dividend

A dividend is a cash payout that serves as a way for companies to share the profits they’ve accumulated through their operations. These payouts are drawn from earnings and cash flow paid to the shareholders of the company. Commonly these dividends are paid quarterly, although they may also be paid annually or even monthly as well. A dividend can produce as much as a quarter of your total return over long periods. Some good companies reinvest profits instead of paying a dividend. But fraudulent and failing companies hardly ever pay a dividend. So if you only buy stocks that pay dividends, you’ll automatically stay out of almost all the market’s worst stocks. For a true measure of stability, focus on companies that have maintained or raised their dividends during recessions and stock market downturns. These firms leave themselves enough room to handle periods of earnings volatility. By continually rewarding investors, and retaining enough cash to finance their businesses, they provide an attractive mix of safety, income and growth. Dividends are an important contributor to your long-term gains, and dividend-paying stocks tend to expose you to less risk than non-dividend-payers. That’s why the majority of your stocks should be dividend-payers at all times. As you get older and closer to retirement, you should raise the proportion of dividend-paying stocks in your portfolio, to cut risk and improve the stability of your investment results. To maximize your investment returns with the least risk, follow TSI Network and use our three-part Successful Investor strategy:

  1. Invest mainly in well-established companies;
  2. Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
  3. Downplay or avoid stocks in the broker/media limelight.

Discover how to put an extra strength in your portfolio with our specific advice on how to identify high-quality dividend stocks. It’s all in our newly updated report, Dividend Paying Stocks: How High Dividend Stocks Can Supercharge Your Income Investing. And it’s yours FREE!

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SAPUTO INC. $30 is a hold. The company (Toronto symbol SAP; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 424.3 million; Market cap: $12.7 billion; Price-to-sales ratio: 0.7; Dividend yield: 2.5%; TSINetwork Rating: Average; www.saputo.com) is Canada’s largest producer of dairy products....
High-yielding power utility stocks like Emera have struggled in the past few years, as rising interest rates increased the costs of new projects and raised their interest payments.


However, Emera stands to gain now that the Bank of Canada has begun cutting its benchmark interest rate....
A: Global X SuperDividend ETF, $21.86, symbol SDIV on New York (Units outstanding: 35.1 million; Market cap: $767.3 million; www.globalxetfs.com), invests in 100 of the highest-yielding stocks worldwide.

Stocks in the fund’s portfolio are equally weighted with the aim of reducing the risk associated with high exposure to individual companies....
PAGERDUTY INC., $19.71, is a buy. The company (symbol PD on New York) operates a platform that collect real-time data from software systems and devices and then notifies its IT customers of any incident that could harm their operations.

PagerDuty’s platform sits on top of a company’s technology systems, taking in data....
CYBERARK SOFTWARE LTD., $239.97, symbol CYBR on Nasdaq, is a cybersecurity firm based in Israel. The CyberArk Identity Security Platform enables secure access for any human or machine to resources or environments from anywhere, using any device.

The company has over 8,000 customers in 110 countries worldwide....
ROYAL BANK OF CANADA, $146.35, Toronto symbol RY, is a buy.

With the August 2024 payment, Royal will raise your quarterly dividend by 2.9%. Investors will then receive $1.42 a share instead of $1.38. The new annual rate of $5.68 yields 3.9%....
BECTON DICKINSON & CO., $240.63, New York symbol BDX, is a buy.

The company operates through three segments: Medical makes an array of devices for hospitals, doctors’ offices and other clients in health care; Life Sciences sells products for collecting and shipping specimens as well as equipment for detecting diseases; and Interventional makes stents, catheters, needles, incontinence devices and surgical tools.

This week, Becton agreed to acquire the Critical Care product group of Edwards Lifesciences Corp....
TC ENERGY INC., $54.18, Toronto symbol TRP, is a buy.

TC generates steady cash flow for investors mainly through a 93,600-kilometre pipeline network that pumps natural gas from Alberta to eastern Canada and the U.S. Its other operations include 4,900 kilometres of crude oil pipelines and 13 power plants.

The company’s shareholders have now approved a plan to spin off the oil pipeline business as separate company South Bow Corp....
TC ENERGY INC., $54.50, is a buy. The company (Toronto symbol TRP; Shares o/s: 1.0 billion; Market cap: $56.5 billion; TSINetwork Rating: Above Average; Dividend yield: 7.1%; www.tcenergy.com) has set the terms for the upcoming spinoff of its oil pipeline business (called South Bow Corp.): investors will receive 0.2 of a South Bow share for every TC share they hold....

ENBRIDGE, $49.68, is a buy. The firm (Toronto symbol ENB; Shares outstanding: 2.1 billion; Market cap: $105.6 billion; TSINetwork Rating: Above Average; Dividend yeld: 7.4%; www.enbridge.com) is moving ahead with its plan to upgrade and encase the part of its Line 5 pipeline that crosses the Straits of Mackinac (between Lake Michigan and Lake Huron) inside an underground tunnel....