Investment Q&A

Q: Hi Peter,
I bought CTY three years ago at $17.90. I certainly collected a nice dividend along the way but capital gains have been quite very modest. It trades at low valuation (P/E=10, ROE=20%) and is active in its share buyback (bought 1.5% of outstanding shares last quarter). Their Primacy acquisition seem to have worked out, and would hope that they make more tuck-in acquisitions instead of increasing their dividend further.

I know you are very high on MDA. To me, MDA looks like a larger version of CTY, with access to the US markets with their recent acquisition, which CTY does not. MDA has more growth but trades at higher multiple, at least on last 12-month basis.

With the recent spike in CTY shares from $18->20 and the pull-back in MDA from $85->80, would you consider a swap from CTY to MDA as a good move going forward, or would you be patient with CTY?

Thanks!
Jon

Q: I have a position in Gluskin Sheff (GS). Does today's announcement of the cleaning up of the ownership structure increase the chances of the sale of GS or is it more likely that that Mr Gluskin & Mr Sheff just want to reduce their positions? Thanks, Tim.

Q: AlarmForce AF: X-President Matlin has filed an $11M wrongful dismissal suit. Would you still be a buyer at current prices?

AF - here is the link to the globe and mail article:

sounds messy.

http://www.theglobeandmail.com/report-on-business/industry-news/the-law-page/ousted-alarmforce-ceo-files-11-million-wrongful-dismissal-suit/article14514366/

Q: GS just announced a new issue at $19.00 per share. Why would the company pay out such a hefty dividend and then water down the value of their shares by such a move? Is this new issue being applied against their dividend payout? If so, why disperse such a dividend in the first place?

Q: I would appreciate your opinion on the BMO Cdn Equity Protected Income Fund "FundSERV JHN993", and the First Asset U.S & Cda Life Income Fund "ULC.UN-T". thank you in advance for your input.

Q: I have positions in all the major banks, BMO,CM,BNS,RY,TD. CM took a big hit today and I can find no reason for it. Is this a forecast of things to come with CM? Hold, or sell and spread the money in the other four?

Q: Your thoughts on LUN ....thx

Q: I have a question about Auto Canada

Is ACQ too expensive at $36.64?

Q: Hi Peter & 5i: Richards Packaging (RPI.UN) has moved higher since your last Report on it and your last Q&A comment as well. It was a C-plus stock for you to start with. Is it getting too expensive to buy now, at 52-wk highs, all things considered, or are underlying fundamentals improving to support the recent move? Thanks.

Q: I was wondering what your opinion is on Pengrowth Energy and Parallel Energy Trust. I own 1051 shares of PLT.UN and enrolled in the DRIP. It is 7.05 % of my RRSP account. I own 1061 shares of PGF in my RRSP and enrolled in th DRIP. It is 10.72 % of my RRSP. I am underwater on both stocks. I always think about selling them but never do. What do you rate this two stocks, Buy, Sell or hold?? If I sold them would CPG be a good option? Thanks

Q: Hey Peter,

CSI has seems to have stopped its plunge downwards here. would it be worth a look yet? or steer clear?

thank you.

Q: Hi Team, I have the following REITS in my portfolio (5% of the portfolio overall) : HR.UN,FCR,AAR.UN & NWH.UN . In your opinion are these the safest ones to hold when interest rates start to rise?

Q: Could I please get your thoughts on Genco (GNK).

Q: HI 5i team,

Any thoughts on the recent move in Pinecrest Energy. Is the upside swing based on the revisions to the capital budegt or is something else at work here.

Thanks

Q: Both D.UN and CWT.UN are dropping (1%)sharply today while other REITS including DI.UN and DIR.UN are all rising. Is there any obvious reason for this?

Q: I own CDZ and some XDV. I notice that ZDV has a higher dividend payment than either of these. How would you rate ZDV compared to them?

Q: Trinidad Drilling TDG is currently off by 5.11%, apparently in response to Raymond James downgrading from outperform to strong buy, while raising the target to $11.75 from $11.25. Can or should a brokerage cause such a strong negative reaction in the market, or is there something else going on? Add more at this time??
Bob

Q: Hi Peter/5i Team,
Finally sold my CPG and wish to replace it with VET. Do you think that 1/2 position now at $56.77 and another 1/2 position later (hopefully during a pullback) is a good strategy? My wife has TOU in her RRSP (Thank you!) but I don't have any other O/G in mine at the present. Thanks in advance and enjoy Europe.

Q: I'm looking at EXE convertible debs - are they a reasonable risk or is there just too much debt overall to get involved with Extendicare versus their prospects? Thanks, Mike

Q: There was a news article about Magna and the German anti trust authority visiting their plant in Germany. Is this anything to be concerned about.