In this blog, Advice for Investors of MPL Communications talk about a Technology Stock called Docebo (TSX-DCBO, OTC-DCBOF). Its web site is here. It offers LMS (Learning Management Systems).
A longer description of Docebo Inc is that it offers cloud-based learning platform for both internal and external enterprise learning with real time tracking of training results, optimizing time, and reducing costs associated with traditional learning methods. Geographically, it holds presence in five offices around the world, including locations in Europe, Asia, and North America.
It does not pay a dividend so it is more suitable for someone building their portfolio than for someone living off their portfolio.
On my other blog I wrote yesterday about Goodfellow Inc (TSX-GDL, OTC-GFELF) ... learn more. Next, I will write about Sun Life Financial Inc (TSX-SLF, NYSE-SLF) ... learn more on Wednesday, April 1, 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, March 31, 2020
Thursday, March 26, 2020
Enbridge Inc
Gordon Pape on Enbridge. He thinks it is a buy.
I own this stock. I first bought it in 2005 and then bought more in 2008 and 2009. To the end of February, I have earned a total return of 12.79% per year with 8.01% from capital gains and 4.78% from dividends. If I look at the price today at a price of $41.44, I have made a total return of 11.56% with 6.34% from capital gains and 5.22% from dividends.
On my other blog I wrote yesterday about BCE Inc (TSX-BCE, NYSE-BCE) ... learn more. Next, I will write about Melcor Developments Inc (TSX-MRD, OTC-MODVF) ... learn more on Friday, March 27, 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
I own this stock. I first bought it in 2005 and then bought more in 2008 and 2009. To the end of February, I have earned a total return of 12.79% per year with 8.01% from capital gains and 4.78% from dividends. If I look at the price today at a price of $41.44, I have made a total return of 11.56% with 6.34% from capital gains and 5.22% from dividends.
On my other blog I wrote yesterday about BCE Inc (TSX-BCE, NYSE-BCE) ... learn more. Next, I will write about Melcor Developments Inc (TSX-MRD, OTC-MODVF) ... learn more on Friday, March 27, 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, March 24, 2020
Fortis Inc
In this article on Money Show Gordon Pape talks about why he likes Fortis.
I bought this stock in 1987. To the end of February, my total return to date was 12.93% per year with 8.01% from capital gains and 4.92% from dividends. My total return to March 24, 2020 assuming price of $45.90, my total return is 12.65% to date, with 7.46% from capital gains and 5.19% from dividends. I have done well with this stock.
On my other blog I wrote yesterday about AltaGas Ltd (TSX-ALA, OTC-ATGFF) ... learn more. Next, I will write about BCE Inc (TSX-BCE, NYSE-BCE) ... learn more on Wednesday, March 23, 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.
I bought this stock in 1987. To the end of February, my total return to date was 12.93% per year with 8.01% from capital gains and 4.92% from dividends. My total return to March 24, 2020 assuming price of $45.90, my total return is 12.65% to date, with 7.46% from capital gains and 5.19% from dividends. I have done well with this stock.
On my other blog I wrote yesterday about AltaGas Ltd (TSX-ALA, OTC-ATGFF) ... learn more. Next, I will write about BCE Inc (TSX-BCE, NYSE-BCE) ... learn more on Wednesday, March 23, 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, March 19, 2020
230 Years of Interest Rates by Taylor and Kangas
230 years of Data Show Rates Will Soon Hit to 0.50% by Bryan Taylor and Michelle Kangas, Global Financial Data.
While everyone has been concerned about the selloff in the stock market in the past two weeks, this decline should be contrasted with the rapid rise in the price of government bonds. For the first time in history, the yield on the 10-year government bond fell below 1%.
As Figure 1 illustrates, the 75-year interest rate pyramid is continuing its path toward new lows. The pyramid began on November 30, 1945 when the 10-year bond yielded 1.55%. The yield gradually rose for the next 36 years, peaking at 15.84% on September 30, 1981. The yield has trended downward for the past 39 years, and now has sunk below 1%. The past 75 years have provided a near mirror image in bond yields. So, what does it mean?
Figure 1. U.S. 10-year Bond Yield, 1940 to 2020
Before the current downturn, the lowest yield on the 10-year bond was 1.37% which occurred on July 5, 2016. We analyzed the 75-year interest rate pyramid in the blog “Government Bond Yields and Returns in the 2020s” which was published on January 8. We predicted the continued decline in government bond yields in the United States during the coming decade. With negative interest rates on most 10-year bonds in Europe and Japan, there is no reason why yields in the United States shouldn’t continue to decline.
The 10-year bond yielded over 3% in November 2018 and by December 31, 2019, the yield on the 10-year bond had fallen to 1.92%. Today, the yield is half that. This decline has provided an 8% return to fixed-income investors during the past two months as the price of government bonds has risen. A 10-basis point decline in the yield rewards investors with a short-term gain of about 1%.
In the blog “300 Years of the Equity-risk Premium” published on February 5, we predicted that the total return to government bonds over the next 10 years will be around 2% per annum or less. This return can only occur through the continued decline in bond yields and increase in the price of government bonds. As we explained, government bonds have outperformed stocks since 2000; however, our analysis indicates that the return to bonds will be lower than the return to stocks over the coming decade.
The 5-year bond yield fell to almost 0.5% back in 2012. So why can’t the 10-year bond yield decline to 0.5% in 2020? Figure 2 provides 230 years of bond yield data, which shows each decline building a deeper valley indicating that interest rates will soon reach a lower low. We believe it is only a matter of time before the yield on the U.S. 10-year bond hits 0.5%.
Figure 2. U.S. 10-year Bond Yield, 1786 to 2020 Dr. Bryan Taylor is President and Chief Economist for Global Financial Data. He received his Ph.D. from Claremont Graduate University in Economics writing about the economics of the arts. He has taught both economics and finance at numerous universities in southern California and in Switzerland. He began putting together the Global Financial Database in 1990, collecting and transcribing financial and economic data from historical archives around the world.
Dr. Taylor has published numerous articles and blogs based upon the Global Financial Database, the US Stocks and the GFD Indices. Dr. Taylor’s research has uncovered previously unknown aspects of financial history. He has written two books on financial history.
On my other blog I wrote yesterday about TransAlta Corp (TSX-TA, NSYE-TAC)) ... learn more. Next, I will write about TC Energy Corp (TSX-TRP, NYSE-TRP) ... learn more on Friday, March 20, 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.
While everyone has been concerned about the selloff in the stock market in the past two weeks, this decline should be contrasted with the rapid rise in the price of government bonds. For the first time in history, the yield on the 10-year government bond fell below 1%.
As Figure 1 illustrates, the 75-year interest rate pyramid is continuing its path toward new lows. The pyramid began on November 30, 1945 when the 10-year bond yielded 1.55%. The yield gradually rose for the next 36 years, peaking at 15.84% on September 30, 1981. The yield has trended downward for the past 39 years, and now has sunk below 1%. The past 75 years have provided a near mirror image in bond yields. So, what does it mean?
Figure 1. U.S. 10-year Bond Yield, 1940 to 2020
Before the current downturn, the lowest yield on the 10-year bond was 1.37% which occurred on July 5, 2016. We analyzed the 75-year interest rate pyramid in the blog “Government Bond Yields and Returns in the 2020s” which was published on January 8. We predicted the continued decline in government bond yields in the United States during the coming decade. With negative interest rates on most 10-year bonds in Europe and Japan, there is no reason why yields in the United States shouldn’t continue to decline.
The 10-year bond yielded over 3% in November 2018 and by December 31, 2019, the yield on the 10-year bond had fallen to 1.92%. Today, the yield is half that. This decline has provided an 8% return to fixed-income investors during the past two months as the price of government bonds has risen. A 10-basis point decline in the yield rewards investors with a short-term gain of about 1%.
In the blog “300 Years of the Equity-risk Premium” published on February 5, we predicted that the total return to government bonds over the next 10 years will be around 2% per annum or less. This return can only occur through the continued decline in bond yields and increase in the price of government bonds. As we explained, government bonds have outperformed stocks since 2000; however, our analysis indicates that the return to bonds will be lower than the return to stocks over the coming decade.
The 5-year bond yield fell to almost 0.5% back in 2012. So why can’t the 10-year bond yield decline to 0.5% in 2020? Figure 2 provides 230 years of bond yield data, which shows each decline building a deeper valley indicating that interest rates will soon reach a lower low. We believe it is only a matter of time before the yield on the U.S. 10-year bond hits 0.5%.
Figure 2. U.S. 10-year Bond Yield, 1786 to 2020 Dr. Bryan Taylor is President and Chief Economist for Global Financial Data. He received his Ph.D. from Claremont Graduate University in Economics writing about the economics of the arts. He has taught both economics and finance at numerous universities in southern California and in Switzerland. He began putting together the Global Financial Database in 1990, collecting and transcribing financial and economic data from historical archives around the world.
Dr. Taylor has published numerous articles and blogs based upon the Global Financial Database, the US Stocks and the GFD Indices. Dr. Taylor’s research has uncovered previously unknown aspects of financial history. He has written two books on financial history.
On my other blog I wrote yesterday about TransAlta Corp (TSX-TA, NSYE-TAC)) ... learn more. Next, I will write about TC Energy Corp (TSX-TRP, NYSE-TRP) ... learn more on Friday, March 20, 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, March 17, 2020
Canadian Tire and Short Sellers
Apparently, US short sellers have been targeting Canadian Tire says Victor Ferreira at The Province a Vancouver newspaper. He has another report in the Vancouver Sun on this subject. The analysts on Stock Chase seem more upbeat.
On my other blog I wrote yesterday about Enbridge Inc (TSX-ENB, NYSE-ENB) ... learn more. Next, I will write about TransAlta Corp (TSX-TA, NSYE-TAC)) ... learn more on Wednesday, March 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.
On my other blog I wrote yesterday about Enbridge Inc (TSX-ENB, NYSE-ENB) ... learn more. Next, I will write about TransAlta Corp (TSX-TA, NSYE-TAC)) ... learn more on Wednesday, March 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, March 12, 2020
International Investing
I am always interested in International Investing, I have not done any for quite some time now. I used to have some US and International stocks. I never owned any international indexes until recently when in my US Account I bought a Dow Jones TD Bank Index Fund for my US account as I did not know what to do with the money left in this account.
What turned me off US stock investing as I had a couple of US investment where the company went bankrupt and I did not know they were in trouble. With the International Stock I owned, some were ok and one got into trouble in 2008, which was Barclay’s bank which I no longer own.
I must admit I have not recently read anything good about either international investing nor European investing for quite some time now. This article is rather negative on investing in Europe. I read a lot about economics and European economies have not done well for a while.
On my other blog I wrote yesterday about H & R Real Estate Trust (TSX-HR.UN, OTC-HRUFF) ... learn more. Next, I will write about Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF) ... learn more on Friday, March 13, 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.
What turned me off US stock investing as I had a couple of US investment where the company went bankrupt and I did not know they were in trouble. With the International Stock I owned, some were ok and one got into trouble in 2008, which was Barclay’s bank which I no longer own.
I must admit I have not recently read anything good about either international investing nor European investing for quite some time now. This article is rather negative on investing in Europe. I read a lot about economics and European economies have not done well for a while.
On my other blog I wrote yesterday about H & R Real Estate Trust (TSX-HR.UN, OTC-HRUFF) ... learn more. Next, I will write about Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF) ... learn more on Friday, March 13, 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, March 10, 2020
Shopify
There is a recent write up of this company on Daily Advise. I know a lot of people think that this is a great tech stock to buy. At my investment club meetings, someone always brings this stock up. They said that most analysts think that this company is a real alternative to Amazon.
On my other blog I wrote yesterday about Allied Properties Real Estate Investment Trust (TSX-AP.UN, OTC-APYRF) ... learn more. Next, I will write about H & R Real Estate Trust (TSX-HR.UN, OTC-HRUFF) ... learn more on Wednesday, March 11, 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 Allied Properties Real Estate Investment Trust (TSX-AP.UN, OTC-APYRF) ... learn more. Next, I will write about H & R Real Estate Trust (TSX-HR.UN, OTC-HRUFF) ... learn more on Wednesday, March 11, 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, March 5, 2020
Something to Buy March 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 March 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. Seven of these stocks (30%) are showing as cheap by the historically high dividend yield and they are Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Dorel Industries (TSX-DII.B, OTC-DIIBF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Magna International Inc. (TSX-MG, NYSE-MGA), Molson Coors Canada (TSX-TPX.B, NYSE-TAP), Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF), and Stingray Digital Group Inc (TSX-RAY.A). Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Magna International Inc. (TSX-MG, NYSE-MGA) have been added to this list.
Fifteen (or 65%) of Consumer Discretionary are showing cheap by historical median dividend yield. They are BRP Inc (TSX-DOO, NYSE-DOOO), Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Dorel Industries (TSX-DII.B, OTC-DIIBF), Goeasy Ltd (TSX-GSY, OTC-EHMEF), Goodfellow Inc (TSX-GDL, OTC-GFELF), High Liner Foods (TSX-HLF, OTC-HLNFF), Keg Royalties Income Fund (TSX-KEG.UN, OTC-KRIUF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Linamar Corporation (TSX-LNR, OTC-LIMAF), 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), Savaria Corporation (TSX-SIS, OTC-SISXF), and Stingray Digital Group Inc (TSX-RAY.A). BRP Inc (TSX-DOO, NYSE-DOOO), Goeasy Ltd (TSX-GSY, OTC-EHMEF), Keg Royalties Income Fund (TSX-KEG.UN, OTC-KRIUF), Linamar Corporation (TSX-LNR, OTC-LIMAF), and Savaria Corporation (TSX-SIS, OTC-SISXF), has been added to 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.
Six stocks (or 60%) are showing cheap by historical median dividend yield. These are Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), Empire Company Ltd (TSX-EMP.A, OTC-EMLAF), Loblaw Companies (TSX-L, OTC-LBLCF), Metro Inc (TSX-MRU, OTC-MTRAF), North West Company (TSX-NWC, OTC-NWTUF), and Saputo Inc. (TSX-SAP, OTC-SAPIF). Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), and North West Company (TSX-NWC, OTC-NWTUF) has been added to 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. Four stocks or 40% are showing as cheap by the historical high dividend yield. They are Canadian Natural Resources (TSX-CNQ, NYSE-CNQ), Ensign Energy Services (TSX-ESI, OTC-ESVIF), and Suncor Energy (TSX-SU, NYSE-SU). Canadian Natural Resources (TSX-CNQ, NYSE-CNQ), and Suncor Energy (TSX-SU, NYSE-SU) has been added to the list.
There are Eight stocks (or 80%) showing cheap by historical median dividend yield. They are ARC Resources Ltd (TSX-ARX, OTC-AETUF), 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), Mullen Group (TSX-MTL, OTC-MLLGF), Ovintiv Inc (TSX-OVV, OTC-OVV), and Suncor Energy (TSX-SU, NYSE-SU). ARC Resources Ltd (TSX-ARX, OTC-AETUF) has been added to this list.
I follow 8 Bank stocks. One (12.5%) is showing as cheap by the historically high dividend yield and it is Barclays PLC (LSE-BARC, NYSE-BCS). Barclays PLC (LSE-BARC, NYSE-BCS) has been added to this list.
Seven stocks (or 88%) are showing cheap by historical median dividend yield. They are Bank of Montreal (TSX-BMO, NYSE-BMO), Bank of Nova Scotia (TSX-BNS, NYSE-BNS), Barclays PLC (LSE-BARC, NYSE-BCS), CIBC (TSX-CM, NYSE-CM), National Bank of Canada (TSX-NA, OTC-NTIOF), Royal Bank (TSX-RY, NYSE-RY), and Toronto Dominion Bank (TSX-TD, NYSE-TD). Bank of Montreal (TSX-BMO, NYSE-BMO), and National Bank of Canada (TSX-NA, OTC-NTIOF) has been added to 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.
Eight (or 57%) 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), Equitable Group Inc (TSX-EQB, OTC-EQGPF), IGM Financial (TSX-IGM, OTC-IGIFF), Onex Corp (TSX-ONEX, OTC-ONEXF) and Power Corp (TSX-POW, OTC-PWCDF). Equitable Group Inc (TSX-EQB, OTC-EQGPF) 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.
Five stocks (or 83%) 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), Power Financial Corp (TSX-PWF, OTC-POFNF), and Sun Life Financial (TSX-SLF, NYSE-SLF) Sun Life Financial (TSX-SLF, NYSE-SLF) has been added to 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.
Three stocks or 50% 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), and Toromont Industries Ltd (TSX-TIH, OTC-TMTNF). Toromont Industries Ltd (TSX-TIH, OTC-TMTNF) 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. One (14%) is showing as cheap by the historically high dividend yield and it is Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF). Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF) had been added to this list.
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.
Five stocks or 31% 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), Ritchie Bros Auctioneers Inc (TSX-RBA, NYSE-RBA), Transcontinental Inc (TSX-TCL.A, OTC-TCLAF) and Wajax Corp (TSX-WJX, OTC-WJXFF). Ritchie Bros Auctioneers Inc (TSX-RBA, NYSE-RBA) has been added to this list.
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. Three stocks (or 20%) are showing as cheap by historical median dividend yield. They are Melcor Developments Inc. (TSX-MRD, OTC-MODVF), H & R REIT (TSX-HR.UN, OTC-HRUFF), and SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF). H & R REIT (TSX-HR.UN, OTC-HRUFF) has been added to this list.
I follow 3 of the Telecom Service stocks. One (33%) stocks is showing as cheap by historically high dividend yield and it is Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR). Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR) has been added to this list.
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.
Three stocks (or 43%) are showing cheap by historical median dividend yield. They are Enbridge Inc. (TSX-ENB, NYSE-ENB), Keyera Corp (TSX-KEY, OTC-KEYUF), and TC Energy Corp (TSX-TRP, NYSE-TRP). TC Energy Corp (TSX-TRP, NYSE-TRP) has been added to 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 Home Capital Group (TSX-HCG, OTC-HMCBF) ... learn more. Next, I will write about RioCan Real Estate (TSX-REI.UN, OTC-RIOCF) ... learn more on Friday, March 6, 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 March 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. Seven of these stocks (30%) are showing as cheap by the historically high dividend yield and they are Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Dorel Industries (TSX-DII.B, OTC-DIIBF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Magna International Inc. (TSX-MG, NYSE-MGA), Molson Coors Canada (TSX-TPX.B, NYSE-TAP), Reitmans (Canada) Ltd. (TSX-RET.A, OTC-RTMAF), and Stingray Digital Group Inc (TSX-RAY.A). Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Magna International Inc. (TSX-MG, NYSE-MGA) have been added to this list.
Fifteen (or 65%) of Consumer Discretionary are showing cheap by historical median dividend yield. They are BRP Inc (TSX-DOO, NYSE-DOOO), Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Dorel Industries (TSX-DII.B, OTC-DIIBF), Goeasy Ltd (TSX-GSY, OTC-EHMEF), Goodfellow Inc (TSX-GDL, OTC-GFELF), High Liner Foods (TSX-HLF, OTC-HLNFF), Keg Royalties Income Fund (TSX-KEG.UN, OTC-KRIUF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Linamar Corporation (TSX-LNR, OTC-LIMAF), 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), Savaria Corporation (TSX-SIS, OTC-SISXF), and Stingray Digital Group Inc (TSX-RAY.A). BRP Inc (TSX-DOO, NYSE-DOOO), Goeasy Ltd (TSX-GSY, OTC-EHMEF), Keg Royalties Income Fund (TSX-KEG.UN, OTC-KRIUF), Linamar Corporation (TSX-LNR, OTC-LIMAF), and Savaria Corporation (TSX-SIS, OTC-SISXF), has been added to 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.
Six stocks (or 60%) are showing cheap by historical median dividend yield. These are Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), Empire Company Ltd (TSX-EMP.A, OTC-EMLAF), Loblaw Companies (TSX-L, OTC-LBLCF), Metro Inc (TSX-MRU, OTC-MTRAF), North West Company (TSX-NWC, OTC-NWTUF), and Saputo Inc. (TSX-SAP, OTC-SAPIF). Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), and North West Company (TSX-NWC, OTC-NWTUF) has been added to 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. Four stocks or 40% are showing as cheap by the historical high dividend yield. They are Canadian Natural Resources (TSX-CNQ, NYSE-CNQ), Ensign Energy Services (TSX-ESI, OTC-ESVIF), and Suncor Energy (TSX-SU, NYSE-SU). Canadian Natural Resources (TSX-CNQ, NYSE-CNQ), and Suncor Energy (TSX-SU, NYSE-SU) has been added to the list.
There are Eight stocks (or 80%) showing cheap by historical median dividend yield. They are ARC Resources Ltd (TSX-ARX, OTC-AETUF), 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), Mullen Group (TSX-MTL, OTC-MLLGF), Ovintiv Inc (TSX-OVV, OTC-OVV), and Suncor Energy (TSX-SU, NYSE-SU). ARC Resources Ltd (TSX-ARX, OTC-AETUF) has been added to this list.
I follow 8 Bank stocks. One (12.5%) is showing as cheap by the historically high dividend yield and it is Barclays PLC (LSE-BARC, NYSE-BCS). Barclays PLC (LSE-BARC, NYSE-BCS) has been added to this list.
Seven stocks (or 88%) are showing cheap by historical median dividend yield. They are Bank of Montreal (TSX-BMO, NYSE-BMO), Bank of Nova Scotia (TSX-BNS, NYSE-BNS), Barclays PLC (LSE-BARC, NYSE-BCS), CIBC (TSX-CM, NYSE-CM), National Bank of Canada (TSX-NA, OTC-NTIOF), Royal Bank (TSX-RY, NYSE-RY), and Toronto Dominion Bank (TSX-TD, NYSE-TD). Bank of Montreal (TSX-BMO, NYSE-BMO), and National Bank of Canada (TSX-NA, OTC-NTIOF) has been added to 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.
Eight (or 57%) 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), Equitable Group Inc (TSX-EQB, OTC-EQGPF), IGM Financial (TSX-IGM, OTC-IGIFF), Onex Corp (TSX-ONEX, OTC-ONEXF) and Power Corp (TSX-POW, OTC-PWCDF). Equitable Group Inc (TSX-EQB, OTC-EQGPF) 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.
Five stocks (or 83%) 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), Power Financial Corp (TSX-PWF, OTC-POFNF), and Sun Life Financial (TSX-SLF, NYSE-SLF) Sun Life Financial (TSX-SLF, NYSE-SLF) has been added to 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.
Three stocks or 50% 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), and Toromont Industries Ltd (TSX-TIH, OTC-TMTNF). Toromont Industries Ltd (TSX-TIH, OTC-TMTNF) 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. One (14%) is showing as cheap by the historically high dividend yield and it is Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF). Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF) had been added to this list.
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.
Five stocks or 31% 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), Ritchie Bros Auctioneers Inc (TSX-RBA, NYSE-RBA), Transcontinental Inc (TSX-TCL.A, OTC-TCLAF) and Wajax Corp (TSX-WJX, OTC-WJXFF). Ritchie Bros Auctioneers Inc (TSX-RBA, NYSE-RBA) has been added to this list.
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. Three stocks (or 20%) are showing as cheap by historical median dividend yield. They are Melcor Developments Inc. (TSX-MRD, OTC-MODVF), H & R REIT (TSX-HR.UN, OTC-HRUFF), and SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF). H & R REIT (TSX-HR.UN, OTC-HRUFF) has been added to this list.
I follow 3 of the Telecom Service stocks. One (33%) stocks is showing as cheap by historically high dividend yield and it is Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR). Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR) has been added to this list.
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.
Three stocks (or 43%) are showing cheap by historical median dividend yield. They are Enbridge Inc. (TSX-ENB, NYSE-ENB), Keyera Corp (TSX-KEY, OTC-KEYUF), and TC Energy Corp (TSX-TRP, NYSE-TRP). TC Energy Corp (TSX-TRP, NYSE-TRP) has been added to 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 Home Capital Group (TSX-HCG, OTC-HMCBF) ... learn more. Next, I will write about RioCan Real Estate (TSX-REI.UN, OTC-RIOCF) ... learn more on Friday, March 6, 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, March 3, 2020
Dividend Stocks March 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 March 2020. On this list,
Barclays PLC (UK£, US$) (LSE-BARC, NYSE-BCS)
Barrick Gold Corp (TSX-ABX, NYSE-ABX)
BCE (TSX-BCE, NYSE-BCE)
Brookfield Asset Management (TSX-BAM.A, NYSE-BAM)
Brookfield Infrastructure Partners (TSX-BIP.UN, NYSE-BIP)
CCL Industries (TSX-CCL.B, OTC-CCDBF)
CIBC (TSX-CM, NYSE-CM)
Equitable Group Inc 9TSX-EQB, OTC-EQGPF)
FirstService Corp (TSX-FSV, NASDAQ-FSV)
Goeasy Ltd. (TSX-GSY, OTC-EHMEF)
Great-West Lifeco Inc (TSX-GWO, OTC-GWLIF)
IA Financial Corp (TSX-IAG, OTC-IDLLF)
Intact Financial Corp (TSX-IFC, OTC-IFCZF)
Kirkland Lake Gold (TSX-KL, NYSE-KL)
Leon's Furniture (TSX-LNF, OTC-LEFUF)
Magna International Inc. (TSX-MG, NYSE-MGA)
Manulife Financial Corp (TSX-MFC, NYSE-MFC)
Royal Bank of Canada (TSX-RY, NYSE-RY)
Stantec Inc (TSX-STN, NYSE-STN)
Stingray Digital Group Inc (TSX-RAY.A, OTC-None)
TC Energy Corp (TSX-TRP, NYSE-TRP)
Thomson Reuters Corp (TSX-TRI, NYSE-TRI)
Toromont Industries Ltd (TSX-TIH, OTC-TMTNF) Toronto Dominion Bank (TSX-TD, NYSE-TD)
Transcontinental Inc (TSX-TCL.A, OTC-TCLAF)
Most stocks went down in price from last month except for the 18 stocks listed below. So, this is 18 out of 158 stock that went up or 11%. My Spreadsheet is here.
Algonquin Power & Utilities Corp (TSX-AQN, NYSE-AQN) Artis REIT (TSX-AX.UN, OTC-ARESF)
Barrick Gold Corp (TSX-ABX, NYSE-ABX)
Calian Group Ltd. (TSX-CGY, OTC-CLNFF)
Exco Technologies Ltd (TSX-XTC, OTC-EXCOF)
FirstService Corp (TSX-FSV, NASDAQ-FSV)
Innergex Renewable Energy (TSX-INE, OTC-INGXF)
Intact Financial Corp. (TSX-IFC, OTC-IFCZF)
K-Bro Linen Inc (TSX-KBL, OTC-KBRLF)
Leon's Furniture (TSX-LNF, OTC-LEFUF)
Power Financial Corp (TSX-PWF, OTC-POFNF)
Northland Power Inc (TSX-NPI, OTC-NPIFF)
Rogers' Sugar (TSX-RSI, OTC-RSGUF)
SNC-Lavalin (TSX-SNC, OTC-SNCAF)
Stantec Inc (TSX-STN, NYSE-STN)
TransAlta Corp (TSX-TA, NYSE-TAC)
Transcontinental Inc (TSX-TCL.A, OTC-TCLAF)
Waste Connections Inc (TSX-WCN, NYSE-WCN)
Of the stocks I follow, none have cut their dividends. Of the stocks I follow, no stock has suspended or terminated 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 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 10 year median dividend yields (P/10 Y). 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 Bombardier Inc (TSX-BBD.B, OTC-BDRBF) ... learn more. Next, I will write about Home Capital Group (TSX-HCG, OTC-HMCBF) ... learn more on Wednesday, March 4, 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 March 2020. On this list,
- I have 17 stocks with a dividend yield higher than the historical high dividend yield,
- I have 56 stocks with a dividend yield higher than the historical average dividend yield
- I have 87 stocks with a dividend yield higher than the historical median dividend yield and
- 87 stocks with a dividend yield higher than the 5 year average dividend yield.
- 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 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.
Barclays PLC (UK£, US$) (LSE-BARC, NYSE-BCS)
Barrick Gold Corp (TSX-ABX, NYSE-ABX)
BCE (TSX-BCE, NYSE-BCE)
Brookfield Asset Management (TSX-BAM.A, NYSE-BAM)
Brookfield Infrastructure Partners (TSX-BIP.UN, NYSE-BIP)
CCL Industries (TSX-CCL.B, OTC-CCDBF)
CIBC (TSX-CM, NYSE-CM)
Equitable Group Inc 9TSX-EQB, OTC-EQGPF)
FirstService Corp (TSX-FSV, NASDAQ-FSV)
Goeasy Ltd. (TSX-GSY, OTC-EHMEF)
Great-West Lifeco Inc (TSX-GWO, OTC-GWLIF)
IA Financial Corp (TSX-IAG, OTC-IDLLF)
Intact Financial Corp (TSX-IFC, OTC-IFCZF)
Kirkland Lake Gold (TSX-KL, NYSE-KL)
Leon's Furniture (TSX-LNF, OTC-LEFUF)
Magna International Inc. (TSX-MG, NYSE-MGA)
Manulife Financial Corp (TSX-MFC, NYSE-MFC)
Royal Bank of Canada (TSX-RY, NYSE-RY)
Stantec Inc (TSX-STN, NYSE-STN)
Stingray Digital Group Inc (TSX-RAY.A, OTC-None)
TC Energy Corp (TSX-TRP, NYSE-TRP)
Thomson Reuters Corp (TSX-TRI, NYSE-TRI)
Toromont Industries Ltd (TSX-TIH, OTC-TMTNF) Toronto Dominion Bank (TSX-TD, NYSE-TD)
Transcontinental Inc (TSX-TCL.A, OTC-TCLAF)
Most stocks went down in price from last month except for the 18 stocks listed below. So, this is 18 out of 158 stock that went up or 11%. My Spreadsheet is here.
Algonquin Power & Utilities Corp (TSX-AQN, NYSE-AQN) Artis REIT (TSX-AX.UN, OTC-ARESF)
Barrick Gold Corp (TSX-ABX, NYSE-ABX)
Calian Group Ltd. (TSX-CGY, OTC-CLNFF)
Exco Technologies Ltd (TSX-XTC, OTC-EXCOF)
FirstService Corp (TSX-FSV, NASDAQ-FSV)
Innergex Renewable Energy (TSX-INE, OTC-INGXF)
Intact Financial Corp. (TSX-IFC, OTC-IFCZF)
K-Bro Linen Inc (TSX-KBL, OTC-KBRLF)
Leon's Furniture (TSX-LNF, OTC-LEFUF)
Power Financial Corp (TSX-PWF, OTC-POFNF)
Northland Power Inc (TSX-NPI, OTC-NPIFF)
Rogers' Sugar (TSX-RSI, OTC-RSGUF)
SNC-Lavalin (TSX-SNC, OTC-SNCAF)
Stantec Inc (TSX-STN, NYSE-STN)
TransAlta Corp (TSX-TA, NYSE-TAC)
Transcontinental Inc (TSX-TCL.A, OTC-TCLAF)
Waste Connections Inc (TSX-WCN, NYSE-WCN)
Of the stocks I follow, none have cut their dividends. Of the stocks I follow, no stock has suspended or terminated 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 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 10 year median dividend yields (P/10 Y). 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 Bombardier Inc (TSX-BBD.B, OTC-BDRBF) ... learn more. Next, I will write about Home Capital Group (TSX-HCG, OTC-HMCBF) ... learn more on Wednesday, March 4, 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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