Thursday, April 28, 2022

Sustainable Investing

You might find this article on Money Sense called "Why sustainable investing is important" interesting.

On my other blog I wrote yesterday about Barclays PLC ADR (LSE-BARC, NYSE-BCS) ... learn more. Next, I will write about SNC-Lavalin Group Inc (TSX-SNC, OTC-SNCAF) ... learn more on Friday, April 29, 2022 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Tuesday, April 26, 2022

Investing FOMO

Investing FOMO, or Investing and Fear of Missing Out (FOMO). In this article from Money Sense, Dan Bortolotti talks about investing in ETFs. He also mentions that Warren Buffett has said he wants 90% of his estate to be invested in an S&P 500 index fund when he dies. Maybe his executors “aren’t able to do the research.”

Dan Bortolotti is also know from his well-known blog called Canadian Couch Potato.

On my other blog I wrote yesterday about Canadian Natural Resources (TSX-CNQ, NYSE-CNQ) ... learn more. Next, I will write about Barclays PLC ADR (LSE-BARC, NYSE-BCS) ... learn more on Wednesday, April 27, 2022 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Thursday, April 21, 2022

Common Sense

In this article from Advice for Investors the author says the plodder who methodically accumulates shares in high-quality stocks over the years, almost always does better in the long run than those who aim for quick profits. This is an article from MPL Communications’ Investment Reporter.

On my other blog I wrote yesterday about Barrick Gold Corp (TSX-ABX, NYSE-GOLD) ... learn more. Next, I will write about Pembina Pipelines Corp (TSX-PPL, NYSE-PBA) ... learn more on Friday, April 22, 2022 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Tuesday, April 19, 2022

Stocks that Raise their Dividends

An article from Advice for Investors says you should seek out stocks that regularly raise their dividends. They are key Dividend Aristocrat stocks and some are mentioned in this article from MPL Communications’ Investment Reporter

On my other blog I wrote yesterday about Leon's Furniture Ltd (TSX-LNF, OTC-LEFUF) ... learn more. Next, I will write about Barrick Gold Corp (TSX-ABX, NYSE-GOLD) ... learn more on Wednesday, April 20, 2022 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Thursday, April 14, 2022

Flexibility is an Advantage

This article on Advice for Investors talk about small investors being able to move in and out of markets without disturbing a thing. This is an advance. The article is from MPL Communications Money Letter report.

On my other blog I wrote yesterday about Toromont Industries Ltd (TSX-TIH, OTC-TMTNF) ... learn more. Next, I will write about Supremex Inc (TSX-SXP, OTC-SUMXF) ... learn more on Friday, April 15, 2022 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Tuesday, April 12, 2022

Canadian Stock Channel

I get a weekly newsletter from Canadian Stock Channel which lists what they think is the top Canadian Dividend stocks in each category they have. They had solid Canadian Dividend stocks. If you are looking for some Canadian dividend stock to buy this is a good list to look at.

To receive the weekly newsletter, go to the site above and scroll down a bit, and they have a red banner with Free Weekly Dividend Newsletter on the left side of the site. Click on the link below and you will be taken to a site where you can sign up. (You might have to click on the X, top right corner of a pop-up ad to get to the sign up page.)

On my other blog I wrote yesterday about Alaris Equity Partners Income Trust (TSX-AD, OTC-ALARF) ... learn more. Next, I will write about Toromont Industries Ltd (TSX-TIH, OTC-TMTNF) ... learn more on Wednesday, April 13, 2022 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Thursday, April 7, 2022

Something to Buy April 2022

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 dividend yield test in this note is a quick way of finding possible stock buys. See my Spreadsheet .

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 price 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.

If a stock is showing as a buy using the dividend yield test, I usually like to verify it is a buy by doing a P/S Ratio test. Here you compare the current P/S Ratio to the 10 year median P/S Ratio. If the current P/S Ratio is lower than the 10 year median, then the stock is a buy. I note that Morningstar gives a current P/S Ratio. The 10 year median ratio is shown in my review of a stock. The 10 year median ratio in a review is good for one year from the date of review.

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 April 2022 Spreadsheet above to see what stocks are showing whether a stock is relatively cheap based on historical high dividend yields (P/Hi), historical average dividend yields (P/Ave), historical median dividend yields (P/Med) or on 5 year median dividend yields (P/5Yr). As in other spreadsheets, you can highlight a line or a number of lines for better viewing.

In the following notes I am only going to list stocks showing as cheap using the historical high dividend yields (P/Hi) and historical median dividend yields (P/Med).

I follow 22 stocks in the Consumer Discretionary category. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

Ten (45%) of Consumer Discretionary are showing cheap by historical median dividend yield. They are Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), Goeasy Ltd (TSX-GSY, OTC-EHMEF), Goodfellow Inc (TSX-GDL, OTC-GFELF), High Liner Foods (TSX-HLF, OTC-HLNFF), 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), Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF), and Stingray Digital Group Inc (TSX-RAY.A). Keg Royalties Income Fund, (TSX-KEG.UN, OTC-KRIUF) has been removed from this list.

I follow 13 Consumer Staples stocks. No stock (0%) is showing as cheap by the historically high dividend yield. There is no change from last month.

Eight stocks (62%) are showing cheap by historical median dividend yield. These are Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), OTC-EMLAF), KP Tissue Inc (TSX-KPT, NYSE-KPTSF), Lassonde Industries (TSX-LAS.A, OTC-LSDAF), Loblaw Companies (TSX-L, OTC-LBLCF), Maple Leaf Foods Inc (TSX-MFI, OTC-MLFNF), Metro Inc (TSX-MRU, OTC-MTRAF), Saputo Inc. (TSX-SAP, OTC-SAPIF), and Waterloo Brewing Ltd (TSX-WBR, OTC-BIBLF). Waterloo Brewing Ltd (TSX-WBR, OTC-BIBLF) has been added to this list.

I follow Six Health Care stocks. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

Four stocks (67%) are cheap by the historical median dividend yield. The stocks are HLS Therapeutics Inc (TSX-HLS, OTC-HLTRF), Johnson and Johnson (NYSE-JNJ), Medtronic Inc. (NYSE-MDT), and Neighbourly Pharmacy Inc (TSX-NBLY, OTC-none). There is no change from last month.

I follow 9 Energy stocks. No stock (0%) is showing as cheap by the historical high dividend yield. There is no change from last month.

There are three stocks (22%) showing as cheap by historical median dividend yield. They are Canadian Natural Resources (TSX-CNQ, NYSE-CNQ), Mullen Group (TSX-MTL, OTC-MLLGF) and Suncor Energy (TSX-SU, NYSE-SU). There is no change from last month.

I follow 26 Financial stocks under the categories of Banks (8), Financial Services (13), and Insurance (5).

I follow 8 Bank stocks. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

Four stocks (50%) are showing as cheap by historical median dividend yield. They are Bank of Nova Scotia (TSX-BNS, NYSE-BNS), Barclays PLC (LSE-BARC, NYSE-BCS), Home Capital Group (TSX-HCG, OTC-HMCBF), and Toronto Dominion Bank (TSX-TD, NYSE-TD). There is no change from last month.

I follow 13 Financial Service stocks. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

Six stocks (46%) are showing as 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), Element Fleet Management Corp (TSX-EFN, OTC-ELEEF), Equitable Group Inc (TSX-EQB, OTC-EQGPF), IGM Financial (TSX-IGM, OTC-IGIFF), and Power Corp (TSX-POW, OTC-PWCDF). There is no change from last month.

I follow 5 Insurance stocks. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

Four stocks (80%) are showing as cheap by historical median dividend yield. These stocks are Great-West Lifeco Inc. (TSX-GWO, OTC-GWLIF), IA Financial Corp (TSX-IAG, OTC-IDLLF), and Manulife Financial Corp (TSX-MFC, NYSE-MFC), Sun Life Financial (TSX-SLF, NYSE-SLF). There is no change from last month.

I follow 33 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 7 Construction stocks. One stock (14%) is showing as cheap by the historically high dividend yield. It is Aecon Group Inc (TSX-ARE, OTC-AEGXF). There is no change from last month.

Two stock (29%) are showing as cheap by historical median dividend yield. They are Aecon Group Inc (TSX-ARE, OTC-AEGXF) and Badger Infrastructure Solutions Ltd (TSX-BDGI, OTC-BADFF). There is no change from last month.

I have 3 stocks left with the sub-index of Industrial . None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

One stock (33%) is showing as cheap by historical median dividend yield. It is Finning International Inc. (TSX-FTT, OTC-FINGF). There is no change from last month.

I have 6 Manufacturing stocks. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

One stock (14%) is showing as cheap by historical median dividend yield. It is Exco Technologies Ltd. (TSX-XTC, OTC-EXCOF). There is no change from last month.

I follow 17 Services stocks. One of these stocks (6.25%) is showing as cheap by the historically high dividend yield. It is Titanium Transportation Group Inc (TSX-TTR, OTC-TTTGF). There is no change from last month.

Seven stock (41%) are showing as cheap by historical median dividend yield. They are Algoma Central Corporation (TSX-ALC, OTC-AGMJF), Canadian National Railway (TSX-CNR, NYSE-CNI), Parkland Fuel Corp (TSX-PKI, OTC-PKIUF), Pulse Seismic Inc. (TSX-PSD, OTC-PLSDF), Titanium Transportation Group Inc (TSX-TTR, OTC-TTTGF), Transcontinental Inc (TSX-TCL.A, OTC-TCLAF) and Wajax Corp (TSX-WJX, OTC-WJXFF). Pulse Seismic Inc. (TSX-PSD, OTC-PLSDF) and Wajax Corp (TSX-WJX, OTC-WJXFF have been added to this list.

I follow 9 Material stocks. Kirkland Lake Gold (TSX-KL, NYSE-KL) has merged with Agnico Eagle Mines Limited. No stock (0%) is showing as cheap by the historically high dividend yield. There is no change from last month.

Two stock (22%) are showing as cheap by historical median dividend yield. The stocks are Barrick Gold Corp (TSX-ABX, NYSE-ABX), and Stella-Jones (TSX-SJ, OTC-STLJF). There is no change from last month.

I follow 10 Real Estate stocks. No stocks (0%) are showing as cheap by historically high dividend yield. There is no change from last month.

One stocks (10%) are showing as cheap by historical median dividend yield. It is Melcor Developments Inc. (TSX-MRD, OTC-MODVF). SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF) has been removed from this list.

I follow 3 of the Telecom Service stocks. None of the stocks (0%) are showing as cheap by historically high dividend yield. There is no change from last month.

Two stocks (67%) are showing cheap by historical median dividend yield. These stocks are BCE (TSX-BCE, NYSE-BCE), and Shaw Communications Inc (TSX-SJR.B, NYSE-SJR). There is no change from last month

I follow 10 Tech stocks. No stocks (0%) are showing as cheap by historical high dividend yield. There is no change from last month.

Four stock (40%) are showing cheap by historical median dividend yield. They are Computer Modelling Group Ltd (TSX-CMG, OTC-CMDXF), Enghouse Systems Limited (TSX-ENGH, OTC-EGHSF), Evertz Technologies (TSX-ET, OTC-EVTZF), and Sylogist Ltd (TSXV-SYZ, OTC-SYZLF). There is no change from last month.

I follow 7 of the Infrastructure Type utility companies. None of the stocks (0%) are showing as cheap by historical high dividend yield. There is no change from last month.

Three stocks (38%) 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). There is no change from last month.

I follow 9 of the Power Type utility companies. One stock (10%) is showing as cheap by historical high dividend yield. It is ATCO Ltd (TSX-ACO.X, OTC-ACLLF). There is no change from last month.

Two stocks (22%) are showing as 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 Goodfellow Inc (TSX-GDL, OTC-GFELF) ... learn more. Next, I will write about Sun Life Financial Inc (TSX-SLF, NYSE-SLF) ... learn more on Friday, April 8, 2022 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk . The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Tuesday, April 5, 2022

Dividend Stocks April 2022

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. You might want to get the free weekly newsletter from Canadian Stock Channel which says what might be the best Canadian Dividend Stocks to buy at the present time.

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. Some use the 10 year average or median yield rather than the historical ones. I use median yields, always. See my spreadsheet at dividend growth stocks that I just updated for April 2022. Note: I am no longer looking at Historical average dividend yields.

On this list,
  • I have 3 stocks with a dividend yield higher than the historical high dividend yield,
  • I have 63 stocks with a dividend yield higher than the historical median dividend yield and
  • 65 stocks with a dividend yield higher than the 10 year average dividend yield.
When I did my list last list in March 2022,
  • I have 3 stocks with a dividend yield higher than the historical high dividend yield,
  • I have 64 stocks with a dividend yield higher than the historical median dividend yield and
  • 62 stocks with a dividend yield higher than the 10 year median dividend yield.
When I did my list in January 2014,
  • 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 median dividend yield.
If you had one share of each stock, total dividends last month would be $189.85. This month dividends would be $190.65. It can vary as because some stocks are paid in US$ and so this figure is affected by currency exchange. Of the stock that I follow 10 stocks has raised their dividends since last month.

AGF Management Ltd (TSX-AGF.B, OTC-AGFMF)

Badger Infrastructure Solutions Ltd (TSX-BDGI, OTC-BADFF) BRP Inc (TSX-DOO, NASDAQ-DOOO) Chesswood Group (TSX-CHW, OTC-CHWWF) Melcor Developments Inc (TSX-MRD, OTC-MODVF)

Parkland Fuel Corp (TSX-PKI, OTC-PKIUF) Premium Brands Holdings Corp (TSX-PBH, OTC-PRBZF) Stantec Inc (TSX-STN, NYSE-STN) Stella-Jones (TSX-SJ, OTC-STLJF) Teck Resources Ltd (TSX-TECK.B, NYSE-TECK)

Teck Resources Ltd (TSX-TECK.B, NYSE-TECK) on a Press Release of February 23, 2022 not only increased the dividend 150%, but gave out a supplemental dividend of $0.50 per share payable on March 31, 2022.

Of the stocks I follow, 0 stock has cut their dividends.

Of the stocks I follow, 0 stocks have suspended or terminated their dividend.

Of the stocks I follow, the following declined the most in their stock price.

Name Exch Sym Exch Sym Chge SP
Wajax Corp TSX WJX OTC WJXFF -17.51%
Transcontinental Inc TSX TCL.A OTC TCLAF -16.07%
Trigon Metals Inc. TSXV TM OTC PNTZF -14.89%
Waterloo Brewing Ltd TSX WBR OTC BIBLF -14.15%
Dorel Industries TSX DII.B OTC DIIBF -13.84%
Hardwoods Distribution TSX HDI OTC HDIUF -12.52%
Linamar Corporation TSX LNR OTC LIMAF -8.61%
Stantec Inc TSX STN NYSE STN -6.80%
LifeWorks Inc TSX LWRK OTC MSIXF -6.63%
Richelieu Hardware Ltd TSX RCH OTC RHUHF -6.22%

Of the stock that I follow, these stocks gained the most in their stock price.

Name Exch Sym Exch Sym Chge SP
Trican Well Service Ltd TSX TCW OTC TOLWF 15.03%
Enghouse Systems TSX ENGH OTC EGHSF 15.21%
Maxar Technologies Ltd TSX MAXR NYSE MAXR 15.68%
Ballard Power Systems TSX BLDP NASDAQ BLDP 16.91%
Badger Infrastructure TSX BDGI OTC BADFF 17.46%
BRP Inc TSX DOO NASDAQ DOOO 24.80%
Pason Systems Inc. TSX PSI OTC PSYTF 27.03%
Ensign Energy Services TSX ESI OTC ESVIF 37.45%
Alcanna Inc. TSX CLIQ OTC LQSIF 39.45%
Intertape Polymer Group TSX ITP OTC ITPOF 68.15%

Most of my stocks started out as Dividend Payers. Currently 14 stocks are not paying any dividends and this would be some 8.92% of the stocks that I follow. Three of these stocks never had dividends, so 7.01% 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/10Y). 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 Melcor Developments Inc (TSX-MRD, OTC-MODVF) ... learn more. Next, I will write about Goodfellow Inc (TSX-GDL, OTC-GFELF) ... learn more on Tuesday, April 06, 2022 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.