Enjoy a 5.4% yield from Algonquin Power & Utilities

Enjoy a 5.4% yield from Algonquin Power & Utilities

Algonquin Power & Utilities’ decision to sell its non-regulated renewable assets and focus entirely on its regulated utilities business is a game-changer.

This move significantly reduces risk and enhances earnings predictability because regulated utilities typically offer more stable cash flows and returns. While the company… Read More

Activists will aid in their turnaround

Starbucks and Algonquin Power are working with activist investors as they embark on turnaround strategies. However, Autodesk (see box) is resisting activist pressure. Even so, we like the outlook for all three picks.
STARBUCKS CORP. $93 is a buy for aggressive investors. The company (Nasdaq symbol SBUX; Consumer… Read More

TNL expands in Asia

TRAVEL + LEISURE CO. $46 is a buy. The company (New York symbol TNL; Cyclical-Growth Payer Portfolio, Consumer sector; Shares outstanding: 71.0 million; Market cap: $3.3 billion; Dividend yield: 4.3%; Dividend Sustainability Rating: Average; www.travelandleisureco.com) is now the world’s largest vacation-ownership and exchange company with more than 245 timeshare… Read More

Royal Bank has a bright future

Royal Bank now plans to complete its acquisition of HSBC’s Canadian operations in March 2024. That $13.5-billion purchase enhances Royal’s domestic operations. Moreover, costs savings from the elimination of overlapping operations should also spur earnings.
Banking regulators have toughened lending standards and mortgage stress-test levels in… Read More

Cuts should bolster your income

CANADIAN IMPERIAL BANK OF COMMERCE $61 is a buy. The bank (Toronto symbol CM; Income-Growth Portfolio, Finance sector; Shares outstanding: 904.7 million; Market cap: $55.2 billion; Dividend yield: 5.9%; Dividend Sustainability Rating: Highest; www.cibc.com) is raising your quarterly dividend by 3.4%. Starting with the January 2024 payment, investors will… Read More