Q: I have a general question with regards to stock splits. Why is it that companies don't seem interested in doing stock splits any more? I realize that stock splits don't change the value of a stock - you just get more shares at a lower price. But isn't there still logic in a lower stock price being more affordable to individual investors?
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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: What is your reaction to the executive change today. The market has spoken (a board down) I don’t like to react to quickly but the direction is continually down. Is it to late to sell. I like their business they have some good products and it is inexpensive to dub into different languages. What has gone so wrong?
Q: Hi,
After the recent correction, US banks recovered (JPM, GS, C, BAC) but other finance sector stocks did not (AMP, MFC, AIG). Will future interest rate hikes will not benefit annuity business? At this pull back could AMP:N a good buy if I have some funds in RRSP to invest this year? I do hold TD:T and USB:N and MFC:T.
Thanks
After the recent correction, US banks recovered (JPM, GS, C, BAC) but other finance sector stocks did not (AMP, MFC, AIG). Will future interest rate hikes will not benefit annuity business? At this pull back could AMP:N a good buy if I have some funds in RRSP to invest this year? I do hold TD:T and USB:N and MFC:T.
Thanks
Q: Hi Peter,
In light of Enbridges current price of ~ $43.00, I took the opportunity to take a look at historical yields on Enbridge, as I’m currently contemplating buying more. I was able to source data back to 1995, which turned up a few interesting things, specifically:
- The long term growth rate of the ENB dividend has been ~ 11%
- The current yield (6.3%) is one of the highest yields in recent years.
- The yield has traditionally bounced between 2% to 5% since 1995. The period from 2016 onwards (weakness in energy sector) has seen the yield “fatten up” significantly.
With this information in mind, it’s my opinion (which could be wrong!) that for a longer term investor who is patient, Enbridge is simply a waiting game. The current public sentiment towards energy infrastructure (pipelines) pretty much guarantees that nothing new can be built, but also guarantees that what is in the ground will remain full, as I can’t see consumption of hydrocarbons/energy falling off a cliff anytime soon. Over a 5 year period, even if one ratchets down ENB dividend growth to 5% annually, and one assumes that the future yield comes in at the high end of 6%, this suggests that the future share price of ENB would be somewhere in the neighborhood of $57.00 ($3.42 dividend/ 6%). While this doesn’t suggest a massive gain, it still entails a compounded annual ROR of 5.8% over this period, and this assumes a “low end” scenario. On the other hand, if ENB can maintain dividend growth of 8% (which is still less than their guidance of 10%) and the yield corrects to something closer to a historical average (4%) then this would suggest a future price in five years of $98.40 ($3.93 dividend / 4%), a compounded annual ROR of 18% over a five year period. The risk in all of this is that something catastrophic happens, and ENB chops their dividend, much like TRP did back in ’99 (or 2000?).
My request is therefore simple – let me know what the flaws in this thesis are, or if you believe it to be sound, let me know that it is. Thanks.
In light of Enbridges current price of ~ $43.00, I took the opportunity to take a look at historical yields on Enbridge, as I’m currently contemplating buying more. I was able to source data back to 1995, which turned up a few interesting things, specifically:
- The long term growth rate of the ENB dividend has been ~ 11%
- The current yield (6.3%) is one of the highest yields in recent years.
- The yield has traditionally bounced between 2% to 5% since 1995. The period from 2016 onwards (weakness in energy sector) has seen the yield “fatten up” significantly.
With this information in mind, it’s my opinion (which could be wrong!) that for a longer term investor who is patient, Enbridge is simply a waiting game. The current public sentiment towards energy infrastructure (pipelines) pretty much guarantees that nothing new can be built, but also guarantees that what is in the ground will remain full, as I can’t see consumption of hydrocarbons/energy falling off a cliff anytime soon. Over a 5 year period, even if one ratchets down ENB dividend growth to 5% annually, and one assumes that the future yield comes in at the high end of 6%, this suggests that the future share price of ENB would be somewhere in the neighborhood of $57.00 ($3.42 dividend/ 6%). While this doesn’t suggest a massive gain, it still entails a compounded annual ROR of 5.8% over this period, and this assumes a “low end” scenario. On the other hand, if ENB can maintain dividend growth of 8% (which is still less than their guidance of 10%) and the yield corrects to something closer to a historical average (4%) then this would suggest a future price in five years of $98.40 ($3.93 dividend / 4%), a compounded annual ROR of 18% over a five year period. The risk in all of this is that something catastrophic happens, and ENB chops their dividend, much like TRP did back in ’99 (or 2000?).
My request is therefore simple – let me know what the flaws in this thesis are, or if you believe it to be sound, let me know that it is. Thanks.
Q: Do you have an example of a stock moving from the CSE to the TSX?
Would this result in an increase in the share price?
Would this result in an increase in the share price?
Q: Your thoughts on Netflix please. I like it except this straight up YTD has me pausing. How would you compare it to Visa which I'm a big fan of? I comfortably own various tech, most of the FANG /BAT.
Q: This looks like an interesting REIT which buys income-generating auto dealerships. Seems to provide good payouts and cash flows seem good so far.
Would you see this as a income stock or is it more of a growth stock ?
The way they acquire dealerships makes it appear like a growth stock. Your views please.
Would you see this as a income stock or is it more of a growth stock ?
The way they acquire dealerships makes it appear like a growth stock. Your views please.
Q: Hi team, what do you think of the management change at DHX, the stock is taking a hit so I'm assuming that this isn't good news.
Thanks
Thanks
Q: Please analyze fundamentals and growth prospects of SIS as a good candidate to buy now... comment on comparable competitors that could also be suitable to what may be suitable to the grwoing aging population
Thankyou
Thankyou
Q: 1776 % on the year.
1336% on the 6 month
250% on the 3 month
92% in the 20 days that I have been following it since you recommended it.
So is this a crap shoot or a real company ? Have I missed it ? I have really bad memories of my Canarim / VSE days in the 1980s .
1336% on the 6 month
250% on the 3 month
92% in the 20 days that I have been following it since you recommended it.
So is this a crap shoot or a real company ? Have I missed it ? I have really bad memories of my Canarim / VSE days in the 1980s .
Q: Would you comment on Gildan's quarter and future outlook. Does the stock price seem justified? Thank you.
Q: Is the correction over? If yes, technically when did it end? I know the technical correction start time; what technical event declares a correction has ended?
Many thanks for this, Elmer
Many thanks for this, Elmer
Q: When is the next reporting period for Dollarama?
Q: I have held BAD for a long time now and cashed out half my position when it was higher. Now it seems as if it is on a slow course down. I realize that there was a short seller report on it last yr that precipitated the downward trend but it has not recovered much. Should I still hang on or should I replace it with something else in the Industrial sector. I also have SIS and WCN. Thank you for your advice
Q: HI,
Would it be possible to know the short interest on this stock?
Thanks,
Stef
Would it be possible to know the short interest on this stock?
Thanks,
Stef
Q: CHW is hitting 52 week lows. I hold a small position for income purposes. Add, hold or sell?
Thank you.
Thank you.
Q: Would you be surprised by a miss this week when GC reports earnings based on the concerns at RRC in Vancouver or has the market Priced in that eventuality already?
Q: Do you find the reduction in share price overdone ? The earnings report did not seem that bad and they have no debt. thanks
Q: Good morning 5i team,
I am 72, have no private pension, a diversified portfolio (50/50 asset mix RRIF included; no real estate holdings other than my residence), with a 10-year "quality" bond ladder in my RRIF to cover CRA withdrawals. I have funds available in my RRIF, and am considering an investment in REI for income and long-term capital appreciation. I would appreciate your thoughts, and any suggestions other than REI to achieve income and some growth in the RRIF.
Edward
I am 72, have no private pension, a diversified portfolio (50/50 asset mix RRIF included; no real estate holdings other than my residence), with a 10-year "quality" bond ladder in my RRIF to cover CRA withdrawals. I have funds available in my RRIF, and am considering an investment in REI for income and long-term capital appreciation. I would appreciate your thoughts, and any suggestions other than REI to achieve income and some growth in the RRIF.
Edward
Q: What are your thoughts about BIP.UN.
Thank you
Thank you