SUN LIFE FINANCIAL $41.71

SUN LIFE FINANCIAL $41.71 (Toronto symbol SLF; Shares outstanding: 612.3 million; Market cap: $25.4 billion; TSINetwork Rating: Above Average; Dividend yield: 3.7%; www.sunlife.ca) sells life insurance, savings, retirement and pension products to individuals and corporations. The company has $891.3 billion of assets under management and mainly operates in Canada, the U.S. and the U.K. It’s also expanding in Asia. In the three months ended December 31, 2015, Sun Life’s earnings per share rose 7.4%, to $0.87 from $0.81. The company continues to diversify in the U.S. At the same time, it’s focusing on highly profitable niche markets with low capital requirements. Its latest purchase was the U.S. employee benefits unit of Assurant Inc. for $975 million U.S. This deal closed on March 1, 2016. It nearly doubles the size of Sun Life’s U.S. benefit business, to $4.0 billion worth of policies for over 64,000 employees of small, medium and large businesses. The company is now the sixth-largest U.S. benefits provider by revenue, up from ninth. The acquisition also adds leading dental and vision insurance products to Sun Life’s lineup, letting it cross-sell them to its existing clients. As well, Assurant has invested heavily in an advanced online enrolment and customer-service system. Sun Life can extend this system to its entire benefits business. The stock trades at just 11.0 times Sun Life’s forecast 2016 earnings of $3.79 a share. The shares yield a high 3.7%. Sun Life is a buy.

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Blue Chip Stocks

Blue chip stocks are big, well-established, dividend-paying corporations with strong business prospects. These are companies that also have sound management that should be able to make the right moves to keep competing successfully in a changing marketplace.

Dividend Stocks

Dividend stocks make cash payouts that serve as a way for companies to share the wealth they’ve accumulated. These payouts are drawn from earnings and cash flow and paid to the shareholders of the company. Typically, these dividends are paid quarterly, although they may be paid annually or even monthly as well.

Value Stocks

What are value stocks?

One of the sweetest and most profitable pleasures of successful investing is to buy high-quality “value stocks” (or stocks that are reasonably priced, if not cheap, in relation to its sales, earnings or assets), then hold on to them as mainstream investors recognize the value and push up the share price.

Growth Stocks

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ETFs

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AI Investing

Artificial intelligence (AI) is essentially the merging of today’s big computing with big data. This has resulted in breakthroughs in everything from creating machines to recognize faces with more accuracy than a human, to the development of chatbots able to collect, organize and simplify all the Internet has to say on any topic.

Spinoffs

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Penny Stocks

A penny stock in general trades for under five dollars a share, and as the name implies, sometimes for pennies. Most of the time they’re young companies, or start-ups in speculative markets like mining or technology.

Mining Stocks

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Energy Stocks

What are energy stocks?

Businesses that work in the extraction, refining and delivery of energy sources such as natural gas, oil, uranium and coal, are considered energy stocks.