Topic: How To Invest

Dividend Advisor Hotline – Friday, August 23, 2019

Article Excerpt

CANADIAN IMPERIAL BANK OF COMMERCE, $100.03, Toronto symbol CM, is the smallest of Canada’s big five banks, with assets of $642.5 billion. CIBC announced this week that will raise its quarterly dividend by 2.9%. Starting with the October 2019 payment, investors will receive $1.44 a share instead of $1.40. The new annual rate of $5.76 yields a high 5.8%. In its fiscal 2019 third quarter, ended July 31, 2019, the bank’s earnings rose 0.7%, to $1.38 billion from $1.37 billion a year earlier. Due to slightly more shares outstanding, earnings per share improved 0.6%, to $3.10 from $3.08. Those figures exclude unusual items, among them costs related to CIBC’s June 2017 purchase of Chicago-based PrivateBancorp Inc. for $6.6 billion in cash and stock. That firm mainly lends to small and mid-sized businesses. It also provides wealth management services. On that basis, the latest earnings beat the consensus estimate of $3.06 a share. Earnings from Canadian retail banking (46% of the total) rose 2.5% in…