These industrials offer reliable dividends

Article Excerpt

CANADIAN NATIONAL RAILWAY CO. $98 (Toronto symbol CNR; Conservative Growth Payer Portfolio, Manufacturing & Industry sector; Shares outstanding: 742.9 million; Market cap: $72.8 billion; Dividend yield: 1.9%; Dividend Sustainability Rating: Highest; www.cn.ca) operates Canada’s largest railway. Its 32,200-kilometre network stretches across the country, and reaches the U.S. Midwest and Gulf Coast. With the March 2018 payment, the company will raise its quarterly dividend by 10%, to $0.45.5 per share from $0.4125. The new annual rate of $1.82 yields 1.9%. CN’s revenue in the three months ended December 31, 2017, rose 2.1%, to $3.29 billion from $3.22 billion a year earlier. The gain is mainly the result of higher international container traffic out of British Columbia. Industries contributing to the company’s growth in the quarter include coal, metals and automotive parts. Earnings in the quarter dropped 5.8%, to $897 million from $952 million. Earnings per share declined 2.4%, to $1.20 from $1.23, on fewer shares outstanding. The lower profit is mainly due to higher fuel…