atco

Canadian Utilities and parent company ATCO give investors two ways to buy essentially the same businesses. Still, income seekers should pick Canadian Utilities, while value investors should go with ATCO.

CANADIAN UTILITIES LTD. (Toronto symbols CU [class A non-voting] $39 and CU.X [class B voting] $39; Income Portfolio, Utilities sector; Shares outstanding: 270.4 million; Market cap: $10.5 billion; Price-to-sales ratio: 2.9; Dividend yield: 3.7%; TSINetwork Rating: Above Average; www.canadianutilities.com) distributes electricity and natural gas in Alberta and Australia....

CANADIAN UTILITIES LTD. $40 (www.canadianutilities.com) distributes electricity and natural gas in Alberta and Australia. The company earned $0.79 a share in the first quarter of 2017, up 21.5% from $0.65 a year earlier. If you disregard gains on the sale of assets and other unusual items, earnings rose 9.1%....

A: The TSX Venture Exchange is designed for junior companies that don’t meet the requirements for listing on the TSX. The Venture Exchange has lower minimum listing requirements. They vary based on a company’s industry, stage of development, financial performance and operational resources.



For an industrial or life sciences company, those listing requirements include: a history of operations; management, including board of directors, with adequate experience and technical expertise relevant to the company’s business and industry; and either $750,000 in net tangible assets, $500,000 in revenue or $2,000,000 in arm’s length financing....

Intel Corp. has now applied its chip-making expertise to faster-growing fields, with earnings jumping more than 15% in the last fiscal year.

We’ve long recommended Canadian Utilities as a top pick for income seekers when you consider its high-quality assets that provide plenty of cash flow for dividends.


We also like its parent company, ATCO. Essentially, it lets you buy the same businesses as Canadian Utilities but at a discount....

CANADIAN UTILITIES LTD. $37 (www.canadianutilities.com) distributes electricity and natural gas in Alberta and Australia. The company has raised its quarterly dividend by 10.0%, to $0.3575 a share from $0.325. The new annual rate of $1.43 yields 3.9%. Buy.


ATCO LTD....

Canadian Utilities and ATCO offer investors two ways to buy essentially the same businesses.


We like both stocks, but income-seeking investors should pick Canadian Utilities for its higher payout. Value seekers, on the other hand, should buy the parent, ATCO, for its holding company discount.


CANADIAN UTILITIES LTD. (Toronto symbols CU [class A non-voting] $37 and CU.X [class B voting] $37; Income-Growth Dividend Payer Portfolio, Utilities sector; Shares outstanding: 268.1 million; Market cap: $9.9 billion; Dividend yield: 3.9%; Dividend Sustainability Rating: Highest; www.canadianutilities.com) distributes electricity and natural gas in Alberta and Australia....

ATCO LTD. (Toronto symbols ACO.X [class I non-voting] $42 and ACO.Y [class II voting] $42; Income Portfolio, Utilities sector; Shares outstanding: 114.7 million; Market cap: $4.8 billion; Price-to-sales ratio: 1.2; Dividend yield: 2.7%; TSINetwork Rating: Above Average; www....

ATCO LTD. (Toronto symbols ACO.X [class I non-voting] $47 and ACO.Y [class II voting] $47; Income Portfolio, Utilities sector; Shares outstanding: 114.3 million; Market cap: $5.4 billion; Price-to-sales ratio: 1.3; Dividend yield: 2.4%; TSINetwork Rating: Above Average; www.atco.com) gets most of its earnings from its 53.1% stake in Canadian Utilities (see left)....

Canadian Utilities is a long-term favourite of ours, mainly due to its stable cash flows and annual dividend increases.

We also like its parent company ATCO (see box), which gives you a way to buy Canadian Utilities at a discount. However, ATCO pays a lower dividend....