This article from Daily Adviser says that from 1900 to 2017 the real return from stocks around the world average 5% with dividend yields at 4.5%. So, dividends accounted for 90% of the total return for the average investor.
The author suggests that investors should pay as much attention to cash dividends as they do to earnings. Earnings can be fudge, but dividends paid in cash cannot be.
I looked at the data I have for my portfolio and over the past 10 years to the end of 2017, dividends accounted for 54% of my total return. Over the past 20 years dividends accounted for 50% of my total return.
I should also note that over the past 18 years I have been taking money out of my portfolio that is almost equal to what I have been earning. I have no idea how this might affect my calculations above.
On my other blog I wrote yesterday about WSP Global Inc. (TSX-WSP, OTC- WSPOF)... learn more. Next, I will write about Thomson Reuters Corp. (TSX-TRI, NYSE-TRI)... learn more on Friday, April 27, 2018 around 5 pm
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Thursday, April 26, 2018
Tuesday, April 24, 2018
Living off Dividends
The way to live off your dividends is to buy dividend growth stocks. Over time you will have a yield on your purchase price above the current yield you are getting when you buy the stock. Overtime you can build a portfolio with dividend income you can live off.
What I am showing below is the best stocks that I own, with the year I purchased the stocks and the number of years since then. Under P.Yd, I am showing the yield when I bought the stock and under M. Yd I am showing the yield I am currently getting.
What you can see is that some stocks have done better than others. Also nothing seems to beat Canadian Banks for dividends. The ones with the highest starting dividends have not moved much.
On my other blog I wrote yesterday about Fortis Inc. (TSX-FTS, OTC-FRTSF)... learn more. Next, I will write about WSP Global Inc. (TSX-WSP, OTC- WSPOF)... learn more on Wednesday, April 25, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
What I am showing below is the best stocks that I own, with the year I purchased the stocks and the number of years since then. Under P.Yd, I am showing the yield when I bought the stock and under M. Yd I am showing the yield I am currently getting.
What you can see is that some stocks have done better than others. Also nothing seems to beat Canadian Banks for dividends. The ones with the highest starting dividends have not moved much.
| Name | Exch | Sym | Yr | Yrs | P. Yd | M. Yd |
|---|---|---|---|---|---|---|
| AltaGas Ltd | TSX | ALA | 2009 | 9 | 13.48% | 13.67% |
| Bank of Montreal | TSX | BMO | 1983 | 35 | 6.65% | 50.47% |
| BCE | TSX | BCE | 1982 | 36 | 10.47% | 32.80% |
| Canadian National Railway | TSX | CNR | 2005 | 13 | 1.39% | 10.09% |
| Canadian Natural Resources | TSX | CNQ | 2012 | 6 | 1.32% | 4.21% |
| Canadian Real Estate | TSX | REF.UN | 2006 | 12 | 4.93% | 7.09% |
| Canadian Tire Corp | TSX | CTC.A | 2000 | 18 | 1.79% | 16.13% |
| Canadian Utilities Ltd | TSX | CU | 2017 | 1 | 3.81% | 5.36% |
| Computer Modelling Group | TSX | CMG | 2008 | 10 | 3.48% | 17.39% |
| Emera Inc. | TSX | EMA | 2005 | 13 | 4.70% | 11.93% |
| Enbridge Inc. | TSX | ENB | 2005 | 13 | 2.78% | 14.94% |
| Evertz Technologies | TSX | ET | 2011 | 7 | 2.83% | 5.66% |
| Fortis Inc. | TSX | FTS | 1987 | 31 | 7.10% | 36.60% |
| Leon's Furniture | TSX | LNF | 2006 | 12 | 2.26% | 4.35% |
| Manulife Financial Corp | TSX | MFC | 2005 | 13 | 2.10% | 3.07% |
| Melcor Developments Inc. | TSX | MRD | 2008 | 10 | 2.63% | 3.26% |
| Metro Inc. | TSX | MRU | 2001 | 17 | 1.87% | 11.93% |
| Pembina Pipelines Corp | TSX | PPL | 2001 | 17 | 9.53% | 19.60% |
| Power Financial Corp | TSX | PWF | 2001 | 17 | 2.57% | 8.71% |
| Richelieu Hardware Ltd. | TSX | RCH | 2007 | 11 | 1.74% | 3.92% |
| RIOCAN REIT | TSX | REI.UN | 2000 | 18 | 12.75% | 17.22% |
| Royal Bank | TSX | RY | 1995 | 23 | 4.27% | 51.79% |
| Saputo Inc. | TSX | SAP | 2006 | 12 | 2.16% | 6.80% |
| SNC-Lavalin | TSX | SNC | 1998 | 20 | 2.35% | 33.79% |
| Sun Life Financial | TSX | SLF | 2000 | 18 | 3.57% | 13.52% |
| TECSYS Inc. | TSX | TCS | 2011 | 7 | 3.11% | 9.59% |
| TFI International Inc. | TSX | TCS | 2017 | 1 | 2.70% | 2.99% |
| Thomson Reuters Corp | TSX | TRI | 1985 | 33 | 2.08% | 13.56% |
| Toromont Industries Ltd | TSX | TIH | 2007 | 11 | 2.74% | 5.03% |
| Toronto Dominion Bank | TSX | TD | 2000 | 18 | 2.34% | 14.53% |
| TransCanada Corp | TSX | TRP | 2000 | 18 | 6.66% | 22.44% |
| Transcontinental Inc. | TSX | TCL.A | 2015 | 3 | 4.38% | 7.93% |
| WSP Global Inc. | TSX | WSP | 2011 | 7 | 6.07% | 6.07% |
On my other blog I wrote yesterday about Fortis Inc. (TSX-FTS, OTC-FRTSF)... learn more. Next, I will write about WSP Global Inc. (TSX-WSP, OTC- WSPOF)... learn more on Wednesday, April 25, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Thursday, April 19, 2018
Passion and Retirement
It does not matter at what age you retire, if you do not have a passion for something, if you are not active, you do not last long. People who retire and do nothing get things like heart attacks, strokes or cancer. Often this happens within 5 years. You have to be active and you have to have a passion about something. It does not matter what you do, just do something that you love. Try out new things.
It is also both exercise and socializing that make for a good retirement. You can get a number of exercise programs from YouTube or go to a gym. You need to walk, do some aerobics and do some weights. An hour's walk plus walking around you home should get you to the 10,000 steps that are recommended. There are lots of parks to walk in Toronto and beaches areas in both the west end and the east end of Toronto.
You will want to keep you mind intact. There is evidence that you do this with exercise and socializing on a daily basis. I have read that 90% of the people on walkers could lose the walker if they just exercised. I asked a friend of mine who was a Physiotherapist about this. She thought for a moment and said that it was probably true. I have read studies that show people 60, 70 and 80 years old can rebuild muscle mass by exercising. The body has amazing recuperation abilities.
I love walking in parks. Google maps show where the paths are in parks. There is a site of Trail Forks that show where all the trails are in Toronto. Most trails are paved for bicycles, but they are used for walking also.
A favourite walk is from High Park Station through High Park and west along the beach to Humber Bay Park East at Mimico Creek. Just north of the park there is a Firkin Pub on Marine Parkdale Drive. All my walks tend to be 2 hours and end at a pub or restaurant. The Queen streetcar or bus is just north and east of this pub.
I you like walking, there are meetup groups that go walking. Also ROM has free walks with a schedule shown here, there is the Lost Rivers (of Toronto with a link here and the Toronto Field Naturalists have walks with a link here.
Socializing is easy in Toronto with such things as Meet Up. You can join a group of interest to you. I belong to several meetup groups. I also belong to a social group called UK Connexion and to an investment club called Ellen's Investment Club.
You can go back to school. There are college and university courses open to people who are retired. Ryerson University has the Life Institute for people over 50 where you can take courses or join in other activities. The site is here.
A book I would recommend is "You Could Live a Long Time: Are You Ready?" by Lyndsay Green. Unfortunately as you age some friends move away to retire and some friends die. It is important later in life to be open minded about making new friends and trying new experiences.
I blog, I walk and I socialize with friends old and new. I know people who do volunteer work or have acquired part-time jobs. My volunteer work is publishing the investment research I do. Other volunteer work all seems to involve working with people and I work better with computers. I think it is good to go with your strengths.
On my other blog I wrote yesterday about Barclays PLC ADR (LSE-BARC, NYSE:-BCS)... learn more. Next, I will write about SNC-Lavalin Group Inc. (TSX-SNC, OTC-SNCAF)... learn more on Friday, April 20, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
It is also both exercise and socializing that make for a good retirement. You can get a number of exercise programs from YouTube or go to a gym. You need to walk, do some aerobics and do some weights. An hour's walk plus walking around you home should get you to the 10,000 steps that are recommended. There are lots of parks to walk in Toronto and beaches areas in both the west end and the east end of Toronto.
You will want to keep you mind intact. There is evidence that you do this with exercise and socializing on a daily basis. I have read that 90% of the people on walkers could lose the walker if they just exercised. I asked a friend of mine who was a Physiotherapist about this. She thought for a moment and said that it was probably true. I have read studies that show people 60, 70 and 80 years old can rebuild muscle mass by exercising. The body has amazing recuperation abilities.
I love walking in parks. Google maps show where the paths are in parks. There is a site of Trail Forks that show where all the trails are in Toronto. Most trails are paved for bicycles, but they are used for walking also.
A favourite walk is from High Park Station through High Park and west along the beach to Humber Bay Park East at Mimico Creek. Just north of the park there is a Firkin Pub on Marine Parkdale Drive. All my walks tend to be 2 hours and end at a pub or restaurant. The Queen streetcar or bus is just north and east of this pub.
I you like walking, there are meetup groups that go walking. Also ROM has free walks with a schedule shown here, there is the Lost Rivers (of Toronto with a link here and the Toronto Field Naturalists have walks with a link here.
Socializing is easy in Toronto with such things as Meet Up. You can join a group of interest to you. I belong to several meetup groups. I also belong to a social group called UK Connexion and to an investment club called Ellen's Investment Club.
You can go back to school. There are college and university courses open to people who are retired. Ryerson University has the Life Institute for people over 50 where you can take courses or join in other activities. The site is here.
A book I would recommend is "You Could Live a Long Time: Are You Ready?" by Lyndsay Green. Unfortunately as you age some friends move away to retire and some friends die. It is important later in life to be open minded about making new friends and trying new experiences.
I blog, I walk and I socialize with friends old and new. I know people who do volunteer work or have acquired part-time jobs. My volunteer work is publishing the investment research I do. Other volunteer work all seems to involve working with people and I work better with computers. I think it is good to go with your strengths.
On my other blog I wrote yesterday about Barclays PLC ADR (LSE-BARC, NYSE:-BCS)... learn more. Next, I will write about SNC-Lavalin Group Inc. (TSX-SNC, OTC-SNCAF)... learn more on Friday, April 20, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Tuesday, April 17, 2018
50 Best Stocks
Sometime in 2000 I bought a book called The 50 Best Stocks for Canadians, 2001 Edition by Phillip Benson and Gene Walden. I found it in my book shelf recently and I was wondering how these 50 stocks have done since then. I thought it might be an interesting thing to do.
In the book a stock value was given as of a stock's financial year in 1999. But since the book was published in 2000, the price given would not be the price a reader could buy the stock at. I tried to find an end of December 2000 stock price for each stock with December 29, 2000 was the last trading day for the year. I was not always successful in this and had to use the last stock price in the book.
What I found is that it is quite hard to find out information on stocks that are no longer on the TSX Exchange. I found Wiki entries and news articles about the different buyouts but for a lot of the buyouts I could not find historical data for stock price in December 2000. I found some on a site of ADVFN. It was not easy to navigate and I had to google the stock I was interested in with the site name to find the stocks. Then you have to keep clicking on historical data.
Anyone reading this book would not buy all 50 stocks. I read it and then investigated a few, but a lot of the stocks I already know and was following. I figured a person might invest in the top 10 stocks if they were serious about starting to invest. Out of the top 10 stocks, 6 stocks were bought out prior to today dating from 2005 to 2007. The return on the stocks from December 2000 to today would be 3.22% per year or an increase of 73.1%.
Of the 50 stocks 17 stocks or 34% would bought out and 5 stocks or 10% changed their name. If all 50 were bought then a return of 4.52% per year or an increase in value of 114.8% would have been made.
This may seem low as the time period is just over 17 years. However, the TSX Composite has gained just 3.15% per year or 71% over the same time period. Since the book says the best stocks, you might have expected to do better than the TSX. See my Spreadsheet here.
On my other blog I wrote yesterday about Canadian Natural Resources (TSX-CNQ, NYSE-CNQ)... learn more. Next, I will write about Barclays PLC ADR (LSE-BARC, NYSE:-BCS)... learn more on Wednesday, April 18, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures. April 18, 2018
In the book a stock value was given as of a stock's financial year in 1999. But since the book was published in 2000, the price given would not be the price a reader could buy the stock at. I tried to find an end of December 2000 stock price for each stock with December 29, 2000 was the last trading day for the year. I was not always successful in this and had to use the last stock price in the book.
What I found is that it is quite hard to find out information on stocks that are no longer on the TSX Exchange. I found Wiki entries and news articles about the different buyouts but for a lot of the buyouts I could not find historical data for stock price in December 2000. I found some on a site of ADVFN. It was not easy to navigate and I had to google the stock I was interested in with the site name to find the stocks. Then you have to keep clicking on historical data.
Anyone reading this book would not buy all 50 stocks. I read it and then investigated a few, but a lot of the stocks I already know and was following. I figured a person might invest in the top 10 stocks if they were serious about starting to invest. Out of the top 10 stocks, 6 stocks were bought out prior to today dating from 2005 to 2007. The return on the stocks from December 2000 to today would be 3.22% per year or an increase of 73.1%.
Of the 50 stocks 17 stocks or 34% would bought out and 5 stocks or 10% changed their name. If all 50 were bought then a return of 4.52% per year or an increase in value of 114.8% would have been made.
This may seem low as the time period is just over 17 years. However, the TSX Composite has gained just 3.15% per year or 71% over the same time period. Since the book says the best stocks, you might have expected to do better than the TSX. See my Spreadsheet here.
On my other blog I wrote yesterday about Canadian Natural Resources (TSX-CNQ, NYSE-CNQ)... learn more. Next, I will write about Barclays PLC ADR (LSE-BARC, NYSE:-BCS)... learn more on Wednesday, April 18, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures. April 18, 2018
Thursday, April 12, 2018
Robin Speziale
Robin Speziale spoke at my investment club. He was an interesting speaker and he has a passion for investing and writing about investing.
His website is here where you can pick up a copy of his booklet called Capital Compounders. He was on Me and My Money in the Globe and Mail in 2010. He has an article on his site about How I Built a $300,000 Stock Portfolio Before 30 .
He wrote the book of Market Masters and you can find reviews of this book at Good Reads. There is a YouTube review by Jeff Waite. The book was also reviewed by the Star's Personal Finance Editor Adam Mayers who quite enjoyed the book and gives 5 rules used by investing pros.
My investment club is Ellen's Investment Club with the club at Google Group Forum and on Twitter at Twitter.
On my other blog I wrote yesterday about Barrick Gold Corp (TSX-ABX, NYSE-ABX)... learn more. Next, I will write about Pembina Pipelines Corp. (TSX-PPL, NYSE-PBA)... learn more on Friday, April 13, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
His website is here where you can pick up a copy of his booklet called Capital Compounders. He was on Me and My Money in the Globe and Mail in 2010. He has an article on his site about How I Built a $300,000 Stock Portfolio Before 30 .
He wrote the book of Market Masters and you can find reviews of this book at Good Reads. There is a YouTube review by Jeff Waite. The book was also reviewed by the Star's Personal Finance Editor Adam Mayers who quite enjoyed the book and gives 5 rules used by investing pros.
My investment club is Ellen's Investment Club with the club at Google Group Forum and on Twitter at Twitter.
On my other blog I wrote yesterday about Barrick Gold Corp (TSX-ABX, NYSE-ABX)... learn more. Next, I will write about Pembina Pipelines Corp. (TSX-PPL, NYSE-PBA)... learn more on Friday, April 13, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Tuesday, April 10, 2018
Montreal Gazette Portfolio
I wrote about the Montreal Gazette Portfolio in August 2016 and I thought I would revisit it again. I am disappointed to see that the portfolio has been discontinued in November 30 2016. However, I wondered how the stocks would have fared going forward today.
As far as I can see the portfolio is worth about the same today (April 8, 2018) as it was when I last looked at the valuations on November 30, 2016. Then it was worth $824,087and today it is $ $798,188.39. This is 3.14% lower or down my 2.34% per year.
However, I must note that the portfolio in November 30 2016 had $ $12,482 in cash. Included in my calculations also is the selling of Canam Group in July 2017 for $12.30 a share or for $53,615.70 as this company was taken private. Also included in my calculations is that between November 30, 2016 and April 8, 2018 the portfolio would have received some $18,830.45 in dividend income. See my spreadsheet here.
Between November 2016 and April 2018 Stella Jones (SJ) remained the same. Between these dates the following stocks when up in value:
Lumenpulse (LMP)
CN Railway (CNR)
CGI Group (GIB.A) and
Boralex (BLX)
The following stocks declined.
Couche-Tard (ATD.B)
Laurentian Bank (LB)
Quebecor (QBR.B)
Mediagrif (MDF)
Uni-Select (UNS)
Fiera Capital (FSZ)
Industrial Alliance (IAG)
Heroux-Devtek (HRX) and
SNC-Lavalin (SNC)
Here is the link to the August 8, 2017 article in the gazette which talks about the valuation for July 2016. Here is the link to the December 12, 2016 article which talks about the November 30, 2016 valuation. Here is the link to the December 12, 2016 article which calls the end to this portfolio.
On my other blog I wrote yesterday about Leon's Furniture Ltd. (TSX-LNF, OTC-LEFUF)... learn more. Next, I will write about Barrick Gold Corp (TSX-ABX, NYSE-ABX)... learn more on Wednesday, April 11, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
As far as I can see the portfolio is worth about the same today (April 8, 2018) as it was when I last looked at the valuations on November 30, 2016. Then it was worth $824,087and today it is $ $798,188.39. This is 3.14% lower or down my 2.34% per year.
However, I must note that the portfolio in November 30 2016 had $ $12,482 in cash. Included in my calculations also is the selling of Canam Group in July 2017 for $12.30 a share or for $53,615.70 as this company was taken private. Also included in my calculations is that between November 30, 2016 and April 8, 2018 the portfolio would have received some $18,830.45 in dividend income. See my spreadsheet here.
Between November 2016 and April 2018 Stella Jones (SJ) remained the same. Between these dates the following stocks when up in value:
Lumenpulse (LMP)
CN Railway (CNR)
CGI Group (GIB.A) and
Boralex (BLX)
The following stocks declined.
Couche-Tard (ATD.B)
Laurentian Bank (LB)
Quebecor (QBR.B)
Mediagrif (MDF)
Uni-Select (UNS)
Fiera Capital (FSZ)
Industrial Alliance (IAG)
Heroux-Devtek (HRX) and
SNC-Lavalin (SNC)
Here is the link to the August 8, 2017 article in the gazette which talks about the valuation for July 2016. Here is the link to the December 12, 2016 article which talks about the November 30, 2016 valuation. Here is the link to the December 12, 2016 article which calls the end to this portfolio.
On my other blog I wrote yesterday about Leon's Furniture Ltd. (TSX-LNF, OTC-LEFUF)... learn more. Next, I will write about Barrick Gold Corp (TSX-ABX, NYSE-ABX)... learn more on Wednesday, April 11, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Thursday, April 5, 2018
Something to Buy April 2018
There is always something to buy in the stock market. On Tuesday, I put out a list of the stocks that I covered and showed what stock might be a good deal based on dividend yield. Now I am trying to categorize what sorts of stocks may be a good deal based on dividend yield.
The advantages to using dividend yield to judge how cheap or expensive a stock is, is that you are not using estimates or old data (like last reported quarter's data). You are using today's stock price and today's dividend yield.
For other testing, like using P/E Ratios and Price/Graham Price Ratios, you use EPS estimates or from the last reported financial quarter. When using P/S Ratios, P/CF Ratios or P/BV Ratios you are using data from the last reported financial quarter.
This system does not work well for old Income Trust companies. These companies had quite high Dividend Yields which will probably never be seen again. So I started a column called VT (for Valid Test) and this applies to checking stock price using dividend yield. If not a valid test I use N to show this. For these stocks, you might be better comparing the current dividend yield to the 5 year median dividend yield.
However, no system is perfect. But if you are interested in buying a stock a list of stocks cheap or reasonable using dividend yield data might be a good place to start.
Categorizing stocks is not as simple as it might seem. Every site you go to has categorized stocks a bit differently. I try to keep this as simple as possible. See Something to Buy April 2018 Spreadsheet to see what stocks are showing whether a stock is relatively cheap based on historical high dividend yields (P/Hi), historical average dividend yields (P/Ave), historical median dividend yields (P/Med) or on 5 year median dividend yields (P/5Yr). As in other spreadsheets, you can highlight a line or a number of lines for better viewing.
In the following notes I am only going to list stocks showing as cheap using the historical high dividend yields (P/Hi) and historical median dividend yields (P/Med).
I follow 22 stocks in the Consumer Discretionary category. Three of these stocks (14%) are showing as cheap by the historically high dividend yield and they are DHX Media Ltd. (TSX-DHX.A, OTC-DHXMF), High Liner Foods (TSX-HLF, OTC-HLNFF) and Newfoundland Capital Corp (TSX-NCC.A). There is no change from last month.
Seven (or 32%) of Consumer Discretionary are showing cheap by historical median dividend yield. They are Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), DHX Media Ltd. (TSX-DHX.A, OTC-DHXMF), Goeasy Ltd. (TSX-GSY, OTC-EHMEF), High Liner Foods (TSX-HLF, OTC-HLNFF), Leon's Furniture (TSX-LNF); Newfoundland Capital Corp (TSX-NCC.A) and Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF). Dorel Industries (TSX-DII.B, OTC-DIIBF), Magna International Inc. (TSX-MG, NYSE-MGA), Molson Coors Canada (TSX-TPX.B, NYSE-TAP) and Thomson Reuters Corp (TSX-TRI, NYSE-TRI) have been deleted from this list.
I follow 12 Consumer Staples stocks. No companies are showing as cheap by the historically high dividend yield. Six stocks (or 50%) are showing cheap by historical median dividend yield. These are AGT Food and Ingredients Inc. (TSX-AGT, OTC-AGXXF), Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), Empire Company Ltd (TSX-EMP.A, OTC-EMLAF), Jean Coutu Group Inc. (TSX-PJC.A, OTC-JCOUF), Loblaw Companies (TSX-L, OTC-LBLCF) and Metro Inc. (TSX-MRU, OTC-MTRAF). Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF) has been added.
I only follow two Health Care stocks and both are US stocks. None of these stocks are showing as cheap by the historically high dividend yield. They are both cheap by the historical median dividend yield. The stocks are Johnson and Johnson (NYSE-JNJ) and Medtronic Inc. (NYSE-MDT). This is the same as for last month.
I follow 10 Real Estate stocks. None of these stocks are showing as cheap by the historically high dividend yield. Five stocks (or 50%) are showing cheap by historical median dividend yield. They are Artis REIT (TSX-AX.UN, OTC- ARESF); Granite Real Estate (TSX-GRT.UN, NYSE-GRP.U), H & R REIT (TSX-HR.UN, OTC-HRUFF), Melcor Developments Inc. (TSX-MRD, OTC-MODVF) and SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF). SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF) has been added to the list.
I follow 8 Bank stocks. None are showing as cheap by the historically high dividend yield. Four stock (or 50%) are showing cheap by historical median dividend yield. They are Bank of Nova Scotia (TSX-BNS, NYSE-BNS), CIBC (TSX-CM, NYSE-CM) National Bank of Canada (TSX-NA, OTC-NTIOF) and Toronto Dominion Bank (TSX-TD, NYSE-TD). Barclays PLC (LSE-BARC, NYSE-BCS) has been deleted and National Bank of Canada (TSX-NA, OTC-NTIOF) and Toronto Dominion Bank (TSX-TD, NYSE-TD) have been added.
I follow 14 Financial Service stocks. None are showing as cheap by the historically high dividend yield. Nine (or 64%) stocks are showing cheap by the historical median dividend yield. These stocks are Accord Financial Corp (TSX-ACD, OTC-ACCFF), AGF Management Ltd (TSX-AGF.B, OTC-AGFMF), Alaris Royalty Corp (TSX-AD, OTC-ALARF), Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF), CI Financial (TSX-CIX, OTC-CIFAF), Equitable Group Inc. (TSX-EQB, OTC-EQGPF), Gluskin Sheff + Associates Inc. (TSX-GS, OTC-GLUSF), IGM Financial (TSX-IGM, OTC-IGIFF) and Power Corp (TSX-POW, OTC-PWCDF). Chesswood Group (TSX-CHW, OTC-CHWWF) has been deleted from this list and Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF) has been added.
I follow 6 Insurance stocks. None are showing as cheap by the historically high dividend yield. Five stocks (or 83%) are showing cheap by historical median dividend yield. These stocks are Great-West Lifeco Inc. (TSX-GWO, OTC-GWLIF), Industrial Alliance Ins. and Fin. (TSX-IAG, OTC-IDLLF), Intact Financial Corp. (TSX-IFC, OTC-IFCZF), Manulife Financial Corp (TSX-MFC, NYSE-MFC) and Power Financial Corp (TSX-PWF, OTC-POFNF). There is no change from last month.
I follow 32 Industrial stocks. Because I have so many and Industrial is not very descriptive, I have divided my Industrial stocks into 4 separate categories under Industrial. They are Construction, Industrial, Manufacturing and (Business) Services.
I have 6 Construction stocks. None are cheap by the historically high dividend yield. Two stocks or 33% are showing as cheap by historical median dividend yield. They are SNC-Lavalin (TSX-SNC, OTC-SNCAF) and Stantec Inc. (TSX-STN, NYSE-STN). There is no change from last month.
I have 3 stocks I have left with the sub-index of Industrial. None are cheap by the historically high dividend yield. Two stocks or 67% are showing as cheap by historical median dividend yield. They are Finning International Inc. (TSX-FTT, OTC-FINGF), and Russel Metals (TSX-RUS, OTC-RUSMF). There is no change from last month.
I have 7 Manufacturing stocks. None are showing as cheap by the historically high dividend yield. Three stocks or 43% are showing as cheap by historical median dividend yield. They are Exco Technologies Ltd. (TSX-XTC, OTC-EXCOF), Hammond Power Solutions Inc. (TSX-HPS.A, OTC-HMDPF), Intertape Polymer Group Inc. (TSX-ITP, OTC-ITPOF) and PFB Corp (TSX-PFB, OTC-PFBOF). There is no change from last month.
I follow 16 Services stocks. None are showing as cheap by the historically high dividend yield. Three stocks or 19% are showing as cheap by historical median dividend yield. These stocks are Canadian National Railway (TSX-CNR, NYSE-CNI), Pason Systems Inc. (TSX-PSI, OTC-PSYTF) and Transcontinental Inc. (TSX-TCL.A, OTC-TCLAF). Wajax Corp (TSX-WJX, OTC-WJXFF) and Ritchie Bros Auctioneers Inc. (TSX-RBA, NYSE-RBA) have been deleted from this list.
I follow 8 Material stocks. None are showing as cheap by the historically high dividend yield. No stocks are showing as cheap by historical median dividend yield. Barrick Gold Corp. (TSX-ABX, NYSE-ABX) and Methanex Corp (TSX-MX, NASDAQ-MEOH) have been removed from this list.
I follow 10 Energy stocks. Two stocks or 20% are showing as cheap by the historical high dividend yield. They are Mullen Group (TSX-MTL, OTC-MLLGF) and Ensign Energy Services (TSX-ESI, OTC-ESVIF). Suncor Energy (TSX-SU, NYSE-SU) have been deleted from this list.
There are five stocks (or 50%) showing cheap by historical median dividend yield. They are Canadian Natural Resources (TSX-CNQ, NYSE-CNQ), Cenovus Energy Inc. (TSX-CVE, NYSE-CVE), Ensign Energy Services (TSX-ESI, OTC-ESVIF); Mullen Group (TSX-MTL, OTC-MLLGF) and Suncor Energy (TSX-SU, NYSE-SU). This last list has not changed from last month.
I follow 8 Tech stocks. None are showing as cheap by historical high dividend yield. Four stocks (or 50%) are showing cheap by historical median dividend yield. They are Absolute Software Corporation (TSX-ABT, OTC-ALSWF) Computer Modelling Group Ltd. (TSX-CMG, OTC-CMDXF), Evertz Technologies (TSX-ET, OTC-EVTZF) and Maxar Technologies Ltd (TSX-MAXR-NYSE-MAXR). Sylogist Ltd (TSXV-SYZ, OTC-SYZLF) has been deleted from this list.
I follow 7 of the Infrastructure type utility companies. None are showing as cheap by historical high dividend yield. Four stocks (or 57%) are showing cheap by historical median dividend yield. They are AltaGas Ltd (TSX-ALA, OTC-ATGFF), Enbridge Inc. (TSX-ENB, NYSE-ENB), Enbridge Income Fund Holdings Inc. (TSX-ENF, OTC-EBGUF) and TransCanada Corp (TSX-TRP, NYSE-TRP). This has not changed from last month.
I follow 12 of the Power type utility companies. Only ATCO Ltd (TSX-ACO.X, OTC-ACLLF) is showing as cheap by the historically high dividend yield. This has not changed from last month.
Five stock (or 42%) are showing cheap by historical median dividend yield. Those stocks are ATCO Ltd (TSX-ACO.X, OTC-ACLLF), Canadian Utilities Ltd (TSX-CU, OTC-CDUAF) and Emera Inc. (TSX-EMA, OTC-EMRAF), Fortis Inc. (TSX-FTS, OTC-FRTSF) and Just Energy Group Inc. (TSX-JE, NYSE-JE). Algonquin Power & Utilities Corp (TSX-AQN, NYSE-AQN) has been removed from this list and Just Energy Group Inc. (TSX-JE, NYSE-JE) has been added to this list.
I follow 4 of the Telecom Service type utility companies. No stocks are showing as cheap by historically high dividend yield. Three stocks (or 75%) are showing cheap by historical median dividend yield. These stocks are BCE (TSX-BCE, NYSE-BCE), Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR) and Telus Corp (TSX-T, NYSE-TU). There is no change on this last list from last month.
On my other blog I wrote yesterday about Toromont Industries Ltd. (TSX-TIH, OTC-TMTNF)... learn more. Next, I will write about Russel Metals Inc. (TSX-RUS, OTC- RUSMF)... learn more on Friday, April 6, 2018 by 11 am.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk . The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
The advantages to using dividend yield to judge how cheap or expensive a stock is, is that you are not using estimates or old data (like last reported quarter's data). You are using today's stock price and today's dividend yield.
For other testing, like using P/E Ratios and Price/Graham Price Ratios, you use EPS estimates or from the last reported financial quarter. When using P/S Ratios, P/CF Ratios or P/BV Ratios you are using data from the last reported financial quarter.
This system does not work well for old Income Trust companies. These companies had quite high Dividend Yields which will probably never be seen again. So I started a column called VT (for Valid Test) and this applies to checking stock price using dividend yield. If not a valid test I use N to show this. For these stocks, you might be better comparing the current dividend yield to the 5 year median dividend yield.
However, no system is perfect. But if you are interested in buying a stock a list of stocks cheap or reasonable using dividend yield data might be a good place to start.
Categorizing stocks is not as simple as it might seem. Every site you go to has categorized stocks a bit differently. I try to keep this as simple as possible. See Something to Buy April 2018 Spreadsheet to see what stocks are showing whether a stock is relatively cheap based on historical high dividend yields (P/Hi), historical average dividend yields (P/Ave), historical median dividend yields (P/Med) or on 5 year median dividend yields (P/5Yr). As in other spreadsheets, you can highlight a line or a number of lines for better viewing.
In the following notes I am only going to list stocks showing as cheap using the historical high dividend yields (P/Hi) and historical median dividend yields (P/Med).
I follow 22 stocks in the Consumer Discretionary category. Three of these stocks (14%) are showing as cheap by the historically high dividend yield and they are DHX Media Ltd. (TSX-DHX.A, OTC-DHXMF), High Liner Foods (TSX-HLF, OTC-HLNFF) and Newfoundland Capital Corp (TSX-NCC.A). There is no change from last month.
Seven (or 32%) of Consumer Discretionary are showing cheap by historical median dividend yield. They are Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), DHX Media Ltd. (TSX-DHX.A, OTC-DHXMF), Goeasy Ltd. (TSX-GSY, OTC-EHMEF), High Liner Foods (TSX-HLF, OTC-HLNFF), Leon's Furniture (TSX-LNF); Newfoundland Capital Corp (TSX-NCC.A) and Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF). Dorel Industries (TSX-DII.B, OTC-DIIBF), Magna International Inc. (TSX-MG, NYSE-MGA), Molson Coors Canada (TSX-TPX.B, NYSE-TAP) and Thomson Reuters Corp (TSX-TRI, NYSE-TRI) have been deleted from this list.
I follow 12 Consumer Staples stocks. No companies are showing as cheap by the historically high dividend yield. Six stocks (or 50%) are showing cheap by historical median dividend yield. These are AGT Food and Ingredients Inc. (TSX-AGT, OTC-AGXXF), Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), Empire Company Ltd (TSX-EMP.A, OTC-EMLAF), Jean Coutu Group Inc. (TSX-PJC.A, OTC-JCOUF), Loblaw Companies (TSX-L, OTC-LBLCF) and Metro Inc. (TSX-MRU, OTC-MTRAF). Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF) has been added.
I only follow two Health Care stocks and both are US stocks. None of these stocks are showing as cheap by the historically high dividend yield. They are both cheap by the historical median dividend yield. The stocks are Johnson and Johnson (NYSE-JNJ) and Medtronic Inc. (NYSE-MDT). This is the same as for last month.
I follow 10 Real Estate stocks. None of these stocks are showing as cheap by the historically high dividend yield. Five stocks (or 50%) are showing cheap by historical median dividend yield. They are Artis REIT (TSX-AX.UN, OTC- ARESF); Granite Real Estate (TSX-GRT.UN, NYSE-GRP.U), H & R REIT (TSX-HR.UN, OTC-HRUFF), Melcor Developments Inc. (TSX-MRD, OTC-MODVF) and SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF). SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF) has been added to the list.
I follow 8 Bank stocks. None are showing as cheap by the historically high dividend yield. Four stock (or 50%) are showing cheap by historical median dividend yield. They are Bank of Nova Scotia (TSX-BNS, NYSE-BNS), CIBC (TSX-CM, NYSE-CM) National Bank of Canada (TSX-NA, OTC-NTIOF) and Toronto Dominion Bank (TSX-TD, NYSE-TD). Barclays PLC (LSE-BARC, NYSE-BCS) has been deleted and National Bank of Canada (TSX-NA, OTC-NTIOF) and Toronto Dominion Bank (TSX-TD, NYSE-TD) have been added.
I follow 14 Financial Service stocks. None are showing as cheap by the historically high dividend yield. Nine (or 64%) stocks are showing cheap by the historical median dividend yield. These stocks are Accord Financial Corp (TSX-ACD, OTC-ACCFF), AGF Management Ltd (TSX-AGF.B, OTC-AGFMF), Alaris Royalty Corp (TSX-AD, OTC-ALARF), Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF), CI Financial (TSX-CIX, OTC-CIFAF), Equitable Group Inc. (TSX-EQB, OTC-EQGPF), Gluskin Sheff + Associates Inc. (TSX-GS, OTC-GLUSF), IGM Financial (TSX-IGM, OTC-IGIFF) and Power Corp (TSX-POW, OTC-PWCDF). Chesswood Group (TSX-CHW, OTC-CHWWF) has been deleted from this list and Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF) has been added.
I follow 6 Insurance stocks. None are showing as cheap by the historically high dividend yield. Five stocks (or 83%) are showing cheap by historical median dividend yield. These stocks are Great-West Lifeco Inc. (TSX-GWO, OTC-GWLIF), Industrial Alliance Ins. and Fin. (TSX-IAG, OTC-IDLLF), Intact Financial Corp. (TSX-IFC, OTC-IFCZF), Manulife Financial Corp (TSX-MFC, NYSE-MFC) and Power Financial Corp (TSX-PWF, OTC-POFNF). There is no change from last month.
I follow 32 Industrial stocks. Because I have so many and Industrial is not very descriptive, I have divided my Industrial stocks into 4 separate categories under Industrial. They are Construction, Industrial, Manufacturing and (Business) Services.
I have 6 Construction stocks. None are cheap by the historically high dividend yield. Two stocks or 33% are showing as cheap by historical median dividend yield. They are SNC-Lavalin (TSX-SNC, OTC-SNCAF) and Stantec Inc. (TSX-STN, NYSE-STN). There is no change from last month.
I have 3 stocks I have left with the sub-index of Industrial. None are cheap by the historically high dividend yield. Two stocks or 67% are showing as cheap by historical median dividend yield. They are Finning International Inc. (TSX-FTT, OTC-FINGF), and Russel Metals (TSX-RUS, OTC-RUSMF). There is no change from last month.
I have 7 Manufacturing stocks. None are showing as cheap by the historically high dividend yield. Three stocks or 43% are showing as cheap by historical median dividend yield. They are Exco Technologies Ltd. (TSX-XTC, OTC-EXCOF), Hammond Power Solutions Inc. (TSX-HPS.A, OTC-HMDPF), Intertape Polymer Group Inc. (TSX-ITP, OTC-ITPOF) and PFB Corp (TSX-PFB, OTC-PFBOF). There is no change from last month.
I follow 16 Services stocks. None are showing as cheap by the historically high dividend yield. Three stocks or 19% are showing as cheap by historical median dividend yield. These stocks are Canadian National Railway (TSX-CNR, NYSE-CNI), Pason Systems Inc. (TSX-PSI, OTC-PSYTF) and Transcontinental Inc. (TSX-TCL.A, OTC-TCLAF). Wajax Corp (TSX-WJX, OTC-WJXFF) and Ritchie Bros Auctioneers Inc. (TSX-RBA, NYSE-RBA) have been deleted from this list.
I follow 8 Material stocks. None are showing as cheap by the historically high dividend yield. No stocks are showing as cheap by historical median dividend yield. Barrick Gold Corp. (TSX-ABX, NYSE-ABX) and Methanex Corp (TSX-MX, NASDAQ-MEOH) have been removed from this list.
I follow 10 Energy stocks. Two stocks or 20% are showing as cheap by the historical high dividend yield. They are Mullen Group (TSX-MTL, OTC-MLLGF) and Ensign Energy Services (TSX-ESI, OTC-ESVIF). Suncor Energy (TSX-SU, NYSE-SU) have been deleted from this list.
There are five stocks (or 50%) showing cheap by historical median dividend yield. They are Canadian Natural Resources (TSX-CNQ, NYSE-CNQ), Cenovus Energy Inc. (TSX-CVE, NYSE-CVE), Ensign Energy Services (TSX-ESI, OTC-ESVIF); Mullen Group (TSX-MTL, OTC-MLLGF) and Suncor Energy (TSX-SU, NYSE-SU). This last list has not changed from last month.
I follow 8 Tech stocks. None are showing as cheap by historical high dividend yield. Four stocks (or 50%) are showing cheap by historical median dividend yield. They are Absolute Software Corporation (TSX-ABT, OTC-ALSWF) Computer Modelling Group Ltd. (TSX-CMG, OTC-CMDXF), Evertz Technologies (TSX-ET, OTC-EVTZF) and Maxar Technologies Ltd (TSX-MAXR-NYSE-MAXR). Sylogist Ltd (TSXV-SYZ, OTC-SYZLF) has been deleted from this list.
I follow 7 of the Infrastructure type utility companies. None are showing as cheap by historical high dividend yield. Four stocks (or 57%) are showing cheap by historical median dividend yield. They are AltaGas Ltd (TSX-ALA, OTC-ATGFF), Enbridge Inc. (TSX-ENB, NYSE-ENB), Enbridge Income Fund Holdings Inc. (TSX-ENF, OTC-EBGUF) and TransCanada Corp (TSX-TRP, NYSE-TRP). This has not changed from last month.
I follow 12 of the Power type utility companies. Only ATCO Ltd (TSX-ACO.X, OTC-ACLLF) is showing as cheap by the historically high dividend yield. This has not changed from last month.
Five stock (or 42%) are showing cheap by historical median dividend yield. Those stocks are ATCO Ltd (TSX-ACO.X, OTC-ACLLF), Canadian Utilities Ltd (TSX-CU, OTC-CDUAF) and Emera Inc. (TSX-EMA, OTC-EMRAF), Fortis Inc. (TSX-FTS, OTC-FRTSF) and Just Energy Group Inc. (TSX-JE, NYSE-JE). Algonquin Power & Utilities Corp (TSX-AQN, NYSE-AQN) has been removed from this list and Just Energy Group Inc. (TSX-JE, NYSE-JE) has been added to this list.
I follow 4 of the Telecom Service type utility companies. No stocks are showing as cheap by historically high dividend yield. Three stocks (or 75%) are showing cheap by historical median dividend yield. These stocks are BCE (TSX-BCE, NYSE-BCE), Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR) and Telus Corp (TSX-T, NYSE-TU). There is no change on this last list from last month.
On my other blog I wrote yesterday about Toromont Industries Ltd. (TSX-TIH, OTC-TMTNF)... learn more. Next, I will write about Russel Metals Inc. (TSX-RUS, OTC- RUSMF)... learn more on Friday, April 6, 2018 by 11 am.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk . The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Tuesday, April 3, 2018
Dividend Stocks April 2018
First I want to point out that not all of the stocks I follow are great investments. I follow a diverse selection of stocks. There are some that I would never invest in personally. I follow a number of resource stocks even though I personally have little invested in this area. I follow what I find interesting and with resource stocks, I think it is important for Canadians to know what is happening in the resource area. On the other hand I do follow of good number of great dividend growth stocks.
The theory is that you should use the dividend yield to see if a dividend stock is selling at a stock price that is relatively cheap. A stock price is considered cheap if it is selling at a dividend yield higher than the historical high yield or higher than the historical average yield or historical median yield. See my spreadsheet at dividend growth stocks that I just updated for April 2018. On this list,
Canadian Natural Resources (TSX-CNQ, NYSE-CNQ)
Dollarama Inc. (TSX-DOL, OTC-DLMAF)
Enghouse Systems Limited (TSX-ENGH, OTC-EGHSF)
Exchange Income Corp (TSX-EIF, OTC-EIFZF)
Power Corp (TSX-POW, OTC-PWCDF)
Premium Brands Holdings Corp (TSX-PBH, OTC-PRBZF)
Stella-Jones (TSX-SJ, OTC-STLJF)
Transcontinental Inc. (TSX-TCL.A, OTC-TCLAF)
Automodular Corp (TSX-AM.H, OTC-AMZKFHLS) made a plan of arrangement with HLS Therapeutics Inc. (TSXV-HLS). Automodular Shareholders will receive for each outstanding share .165834 HLS common shares (rounded to whole shares) and one HLS Preferred Share. HLS Shareholders will receive one new HLS Share for each old HLS share. I am only holding on to this stock to see what the final results will be.
Hardwoods Distribution Inc. (TSX-HDI, OTC-HDIUF) changed their TSX symbol from HWD to HDI on March 14, 2018. The OTC symbol remains the same.
Also, of the stocks that I follow, 0 stocks decreased or suspended their dividends.
Most of my stocks started out as Dividend Payers. Currently 14 stocks are not paying any dividends and this would be some 9.03% of the stocks that I follow. Four of these stocks never had dividends, so 7.74% of the stocks I follow have suspended their dividends. The three stocks that never paid dividends are Ballard Power Systems Inc. (TSX-BLD, NASDAQ-BLDP0, Blackberry Ltd. (TSX-BB, NASDAQ-BBRY) and Trigon Metals Inc. (TSX-TM, OTC-PNTZF).
I am showing whether a stock is relatively cheap based on historical high dividend yields (P/Hi), historical average dividend yields (P/Ave), historical median dividend yields (P/Med) or on 5 year median dividend yields (P/5Yr). See these fields on the right side of the file. You can highlight a particular stock using your cursor to highlight the appropriate line.
There are always some stocks to buy because they are priced reasonably. There are always stocks to currently avoid because they are overpriced. Looking at dividend growth stocks that are selling at stock prices that give them a dividend yield above the historical median dividend yield are probably the best bet.
The stocks that are selling at prices that give them a dividend yield above the historical high yield could be good stocks to buy. However, these stocks may be selling so cheap because of current troubles, especially financial troubles and should be treated with caution. Do not forget that I have all the stocks I follow on this spreadsheet and some are much better investments than others.
You should always investigate a stock before you buy. Sometimes different stocks in certain sectors are just out of favour or the stock market is just in one of its declines. However, a stock may be relatively cheap because it has problems. That is why you should always investigate a stock before buying.
Looking at stock this way is equivalent to a stock filter. A main problem I know of is for the old income trusts. These companies have generally lowered their dividend yields forever and they will probably never get back to the old dividend yield highs they made as an income trust company. For these stocks, you might be better comparing the current dividend yield to the 5 year median dividend yield. I also started a column called VT (for Valid Test) and this applies to checking stock price using dividend yield. If not a valid test I use N to show this.
Also, on some stocks I have a lot more information years in my spreadsheets than for other stocks. So, finding a stock on the list as "cheap" is only the first step in finding a stock to buy. This is the same with any other sort of stock filters that you can use.
The last thing to remember is that I have entering figures into a spreadsheet. I could put them in incorrectly, I can transpose figures and I can misread figures. This is another great reason why you should check a stock out before investing. As this is just a filter, it works better on some stocks than on others.
See my entry on my methodology in establishing the historical dividend yield highs and lows for the stocks that I cover. I have an entry on my introduction to Dividend Growth. You might want to look at my original entry on Dividend Growth Stocks. I have also written about why I like Dividend Growth companies.
On my other blog I wrote today about Alaris Royalty Corp (TSX-AD, OTC-ALARF)... learn more. Next, I will write about Toromont Industries Ltd. (TSX-TIH, OTC-TMTNF)... learn more on Wednesday, April 4, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram with #walktoronto.
The theory is that you should use the dividend yield to see if a dividend stock is selling at a stock price that is relatively cheap. A stock price is considered cheap if it is selling at a dividend yield higher than the historical high yield or higher than the historical average yield or historical median yield. See my spreadsheet at dividend growth stocks that I just updated for April 2018. On this list,
- I have 6 stocks with a dividend yield higher than the historical high dividend yield,
- I have 43 stocks with a dividend yield higher than the historical average dividend yield
- I have 69 stocks with a dividend yield higher than the historical median dividend yield and
- 73 stocks with a dividend yield higher than the 5 year average dividend yield.
- I have 7 stocks with a dividend yield higher than the historical high dividend yield,
- I have 47 stocks with a dividend yield higher than the historical average dividend yield
- I have 78 stocks with a dividend yield higher than the historical median dividend yield and
- 78 stocks with a dividend yield higher than the 5 year average dividend yield.
- I had 9 stocks with a dividend yield higher than the historical high dividend yield,
- I had 45 stocks with a dividend yield higher than the historical average dividend yield and
- 39 stocks with a dividend yield higher than the 5 year average dividend yield.
Canadian Natural Resources (TSX-CNQ, NYSE-CNQ)
Dollarama Inc. (TSX-DOL, OTC-DLMAF)
Enghouse Systems Limited (TSX-ENGH, OTC-EGHSF)
Exchange Income Corp (TSX-EIF, OTC-EIFZF)
Power Corp (TSX-POW, OTC-PWCDF)
Premium Brands Holdings Corp (TSX-PBH, OTC-PRBZF)
Stella-Jones (TSX-SJ, OTC-STLJF)
Transcontinental Inc. (TSX-TCL.A, OTC-TCLAF)
Automodular Corp (TSX-AM.H, OTC-AMZKFHLS) made a plan of arrangement with HLS Therapeutics Inc. (TSXV-HLS). Automodular Shareholders will receive for each outstanding share .165834 HLS common shares (rounded to whole shares) and one HLS Preferred Share. HLS Shareholders will receive one new HLS Share for each old HLS share. I am only holding on to this stock to see what the final results will be.
Hardwoods Distribution Inc. (TSX-HDI, OTC-HDIUF) changed their TSX symbol from HWD to HDI on March 14, 2018. The OTC symbol remains the same.
Also, of the stocks that I follow, 0 stocks decreased or suspended their dividends.
Most of my stocks started out as Dividend Payers. Currently 14 stocks are not paying any dividends and this would be some 9.03% of the stocks that I follow. Four of these stocks never had dividends, so 7.74% of the stocks I follow have suspended their dividends. The three stocks that never paid dividends are Ballard Power Systems Inc. (TSX-BLD, NASDAQ-BLDP0, Blackberry Ltd. (TSX-BB, NASDAQ-BBRY) and Trigon Metals Inc. (TSX-TM, OTC-PNTZF).
I am showing whether a stock is relatively cheap based on historical high dividend yields (P/Hi), historical average dividend yields (P/Ave), historical median dividend yields (P/Med) or on 5 year median dividend yields (P/5Yr). See these fields on the right side of the file. You can highlight a particular stock using your cursor to highlight the appropriate line.
There are always some stocks to buy because they are priced reasonably. There are always stocks to currently avoid because they are overpriced. Looking at dividend growth stocks that are selling at stock prices that give them a dividend yield above the historical median dividend yield are probably the best bet.
The stocks that are selling at prices that give them a dividend yield above the historical high yield could be good stocks to buy. However, these stocks may be selling so cheap because of current troubles, especially financial troubles and should be treated with caution. Do not forget that I have all the stocks I follow on this spreadsheet and some are much better investments than others.
You should always investigate a stock before you buy. Sometimes different stocks in certain sectors are just out of favour or the stock market is just in one of its declines. However, a stock may be relatively cheap because it has problems. That is why you should always investigate a stock before buying.
Looking at stock this way is equivalent to a stock filter. A main problem I know of is for the old income trusts. These companies have generally lowered their dividend yields forever and they will probably never get back to the old dividend yield highs they made as an income trust company. For these stocks, you might be better comparing the current dividend yield to the 5 year median dividend yield. I also started a column called VT (for Valid Test) and this applies to checking stock price using dividend yield. If not a valid test I use N to show this.
Also, on some stocks I have a lot more information years in my spreadsheets than for other stocks. So, finding a stock on the list as "cheap" is only the first step in finding a stock to buy. This is the same with any other sort of stock filters that you can use.
The last thing to remember is that I have entering figures into a spreadsheet. I could put them in incorrectly, I can transpose figures and I can misread figures. This is another great reason why you should check a stock out before investing. As this is just a filter, it works better on some stocks than on others.
See my entry on my methodology in establishing the historical dividend yield highs and lows for the stocks that I cover. I have an entry on my introduction to Dividend Growth. You might want to look at my original entry on Dividend Growth Stocks. I have also written about why I like Dividend Growth companies.
On my other blog I wrote today about Alaris Royalty Corp (TSX-AD, OTC-ALARF)... learn more. Next, I will write about Toromont Industries Ltd. (TSX-TIH, OTC-TMTNF)... learn more on Wednesday, April 4, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram with #walktoronto.
Subscribe to:
Posts (Atom)