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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: will there ever be a time when you start commenting on sprott . thanks
Read Answer Asked by jim on November 24, 2013
Q: Received a voluntary purchase offer for all outstanding RDZ.DB (6.75 due dec. 31/17) at $1010.00. Capstone Infrastructures recently took over RDZ. Should I tender or hold. The 90% rule could come into play.
Thanks Team as always
Read Answer Asked by Warren on November 24, 2013
Q: Hi Peter,
Just a quick question in response to one of your responses to another fellow - you mentioned you pay a lot of money for the "bloomberg terminal" at your office. I have always been curious as to what exactly the fee is for one of those terminals? I've heard in the neighbourhood of 1k/month?
Also, what do you find to me the most useful benefits/characteristics of such terminals? Is it the research they provide or charting or what?
Many thanks for your response - sincerely love your service!
Read Answer Asked by Scott on November 24, 2013
Q: Would you consider providing a model portfolio consisting solely of ETFs? Your current stock model portfolio is helpful but I think that an ETF portfolio would be valuable to your members.

Thank you.
Read Answer Asked by Robert on November 24, 2013
Q: MRE: not a question but a comment. CIBC posted the following early on 22nd, which should explain today's drop. "Nat Rea Comes Out Swinging In His Defense To The Counterclaim
 In Nat Rea's reply and defense to the counterclaim issued by the MRE group, additional issues were raised that appear to be of greater materiality than the original statement of claim. Clearly, the Rea claim will weigh on the stock until a resolution, which will take months.
 One of the most impactful statements was that current CEO Nick Orlando and former CEO Fred Jaekel have collectively steered $50M to $100M out of MRE via kickbacks and misappropriations. For context, MRE reported EBIT of ~$450M from 2001 to Q3 2013. 2013 adj. EBIT est. is $158M.  MRE executives were also said to have overstated earnings of one of MRE's international plants in 2012 and early 2013. In early 2013, several million
dollars were said to be booked retroactively to 2012, with the plant
subsequently instructed to book periodic losses in 2013 to offset the profits.
 These new claims are troubling and given the internal detail only MRE can
put them to rest. Our view remains that we like MRE's fundamentals (better
margins and exposure to light weighting). The timing of realizing this value
has been pushed out which will cap its valuation (2014 P/E 8x, peers 11x+)."
Read Answer Asked by Kurt W on November 23, 2013
Q: Peter and crew, Our holdings include AD/ACQ/BPF/FSZ/CSU/PKI/PPL/STN/WEF/BEP/ESL/HR.UN/IPL/KBL/TRP/CFN/HCG/MG. We are 8-10 years from retirement so don't need income now. However I've read a lot recently that says dividend growers are very important vs. dividend payers if you don't need income (we don't). Do our holdings in your view contain some good candidates for the 'dividend grower' category? Thanks, Bill Y.
Read Answer Asked by Bill on November 22, 2013
Q: SES.t
I note with thanks, your general comments from Nov. 5/13 on this apparently outperforming it's sector company. It appears that Nov.20 they announced a bought deal financing of 6.2 million shares (approx. 15% of the current float) at $15.35 (today trading up to 16.20ish). So, I was a bit confounded that the stock price went up today, normally wouldn't one expect a dilution at a lower price to bring the price down? If the price continues to hold in the face of the BDF, does this speak positive for the company? I'm not not sure on the "ins and outs" of these deals so would much appreciate any education you could provide.
Thanks as always.
One of the Neil's
Read Answer Asked by Neil on November 22, 2013
Q: I read RSI is doing a share buy back. In your opinion is this equal to a dividend increase? Will the share price reflect the concentration?
Read Answer Asked by Marc on November 22, 2013
Q: Do you have any info. on virtutone networks(vfx) and if you do what do you think of it? thanks as always
Read Answer Asked by michael on November 22, 2013
Q: hi 5i,
do you think the sheritt intl 8.00 coupon 2018 nov 15 at 97.5 is safe to hold to maturity?
thx chris
Read Answer Asked by chris on November 22, 2013
Q: Hi Peter, is there any fundamental changes re. AM and MMT recently that cause price up or just speculation?
Read Answer Asked by victor on November 22, 2013
Q: Hi Peter,

Data Group DGI just cancelled their dividend and the stock dropped in value by 50% on top of being down about 90% since I bought it. Is there any hope for this dog?
Thanks,
Charlie
Read Answer Asked by Charlie on November 22, 2013
Q: Hi Peter and team
Is there recent news on LSG?
Thanks
Read Answer Asked by Stephen on November 21, 2013