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Two picks to diversify your dividend sources

We continue to recommend income-seeking investors diversify their Finance sector holdings with high-quality non-bank stocks like Broadridge and T. Rowe Price. Both of them also have long histories of annual dividend increases, which further enhances their appeal.

BROADRIDGE FINANCIAL SOLUTIONS INC....

2 min read

Pat McKeough

Dividend Stocks

Offset rising food prices with their dividends

Food prices climbed 11.4% in September 2022 from a year earlier, according to StatsCan. A good way to offset those costs are shares in these two supermarket operators—as rising prices give them more cash for dividends.

LOBLAW COMPANIES LTD. $113 is a buy. The company (Toronto symbol L; Conservative-Growth Dividend Payer Portfolio, Consumer sector; Shares outstanding: 327.0 million; Market cap: $37.0 billion; Dividend yield: 1.4%; Dividend Sustainability Rating: Highest; www.loblaw.ca) operates 1,091 supermarkets under several banners, including Loblaws, Zehrs, Provigo, Real Canadian Superstore and No Frills....

3 min read

Pat McKeough

Dividend Stocks

Robotic equipment will lift profits

WALMART INC. $141 is a buy. The world’s largest retailer (New York symbol WMT; Conservative Growth Dividend Payer Portfolio, Consumer sector; Shares outstanding: 2.7 billion; Market cap: $380.7 billion; Dividend yield: 1.6%; Dividend Sustainability Rating: Highest; www.walmart.com) raised your quarterly dividend by 1.8% with the April 2022 payment, to $0.56 a share from $0.55....

1 min read

Pat McKeough

Dividend Stocks

Consumer giants keep rewarding investors

These U.S. consumer giants have raised their annual dividends for decades now. Even so, we feel McDonald’s “asset light” model makes it the better pick for new buying.

MCDONALD’S CORP. $257 is a buy. This company (New York symbol MCD; Income-Growth Dividend Payer Portfolio, Consumer sector; Shares outstanding: 735.7 million; Market cap: $189.1 billion; Dividend yield: 2.4%; Dividend Sustainability Rating: Highest; www.mcdonalds.com) is the world’s largest fast-food chain with 39,696 restaurants in 118 countries....

2 min read

Pat McKeough

Dividend Stocks

Nutrien expands in South America

NUTRIEN LTD. $111 is a buy. The company (Toronto symbol NTR; Cyclical-Growth Payer Portfolio, Resources sector; Shares outstanding: 538.9 million; Market cap: $59.8 billion; Dividend yield: 2.3%; Dividend Sustainability Rating: Above Average; www.nutrien.com) is the world’s largest producer of agricultural fertilizers.

Nutrien last raised your quarterly dividend with the April 2022 payment....

1 min read

Pat McKeough

Dividend Stocks

Here are two high-growth buys—one is new!

These renewable power providers sell mostly under long-term supply contracts. The steady cash flows from those agreements support their high yields and cut your risk.

BROOKFIELD RENEWABLE PARTNERS LP $39 is a buy. The partnership (Toronto symbol BEP.UN; High-Growth Dividend Payer Portfolio, Utilities sector; Units outstanding: 275.2 million; Market cap: $10.7 billion; Distribution yield: 4.4%; Dividend Sustainability Rating: Above Average; www.bep.brookfield.com) owns 227 hydroelectric generating stations, 117 wind farms, 109 solar facilities, and 7,892 distributed generation and energy storage sites.

With the March 2022 payment, Brookfield raised its quarterly distribution by 5.0%, to $0.32 U.S....

2 min read

Pat McKeough

Dividend Stocks

A Yield to Caution

CHEMTRADE LOGISTICS INCOME FUND $7.22 (Toronto symbol CHE.UN; Units outstanding: 104.8 million; Market cap: $756.7 million; Dividend yield: 8.3%; www.chemtradelogistics.com) is one of the largest removal-service providers for resource firms that create acids and sulphur as by-products.

The Toronto-based company also makes and sells a variety of chemicals used in water treatment, along with a range of other specialty chemicals.

Chemtrade Logistics operates as an income trust....

1 min read

Pat McKeough

Dividend Stocks

U.S. growth will spur TD’s dividend

TD Bank recently announced two big acquisitions in the U.S. These new businesses will expand its already-strong presence south of the border as the world’s largest economy recovers from the COVID-19 pandemic. TD’s additional earnings will also continue to fuel its dividend growth.

TORONTO-DOMINION BANK $87 is a buy. The lender (Toronto symbol TD; Income-Growth Payer Portfolio; Finance sector; Shares outstanding: 1.8 billion; Market cap: $156.6 billion; Dividend yield: 4.1%; Dividend Sustainability Rating: Highest; www.td.com) last raised your quarterly dividend with the January 2022 payment....

2 min read

Pat McKeough

How To Invest

Q: Can I get your comments on Cooper Companies (NYSE:COO)? Thank you.

A: The Cooper Companies Inc., $264.34, symbol COO on New York (Shares outstanding: 49.3 million; Market cap: $12.8 billion; Manufacturing sector; TSINetwork Rating: Average; www.coopercos.com), is a California-based healthcare business with two operating segments.

The first segment is Cooper Vision (75% of revenues); it manufactures and markets soft contact lenses for the vision-correction market worldwide....

2 min read

Pat McKeough

How To Invest

Q: Good morning, Pat. I am enjoying your Inner Circle program. Here’s my question for you today: What are your thoughts on Clean Harbors?

A: Clean Harbors Inc., $119.25, symbol CLH on New York (Shares outstanding: 54.1 million; Market cap: $6.4 billion; Manufacturing sector; TSINetwork Rating: Extra Risk www.cleanharbors.com), is a provider of hazardous waste solutions, emergency spill response, industrial cleaning and maintenance, and recycling services.

Through its Safety-Kleen business, Clean Harbors is also North America’s largest re-refiner and recycler of used oil and a leading provider of parts washers and environmental services to commercial, industrial and automotive customers.

Founded in 1980 and based in Massachusetts, the company operates in the U.S., Canada, Mexico, Puerto Rico and India.

Clean Harbors serves a diverse customer base, including most Fortune 500 companies....

2 min read

Pat McKeough

Testimonials

The cornerstones of Pat’s strategy–value, diversification and timelines–make his newsletter, The Successful Investor, highly profitable while minimizing risk. His advice is no-nonsense, down-to-earth and based on solid research. You’ll know what to invest in and what to avoid.

Chuck Chakrapani, PhD
Investors Association of Canada
The older I get the better dividends look. For retirees and would-be retirees who want to sleep at night, I can’t think of a better source of information on reliable growing dividend income than Pat McKeough’s newsletter, Dividend Advisor.

Jonathan Chevreau
Financial Post Columnist
As a manager of more than $500 million in mutual funds, I have access to the best brokerage research available in this country. But I still take time to read Pat McKeough’s premium newsletters

John Sartz
I appreciate the 25 years of above market returns I received by following your advice. at least 95% of my investment decisions were based on TSI recommendations.

Chuck J.
Subscriber since 1996. Inner Circle Member Since 2006
The newsletters I receive in Inner Circle Pro are fantastic! I have been following Pat’s advice for years and everything he has said has been amazing. His commentaries are brilliant, insightful, educational, rational and balanced. My returns are almost double the TSE and I have referred many of my friends who have switched over to your services.

Walter H.
Inner Circle Pro subscriber

Browse Premium Topics

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.