Looking for investing ideas? Here’s your weekly digest of the Globe’s latest insights and analysis from the pros, stock tips, portfolio strategies plus what investors need to know for the week ahead.
Why I’m reinvesting dividends in this Big Five bank
Reinvesting dividends is one of the keys to building wealth, John Heinzl writes. The beauty of compound growth is that it accelerates over time, like the proverbial snowball that gets bigger as it rolls downhill. With that in mind, I’ll be reinvesting most of the more than $1,000 in virtual cash that’s accumulated in my model Yield Hog Dividend Growth Portfolio.
Canadian banks are carrying record amounts of capital, thanks to their resilient earnings and the year-long ban on dividend increases and share buybacks. As discussed in last week’s column, I’m expecting the banks to resume dividend increases later this year. They are also benefiting from several other tailwinds including falling loan losses, rising interest rates and strong results from their capital markets and wealth management divisions. Read more here, including why I’m buying additional shares of CIBC.
Read more: How bank stocks will be affected by OSFI efforts to cool housing market
Dividends on the rise: Canadian companies restore payouts to pre-pandemic levels
Canadian companies have accelerated their payouts to shareholders, restoring dividends overall back to levels seen before the pandemic ushered in a wave of reductions and suspensions, David Milstead and Darcy Keith write.
According to an analysis of S&P Global Market Intelligence data, 62 companies with their primary listing on the TSX announced dividend increases in the just-completed first quarter ended March 31 Of the 62 companies announcing dividend increases in 2021′s first quarter, 40 are large enough to be on the S&P/TSX Composite Index Read more here and see the full list of Canadian companies that announced dividend hikes during in first quarter below (It doesn’t include companies that have their primary stock listing on an exchange in the U.S. or elsewhere outside Canada).
Dividend hikes
Company | Ticker | Dividend Announcement |
---|---|---|
Urbana Corporation | URB-T | Jan. 4 |
Algoma Central Corporation | ALC-T | Jan. 14 |
ATCO Ltd. | ACO.X-T | Jan. 14 |
Canadian Utilities Limited | CU-T | Jan. 14 |
Cogeco Inc. | CGO-T | Jan. 14 |
Melcor Real Estate Investment Trust | MR.UN-T | Jan. 14 |
Mackenzie Master Limited Partnership | MKZ.UN-T | Jan. 15 |
Income Financial Trust | INC.UN-T | Jan. 20, Feb. 18 and Mar. 18 |
Richelieu Hardware Ltd. | RCH-T | Jan. 21 |
Mullen Group Ltd. | MTL-T | Jan. 22 |
Canadian National Railway Company | CNR-T | Jan. 26 |
Metro Inc. | MRU-T | Jan. 26 |
Exco Technologies Limited | XTC-T | Feb. 2 |
BCE Inc. | BCE-T | Feb. 4 and Mar. 11 |
PFB Corporation | PFB-T | Feb. 4 |
FirstService Corporation | FSV-T | Feb. 8 |
PrairieSky Royalty Ltd. | PSK-T | Feb. 8 and Mar. 9 |
TFI International Inc. | TFII-T | Feb. 8 |
Andrew Peller Limited | ADW.A-T | Feb. 10 |
Brookfield Asset Management Inc. | BAM.A-T | Feb. 11 |
A&W Revenue Royalties Income Fund | AW.UN-T | Feb. 17 and Mar. 3 |
goeasy Ltd. | GSY-T | Feb. 17 |
Nutrien Ltd. | NTR-T | Feb. 17 |
TC Energy Corporation | TRP-T | Feb. 18 |
Lundin Mining Corporation | LUN-T | Feb. 19 |
Magna International Inc. | MG-T | Feb. 19 |
Nexus Real Estate Investment Trust | NXR.UN-T | Feb. 19 |
Western Forest Products Inc. | WEF-T | Feb. 19 |
Gibson Energy Inc. | GEI-T | Feb. 22 |
Goodfellow Inc. | GDL-T | Feb. 22 |
Dream Unlimited Corp. | DRM-T | Feb. 23 and Feb. 26 |
Leon's Furniture Limited | LNF-T | Feb. 23 |
Thomson Reuters Corporation | TRI-T | Feb. 23 |
Alamos Gold Inc. | AGI-T | Feb. 24 |
Guardian Capital Group Limited | GCG.A-T | Feb. 24 |
Stantec Inc. | STN-T | Feb. 24 |
Aecon Group Inc. | ARE-T | Feb. 25 |
CCL Industries Inc. | CCL.B-T | Feb. 25 |
ECN Capital Corp. | ECN-T | Feb. 25 |
Maple Leaf Foods Inc. | MFI-T | Feb. 25 |
Quebecor Inc. | QBR.A-T | Feb. 25 |
Top 10 Canadian Financial Trust | TCT.UN-T | Mar. 3 |
Canadian Natural Resources Limited | CNQ-T | Mar. 4 |
Cargojet Inc. | CJT-T | Mar. 4 |
Freehold Royalties Ltd. | FRU-T | Mar. 4 |
Parkland Corporation | PKI-T | Mar. 4 and Mar. 11 |
Tree Island Steel Ltd. | TSL-T | Mar. 4 |
Franco-Nevada Corporation | FNV-T | Mar. 10 |
Linamar Corporation | LNR-T | Mar. 10 |
Stella-Jones Inc. | SJ-T | Mar. 10 |
Tourmaline Oil Corp. | TOU-T | Mar. 10 |
Cervus Equipment Corporation | CERV-T | Mar. 11 |
Enghouse Systems Limited | ENGH-T | Mar. 11 |
Premium Brands Holdings Corporation | PBH-T | Mar. 11 |
Wheaton Precious Metals Corp. | WPM-T | Mar. 11 |
Badger Daylighting Ltd. | BAD-T | Mar. 12 and Mar. 15 |
European Residential Real Estate Investment Trust | ERE.UN-T | Mar. 15 |
Whitecap Resources Inc. | WCP-T | Mar. 15 |
Melcor Developments Ltd. | MRD-T | Mar. 17 |
Westshore Terminals Investment Corporation | WTE-T | Mar. 17 |
BRP Inc. | DOO-T | Mar. 25 |
Dollarama Inc. | DOL-T | Mar. 31 |
Source: S&P Global Market Intelligence