Investment Q&A

Q: Hey 5I Team,
I am having a hard time buying a consumer staple stock such as: ul,tatyy,syy,pg,nsrgy,krft,kmb,hnz,gis,cag,clx,cpb as they have not met my minimum threshold of 4% dividend. Should I wait for this to happen as that sector seems overvalued? I do not want to buy in and get hit like the RIET sector. Currently what would be your best pick out of these, or do you have another?
You guys are the best!

Q: Hi, I'm looking to add a US growth stock. Currently only hold AAPL and XLF in the US. What do you think of Priceline (PCLN) as an investment today at its current price for a 5-year hold? Is there a better US growth stock you prefer? I understand the US isn't your area of specialty but any comments are appreciated. Thanks.

Q: I have owned CGI Group for a long time and I am becoming concerned about the rumours of their accounting and reliablity of their stated earnings. It has been questioned by Veritas,and Deutsche Bank analysts lately and I noticed the Caisse sold a large block last week. Would you endorse a switch from CGI to Constellation Software or Enghouse?

Q: I was thinking of buying these 2 REITS: NWH.UN &NPR.UN? The pay out ratios are good, good ROE & PE decent now. Long-term hold-sell my XRE ETF and buy these two. Or do you think I should wait for the US to announce plans to reduce bond buying-long bond rates go up & REITS go down in pr again?

Q: I would like to purchase a IT stock from your model portfolio for my son in his RRSP account. Which one would have the most potential at this time. Thank you for your great service.

Q: WAN. Hi, I have a small position in WAN and wanted your take on their news of Nov. 28: they indicated that an agreement was in place for a large chunk of shares to change hands. Was this related to the stock price increase on Friday (+14%)? If so, why? Thanks!

Q: Hi Peter and Crew,

I love your service and it has been very good to me. I try to restrict myself to a question every few weeks (or less), as I wish you to not be not overwhelmed at your end.

It is getting close to the end of the year and I am beginning to research my TSFA purchases for 2014.

I have structured my TSFA around selections from your reports and model portfolio. I love the moderate dividend/increasing dividend theme. My goal is to have all of my holdings in DRIP programs (through my TD Waterhouse account.)

The issue is finding equities that produce enough of a dividend to purchase at least a share with each dividend cycle. Many of the equities are in the +$10 range, and I don't have enough of that equity for the dividend to be sufficient. The only possible exception is SYZ-T (Sylogist) at $7.22 per share.

Are you aware and would you recommend any other sub-$10 equities at this time that would be appropriate for a TSFA ?

Thanks again for the great service !

Q: Thank you for the great service.I have few stocks of yellow media which was given
When it was consolidated.i have lost money on this stock but the stock seems to be recovering.so my question is should I hold it or sell and take whatever I can get and move on?.other question is I was also given y.wt few stocks an I know nothing about these warrants other than what i have read on internet.my average price on y.wt was $2.53 I think and expires on 20 dec 2022 and there seem to be profit on this so what should I do with this warrants and how to go forward. I have followed yor model portfolio since may 2013 and done really well thank you for that.the least I can do is refer more friends to you.

Q: Peter - can you please recommend an ETF that captures the China market? This will represent 3 to 5 percent of my portfolio. I looked at XCH, however I am concerned of the very low trading volume. Is this an issue? Thank You.

Q: Hello 5i Team,
I currently hold BEP.UN within my RRSP at a 5% weighting. Would adding a 5% weighting in BIP.UN be too much of the same? Looking at my income component in the RRSP, it is high but I have been unable to determine where I should invest given it is a registered account.
I'm retired so one of these years I shall have to move my RRSP into a RIF but in the interim want a steady stream of income.
Appreciate your comments.
Ronald

Q: Would you consider Information Services Corp a good investment at this time? (ISV)

Q: I am wondering what the P/E ratio is of LSI? I recently read from one of your replies that it was 20. I looked on Google and they show a P/E of 45. I looked at another site and they stated 49. I assume that people are using different criteria such as forward looking P/Es, trailing 12 month P/E,... I sometimes find it difficult to get consistent data between sites. Is it possible there are different standards for calculating this ratio?

You've stated in a reply that you feel that LSI is riskier than BADger. Other than being a smaller company, did you have other concerns as well? You've most definitely spoken positively about both companies and am considering a position in one of the two. I tend to hold stocks for a very long time and am wondering which you think has greater growth potential over the long term.

Thank You.

Q: What would be the best 2 or 3 companies (large/mid/small cap) with significant exposure to Duvernay fields? time horizon...consider long term hold..8 to 10 years...

Thanks

Q: I was wondering what you thought of Chipotle Mexican Grill. It has a low debt and share count and good growth. But the PE is high. I am looking for a long term investment and capitol growth. I like the US market long term. Thanks

Q: Hi, is there any more news on Andrew Peller since your last answers regarding the trade agreement. The stock does seem to be building quite a long base. Thanks, Bill Y.

Q: Hi Team,
Thanks for suggesting IWO (US small cap ETF) and IBB (US biotech ETF).
I'm up handsomely since buying in. I read your view about IBB a couple of days ago, but I'm wondering what your current view is about IWO.
I keep hearing mixed views about the space, but I only trust yours.
Keep up the good work.

Q: A recent article that I read states that the US will become the world's largest oil producer by 2016. If this is even remotely accurate could you suggest a stock or stocks that would benefit from this. Thank You.

Q: It seems good stocks in the Health care are being gobbled up (eg Paladin and Atrium-today). I have been looking for a good health care stock to get into. Could you please recommend a good growth name in that sector. Your past recommendations have been very helpful (DHX, Stantec, Cineplex). Thanks again for this valuable service as it has really opened my eyes to names that I would never have known.

Q: When professional money mangers talk asset allocation, do preferred shares go into the "fixed income" portion or the "equity" portion? Thank You

Q: NCR, thinking of buy for USD portfolio. Held MSFT but sold early at $32.00 as street negative on name-too exp. now to buy so was thinking of NCR as they are turning the ship around by focusing of software and consulting vs just equipment. Would this be a good buy for the recovery in EU and rest of the world?