's recent acquisition of SGMS's lottery business?

Q: Please comment on this company.