I am so lucky to be living in Toronto as there is so much to do here. I belong some clubs and use meetup.com. With such variety, you can just pick and choose what to do. For the meetup links to work you have to be signed in to Meetup. It is free to join but some group charge $2 or $5 for each meetup. The organizer has to pay a fee to meetup to be an organizer of a group.
With meetup, there are a lot for young people, but there are lots for older people too. Each group says their age group (if there is one) and what the group is about. The senior groups that I belong to are Toronto Senior Social Club , Life begins at 50 , and Life Begins at 40 . These are all geared for older people. There are others meetups for seniors, but this is just what I am involved with.
I only have one walking buddy left, so I walk with some groups. A walking meetup group is Walking Adventures with Deb . I also belong to another walking club called Toronto Field Naturalist. These are geared to people of all ages. I also walk sometimes with other meetup groups that have walks and Probus also has walking groups.
Someone told me of an alternative to meetup called DownToMeet (DTM). With these things you cannot tell anything until you sign up. I signed up and found that there is very little for Toronto and most have no events and only one member who is the organizer. However, I will check back into this later. It looks like this site was started in California, compared to Meetup which was out of New York City. However, they do not have much going on in California neither from what I can tell.
For investments clubs, I belong to Toronto Investors & Traders — StockTwits Meetups, and to Ellen’s Investment Club that meets at the JCC at Spadina and Bloor. Link is blog entries. I also belong to another private investment club.
One club I belong to is UK Connexion. You do not have to be British to join, but you need to be older (50 and over) and single. They have their own web site and you pay $5 to attend any function. You can check out their website without joining. Another club I belong to is East York Probus. The Probus clubs are for retired professionals and there are a number in Toronto, including North York Probus, and Toronto Probus. Here is a list of the Probus clubs in and around Toronto. Probus has great speakers at their monthly meetings and good events. The problem is that most have a 2 year waiting list to join.
You can take lots of bus tours from Toronto. Last summer I took a number with Fun Tours to Niagara Falls and Prince Edward County. I took a couple of trips with Short Trips. Also, I used Mary Morton Tours to see plays in Niagara on the Lake and Stratford.
When I said I was writing this blog entry, a friend of mine told me I should include what the universities have to offer. Ryerson has the Life Institute. George Brown has the Senior Association. I also found a site Seniors Toronto that looks interesting and has lots of information for Seniors.
Besides lots of music in the parks in the summertime there are a number of churches that have musical events. The Associates of TSO have 5 small concert series. The dates and the concerts are listed here. The Concerts are at Trinity-St. Paul’s Centre located at 427 Bloor St. West. By the way, Trinity-St. Paul’s Center has lots of concerts but I must admit that the 5 small concerts are my favourite. St. Andrew’s Church at Simcoe and King has musically events. The link is here.
Besides opera and ballet at Four Seasons Center for the Performing Arts, there is Live from the Met in Toronto. We like eating at Queen Mother Cafe before seeing a performance at Four Seasons Center.
There are lots of small theatres in Toronto. One of my favourite is Village Players near the Runnymede TTC station. There is Soulpepper in the Distillery District. There is also Shakespeare Bash'd. That is all I can think of now.
When my parents were young, they belonged to a number of groups connected with their church. This where young people met up. My mother met my father’s sister at a church group and through her met my father. When I was young in Toronto, I belonged to a number of sports clubs. I played tennis, squash, went skiing and sailing. Some of these clubs are still around. Unfortunately, I became a single mother when my husband died so I had to quite all these sports.
For downhill skiing I belonged to Voyageur Ski Club. I joined the High Park Ski Club to go cross-country skiing. They also do downhill skiing. I joined the Toronto Island Sailing Club, a community sailing club to go sailing. Although when I was with the club it was called the North Toronto Sailing Club. It is the only community sailing club still on center island. I still get together with people I met at these clubs.
On my other blog I wrote yesterday about IGM Financial (TSX-IGM, OTC-IGIFF) ... learn more. Next, I will write about Emera Inc (TSX-EMA, OTC-EMRA) ... learn more on Friday, February 28, 2020 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, February 27, 2020
Tuesday, February 25, 2020
Northland Power Inc
Northland Power Inc (TSX-NPI, OTC-NPIFF) has been written up by Buy and Sell Advisor. Other analysts have positive views on this stock. See Stock Chase
On my other blog I wrote yesterday about Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF) ... learn more. Next, I will write about IGM Financial (TSX-IGM, OTC-IGIFF) ... learn more on Wednesday, February 26, 2020 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.
On my other blog I wrote yesterday about Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF) ... learn more. Next, I will write about IGM Financial (TSX-IGM, OTC-IGIFF) ... learn more on Wednesday, February 26, 2020 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, February 20, 2020
CAE Inc
A recent report on Money Show’s web site by Gordon Pape give a good report on CAE Inc (TSX-CAE, NYSE-CAE).
On my other blog I wrote today about Choice Properties REIT (TSX-CHP.UN, OTC-PPRQF) ... learn more. Next, I will write about Russel Metals Inc (TSX-RUS, OTC-RUSMF) ... learn more on Friday, February 21, 2020 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.
On my other blog I wrote today about Choice Properties REIT (TSX-CHP.UN, OTC-PPRQF) ... learn more. Next, I will write about Russel Metals Inc (TSX-RUS, OTC-RUSMF) ... learn more on Friday, February 21, 2020 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, February 18, 2020
Investing in Dividend Stocks
Bob Lai of Vancouver Canada has a site call Taw Can. He has a good article about how to invest in Dividend Paying Stocks in Canada. The page is here.
He lists some great Canadian dividend paying stocks and talks about how to go about choosing stock for dividend income purposes. He also likes the site of Simply Wall Street and talks about how he uses this site.
On my other blog I wrote today about Manulife Financial Corp (TSX-MFC, NYSE-MFC) ... learn more. Next, I will write about Choice Properties REIT (TSX-CHP.UN, OTC-PPRQF) ... learn more on Wednesday, February 18, 2020 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.
He lists some great Canadian dividend paying stocks and talks about how to go about choosing stock for dividend income purposes. He also likes the site of Simply Wall Street and talks about how he uses this site.
On my other blog I wrote today about Manulife Financial Corp (TSX-MFC, NYSE-MFC) ... learn more. Next, I will write about Choice Properties REIT (TSX-CHP.UN, OTC-PPRQF) ... learn more on Wednesday, February 18, 2020 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, February 13, 2020
Baby Boomers Investors
I read Jared Dillian article on Baby Boomers investors. See the article here. I can tell you why I did not invest in the big bond market. The gain in this market would be all capital gains. I was always looking for income.
Investing in bonds in this bond bull market would provide smaller and smaller returns as interest rates dropped. If you bought and sold bonds in the open market you could get capital gains, but I never invested to just reap capital gains. My last bond I sold in 1997 and it was a 30 year CIBC bond with great interest and I sold it for a good capital gain.
He also talks about baby boomers losing in both the dot-com stock market boom in 1999 and in the stock market in 2007. I did not lose much in either and quickly got back the value of my portfolio because I did not invest in the latest new thing. I looked at the stock being tooted in the dot-com stock market. Not only did these companies not have any earnings, most had no revenues.
My attitude to not investing in the next big thing kept me out of bitcoin and marijuana markets also. I do not regret this. I have talked to a number of people about investing in both. Some have made lots of money and some have lost money. It seems to be the people who got in both these markets at the beginning are the winners. Later invests, not so much.
When I was out to dinner with a club a while ago, one lady, when she heard that I invest asked me about getting into marijuana stock. She has not been investing. She had no experience in investing, but thought it would be a great idea to get into the market to make some money on marijuana stocks. This is precisely how novice investors loss money.
On my other blog I wrote yesterday about Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF) ... learn more. Next, I will write about ARC Resources Ltd (TSX-ARX, OTC-AETUF) ... learn more on Friday, February 14, 2020 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.
Investing in bonds in this bond bull market would provide smaller and smaller returns as interest rates dropped. If you bought and sold bonds in the open market you could get capital gains, but I never invested to just reap capital gains. My last bond I sold in 1997 and it was a 30 year CIBC bond with great interest and I sold it for a good capital gain.
He also talks about baby boomers losing in both the dot-com stock market boom in 1999 and in the stock market in 2007. I did not lose much in either and quickly got back the value of my portfolio because I did not invest in the latest new thing. I looked at the stock being tooted in the dot-com stock market. Not only did these companies not have any earnings, most had no revenues.
My attitude to not investing in the next big thing kept me out of bitcoin and marijuana markets also. I do not regret this. I have talked to a number of people about investing in both. Some have made lots of money and some have lost money. It seems to be the people who got in both these markets at the beginning are the winners. Later invests, not so much.
When I was out to dinner with a club a while ago, one lady, when she heard that I invest asked me about getting into marijuana stock. She has not been investing. She had no experience in investing, but thought it would be a great idea to get into the market to make some money on marijuana stocks. This is precisely how novice investors loss money.
On my other blog I wrote yesterday about Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF) ... learn more. Next, I will write about ARC Resources Ltd (TSX-ARX, OTC-AETUF) ... learn more on Friday, February 14, 2020 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, February 11, 2020
Warren Buffet
I get an email each day from Visual Capitalist and they have some interesting stuff to show. This one talks about Warren Buffet quotes that you might find interesting. The page with these Warren Buffett quotes is available here.
On my other blog I wrote yesterday about Intact Financial Corp (TSX-IFC, OTC-IFCZF) ... learn more. Next, I will write about Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF) ... learn more on Wednesday, February 12, 2020 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.
On my other blog I wrote yesterday about Intact Financial Corp (TSX-IFC, OTC-IFCZF) ... learn more. Next, I will write about Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF) ... learn more on Wednesday, February 12, 2020 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, February 6, 2020
Something to Buy February 2020
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. However, this is just a place to start. It is a good idea to check the stock with other tests, especially the P/S Ratio test.
For other testing, like P/E Ratios, P/S Ratios, P/CF Ratios, P/BV Ratios and Price/Graham Price Ratios, you use estimates or data from the last reported financial quarter.
This historical dividend yield test 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 it is not a valid test, I use N to show this. For these stocks, you might be better comparing the current dividend yield to the 10 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 February 2020 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 23 stocks in the Consumer Discretionary category. Four of these stocks (22%) are showing as cheap by the historically high dividend yield and they are Dorel Industries (TSX-DII.B, OTC-DIIBF), Molson Coors Canada (TSX-TPX.B, NYSE-TAP), Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF), and Stingray Digital Group Inc (TSX-RAY.A). There is no change from last month.
Eleven (or 48%) of Consumer Discretionary are showing cheap by historical median dividend yield. They are Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Dorel Industries (TSX-DII.B, OTC-DIIBF), Goodfellow Inc (TSX-GDL, OTC-GFELF), High Liner Foods (TSX-HLF, OTC-HLNFF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Magna International Inc. (TSX-MG, NYSE-MGA), Molson Coors Canada (TSX-TPX.B, NYSE-TAP), Pizza Pizza Royalty Corp (TSX-PZA, OTC-PZRIF), Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF), and Stingray Digital Group Inc (TSX-RAY.A). BRP Inc (TSX-DOO, NYSE-DOOO), has been removed from this list.
I follow 10 Consumer Staples stocks. No stocks are showing as cheap by the historically high dividend yield. There is no change from last month.
Four stocks (or 40%) are showing cheap by historical median dividend yield. These are Empire Company Ltd (TSX-EMP.A, OTC-EMLAF), Loblaw Companies (TSX-L, OTC-LBLCF), Metro Inc (TSX-MRU, OTC-MTRAF), and Saputo Inc. (TSX-SAP, OTC-SAPIF). Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), and North West Company (TSX-NWC, OTC-NWTUF) have been removed from this list.
I follow Five Health Care stocks. One stock (or 20%) of these stocks is showing as cheap by the historically high dividend yield. That stock is HLS Therapeutics Inc (TSX-HLS, OTC-HLTRF). There is no change from last month.
Three or 60% are cheap by the historical median dividend yield. The stocks are HLS Therapeutics Inc (TSX-HLS, OTC-HLTRF), Johnson and Johnson (NYSE-JNJ), and Medtronic Inc. (NYSE-MDT). There is no change from last month.
I follow 10 Energy stocks. Two stocks or 20% are showing as cheap by the historical high dividend yield. They are Ensign Energy Services (TSX-ESI, OTC-ESVIF), and Suncor Energy (TSX-SU, NYSE-SU). Ensign Energy Services (TSX-ESI, OTC-ESVIF) has been added to the list.
There are Seven stocks (or 70%) 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), Husky Energy (TSX-HSE, OTC-HUSKF), Ovintiv Inc (TSX-OVV, OTC-OVV), Mullen Group (TSX-MTL, OTC-MLLGF) and Suncor Energy (TSX-SU, NYSE-SU). Ovintiv Inc (TSX-OVV, OTC-OVV) (old name Encana) has been added to this list.
I follow 8 Bank stocks. None are showing as cheap by the historically high dividend yield. There is no change from last month.
Five stocks (or 62.5%) are showing cheap by historical median dividend yield. They are Bank of Nova Scotia (TSX-BNS, NYSE-BNS), Barclays PLC (LSE-BARC, NYSE-BCS), CIBC (TSX-CM, NYSE-CM), Royal Bank (TSX-RY, NYSE-RY), and Toronto Dominion Bank (TSX-TD, NYSE-TD). Toronto Dominion Bank (TSX-TD, NYSE-TD) have been added to this list. National Bank of Canada (TSX-NA, OTC-NTIOF) has been removed from this list.
I follow 14 Financial Service stocks. No stock is showing as cheap by the historically high dividend yield. There is no change from last month.
Seven (or 50%) 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), Chesswood Group (TSX-CHW, OTC-CHWWF), IGM Financial (TSX-IGM, OTC-IGIFF), Onex Corp (TSX-ONEX, OTC-ONEXF) and Power Corp (TSX-POW, OTC-PWCDF). Chesswood Group (TSX-CHW, OTC-CHWWF) has been added to this list.
I follow 6 Insurance stocks. No stock is showing as cheap by the historically high dividend yield. There is no change from last month.
Four stocks (or 67%) are showing cheap by historical median dividend yield. These stocks are Great-West Lifeco Inc. (TSX-GWO, OTC-GWLIF), IA Financial Corp (TSX-IAG, OTC-IDLLF), Manulife Financial Corp (TSX-MFC, NYSE-MFC), and Power Financial Corp (TSX-PWF, OTC-POFNF). Sun Life Financial (TSX-SLF, NYSE-SLF) has been removed from this list.
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 showing as cheap by the historically high dividend yield. There is no change from last month.
Two stocks or 33% is showing as cheap by historical median dividend yield. They are Bird Construction Inc (TSX-BDT, OTC-BIRDF), and Stantec Inc. (TSX-STN, NYSE-STN). Bird Construction Inc (TSX-BDT, OTC-BIRDF) has been added to this list.
I have 3 stocks I have left with the sub-index of Industrial. None are cheap by the historically high dividend yield. There is no change from last month.
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. This has not changed from last month.
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), and Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF). There is no change from last month.
I follow 16 Services stocks. One stock is showing as cheap by the historically high dividend yield. That stock is Pason Systems Inc. (TSX-PSI, OTC-PSYTF). There is no change from last month.
Four stocks or 25% 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), Transcontinental Inc (TSX-TCL.A, OTC-TCLAF) and Wajax Corp (TSX-WJX, OTC-WJXFF). There is no change from last month.
I follow 10 Material stocks. None are showing as cheap by the historically high dividend yield. This has not changed from last month.
Six stock or 60% are showing as cheap by historical median dividend yield. The stocks are Barrick Gold Corp (TSX-ABX, NYSE-ABX), Chemtrade Logistics Inc. Fund (TSX-CHE.UN, OTC-CGIFF), Hardwoods Distribution Inc. (TSX-HDI, OTC-HDIUF), Methanex Corp (TSX-MX, NASDAQ-MEOH), Stella-Jones (TSX-SJ, OTC-STLJF), and Supremex Inc (TSX-SXP, OTC-SUMXF). There is no change from last month.
I follow 10 Real Estate stocks. No stock is showing as cheap by historically high dividend yield. There is no change from last month. Two stocks (or 20%) are showing as cheap by historical median dividend yield. They are Melcor Developments Inc. (TSX-MRD, OTC-MODVF), and SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF). H & R REIT (TSX-HR.UN, OTC-HRUFF) have been removed from this list.
I follow 3 of the Telecom Service stocks. No stocks are showing as cheap by historically high dividend yield. This has not changed from last month.
Three stocks (or 100%) 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). This has not changed from last month.
I follow 9 Tech stocks. None are showing as cheap by historical high dividend yield. There is no change from last month.
Four stocks (or 44%) are showing cheap by historical median dividend yield. They are Computer Modelling Group Ltd. (TSX-CMG, OTC-CMDXF), Evertz Technologies (TSX-ET, OTC-EVTZF), Quarterhaill Inc (TSX-QTRH, NASDAQ-QTRH), and Sylogist Ltd (TSXV-SYZ, OTC-SYZLF). There is no change from last month.
I follow 7 of the Infrastructure type utility companies. None are showing as cheap by historical high dividend yield. This has not changed from last month.
Two stocks (or 29%) are showing cheap by historical median dividend yield. They are Enbridge Inc. (TSX-ENB, NYSE-ENB), Keyera Corp (TSX-KEY, OTC-KEYUF). TC Energy Corp (TSX-TRP, NYSE-TRP) has been removed from this list.
I follow 10 of the Power type utility companies. One stock is showing as cheap by historical high dividend yield. This is ATCO Ltd (TSX-ACO.X, OTC-ACLLF). There is no changed from last month.
Two stocks (or 20%) are showing cheap by historical median dividend yield. Those stocks are ATCO Ltd (TSX-ACO.X, OTC-ACLLF), and Canadian Utilities Ltd (TSX-CU, OTC-CDUAF). There is no change from last month.
On my other blog I wrote yesterday about Canadian National Railway (TSX-CNR, NYSE-CNI) ... learn more. Next, I will write about Absolute Software Corporation (TSX-ABT, OTC-ALSWF) ... learn more on Friday, February 7, 2020 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.
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. However, this is just a place to start. It is a good idea to check the stock with other tests, especially the P/S Ratio test.
For other testing, like P/E Ratios, P/S Ratios, P/CF Ratios, P/BV Ratios and Price/Graham Price Ratios, you use estimates or data from the last reported financial quarter.
This historical dividend yield test 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 it is not a valid test, I use N to show this. For these stocks, you might be better comparing the current dividend yield to the 10 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 February 2020 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 23 stocks in the Consumer Discretionary category. Four of these stocks (22%) are showing as cheap by the historically high dividend yield and they are Dorel Industries (TSX-DII.B, OTC-DIIBF), Molson Coors Canada (TSX-TPX.B, NYSE-TAP), Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF), and Stingray Digital Group Inc (TSX-RAY.A). There is no change from last month.
Eleven (or 48%) of Consumer Discretionary are showing cheap by historical median dividend yield. They are Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Dorel Industries (TSX-DII.B, OTC-DIIBF), Goodfellow Inc (TSX-GDL, OTC-GFELF), High Liner Foods (TSX-HLF, OTC-HLNFF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Magna International Inc. (TSX-MG, NYSE-MGA), Molson Coors Canada (TSX-TPX.B, NYSE-TAP), Pizza Pizza Royalty Corp (TSX-PZA, OTC-PZRIF), Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF), and Stingray Digital Group Inc (TSX-RAY.A). BRP Inc (TSX-DOO, NYSE-DOOO), has been removed from this list.
I follow 10 Consumer Staples stocks. No stocks are showing as cheap by the historically high dividend yield. There is no change from last month.
Four stocks (or 40%) are showing cheap by historical median dividend yield. These are Empire Company Ltd (TSX-EMP.A, OTC-EMLAF), Loblaw Companies (TSX-L, OTC-LBLCF), Metro Inc (TSX-MRU, OTC-MTRAF), and Saputo Inc. (TSX-SAP, OTC-SAPIF). Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), and North West Company (TSX-NWC, OTC-NWTUF) have been removed from this list.
I follow Five Health Care stocks. One stock (or 20%) of these stocks is showing as cheap by the historically high dividend yield. That stock is HLS Therapeutics Inc (TSX-HLS, OTC-HLTRF). There is no change from last month.
Three or 60% are cheap by the historical median dividend yield. The stocks are HLS Therapeutics Inc (TSX-HLS, OTC-HLTRF), Johnson and Johnson (NYSE-JNJ), and Medtronic Inc. (NYSE-MDT). There is no change from last month.
I follow 10 Energy stocks. Two stocks or 20% are showing as cheap by the historical high dividend yield. They are Ensign Energy Services (TSX-ESI, OTC-ESVIF), and Suncor Energy (TSX-SU, NYSE-SU). Ensign Energy Services (TSX-ESI, OTC-ESVIF) has been added to the list.
There are Seven stocks (or 70%) 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), Husky Energy (TSX-HSE, OTC-HUSKF), Ovintiv Inc (TSX-OVV, OTC-OVV), Mullen Group (TSX-MTL, OTC-MLLGF) and Suncor Energy (TSX-SU, NYSE-SU). Ovintiv Inc (TSX-OVV, OTC-OVV) (old name Encana) has been added to this list.
I follow 8 Bank stocks. None are showing as cheap by the historically high dividend yield. There is no change from last month.
Five stocks (or 62.5%) are showing cheap by historical median dividend yield. They are Bank of Nova Scotia (TSX-BNS, NYSE-BNS), Barclays PLC (LSE-BARC, NYSE-BCS), CIBC (TSX-CM, NYSE-CM), Royal Bank (TSX-RY, NYSE-RY), and Toronto Dominion Bank (TSX-TD, NYSE-TD). Toronto Dominion Bank (TSX-TD, NYSE-TD) have been added to this list. National Bank of Canada (TSX-NA, OTC-NTIOF) has been removed from this list.
I follow 14 Financial Service stocks. No stock is showing as cheap by the historically high dividend yield. There is no change from last month.
Seven (or 50%) 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), Chesswood Group (TSX-CHW, OTC-CHWWF), IGM Financial (TSX-IGM, OTC-IGIFF), Onex Corp (TSX-ONEX, OTC-ONEXF) and Power Corp (TSX-POW, OTC-PWCDF). Chesswood Group (TSX-CHW, OTC-CHWWF) has been added to this list.
I follow 6 Insurance stocks. No stock is showing as cheap by the historically high dividend yield. There is no change from last month.
Four stocks (or 67%) are showing cheap by historical median dividend yield. These stocks are Great-West Lifeco Inc. (TSX-GWO, OTC-GWLIF), IA Financial Corp (TSX-IAG, OTC-IDLLF), Manulife Financial Corp (TSX-MFC, NYSE-MFC), and Power Financial Corp (TSX-PWF, OTC-POFNF). Sun Life Financial (TSX-SLF, NYSE-SLF) has been removed from this list.
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 showing as cheap by the historically high dividend yield. There is no change from last month.
Two stocks or 33% is showing as cheap by historical median dividend yield. They are Bird Construction Inc (TSX-BDT, OTC-BIRDF), and Stantec Inc. (TSX-STN, NYSE-STN). Bird Construction Inc (TSX-BDT, OTC-BIRDF) has been added to this list.
I have 3 stocks I have left with the sub-index of Industrial. None are cheap by the historically high dividend yield. There is no change from last month.
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. This has not changed from last month.
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), and Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF). There is no change from last month.
I follow 16 Services stocks. One stock is showing as cheap by the historically high dividend yield. That stock is Pason Systems Inc. (TSX-PSI, OTC-PSYTF). There is no change from last month.
Four stocks or 25% 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), Transcontinental Inc (TSX-TCL.A, OTC-TCLAF) and Wajax Corp (TSX-WJX, OTC-WJXFF). There is no change from last month.
I follow 10 Material stocks. None are showing as cheap by the historically high dividend yield. This has not changed from last month.
Six stock or 60% are showing as cheap by historical median dividend yield. The stocks are Barrick Gold Corp (TSX-ABX, NYSE-ABX), Chemtrade Logistics Inc. Fund (TSX-CHE.UN, OTC-CGIFF), Hardwoods Distribution Inc. (TSX-HDI, OTC-HDIUF), Methanex Corp (TSX-MX, NASDAQ-MEOH), Stella-Jones (TSX-SJ, OTC-STLJF), and Supremex Inc (TSX-SXP, OTC-SUMXF). There is no change from last month.
I follow 10 Real Estate stocks. No stock is showing as cheap by historically high dividend yield. There is no change from last month. Two stocks (or 20%) are showing as cheap by historical median dividend yield. They are Melcor Developments Inc. (TSX-MRD, OTC-MODVF), and SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF). H & R REIT (TSX-HR.UN, OTC-HRUFF) have been removed from this list.
I follow 3 of the Telecom Service stocks. No stocks are showing as cheap by historically high dividend yield. This has not changed from last month.
Three stocks (or 100%) 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). This has not changed from last month.
I follow 9 Tech stocks. None are showing as cheap by historical high dividend yield. There is no change from last month.
Four stocks (or 44%) are showing cheap by historical median dividend yield. They are Computer Modelling Group Ltd. (TSX-CMG, OTC-CMDXF), Evertz Technologies (TSX-ET, OTC-EVTZF), Quarterhaill Inc (TSX-QTRH, NASDAQ-QTRH), and Sylogist Ltd (TSXV-SYZ, OTC-SYZLF). There is no change from last month.
I follow 7 of the Infrastructure type utility companies. None are showing as cheap by historical high dividend yield. This has not changed from last month.
Two stocks (or 29%) are showing cheap by historical median dividend yield. They are Enbridge Inc. (TSX-ENB, NYSE-ENB), Keyera Corp (TSX-KEY, OTC-KEYUF). TC Energy Corp (TSX-TRP, NYSE-TRP) has been removed from this list.
I follow 10 of the Power type utility companies. One stock is showing as cheap by historical high dividend yield. This is ATCO Ltd (TSX-ACO.X, OTC-ACLLF). There is no changed from last month.
Two stocks (or 20%) are showing cheap by historical median dividend yield. Those stocks are ATCO Ltd (TSX-ACO.X, OTC-ACLLF), and Canadian Utilities Ltd (TSX-CU, OTC-CDUAF). There is no change from last month.
On my other blog I wrote yesterday about Canadian National Railway (TSX-CNR, NYSE-CNI) ... learn more. Next, I will write about Absolute Software Corporation (TSX-ABT, OTC-ALSWF) ... learn more on Friday, February 7, 2020 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, February 4, 2020
Dividend Stocks February 2020
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 February 2020. On this list,
Allied Properties REIT (TSX-AP.UN, OTC-APYRF)
ATCO Ltd (TSX-ACO.X, OTC-ACLLF)
Canadian National Railway (TSX-CNR, NYSE, CNI)
Canadian Utilities Ltd (TSX-CU, OTC-CDUAF)
Exco Technologies Ltd (TSX-XTC, OTC-EXCOF)
Metro Inc (TSX-MRU, OTC-MTRAF)
Pembina Pipeline Corp (TSX-PPL, NYSE-PBA)
Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF)
TransAlta Corp (TSX-TA, NYSE-TAC)
TransAlta Corp (TSX-TA, NYSE-TAC), after years of declining dividends and the last two years of flat dividends, this company has raised the dividend by 4.25% for April 2020. This is a good sign for the company.
Of the stocks I follow, none have cut their dividends. Of the stocks I follow, no stock has suspended or terminated their dividends.
Encana Corp (TSX-ECA, OTC-ECA) has changed its name to Ovintiv Inc (TSX-OVV, OTC-OVV) and has moved to the US. It has also done a 5 to 1 consolidation as of January 27, 2020. See a new item on CBC.
First Capital Realty (TSX-FCR. OTC-FCRGF) has become an REIT and has changed it symbols to First Capital Realty (TSX-FCR-UN. OTC- FCXXF). See the news item on Newswire.
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 5.81% of the stocks I follow have suspended their dividends. The three stocks that never paid dividends are Ballard Power Systems Inc. (TSX-BLD, NASDAQ-BLDP), 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 it is 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 yesterday about Exco Technologies Ltd (TSX-XTC, OTC-EXCOF) ... learn more. Next, I will write about Canadian National Railway (TSX-CNR, NYSE-CNI) ... learn more on February 5, 2020 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 February 2020. On this list,
- I have 09 stocks with a dividend yield higher than the historical high dividend yield,
- I have 48 stocks with a dividend yield higher than the historical average dividend yield
- I have 70 stocks with a dividend yield higher than the historical median dividend yield and
- 82 stocks with a dividend yield higher than the 5 year average dividend yield.
- I have 08 stocks with a dividend yield higher than the historical high dividend yield,
- I have 45 stocks with a dividend yield higher than the historical average dividend yield
- I have 74 stocks with a dividend yield higher than the historical median dividend yield and
- 86 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.
Allied Properties REIT (TSX-AP.UN, OTC-APYRF)
ATCO Ltd (TSX-ACO.X, OTC-ACLLF)
Canadian National Railway (TSX-CNR, NYSE, CNI)
Canadian Utilities Ltd (TSX-CU, OTC-CDUAF)
Exco Technologies Ltd (TSX-XTC, OTC-EXCOF)
Metro Inc (TSX-MRU, OTC-MTRAF)
Pembina Pipeline Corp (TSX-PPL, NYSE-PBA)
Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF)
TransAlta Corp (TSX-TA, NYSE-TAC)
TransAlta Corp (TSX-TA, NYSE-TAC), after years of declining dividends and the last two years of flat dividends, this company has raised the dividend by 4.25% for April 2020. This is a good sign for the company.
Of the stocks I follow, none have cut their dividends. Of the stocks I follow, no stock has suspended or terminated their dividends.
Encana Corp (TSX-ECA, OTC-ECA) has changed its name to Ovintiv Inc (TSX-OVV, OTC-OVV) and has moved to the US. It has also done a 5 to 1 consolidation as of January 27, 2020. See a new item on CBC.
First Capital Realty (TSX-FCR. OTC-FCRGF) has become an REIT and has changed it symbols to First Capital Realty (TSX-FCR-UN. OTC- FCXXF). See the news item on Newswire.
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 5.81% of the stocks I follow have suspended their dividends. The three stocks that never paid dividends are Ballard Power Systems Inc. (TSX-BLD, NASDAQ-BLDP), 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 it is 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 yesterday about Exco Technologies Ltd (TSX-XTC, OTC-EXCOF) ... learn more. Next, I will write about Canadian National Railway (TSX-CNR, NYSE-CNI) ... learn more on February 5, 2020 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.
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