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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: I own $5000 face value of JE.DB.C convertible debentures and am not sure I clearly understand how their announced recapitalization plan will affect my holdings. I received 323 rights to purchase post consolidated shares at a price of $3.412 each. Based on the last closing price of the common shares $0.46 and the 1 for 33 consolidation today’s value of the post consolidated shares = $0,46 x 33 = $15.18 So do I understand correctly that they are giving me the right to purchase 323 shares which are today valued at $15.18 ea for $3.412 ea? Seems like a no brainer. What will happen to my debentures if I don’t exercise my right? (Deadline is Aug 28) What would you recommend? Thanks
Read Answer Asked by Steven on August 10, 2020
Q: As an owner of JE.DB.D I have rights that allow me to buy JE shares at $3.41 per share. Currently JE is trading at $0.46 per share but it is doing a consolidation of 33 to 1 so the new price for JE shares should be about $0.46 x 33 = $15.18 per share. Based on this information I should exercise my rights and buy the shares. Please comment if you agree. I realize with this dilution it will drive the price down but buying the new share at $3.41 per share still seems to be the right thing to do.
Read Answer Asked by Robert on August 10, 2020
Q: SQM seems to be having environmental assessment problems. I believe the mine pumps up a lithium brine ground water. I think this water is allowed to evaporate in the desert sun to produce a lithium rich concentrate. Not sure if they inject water back into the ground to replace what has been taken out. That would add considerable expense to the whole operation. Do you feel SQM's mining operation is sustainable? The share price of SQM looks to be quite volatile over the past 10 years. I'm guessing demand is increasing slowly and the stock volatility has more to do with investor's short term passion followed by lack of passion for lithium. In addition I suppose SQM is a material's company so volatility comes with the territory. I remain undecided on the company and any thoughts you might have would be appreciated.
Thanks,
Jim
Read Answer Asked by James on August 10, 2020
Q: Up some 30% on LSPD in my TFSA. Considering selling and replacing with either REAL, KXS. or SHOP. Would you hold the course with LSPD? If not, which of the three would you replace it with? Thank you.

Maureen
Read Answer Asked by Maureen on August 10, 2020
Q: It appears that a potential US ban on TikTok, and MSFT's pursuit of TikTok, have impacted FSLY's recent share price because TikTok is such a large customer of theirs. Are there other factors driving down its market price at the moment? In light of all these factors do you rate FSLY sell, hold or buy at its current price for a 3-5 year horizon? I am not concerned about diversification or risk exposure in the rest of my portfolio. Thanks.
Read Answer Asked by Ben on August 10, 2020
Q: I have these shares in a tfsa. Do you see any sells in this list and can you please suggest a couple of additions? Thank you.
Read Answer Asked by Lois on August 10, 2020
Q: Can you please explain your view on the impact of US aluminum tariffs as they apply to Alcoa and Rio Tinto stocks. If the aluminum distribution south to one of the major users, what precautions might one consider?
Are there ancillary "fallout" repercussions on other stocks that might be a concern going forward?

Thank you as always
Read Answer Asked by Peter on August 10, 2020