Updating our Income stocks: Andrew Peller, Imperial Oil & Enbridge

Article Excerpt

ANDREW PELLER LTD. (A shares) $6.35 (www.andrewpeller.com) is still a buy. The company is Canada’s second-largest wine producer after Arterra Wines. The stock has dropped 20% since the start of 2022, mainly due to concerns that rising costs for raw materials and transportation will hurt the company’s earnings growth. However, Peller’s sales should rebound as restaurants and hotels deal with staffing shortages fully re-open. That will help support the dividend; the current annual rate of $0.246 a share yields 3.9%. Andrew Peller (class A) is a buy. IMPERIAL OIL LTD. $62 (www.imperialoil.ca) is a buy. This leading oil producer continues to benefit from the sharp rise in crude prices following Russia’s invasion of Ukraine. In the first quarter of 2022, its revenue jumped 81.3%, to $12.7 billion from $7.0 billion a year earlier. Earnings shot up 199.2%, to $1.17 billion from $392 million; due to fewer shares outstanding, per-share earnings gained 230.2%, to $1.75 from $0.53. Imperial’s new plan to buy back $2.5 billion of its shares should…