Dividend stocks make cash payouts that serve as a way for companies to share the wealth they’ve accumulated. These payouts are drawn from earnings and cash flow and paid to the shareholders of the company. Typically, these dividends are paid quarterly, although they may be paid annually or even monthly as well.
Dividends can produce as much as a third of your total return over long periods, and you can even retire on dividends.
There are 4 key stock dividend dates that are involved with dividend payments:
1- The Declaration Date is several weeks in advance of a dividend payment—it’s when company’s board of directors sets the amount and timing of the proposed payment.
2- The Payable Date is the date set by the board on which the dividend will actually be paid out to shareholders.
3- The Record Date is for shareholders who hold the stock before the payable date and receive the dividend payment. That date is set any number of weeks before the payable date.
4-The Ex-Dividend Date is two business days before the record date and it’s when the shares begin to trade without their dividend. If you buy stocks one day or more before their ex-dividend date, you will still get the dividend. That’s when a stock is said to trade cum-dividend. If you buy on the ex-dividend date or later, you won’t get the dividend. The ex-dividend date is in place to allow pending stock trades to settle.
We think very highly of stocks that have been paying dividends for five or more years, at TSI Network. Many of these stocks fit in well with our three-part Successful Investor philosophy:
1- Invest mainly in well-established companies;
2- Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; and Utilities);
3- Downplay or avoid stocks in the broker/media limelight.
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Both Pembina and Algonquin operate under long-term contracts. That helps lower their risk in today’s uncertain economy. Investors in both stocks tap a high dividend yield. Pembina’s dividend is highly sustainable—and Algonquin is now taking significant steps to pay down its debt and boost the… Read More
TC Energy gets most of its revenue from rate-regulated operations. That makes it easier to recoup the cost of new projects and upgrade existing assets; it also cuts your risk. Meanwhile, later this year, the company plans to spin off its oil pipelines division to… Read More
You Can See Our Conservative Growth Dividend Payer Portfolio for August 2024 Here.
You can’t fake a record of dividends. That’s why we place a high value on a sustained history of dividend payments. When you’re looking for income-producing stocks, a high dividend yield should also… Read More
POWER CORP. OF CANADA $39 is a buy. The conglomerate (Toronto symbol POW; Conservative-Growth Dividend Payer Portfolio, Finance sector; Shares outstanding: 649.2 million; Market cap: $25.3 billion; Dividend yield: 5.8%; Dividend Sustainability Rating: Above Average; www.powercorporation.com) holds controlling stakes in Canadian financial services firms Great-West Lifeco (insurance) and IGM… Read More
Sales of drug maker AbbVie’s main product, Humira, have suffered lately due to competition from generic versions. However, recent acquisitions have strengthened the pharmaceutical giant’s development portfolio; that bodes well for more dividend increases.
ABBVIE INC. $176 is a buy. The company (New York symbol ABBV; High-Growth Dividend… Read More
PEPSICO INC. $168 is a hold. The company (Nasdaq symbol PEP; Conservative-Growth Dividend Payer Portfolio, Consumer sector; Shares outstanding: 1.4 billion; Market cap: $235.2 billion; Dividend yield: 3.2%; Dividend Sustainability Rating: Above Average; www.pepsico.com) is the world’s second-largest soft-drink maker after Coca-Cola. Its other brands include Frito-Lay snacks, Gatorade… Read More
CALIAN GROUP LTD. $56 is a buy. The company (Toronto symbol CGY; High-Growth Dividend Payer Portfolio, Manufacturing & Industry sector; Shares outstanding: 11.9 million; Market cap: $666.4 million; Dividend yield: 2.0%; Dividend Sustainability Rating: Above Average; www.calian.com) provides business services to the healthcare, defence, security, aerospace, engineering, agriculture and… Read More
GEN DIGITAL INC. $25 is a buy. The company (Nasdaq symbol GEN; High-Growth Dividend Payer Portfolio, Consumer sector; Shares o/s: 626.1 million; Market cap: $15.7 billion; Dividend yield: 2.0%; Dividend Sustainability Rating: Average; www.gendigital.com) owns several security-related consumer brands, including Norton, LifeLock, and Avast, in addition to Avira, AVG,… Read More
BROADRIDGE FINANCIAL SOLUTIONS INC. $203 is a buy. The company (New York symbol BR; High-Growth Payer Portfolio, Finance sector; Shares outstanding: 118.2 million; Market cap: $24.0 billion; Dividend yield: 1.6%; Dividend Sustainability Rating: Above Average; www.broadridge.com) is best known for processing and distributing proxies and regulatory filings. It last… Read More
It now looks like the U.S. Federal Reserve will cut its benchmark interest rate in the next few months. Lower rates would ease the pressure on borrowers looking to renew mortgages and other loans at these two leading U.S. banks. They will also have to… Read More
Even though China’s economic growth as slowed lately, these two fast-food giants continue to expand in that country. We feel these investments will ultimately pay off, which will let them keep raising their dividends.
STARBUCKS CORP. $75 is a buy for aggressive investors. The company (Nasdaq symbol SBUX;… Read More
These two makers of tools and related items are aggressively cutting their costs as consumers scale back their spending. Improving their profitability will help protect their current dividend payments and set them up for future gains. Note—we prefer Stanley for your new buying.
STANLEY BLACK &… Read More
When investing in retail-focused REITs, investors should pay close attention to the quality of their properties as well as their tenants—both directly affect their distributions. Here are two REITs to count on for steady monthly payments.
RIOCAN REAL ESTATE INVESTMENT TRUST $18 is a buy. The REIT (Toronto… Read More
CANADIAN UTILITIES LTD. $31 is a buy. The distributor of electricity and natural gas (Toronto symbol CU; Income Growth Portfolio, Utilities sector; Shares outstanding: 271.3 million; Market cap: $8.4 billion; Dividend yield: 5.8%; Dividend Sustainability Rating: Above Average; www.canadianutilities.com) last raised your quarterly dividend with the March 2024 payment… Read More
BMO INTERNATIONAL DIVIDEND ETF $24 (Toronto symbol ZDI; Units outstanding: 21.2 million; Market cap: $508.8 million; Dividend yield: 4.05%; www.bmoetfs.ca) offers exposure to a portfolio of high-yield dividend-paying companies in developed markets. The fund excludes North American firms.
The fund started up in November 2014. Its MER is… Read More
The shares of insurance giant Manulife have jumped 30% in the past year. That’s largely because it sold some of its slower-growth assets and is using the cash to reward investors with more share buybacks and dividend increases. Higher interest rates have also boosted the… Read More
EXTENDICARE INC., $7.33, is a buy. The company (Toronto symbol EXE; TSINetwork Rating: Extra Risk) (www.extendicare.com; Shares o/s: 83.5 million; Market cap: $611.8 million; Dividend yield: 6.6%) keeps buying back shares. Under TSX approval, for the period June 30, 2023, to June 29, 2024, it repurchased 1.1 million of… Read More
FORTIS INC. $54 is a buy. The company (Toronto symbol FTS; Conservative & Income Portfolios, Utilities sector; Shares outstanding: 493.0 million; Market cap: $26.6 billion; Price-to-sales ratio: 2.3; Dividend yield: 4.4%; TSINetwork Rating: Above Average; www.fortisinc.com) is the main supplier of electrical power in Newfoundland and PEI. It… Read More
TELUS CORP. $21 is a buy. The telecom provider (Toronto symbol T; Conservative Growth and Income Portfolios, Utilities sector; Shares outstanding: 1.4 billion; Market cap: $29.4 billion; Price-to-sales ratio: 1.6; Dividend yield: 7.4%; TSINetwork Rating: Above Average; www.telus.com) increased your quarterly dividend by 3.5% with the July 2024… Read More
ENBRIDGE INC. $49 is a buy. The company (Toronto symbol ENB; Conservative Growth and Income Portfolios, Utilities sector; Shares outstanding: 2.0 billion; Market cap: $98.0 billion; Price-to-sales ratio: 2.4; Dividend yield: 7.5%; TSINetwork Rating: Above Average; www.enbridge.com) operates pipelines that pump oil and natural gas from Western Canada… Read More
