Recent Buy – IPL

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A quick update on a purchase in my portfolio earlier this week. As expected, the stock market’s decline had a wide implication on already depressed stock prices where I see good value. I decided to take the opportunity to add more shares to an already decent sized position.

Earlier this week, I decided to add 100 shares in Inter Pipeline Ltd (TSE:IPL) @ CAD$22.70. This purchase price locks in a 7.4% yield adding C$168.00 to my annual passive income stream.

I just listed all my Recent Buy Decision during my last purchase a couple of weeks ago, so I will link to that post instead of rehashing the details.

What do you think of this purchase? Share your thoughts below.

Full Disclosure: Long TSE:IPL. Our full list of holdings is available here

 

10 thoughts on “Recent Buy – IPL

  1. hotrunner says:

    Hi r2r !

    Personally, far too early to buy anything right now. Bargains now, more bargains later !
    With rising interest rates, bond proxy stocks will get hit the most.
    This is just a start for Pipeline, REITS, Telcos, Utilities and Energy stocks
    that will for sure take a hit and hits along the way. These sectors are out of favour.
    Just look at their SP decline over the past couple of weeks. Banks and Lifecos
    will prosper…..plus IPL will spend $3.5 BILLION for their plastics project. With rising rates
    it could sink this company…..that’s $3.5 BILLION !!!! Look at what happened to BTE. They bought
    Into the Eagleford at the wrong time when oil was much higher in price, they got stand and so did
    the SP price and shareholders too…….

  2. hotrunner says:

    Hi r2r !

    Personally, far too early to buy anything right now. Bargains now, more bargains later !
    With rising interest rates, bond proxy stocks will get hit the most.
    This is just a start for Pipeline, REITS, Telcos, Utilities and Energy stocks
    that will for sure take a hit and hits along the way. These sectors are out of favour.
    Just look at their SP decline over the past couple of weeks. Banks and Lifecos
    will prosper…..plus IPL will spend $3.5 BILLION for their plastics project. With rising rates the debt that they will take on could sink this company…..
    that’s $3.5 BILLION !!!!

    Look at what happened to BTE. They bought
    Into the Eagleford at the wrong time when oil was much higher in price, they got stand and so did
    the SP price and shareholders too…….

    • Thanks for the comment, hotrunner.

      Perhaps I did buy too early…time will tell if this was a terrible call or not. Looks like the stock price continues to falter everyday. There are lots of things to worry about on the global macro scale, esp with the next recession around the corner (possibly late 2018 or early 2019) — unless some major steps are taken to stop that from happening. Regardless, the rise in interest rates will still be tempered, atleast according to most projections, even in the face of rising inflation. Having said that, that leaves the income hungry investors to still look towards equities for income. I think the tide will turn again back towards these types of companies — hence why I decided to add more. Lets see how things pan out…

      cheers
      R2R

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