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Updating your Cyclical-Growth Payers: Travel + Leisure Co.

TRAVEL + LEISURE CO. $70 is a buy. The company (New York symbol TNL; Cyclical-Growth Payer Portfolio, Consumer sector; Shares outstanding: 64.3 million; Market cap: $4.5 billion; Dividend yield: 3.2%; Dividend Sustainability Rating: Above Average; www.travelandleisureco.com) is the world’s largest vacation-ownership and exchange company with over 270 timeshare resorts and 809,000 owners.

With the March 2025 payment, Travel + Leisure increased your quarterly dividend by 12.0%, to $0.56 a share from $0.50. The annual rate of $2.24 yields 3.2%.

1 min read

Pat McKeough

Dividend Stocks

You can expect TC Energy to lift its dividend

Pipeline giant TC Energy was forced to cut its dividend after spinning off its oil pipeline business. However, given rising demand for natural gas and the company’s slate of new projects, we believe TC will return to its longstanding practice of providing annual dividend increases.

2 min read

Pat McKeough

Dividend Stocks

Starbucks finds a partner in China

STARBUCKS CORP. $95 is a buy for aggressive investors. The company (Nasdaq symbol SBUX; High-Growth Dividend Payer Portfolio, Consumer sector; Shares outstanding: 1.1 billion; Market cap: $104.5 billion; Dividend yield: 2.6%; Dividend Sustainability Rating: Above Average; www.starbucks.com) is a leading seller and roaster of specialty coffee. It has over 41,100 outlets in more than 90 countries.

Starbucks last raised your quarterly payment in November 2025 by 1.6%. The new annual rate of $2.48 a share yields 2.6%.

1 min read

Pat McKeough

Dividend Stocks

Here are key updates for dividend investors

RTX CORP. $199 is a buy. The maker of jet engines and military weapons systems (New York symbol RTX; Conservative-Growth Payer Portfolio; Manufacturing sector; Shares outstanding: 1.3 billion; Market cap: $258.7 billion; Dividend yield: 1.4%; Dividend Sustainability Rating: Above Average; www.rtx.com) last raised your dividend with the June 2025 payment, to $0.68 a share from $0.63. The new annual rate of $2.72 yields 1.4%.

U.S. President Donald Trump is pressing RTX and other defence contractors to suspend dividends and stock buybacks, blaming slow production and missed delivery timelines on government contracts. It’s unclear if how the administration would enforce the order, or even if it’s legal.

2 min read

Pat McKeough

Dividend Stocks

Saputo faces risks despite 73% rise

SAPUTO INC. $41 is a hold. The company (Toronto symbol SAP; High-Growth Payer Portfolio, Consumer sector; Shares outstanding: 412.2 million; Market cap: $16.9 billion; Dividend yield: 2.0%; Dividend Sustainability Rating: Above Average; www.saputo.com) is Canada’s largest producer of dairy products. It also operates dairies in the U.S., Australia, the U.K. and Argentina.

With the September 2025 payment, Saputo raised your quarterly dividend by 5.3%, to $0.20 a share from $0.19. The new annual rate of $0.80 yields 2.0%.

1 min read

Pat McKeough

Dividend Stocks

Takeover possibility gives Kraft the edge

Both of these foodmakers are taking steps to improve their long-term prospects and protect their dividends. However, we believe Kraft’s upcoming breakup makes it the more attractive buy at this time.

2 min read

Pat McKeough

Dividend Stocks

Higher new car prices spur their earnings

These two firms benefit as rising prices for new cars prompt drivers to stick with their current vehicles. That should let both companies keep raising their dividends. Still, we feel Genuine Parts is the better choice for new buying given its restructuring plans.

3 min read

Pat McKeough

Dividend Stocks

Canadian Leon’s has low tariff risk

LEON’S FURNITURE LTD. $28 is a buy. The retailer (Toronto symbol LNF; High-Growth Payer Portfolio, Consumer sector; Shares outstanding: 68.8 million; Market cap: $1.9 billion; Dividend yield: 3.4%; Dividend Sustainability Rating: Average; www.leons.ca) operates 300 stores, mainly under the Leon’s, The Brick, and Appliance Canada banners. Those locations sell furniture and home appliances.

With the October 2025 payment, Leon’s raised your quarterly dividend by 20.0%. The new annual rate of $0.96 yields a solid 3.4%.

1 min read

Pat McKeough

Dividend Stocks

These small-caps picks are solid dividend payers

Many investors overlook small-cap stocks because they typically carry higher risk than larger companies. These two, however, are industry leaders, and their recent moves should generate more cash to reward shareholders.

2 min read

Pat McKeough

Dividend Stocks

South Bow’s high debt makes us wary

SOUTH BOW CORP. $38 is a hold. The company (Toronto symbol SOBO; Income-Growth Dividend Payer Portfolio; Utilities sector; Shares outstanding: 208.2 million; Market cap: $7.9 billion; Dividend yield: 7.1%; Dividend Sustainability Rating: Above Average; www.southbow.com) took its current form on October 1, 2024, when TC Energy (see page 18)spun off its oil pipeline business. Investors received 0.2 of a South Bow share for every TC share they held at that time.

This new firm operates a 4,900-kilometre pipeline network that pumps crude oil from Alberta to refineries in the U.S. It pays a quarterly dividend of $0.50 U.S. a share. The annual rate of $2.00 U.S. yields a high 7.1%.

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.