Best Dividend Paying Stocks

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AltaRed
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Re: Best Dividend Paying Stocks

Post by AltaRed »

I somewhat subscribe to that opinion. But I generally see sideways for maybe 5 more years, rather than just a few. What I need more than a secular bull market is for the loonie to fall about 20% relative to other currencies in order to bring more foreign holdings 'home'. That would set me up for a larger Cdn blue chip dividend paying allocation for the rest of my retirement.
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BRIAN5000
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Re: Best Dividend Paying Stocks

Post by BRIAN5000 »

Here's a top ten list from Oct 2009 of Us dividend payers.

http://dividendsvalue.com/4616/10-best- ... nd-stocks/

3 Styles Of Sucessful Dividend Investing

http://dividendsvalue.com/5138/3-styles ... investing/
This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed
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kcowan
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Re: Best Dividend Paying Stocks

Post by kcowan »


Required watching for anyone investing in dividend-paying stocks.
For the fun of it...Keith
BRIAN5000
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Re: Best Dividend Paying Stocks

Post by BRIAN5000 »

From these posts what was the final message for "Belguy" ?

If willing to take much more time buy 20-30 dividend stocks

-which would perform as well or better then his ETF's
-not go up and down with the market as much as his ETF's

IMHO neither of these are true.
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kcowan
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Re: Best Dividend Paying Stocks

Post by kcowan »

I don't think there was any final message. The notion was to establish an approach that he believes in and stick to it!

Maintaining the strategy and not chasing yield. That is the best approach.
For the fun of it...Keith
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Re: Best Dividend Paying Stocks

Post by Belguy »

If given a choice of only four ETF's that invest in Canada, how would you currently allocate your money between:

iShares Canadian LargeCap 60 ETF (XIU)

iShares Canadian Growth ETF (XCG)

iShares Canadian Value ETF (XCV)

iShares Canadian SmallCap ETF (XCS)
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adrian2
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Re: Best Dividend Paying Stocks

Post by adrian2 »

I don't like the value / growth dichotomy. I'd put 70-75% into XIU and the rest into XCS.
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Shakespeare
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Re: Best Dividend Paying Stocks

Post by Shakespeare »

Why stick with iShares? In my TFSA, I divided funds between XIU and CDZ. CRQ may also be worth considering.
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Re: Best Dividend Paying Stocks

Post by agraham »

kcowan wrote:
Required watching for anyone investing in dividend-paying stocks.
But the analogy doesn't really hold because in theory any rent your tenants don't pay, they instead use to improve the property that you own.
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Re: Best Dividend Paying Stocks

Post by BRIAN5000 »

But if you picked PWF don't pick IGM or GWO.
So

IGM down 2% today
GWO down 2.77%

and PWF is up $.03

I think you can buy all three, or whichever ones "cheaper", or use one or the other for tax loss selling :cry: but limit your position in each.
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Re: Best Dividend Paying Stocks

Post by peterboro31 »

Belguy wrote:It would be interesting to know how many individual stock selectors have achieved positive returns from May 2008 until today.

How much time do you spend researching each stock and then how much time do you spend keeping up to date on how the underlying company is doing. How then do you know when to buy and when to sell each stock? How much less information are you going on than what the insiders know?

And, how can you possibly predict when some 'Black Swan' event will come at you from out in the blue and knock your selections for a suddenly and completely unexpected whallop?

As I previously stated, the world is more interrelated than ever before and terrorism is on the rise. Any one serious act of terrorism could send the markets crashing down and that act could come at any time.

Don't put money in the stock market that you cannot afford to lose.

9.9% for the period
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Re: Best Dividend Paying Stocks

Post by dogleg »

Belguy: Glad to see you 'back in action' . Now all we need is Moneyguy and the 50 Plus gang will be able to pick up where they left off. Looks like the bond ETFs will shrink if interest rates rise but likely it will happen slowly. Was that Hank's opinion? Cheers.
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Re: Best Dividend Paying Stocks

Post by Belguy »

High, dogleg, nice to hear from you again.

I can't remember precisely what Hank said but he seems to still lean towards corporate bonds but I'm not sure whether his preference was investment grade or high yield and then he mentioned something about 'cyclical' but I'm not sure how that fits into the scenario???

I wonder where Moneyguy is?? I sorta miss him!!

Maybe Keith knows???
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Re: Best Dividend Paying Stocks

Post by bpither »

On April 27 Hank Cunningham recommended XHY - T (US dollar High Yield Bond Fund) as a top pick during his BNN appearance. On the 22nd of December he recommended Barry Allen's (" very bright and well proven manager(s) of high yield and credit risks ") MHY - T ... Marret High Yield Strategies.

I own neither.
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BRIAN5000
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Re: Best Dividend Paying Stocks

Post by BRIAN5000 »

Here's a little bit on Dividends, with a few picks and a lot of advertising.

http://www.dailybuyselladviser.com/
This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed
Taggart
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Re: Best Dividend Paying Stocks

Post by Taggart »

BRIAN5000 wrote:Here's a little bit on Dividends, with a few picks and a lot of advertising.

http://www.dailybuyselladviser.com/
"The 3 rules of investment quality"

'To raise the investment quality of your portfolio, the advisory says, start by cleaning out the junk."

Yabbut, you can make money from junk. You just have to be selective. That's what Ben Graham and his protege Walter Schloss did. :wink:
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kcowan
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Re: Best Dividend Paying Stocks

Post by kcowan »

Belguy wrote:High, dogleg, nice to hear from you again.

I can't remember precisely what Hank said but he seems to still lean towards corporate bonds but I'm not sure whether his preference was investment grade or high yield and then he mentioned something about 'cyclical' but I'm not sure how that fits into the scenario???

I wonder where Moneyguy is?? I sorta miss him!!

Maybe Keith knows???
I have not heard from Moneyguy but if you want to bet on bonds, go short (under 5 years term) rather than 10 years.

Better still, pick up some convertible debentures - one type of bond that cannot be replicated with an ETF.
For the fun of it...Keith
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Re: Best Dividend Paying Stocks

Post by Spiff »

Taggart wrote:
BRIAN5000 wrote:Here's a little bit on Dividends, with a few picks and a lot of advertising.

http://www.dailybuyselladviser.com/
"The 3 rules of investment quality"

'To raise the investment quality of your portfolio, the advisory says, start by cleaning out the junk."

Yabbut, you can make money from junk. You just have to be selective. That's what Ben Graham and his protege Walter Schloss did. :wink:
Junk seems to be defined in the article as 'glamour' type stocks. Mind you, most would likely be perplexed with such a definition. :wink:
George$
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Re: Best Dividend Paying Stocks

Post by George$ »

I've been looking at AGF Management (AGF.B) as a dividend source (thanks to Norm)

$14.45 today's share price
$1.04 last year's dividend per share
7.2% for div yield

Note:

$1.30 was the earnings per share last year, meaning that the dividend distribution is consuming 80% of the $117million in annual AGF earnings

AGF has $23billion for retail assets under management (AUM) (plus another $22.6billion for institutional, etc) and sees $614million in total revenue, meaning a 2.7% average annual fee on AUM (assuming it all comes from retail - which is not really correct)

Assuming AGF will not see a withdrawal run on its AUM - this seems like an attractive and steady dividend stream
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Re: Best Dividend Paying Stocks

Post by $seeker »

Thanks for the notice on this one.
Do you feel it will possible decline further if recession does occur.
With the Harper government inclined to move towards a balanced budget this may contract the economy and lead to some of that decline in AUM to which you allude

Nice dividend though and company has been around for long time I think.
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Re: Best Dividend Paying Stocks

Post by FinEcon »

George$ wrote:I've been looking at AGF Management (AGF.B) as a dividend source (thanks to Norm)

$14.45 today's share price
$1.04 last year's dividend per share
7.2% for div yield

Note:

$1.30 was the earnings per share last year, meaning that the dividend distribution is consuming 80% of the $117million in annual AGF earnings

AGF has $23billion for retail assets under management (AUM) (plus another $22.6billion for institutional, etc) and sees $614million in total revenue, meaning a 2.7% average annual fee on AUM (assuming it all comes from retail - which is not really correct)

Assuming AGF will not see a withdrawal run on its AUM - this seems like an attractive and steady dividend stream
Be sure to bear in mind that as AGF continueds to move towards a AUM with greater % of institutional money, the potential for a large dollar and quick 'withdrawl run' as you called it (I like that term BTW) is much, much greater. Also, it goes without saying the margins are slimmer on institutional money than retail MF money. Not a knock on AGF, they were a great credit crisis trade for me but such a major change in business focus needs to be considered going forward.
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George$
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Re: Best Dividend Paying Stocks

Post by George$ »

$seeker wrote:Thanks for the notice on this one.
Do you feel it will possible decline further if recession does occur.
With the Harper government inclined to move towards a balanced budget this may contract the economy and lead to some of that decline in AUM to which you allude

Nice dividend though and company has been around for long time I think.
I would not want to venture a guess on the future. But as to the past, here is the per share earnings and divident data from the google financial income statement:
2007 => $1.93 EPS with $0.78 as dividend
2008 => $1.41 EPS with $0.95 as dividend
2009 => $1.09 EPS with $1.00 as dividend
2010 => $1.30 EPS with $1.04 as dividend

If the market goes down, the AUM will decrease accordingly and so will the fee income from the lower asset base, being a % of AUM.

I'm not much of an expert in financial analysis but their balance sheet total equity stands at $1.2billion - and with a share market cap at $1.4billion - they seem to be pretty sound - at least for some time in case of a recession.

What I'm wondering about is where did the extra earnings go to in 2007, when less than 50% was distributed as a dividend. Bonuses to the CEO etc?
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Re: Best Dividend Paying Stocks

Post by adrian2 »

George$ wrote:What I'm wondering about is where did the extra earnings go to in 2007, when less than 50% was distributed as a dividend. Bonuses to the CEO etc?
Retained earnings?
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Re: Best Dividend Paying Stocks

Post by George$ »

adrian2 wrote:
George$ wrote:What I'm wondering about is where did the extra earnings go to in 2007, when less than 50% was distributed as a dividend. Bonuses to the CEO etc?
Retained earnings?
Here are the total equity numbers for AGF.:

2010=>$1,150.69 millions

2009=>$1,130.40

2008=>$1,107.42

2007=>$1,069.00

Over the three years the total equity increased by some $80 million. I thought that seemed less than it should be at first - but I now realize that I should not have included the 2007 retention of about $105 million. Without that $105 million - the numbers are about right for 'retained earnings'.

You are probably right again Adrian. :oops:
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Re: Best Dividend Paying Stocks

Post by adrian2 »

George$ wrote:You are probably right again Adrian. :oops:
No need for :oops: -- I just have more real life experience with balance sheets and income statements for my own CCPC. Bonuses would have decreased current year earnings, just like employees salaries.
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