With the S&P 500 yielding a measly 2.1%, where's an income investor supposed to look these days? I'll tell you where. A place where the dividends flow like maple syrup, and the companies raise their payouts not once, but twice a year. I'm talking about a little place called Canada. Investors loved the looney and everything else Canadian when crude oil was trading hands for triple digits. It wasn't too long ago (January 2013) that the Canadian dollar was more valuable than its U.S. counterpart. It's shed 25% against the greenback since.
Royal Bank of Canada (NYSE:RY) pays 4.4% today. Management has increased the dividend twice per year since 2012 (including this year). It's grown the dividend 10.9% annualized over the past decade, and the company has room for more double-raises in 2016 with a sub-50% payout ratio. Toronto-Dominion (NYSE:TD) is a 4.1% payer that's given investors two raises a year since 2011. It does need a December boost to follow its 8.5% bump in April to keep the streak alive, but that's a possibility given that TD also has a sub-50% payout ratio. The bank increased earnings by 6% year over year in its most recent quarter, driven by large growth in its U.S. retail banking business.
Source: Seeking Alpha
Related Articles:
- 26 Income Securities For A Well-Rounded Asset Allocation
- International Diversification May Be Closer than You Think
- 10 Small/Mid-Cap Dividend Growth Stocks Answering The Call
- Free Cash Flow Payout vs. Dividend Payout
- 8 Dividend Stocks With The Right Stuff
3 Dividend Stocks Ready To Boost Payouts Twice In 2016
Posted by D4L | Saturday, October 10, 2015 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
Dividends and diversification -- those two things can help you achieve a comfortable retirement when combined with the income you will recei...
-
The best dividend stocks have one thing in common: resiliency. They can continue increasing their dividends even in the harshest economic en...
-
Investors wanting to enjoy steady and consistent income should consider dividend aristocrats. In fact, even in these chaotic times, dividend...
-
A good dividend stock has more than a high yield. Dividends need to be supported by cash flow, and cash flow depends on the long-term streng...
-
It's hard to beat a sustainable, high-yield dividend paired with a beaten-down valuation. The best dividend stocks offer high yields and...
-
Higher dividend yields often imply that the underlying company paying the dividend has a higher risk profile. However, that's not always...
-
When hunting for discounted investments, one excellent starting point is to look for businesses with dividend yields trading above their fiv...
-
Strange but true: seniors fear death less than running out of money in retirement. And unfortunately, even retirees who have built a nest eg...
-
BDCs can be excellent investment options for those seeking high returns, particularly when acquired at favorable valuations and supported by...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.