Topic: How To Invest

Dividend Advisor Hotline – Friday, March 14, 2025

Article Excerpt

TRANSCONTINENTAL INC., $18.61, Toronto symbol TCL.A, is a buy for long-term gains. The company is Canada’s leading commercial printer. It also makes plastic packaging for consumer products. Transcontinental last raised your quarterly dividend with the April 2020 payment. Investors now receive $0.225 a share, up 2.3% from $0.22. The current annual rate of $0.90 yields a high 4.8%. The company will also pay investors a special dividend of $1.00 a share on April 23, 2025. In its fiscal 2025 first quarter, ended January 26, 2025, Transcontinental’s revenue fell 5.5%, to $643.0 million from $680.4 million a year earlier. That missed the consensus forecast of $648.6 million. The revenue drop is partly due to the recent sale of Transcontinental’s industrial packaging business for $132.0 million. Lower demand for medical packaging and advertising flyers also contributed to the decline. However, thanks to a successful restructuring plan, which included job cuts and closing older plants, earnings before one-time items rose 11.0%, to $41.5 million from $37.4 million. Due to…