Spinoff will unlock Baxter’s value

Medical device maker Baxter will soon spin off its kidney care business as a separate firm. That should help unlock some of its value, in part because the stock market finds it easier to value “pure-play” firms that focus on a single business. Longer-term, the… Read More

Icahn pushes for spinoffs at AEP

AMERICAN ELECTRIC POWER CO. INC. $81 is a hold. Formed in 1906, this Columbus, Ohio-based company (New York symbol AEP; Utilities sector; Shares outstanding: 526.6 million; Market cap: $42.7 billion; Dividend yield: 4.4%; Takeover Target Rating: Medium; www.aep.com) generates and distributes electricity to 5.6 million customers in 11 U.S…. Read More

These pipeline operators offer high yields

Most of the pipelines owned by Pembina and TC Energy operate under long-term contracts. That helps lower their risk in today’s uncertain economy. Investors in both stocks tap a high, sustainable dividend yield. That adds to their appeal and also supports their share prices.
PEMBINA PIPELINE,… Read More

Get rising income plus spinoff gains

TC Energy plans to spinoff of its oil pipeline operations as a separate firm later this year. The remaining firm will focus on its natural gas pipelines and electrical power plants.
Studies show that spun-off stocks, and the companies that spin them off, tend to do… Read More