high dividend

Every Wednesday, we publish our “Investor Toolkit” series on TSI Network. Whether you’re a beginning or experienced investor, these weekly updates are designed to give you specific investment advice. Each Investor Toolkit update gives you a fundamental piece of strategy, and shows you how you can put it into practice right away. Today’s tip: “Dividends can produce as much as a third of your total return over long periods.”...

Every Monday we feature “A Stock to Sell” as our daily post. With every stock we recommend as a sell, we give you a full explanation of why we advise against investing in the stock at this time. Keyera Corp. (symbol KEY on Toronto; www.keyera.com), provides a number of services to the oil and gas industry, including gathering, processing, storage and transportation....

Pembina Pipeline and Veresen both trade at high multiples to their per-share cash flow. But both have strong growth prospects and high dividend yields. We think they have further gains ahead. PEMBINA PIPELINE $52.77 (Toronto symbol PPL; Shares outstanding: 327.0 million; Market cap: $16.8 billion; TSINetwork Rating: Average; Dividend yield: 3.3%; www.pembina.com) owns pipelines that carry half of Alberta’s conventional oil, 30% of Western Canada’s natural gas liquids (NGLs) and almost all of B.C.’s conventional oil. Pembina bought rival Provident Energy, which extracts, transports and stores NGLs, for $3.2 billion in 2012....

Keyera Corp. $97.75, symbol KEY on Toronto (Shares outstanding: 83.9 million; Market cap: $8.2 billion; www.keyera.com), provides a number of services to the oil and gas industry, including gathering, processing, storage and transportation. In the three months ended June 30, 2014, the company reported cash flow of $1.04 a share, up 3.0% from $1.01 a year earlier. Keyera raised its monthly dividend by 7.5%, to $0.215 a share from $0.20, beginning with the June 2014 payment. The stock now yields 2.6%....

As demand for traditional phone service declines, AT&T is shifting into faster-growing fields like wireless and fibre optic TV. On the surface, the company’s recent deal to buy satellite TV provider DirecTV doesn’t seem to fit with that plan. That’s because strong competition from cable operators and online streaming has hurt satellite demand in the past few years. However, DirecTV will let AT&T expand its wireless and highspeed Internet services to rural users. It will also give it a platform to expand in Latin America. Moreover, an increased number of TV subscribers will help AT&T negotiate better deals for TV shows, particularly profitable sports programming like NFL football....

AT&T INC. $35 (New York symbol T; Conservative Growth and Income Portfolios, Utilities sector; Shares outstanding: 5.2 billion; Market cap: $182.0 billion; Price-to-sales ratio: 1.4; Dividend yield: 5.3%; TSINetwork Rating: Average; www.att.com) is the largest wireless service provider in the U.S., with 116.6 million subscribers. This business supplies 55% of the company’s revenue and 75% of its earnings.

The remaining 45% of revenue and 25% of earnings comes from its wireline division, which sells phone services, television packages and high-speed Internet access to 35.9 million customers. AT&T’s overall revenue rose 4.7%, from $123.0 billion in 2009 to $128.8 billion in 2013.

Earnings gained 8.6%, from $12.5 billion in 2009 to $13.6 billion in 2010. Earnings per share rose at a slower pace of 8.0%, from $2.12 to $2.29, on more shares outstanding.

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We’ve just updated and re-released one of our most popular free reports: Dividend Paying Stocks: How High Dividend Stocks Can Supercharge Your Income Investing. It’s ready for you to download now. With today’s low interest rates, investors are paying more attention to dividend yields. Dividend paying stocks are responding by doing their best to maintain, or even increase, their payouts. In fact, dividends can now contribute up to a third of your long-term investment returns, without even considering the tax-cutting effects of the dividend tax credit....

Pembina Pipeline and Veresen both trade at high multiples to their per-share cash flow. But both of these dividend stocks also currently maintain high yields. PEMBINA PIPELINE (Toronto symbol PPL; www.pembina.com) owns pipelines that carry half of Alberta’s conventional oil, 30% of Western Canada’s natural gas liquids (NGLs) and almost all of B.C.’s conventional oil. Pembina bought rival Provident Energy for $3.2 billion in 2012. Provident extracts, transports and stores natural gas liquids (NGLs)....

Wi-Lan, $3.33, symbol WIN on Toronto (Shares outstanding: 120.0 million; Market cap: $399.5 million; www.wi-lan.com), is a technology-development and patent-licensing company focused on the wireless, wireline and digital video industries. The company has a portfolio of over 4,500 issued and pending patents that relate to communication and consumer electronics products such as 3G and 4G handsets, Wi-Fi-enabled laptops, Wi-Fi and broadband routers, cellular base stations and digital TV receivers. Wi-Lan has licensed this portfolio to more than 230 firms....

PEYTO EXPLORATION & DEVELOPMENT CORP. (Toronto symbol PEY; www.peyto.com) produces and explores for oil and natural gas in Alberta. Its average daily production of 72,209 barrels of oil equivalent is 90% gas and 10% oil. In the quarter ended March 31, 2014, Peyto’s cash flow rose 53.6%, to $1.06 a share from $0.69 a year earlier. That’s because the company raised its production by 30.4%. Gas prices also gained 27.5%, to an average of $4.45 per thousand cubic feet from $3.49, while oil prices rose 6.1%, to $80.49 a barrel from $75.88. Peyto plans to spend $625 million on exploration and development in 2014, which will let it drill 110 to 125 wells. To put that in context, the company spent $578 million to drill 99 wells in 2013....