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Updating Our High-Growth Payers: Gen Digital Inc.

GEN DIGITAL INC. $21 is a buy. The company (Nasdaq symbol GEN; High-Growth Dividend Payer Portfolio, Consumer sector; Shares outstanding: 639.4 million; Market cap: $13.4 billion; Dividend yield: 2.4%; Dividend Sustainability Rating: Average; www.gendigital.com) changed its name from NortonLifeLock (old symbol NLOK) following its September 2022 acquisition of European cybersecurity firm Avast plc for $8.1 billion.

Gen is now the parent company for several security-related brands, including Norton, LifeLock, and Avast, in addition to Avira, AVG, and CCleaner—those last three were obtained in previous acquisitions.

The company last raised its quarterly dividend by 66.7% in December 2019....

1 min read

Pat McKeough

Dividend Stocks

CN rebounds from failed takeover deal

In 2022, CN failed in its attempt to acquire U.S. railway Kansas City Southern; KCS later merged with rival Canadian Pacific. However, CN used the termination fee it received from KCS to increase its dividend and buy back shares. The company’s strong focus on efficiency will also push its earnings higher.

CANADIAN NATIONAL RAILWAY CO....

2 min read

Pat McKeough

Dividend Stocks

Get quality assets at a discount

POWER CORP. OF CANADA $36 is a buy. The conglomerate (Toronto symbol POW; Conservative-Growth Dividend Payer Portfolio, Finance sector; Shares outstanding: 667.1 million; Market cap: $24.0 billion; Dividend yield: 5.8%; Dividend Sustainability Rating: Above Average; www.powercorporation.com) has several primary investments, including controlling stakes in Canadian financial services firms Great-West Lifeco (insurance) and IGM Financial (mutual funds)....

1 min read

Pat McKeough

Dividend Stocks

Use these updates to boost your returns

NEWELL BRANDS INC. $10 remains a hold. The company (Nasdaq symbol NWL; Conservative-Growth Payer Portfolio, Manufacturing & Industry sector; Shares outstanding: 414.1 million; Market cap: $4.1 billion; Dividend yield: 2.8%; Dividend Sustainability Rating: Average; www.newellbrands.com) makes a wide range of consumer and household products such as PaperMate pens, Elmer’s glue, Rubbermaid food containers and Graco baby strollers,

With the June 2023 payment, Newell cut its quarterly dividend by 69.6%, to $0.07 a share from $0.23....

2 min read

Pat McKeough

Dividend Stocks

This high yield looks sustainable

EXTENDICARE INC. $6.45 remains a buy. The operator of long-term care (LTC) homes (Toronto symbol EXE; High-Growth Dividend Payer Portfolio, Consumer sector; Shares outstanding: 84.3 million; Market cap: $543.7 million; Dividend yield: 7.4%; Dividend Sustainability Rating: Average; www.extendicare.com) continues to pay monthly distributions of $0.04 a share; the annual rate of $0.48 yields a very high 7.4%.

The company’s revenue rose 3.7% in the quarter ended June 30, 2023, to $307.5 million from $296.6 million a year earlier....

1 min read

Pat McKeough

Dividend Stocks

High market shares support their dividends

Russel Metals recently increased its dividend for the first time in nine years, while Calian has held its dividend steady for the past 11 years. Despite the lack of regular increases, both remain quality picks for income-seekers due to their high share of niche markets.

RUSSEL METALS INC....

2 min read

Pat McKeough

Dividend Stocks

Earn income from travel surge

TRAVEL + LEISURE CO. $40 is a buy. The company (New York symbol TNL; Cyclical-Growth Payer Portfolio, Consumer sector; Shares outstanding: 73.9 million; Market cap: $3.0 billion; Dividend yield: 4.5%; Dividend Sustainability Rating: Average; www.travelandleisureco.com) is now the world’s largest vacation-ownership and exchange company with 245 timeshare resorts and 833,000 owners.

With the March 2023 payment, the company increased your quarterly dividend by 12.5%....

1 min read

Pat McKeough

Dividend Stocks

Two U.S. industrials with rising dividends

These U.S. industrial firms continue to increase their earnings despite rising raw material and labour costs. That should also let them keep raising their dividends. However, right now, we prefer RTX for your new buying.

RTX CORP. $86 is a buy. The company (New York symbol RTX; Conservative-Growth Payer Portfolio; Manufacturing sector; Shares outstanding: 1.5 billion; Market cap: $129.0 billion; Dividend yield: 2.7%; Dividend Sustainability Rating: Above Average; www.rtx.com) recently changed its name from Raytheon Technologies Corp....

2 min read

Pat McKeough

Dividend Stocks

These oil dividends still look secure

Oil prices dropped earlier this year in part because of a slowing Chinese economy. While they have recently started to climb, they remain down considerably from the spike following Russia’s invasion of Ukraine. Regardless, the dividends of these two major producers look secure thanks to their high-quality properties.

CHEVRON CORP....

3 min read

Pat McKeough

Dividend Stocks

Brookfield expands down under

BROOKFIELD RENEWABLE PARTNERS L.P. $35 is a buy. The partnership (Toronto symbol BEP.UN; High-Growth Dividend Payer Portfolio, Utilities sector; Units outstanding: 663.0 million; Market cap: $23.2 billion; Distribution yield: 5.2%; Dividend Sustainability Rating: Above Average; www.bep.brookfield.com) owns 232 hydroelectric generating stations, 131 wind farms, 158 solar facilities, and 6,308 distributed generation and energy storage sites.

With the March 2023 payment, Brookfield raised its quarterly distribution by 5.5%, to $0.3375 U.S....

1 min read

Pat McKeough

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Cannabis

Spinoffs

One of the ways a company can try to unlock its own hidden value is by creating a separate company out of a corporate subsidiary. The parent company can either sell stock in the new company to the public, or spin it off—hand the stock out to its own investors.

Dividend Stocks

Dividend stocks make cash payouts that serve as a way for companies to share the wealth they’ve accumulated. These payouts are drawn from earnings and cash flow and paid to the shareholders of the company. Typically, these dividends are paid quarterly, although they may be paid annually or even monthly as well.

ETFs

What are ETFs?

ETF is an acronym for exchange traded fund. These exchange traded funds are used to track indexes as closely as possible, since investors cannot actually buy an index outright.

Value Stocks

What are value stocks?

One of the sweetest and most profitable pleasures of successful investing is to buy high-quality “value stocks” (or stocks that are reasonably priced, if not cheap, in relation to its sales, earnings or assets), then hold on to them as mainstream investors recognize the value and push up the share price.

Blue Chip Stocks

Blue chip stocks are big, well-established, dividend-paying corporations with strong business prospects. These are companies that also have sound management that should be able to make the right moves to keep competing successfully in a changing marketplace.

Penny Stocks

A penny stock in general trades for under five dollars a share, and as the name implies, sometimes for pennies. Most of the time they’re young companies, or start-ups in speculative markets like mining or technology.

Growth Stocks

Growth stocks are companies that are likely to have sales and earnings growth well above market average. Frequently they pay few, if any, dividends. Instead they typically reinvest any extra cash flow to promote further growth. Chosen wisely—according to Pat McKeough’s advice—high-quality growth-oriented stocks can be worthwhile additions to most well-diversified portfolios.

Wealth Management

Wealth management is the practice of putting your savings to work so that it continues to grow over your lifetime and will also benefit your heirs. Wealth management encompasses many different areas of investing like long term investment planning and retirement planning.

Mining Stocks

Mining stocks are investments in companies that produce or explore for minerals. Some of these minerals include uranium, coal, molybdenum (which is used in steelmaking), copper, silver and gold. They are affected by fluctuating commodity prices in addition to their own business and operating risks.

How To Invest

Pat McKeough has been making investing for beginners simple—and profitable—by helping investors make big gains for more than 25 years. His advice to beginning investors is the same as it is for all investors: buy high-quality, mostly dividend paying stocks (or ETFs that hold these stocks) and evenly spread your investments over the five main economic sectors (Resources, Manufacturing, Finance, Utilities and Consumer). Pat also believes investors should avoid stocks in the broker/media limelight and focus on those with hidden or little-noticed assets.

Energy Stocks

What are energy stocks?

Businesses that work in the extraction, refining and delivery of energy sources such as natural gas, oil, uranium and coal, are considered energy stocks.