Investment Q&A

Q: Good day,

Down big again today and I see a p/e ratio of 15. Industry is at 20 so I would think it is the time to buy. I have 2 -3 year time frame,your thoughts?

Q: I currently hold XIU 11%, XCB 10%,AAR.UN 10%,VXC 21%,and VFV 21%, in my TFSA account and 25% in cash($15000.00) which I would like to invest. Could you suggest a stock or an ETF suitable for investing the $15000.00. With Thanks, Bill

Q: re Joe's suggestion. Is there any US/CDN tax consequences whether in an RRIF or straight cash account?

Q: can you give me the earnings estimates for the big six

Q: Noticed the questions around ROE here and your updated report. I just read the Q2 update presentation on the companies website and saw that the ROE has declined from 32% in 2005 to just above 19% in the most recent quarter in an almost steady straight line lower. HCG's stated objective is ROE above 20%. While the ROE is still high, the trend on ROE is not positive and is not meeting their stated objective. Yet you give it an A rating and an avg ROE of 24.7% over 5 yrs. Is the downward trend in ROE a concern to you and the team?

Q: can you comment on the result of mcr is it a good buy at this level

Q: Yesterday, August 17, the ceo of EIF was on bnn , extolling the virtues of their most recent financial results. Later, another guest was on warning that they may have a good EBITDA, but the cash flow was poor and they will run out of money by year end. I looked at the statements for June 30, and I do not understand. The cash flow per share would appear to be OK. Perhaps my source is incorrect. What do you show? I tried to get both parties today by phone to no avail. Also, question today from Charlie. What company has the ticker BEI?
Thanks Peter and Team.

Q: I saw the news release and the 40% pop today. BUT am still down 50%.
Should I grab my money and move on to one of your other favorites;
or hold on and congratulate myself for not selling 40% ago and also have reason to look forward to better days with Kelso?

Q: What are your thoughts on CJT? Thanks.

Q: In a recent question asked by Hanna about several oil and gas companies, you suggested that Suncor was among your least favourites in the sector. I was surprised by this as many analysts seem to be suggesting that Suncor, with its different divisions, including the profitable refining area and its solid management of its capital, are in a better position than most to survive the next couple of years.

Could you expand a bit on why you are less than enthalled with Suncor?

Thanks for the insight.

Paul F.

Q: I was stupid enough to hold onto FM after you removed it from your model portfolio and now sitting at 55% loss that grows every day. It currently represents less than 1% of my portfolio, so I may eventually sell for tax loss. Yet, I don't understand why we got such a quick decline in just a few months... China worries and power concerns cannot explain such a drop, especially, as you confirmed in the answer to another question, for the stock that has 20 Buy recommendations and only 1 Sell recommendation. Something is very strange going on there and that's why I am hesitant to sell... Do you expect a recovery within 3 years? Do you see any bottom for the stock price? How bad is the company's debt situation?

Q: Avo is down significantly since releasing last quarter on lower NI but higher revenue. Comments?

Q: With the negative market backdrop and xtc being a higher risk small cap, do you think it would be a good time to add to an existing position or wait?

Q: It would seem that "averaging down" on some commodity stocks would make sense if the time horizon is somewhat long (5 yrs.), and the individual does not trade actively. I currently own tck.b / fm / g, and while down significantly, do you think "averaging down" for a long term horizon makes sense? And, of the three stocks which (in your opinion) will recover most favorably (reducing debt, not diluting itself, maintain dividend, etc.), And lastly, can you let me know of an 5i favorite / recommended commodity ETF, thanks!

Q: Hi Peter and Ryan,

There are a few informative finance sites that have been an excellent resource for me over the years, so I wanted to share with fellow 5i members:

The first is Milliondollarjourney.com, which has articles about just about everything and tracks an individual's journey to $1mm net worth by the age of 35.

The second is mrmoneymustache.com, which provides great insight into how to better think about making and enjoying money while on the journey to financial freedom.

The third is a newer site - everydaycapitalist.com. It appears to be taking a similar approach to the million dollar journey, but is more aggressive in that the writers (two everyday working professionals) are tracking their progress towards having $3mm by the age of 40.

Share if you feel these sites may add value to other 5i members as well. 5i of course still ranks at the top of this list :)

Q: Hi Peter & Ryan, I'm looking for some suggestions on a solid pick to add in the healthcare sector. I currently hold PHM, GUD & PLI... Something paying a dividend would be great. Also I don't mind if it's a Canadian or US company. I was thinking of Johnson & Johnson, but would love to hear your thoughts. Many thanks. Mario

Q: Could you clarify Joe's suggestion re buying an interlisted large cap like RY in CAD and then having the broker move it over to the US side. Is there no currency exchange on the value of stock transfer? Sounds too good to be true going into USD! But hope it is. Thanks.

Q: What is your current opinion of Cequence Energy. I have heard it describe on BNN in the past as a stock that you just put in your portfolio and forget about it. I know they have a strong balance sheet and excellent assets, but other than the general sector weakness, has anything changed at the company? I am not risk adverse and an considering this for a long term hold. Your thought would be appreciated.

DON

Q: The new report on HCG has the 5 year ROE blank, yet assigns an A. TD rates this number at 22% (TTM); would you agree? Also aren't the brokers deeds of falsifying data fraudulent and actionable by the company? There ought to be some recourse for HCG to recover commissions paid out in good faith. Thanks, J.

Q: What affect does a bought deal subscription receipt offering have on the price of the stock? Curious because DIV is closing on one.
Thank you for all of your great info.