Investment Q&A

Q: Hi 5i
ALAB- Astera labs is not in your data base.... I would like your opinion on this semiconductor based connectivity company...looks like it had recent IPO..SP has gone a little crazy... Is this an investable at this time or requires more time to settle down.... Would 5i have any interest at this time?
thx

Q: Hi there, your thoughts on FLUT after reporting and conf. call?

Would you continue to hold for the FanD IPO, and longer?

Any info on them moving away from the LSE to NYSE only?

Thanks for all your help!

Q: Hi, Powell Industries seems to be in the right sector of electrical infrastructure and stock has done very well. However, as noted in your recent comments, it has been quite volatile, specially after the last quarterly results released in January.

The founder CEO, Mr Thomas Powell has sold bunch of shares in late 2023, as well over 50,000 shares, over a period of several days, between Feb and March, this year, ( $154 to $187 ). In addition, as per F144 filed on March 4, he intends to sell additional 200,000 shares, of which only 4000 shares have been sold on March 4 ( $185-$189 ). So, effectively, there continues to be an overhang of an impending sale of remaining shares, in the market.

Does it explain the sharp and precipitous decline of the stock over past 3 weeks ?

Is this a red flag and limits the future upside of this stock ?

On the bright side, Mr Powell still owns over 2.2 mln shares, which is about 22% of issued and o/s common shares of Powell Industries.

In your opinion, is the price decline of $45 from its recent high is overdone and POWL is a decent buy now, based on current valuation, minimal debt and future growth potential ?

We purchased the shares recently and own with ACB of $160 ( 1.25% weight ) to complement our HPS.a 3% position. Do you recommend holding the shares and add at current level or wait for next quarter ?

Thank You

Q: Hi - are you current fans of the US homebuilding stocks (and their macro environment) for next 12-18 months? If so, what stocks do you prefer to buy at current prices (and a brief "why")? Many thanks as always!

Q: Hi 5i, I have US$ cash which I would like to use for my 2024 TFSA contribution.

How do I ensure that I do not over-contribute ?

I was thinking of making the contribution after the markets close on a day,
and using the closing US$ exchange rate that BMO Investorline
posts for that day, and calculating what US$ amount equates to the
2024 contribution amount of $7,000CA.

Do you think this would pass muster with CRA ?

Thanks for your help,

Terry

Q: Hi 5i
BXSL has had a nice run up.... and still generates a 9.8% yield.
Is this a best of both worlds kind of stock? BX is something of a powerhouse company.
BXSL ok for both reliable income and decent growth?

Thank you.

Q: I have held Magna for multiple years, and with the execption of a surge in value three years ago (which it eventually surrendered), it is at pretty much my original purchase price. I have been considering a switch to Amazon, as I cannot think of a more dominant player in the consumer cyclical space. I had also considered starting a position in Aritzia, but I am not as confident in its profile as I am with Amazon. The position of this investment is 4% of portfolio, if the exposure level has any influence at all on the analysis. One potential tailwind for Magna could be manufacture of parts for battery electric vehicles, which should increase in demand over the next five years: my understanding is that MG provides many such parts to multiple companies that make these particular automobiles.

Would a switch from MG to AMZN be prudent, or is there a stronger case to be made for staying put? As always, thanks so much for your insights, and I look forward to your response.

Q: Hi Folks,
Looking to add one of AXON or HPS.A to my non-registered account. May I have your opinion as to which one would be the best to buy today.
Thanks

Q: Please provide your outlook for CHR. I have been in it since it was paying a decent dividend and have held on to my detriment since COVID. Is there any hope or should I cut the cord.

Q: I’ve seen a few questions about which stocks to sell for a RRIF withdrawal.
Doesn’t a simple transfer to a regular account also an option? I did it with units of a mutual fund. Of course, some calculations are needed to transfer the right number of shares, or a mix of cash and shares.
Happy Easter.

Q: What is a good price for buying Google?

Thank you.

Howard

Q: Hi could you please provide an update on your thoughts on ALLY? Last comment was November 2022. Has had a significant run up in share price since then, what's changed?
Thanks

Q: Hi,
I'm wondering what's up with GSY lately - or should I say down? It had a good jump in Feb and now is threatening to drop below that. Are you aware of anything of concern that is driving shareholders to sell? As always, I look forward to your opinion!
Thanks,
Dawn

Q: Hi, Not a great day for ATS stock, Today, on the top of several weeks of declining share price, following the last quarterly results. Pressure on company's backlog was already noted by analysts' community, for last two quarters. However, except a couple, most Canadian brokerages stuck to their BUY ratings and price targets in the range of $61-$73. So, once again, there seems to be a noticeable divergence, when US based analysts cover Canadian Mid/Small Cap companies ( ATS: JPM - Hold $58 and GS: Sell $47 ). What is that they know and we don't ?

Goldman Sachs pointed to slowdown in Transportation, EV spending running in late stage of the cycle and company's lack of exposure to semiconductor capital expenditure. If, in your view, these headwinds are already reflected in the current share price, what catalysts do you see for share price appreciation, in the near term and going forward ? ( Besides expected growth in Life Sciences area, but whether, that will be enough to offset weakness in other sectors )

We own a 3% position ( with 20% loss, now ) and are contemplating, if a wait till next earnings release is worth it or this capital could be allocated to more efficient and attractive opportunities in the sector.

Thank You

Thank You

Q: What is your view of ARIC, it appears like it had some amazing drill results lately.

Thanks,
George

Q: I just read your report on propel holdings. They sound like a good takeover candidate for GoEasy. Will give GoEasy an entrance and exposure to the US consumer, as well as Propel’s AI program. What are your thoughts on this?

Q: Peter and His Wonder Team
I have been a loyal share holder for years and am down of course. These results look good...However...please tell me... if they should help the stock price knowing of course there is not guarantee only favourable odds. In other words does it have any kind of future progress or is my loyalty really unwarranted. Your opinion is always of great help...thank you immensely.

Q: I'm curious as to the lack of a high dividend paying etf in your Income portfolio? Also curious as to your thoughts on the partial use for these in a RRIF or PLIf account ( I am in MB and we have PLIF's). I'm setting up a PLIF and considering having more than a full position of HDIV, along with big stable dividend growers I'd pick from your favorites. I have a RRSP of the same value of the PLIF and investments in TFSA. I've been 100% equities all my life, eat volitility for breakfast. If you were setting up your own PRIF, looking to make significant income, what would it look like?

Q: Ulta has been beat up most recently…Can you comment on it specifically and offer any thoughts on adding?

Q: Good Morning,

I hold KXS in my TFSA. My goal is to maximize growth in the account. Would you endorse a switch to one of the above names. Which would be your current two favourites in the group?

Thanks,
Janet