Sound bite for Twitter and StockTwits is: Dividend Growth Telecom. There are risk because the company is reorganizing, however, the relatively price seems reasonable. See my spreadsheet on Shaw Communications Inc.
I do not own this stock of Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR). I am following this stock because it was a stock on Investment Reporter's list, a MPL Communications Publication.
Recently this company has stopped dividend increases. The last increase was in 2016. I have dividend information back to 1990. This is not the first time for Shaw to keep dividends flat. They seem to have started out with a flat dividend, they then started to increase them in 1999 and they were flat again from 2001 to 2003. So keeping dividends flat is nothing new for the company.
The Dividend Payout Ratio has recently been higher than usual, but not that high. The DPR for 2017 is 69% with 5 year coverage of 65%. However, everyone seems to expect EPS to fall for 2018. The DPR is expected to be around 97% in 2018 before starting to drop again. However, most analysts think that the company will start to raise dividends again and some think this might happen as early as 2018.
Until 2008, the dividend yield on this stock was low. The historical low is around 0.14%. This historical high is around 4.96%. The historical median dividend yield is just 1.23%. This is very different from the current yield. The current yield is high at 4.37%, with 5 and 10 year median dividend yields at 4.23% each.
Lately the dividend growth has been low, but it was much higher in the past. The dividend growth over the past 5 year is 4.63% per year which is low. The dividend growth over the past 10 years is moderate at 9.12% per year. The dividend growth over the past 15 to 25 years is high with 15, 20 and 25 year growth at 29.34%, 23.46% and 18.37% per year.
The best total returns are over the longer terms of 15 to 25 years. The total return over the past 5 years is good with total return at 9.11%. This includes the dividends at 4.44% and capital gain at 4.67% per year. The 10 year total return is the lowest with 10 year total return moderate at 5.69% per year which includes dividends at 3.73% and capital gain at 1.95% per year.
The 15 year total return is at 12.77% including dividends at 3.99% and capital gain at 8.78% per year. The 20 year total return is at 14.92% with dividends at 3.47% and capital gains at 11.45% per year. The 25 year total return is 13.34% with dividends at 2.68% and capital gain at 10.66% per year.
The 5 year low, median and high median Price/Earnings per Share Ratios are 13.00, 14.14 and 15.98. The corresponding 10 year ratios are 13.18, 14.83 and 17.35. The historical ratios are 14.06, 16.38 and 17.69. The current P/E Ratio is 22.23 based on a current price of $27.12 and 2018 EPS estimate of 1.22. Analysts expect the EPS to fall by some 29% from 2017 and 2018. This stock price testing suggests that the stock price is relatively expensive.
I get a Graham Price of $17.99. The 10 year low, median and high median Price/Graham Price Ratios are 1.21, 1.32 and 1.49. The current P/GP Ratio is 1.51 based on a stock price of $27.12. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Book Value per Share Ratio is 2.70. The current P/B Ratio is 2.30 based on Book Value of $5,891M, Book Value per Share of $11.79 and a stock price of $27.12. The current P/B Ratio is some 15% below the 10 year median. This stock price testing suggests that the stock price is relatively reasonable and below the median. This is always a good test as it does not involve estimates and it is not greatly dependent on temporary problems.
The historical dividend yield is 1.23%. The current dividend yield is 4.37% based on dividends of $1.19 and a stock price of $27.12. The current dividend yield is some 255% below this historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.
Even if you compare the current dividend yield to the 5 and 10 year median yields of 4.23% the current yield is lower by 3.30%. This stock price testing suggests that the stock price is relatively reasonable and below the median.
The 10 year median Price/Sales (Revenue) Ratio is 2.38. The current P/S Ratio is 2.66 a values some 12% higher based on 2018 Revenue estimate of $5,090M, Revenue per Share of $10.19 and a stock price of $27.12. This stock price testing suggests that the stock price is relatively reasonable but above the median. However, the company seems to be reorganizing and in such a situation you would expect some volatility in Revenue.
When I look at analysts' recommendations I find the recommendations all over the past. There are Buy (6), Hold (8), Underperform (1) and Sell (1) recommendations. The consensus would be a Hold. The 12 month stock price consensus is $29.20. This implies a total return of 12.04% with 7.67% from capital gains and 4.37% from dividends based on a current stock price $27.12.
This Canadian Press article in Global News talks about Shaw offering employees a buyout program and hopes 10% of the staff will take them up on it. This article via Globe News Wire talks about Shaw's announcement of an enterprise-wide initiative designed to reinvent its operating model. Demetris Afxentiou of Motley Fool thinks that this company is full of potential. See what analysts are saying about this company on Stock Chase. They have rather mixed views.
Shaw Communications Inc. is a communications and media company that offers consumers with broadband cable television, high-speed internet, home phone, telecommunications services, satellite direct-to-home services and engaging programming. Its web site is here Shaw Communications Inc.
The last stock I wrote about was about was Valener Inc. (TSX-VNR, OTC-VNRCF)... learn more. The next stock I will write about will be AGF Management Ltd. (TSX-AGF.B, OTC-AGFMF)... learn more on Friday, February 2, 2018 around 5 pm. Tomorrow on my other blog I will write about Dividends and Inflation.... learn more on Thursday, February 1, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures
Wednesday, January 31, 2018
Monday, January 29, 2018
Valener Inc.
Sound bite for Twitter and StockTwits is: Dividend Paying Utility. I do not think that the rather high dividend yield makes up for no dividend growth. I personally would like a lower yield and dividend growth. Most analysts talk about buying this stock for income purposes. See my spreadsheet on Valener Inc.
I do not own this stock of Valener Inc. (TSX-VNR, OTC-VNRCF). I was looking for another utility to invest in, in 2009 and I was looking possibly at another pipeline stock. This company has natural gas pipelines in Quebec. I also recognized the name of this company. In 2010 it reorganized and made a public utility stock out of 29% of what was Gas Metro. This makes the valuation of this stock very complex.
What I noticed updating my spreadsheet is that dividends have gone both up and down, but over the longer term there is no increase. I have dividend growth over the past 5, 10, 15, 20 and 24 years and only in last 5 year duration is there an increase in dividends at the rate of 2.1% per year. For the 10, 15, 20 and 24 year periods dividends have declined by 1.1%, 1%, 0.9% and 0.2% per year.
The dividend yield has always been quite high. The historical dividend high is around 10.5% and the historical dividend low is around 5%. It has an historical median yield of 7.05%. The current dividend yield is 5.67% with 5 and 10 year median dividend yields at 6.14% and 6.47%.
Surprisingly, the total return is quite reasonable. The total return over the past 5, 10, 15, 20 and 24 years is at 12.86%, 9.32%, 7.15%, 7.45% and 10.39% per year. Total return includes both dividends and capital gains. This is a compounded return rate and it is from December to December. For example, for the 10 year total returns I use the returns from December 2007 to December 2017.
I looked at what part of the total return was dividend and what part was capital gain. Turns out the most of the total return is dividend. The dividend portion of the total return for the past 5, 10, 15, 20 and 24 year is 5.67%, 5.97%, 5.93%, 6.28% and 8.08%. The capital gains portion of the total return is 7.19%, 3.35%, 1.21%, 1.17% and 2.31%.
To me this would not be a stock to use to build a dividend income portfolio. When you are building such a portfolio you want to have capital gains rather than dividend income. If you buy and hold like I do, then you have little capital gain tax. With this stock because most of the return is in dividends, you would be paying lots of tax when building a portfolio and that makes no sense to me.
The 5 year low, median and high median Price/Earnings per Share Ratios are 13.75, 15.27 and 16.57. The corresponding 10 year ratios are 13.72, 15.05 and 16.23. The historical ratios are 12.59, 13.93 and 15.08. The current P/E Ratio is 17.08 based on a stock price of $22.71 and 2018 EPS estimate of $1.33. This stock price testing suggests that the stock price is relatively expensive.
I get a Graham Price of $22.53. The 10 year low, median and high median Price/Graham Price Ratios are 0.82, 0.90 and 1.02. The current P/GP Ratio is 1.01 based on a stock price of $22.71. This stock price testing suggests that the stock price is relatively reasonable but above the median and very close to expensive.
The 10 year Price/Book Value per Share Ratio 1.11. The current P/B Ratio is 1.34 based on Book Value of $659.5M, Book Value per Share of $16.96 and a stock price of 22.71. There ratios are rather low as an ratio of 1.50 is considered still a good P/B Ratio. The current P/B Ratio is some 20.8% higher the 10 year median P/B Ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical median dividend yield is 7.05%. The current dividend yield is 5.11% based on a stock price of $22.71 and dividends of $1.16. The current dividend yield is some 27.6% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive.
When I look at analysts' recommendations I find Buy (1) and Hold (5). The 12 month stock price consensus is $23.92. This implies a total return of 10.44% with 5.33% from capital gains and 5.11% from dividends based on a current stock price of $22.71.
An article on Economistan talks about recent analyst ratings on this stock. TD Bank gave it a Hold and a stock price target of $21.00. See what analysts say about this stock on Stock Chase. They remark on its good dividend yield and that it is a play on Gaz Metro.
Valener Inc .through its subsidiaries engaged in the regulated energy business in the United States and Canada. Its core business operations involve natural gas distribution in Quebec and Vermont as well as electricity distribution in Vermont. Its web site is here Valener Inc.
The last stock I wrote about was about was Enghouse Systems Ltd (TSX-ENGH, OTC-EGHSF)... learn more. The next stock I will write about will be Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR)... learn more on Wednesday, January 31, 2018 around 5 pm. Tomorrow on my other blog I will write about Banks and Ratios 2.... learn more on January 30, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I do not own this stock of Valener Inc. (TSX-VNR, OTC-VNRCF). I was looking for another utility to invest in, in 2009 and I was looking possibly at another pipeline stock. This company has natural gas pipelines in Quebec. I also recognized the name of this company. In 2010 it reorganized and made a public utility stock out of 29% of what was Gas Metro. This makes the valuation of this stock very complex.
What I noticed updating my spreadsheet is that dividends have gone both up and down, but over the longer term there is no increase. I have dividend growth over the past 5, 10, 15, 20 and 24 years and only in last 5 year duration is there an increase in dividends at the rate of 2.1% per year. For the 10, 15, 20 and 24 year periods dividends have declined by 1.1%, 1%, 0.9% and 0.2% per year.
The dividend yield has always been quite high. The historical dividend high is around 10.5% and the historical dividend low is around 5%. It has an historical median yield of 7.05%. The current dividend yield is 5.67% with 5 and 10 year median dividend yields at 6.14% and 6.47%.
Surprisingly, the total return is quite reasonable. The total return over the past 5, 10, 15, 20 and 24 years is at 12.86%, 9.32%, 7.15%, 7.45% and 10.39% per year. Total return includes both dividends and capital gains. This is a compounded return rate and it is from December to December. For example, for the 10 year total returns I use the returns from December 2007 to December 2017.
I looked at what part of the total return was dividend and what part was capital gain. Turns out the most of the total return is dividend. The dividend portion of the total return for the past 5, 10, 15, 20 and 24 year is 5.67%, 5.97%, 5.93%, 6.28% and 8.08%. The capital gains portion of the total return is 7.19%, 3.35%, 1.21%, 1.17% and 2.31%.
To me this would not be a stock to use to build a dividend income portfolio. When you are building such a portfolio you want to have capital gains rather than dividend income. If you buy and hold like I do, then you have little capital gain tax. With this stock because most of the return is in dividends, you would be paying lots of tax when building a portfolio and that makes no sense to me.
The 5 year low, median and high median Price/Earnings per Share Ratios are 13.75, 15.27 and 16.57. The corresponding 10 year ratios are 13.72, 15.05 and 16.23. The historical ratios are 12.59, 13.93 and 15.08. The current P/E Ratio is 17.08 based on a stock price of $22.71 and 2018 EPS estimate of $1.33. This stock price testing suggests that the stock price is relatively expensive.
I get a Graham Price of $22.53. The 10 year low, median and high median Price/Graham Price Ratios are 0.82, 0.90 and 1.02. The current P/GP Ratio is 1.01 based on a stock price of $22.71. This stock price testing suggests that the stock price is relatively reasonable but above the median and very close to expensive.
The 10 year Price/Book Value per Share Ratio 1.11. The current P/B Ratio is 1.34 based on Book Value of $659.5M, Book Value per Share of $16.96 and a stock price of 22.71. There ratios are rather low as an ratio of 1.50 is considered still a good P/B Ratio. The current P/B Ratio is some 20.8% higher the 10 year median P/B Ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical median dividend yield is 7.05%. The current dividend yield is 5.11% based on a stock price of $22.71 and dividends of $1.16. The current dividend yield is some 27.6% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive.
When I look at analysts' recommendations I find Buy (1) and Hold (5). The 12 month stock price consensus is $23.92. This implies a total return of 10.44% with 5.33% from capital gains and 5.11% from dividends based on a current stock price of $22.71.
An article on Economistan talks about recent analyst ratings on this stock. TD Bank gave it a Hold and a stock price target of $21.00. See what analysts say about this stock on Stock Chase. They remark on its good dividend yield and that it is a play on Gaz Metro.
Valener Inc .through its subsidiaries engaged in the regulated energy business in the United States and Canada. Its core business operations involve natural gas distribution in Quebec and Vermont as well as electricity distribution in Vermont. Its web site is here Valener Inc.
The last stock I wrote about was about was Enghouse Systems Ltd (TSX-ENGH, OTC-EGHSF)... learn more. The next stock I will write about will be Shaw Communications Inc. (TSX-SJR.B, NYSE-SJR)... learn more on Wednesday, January 31, 2018 around 5 pm. Tomorrow on my other blog I will write about Banks and Ratios 2.... learn more on January 30, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Friday, January 26, 2018
Enghouse Systems Ltd
Sound bite for Twitter and StockTwits is: Dividend Growth Tech. This stock looks quite expensive to me. Not only it is relatively expensive compared to its past, the past values are rather high. For example, the 10 year median P/B Ratio is high at 2.52. A good P/B Ratio is closer to 1.50. However, I must admit that tech stocks tend to have high ratios. See my spreadsheet on Enghouse Systems Ltd.
I do not own this stock of Enghouse Systems Ltd (TSX-ENGH, OTC-EGHSF). This stock has been recommended by Keystone Financial Publishing as a good Small Cap tech stock with dividend.
There is a lot of insider selling. The Net Insider Selling is at 1.40% of market cap. You expect this to be closer to the 0.01% range. Most of the selling is by the Chairman and CEO. It is the same person for both jobs. The problem, of course, is that you never know why someone is selling.
Dividends are low, but dividend growth is good. I consider low dividend yield to be under 2%. The current dividend is 1.03% with 5 and 9 year median dividend yields at 1.07% and 1.52%. I think that dividend growth over 15% is good. The dividend growth over the past 5 and 9 years is at 21% and 22% per year. Dividends have only been paid for 9 years.
This stock seems to have been listed on a stock exchange since 1995. So I have total return for 5, 10, 15, 20 and 22 years which are 30.06%, 24.71%, 18.96%, 16.85% and 15.32% per year. Total return includes both capital gains and dividends. This is showing compounded return over these years. Total return here is calculated from December to December.
The 5 year low, median and high median Price/Earnings per Share Ratios are 26.42, 29.94 and 34.22. The 10 year corresponding ratios are 17.65, 24.54 and 32.00. The historical corresponding ratios are 16.28, 20.71 and 24.42. It would appear that the recent run up in price is based on higher P/E Ratios. The current P/E Ratio is 31.14 based on a stock price of $63.53 and 2018 EPS estimate of $2.04. This stock price testing suggests that the stock price is relatively reasonable, but above the median and getting close to expensive.
I get a Graham Price of $22.83. The 10 year low, median and high median Price/Graham Price Ratios are 1.13, 1.49 and 1.95. The current P/GP Ratio is 2.78 based on a stock price of $63.53. This stock price testing suggests that the stock price is relatively expensive.
I get a 10 year median Price/Book Value per Share Ratio of 2.52. The current P/B Ratio is 5.60 based on Book Value of $306.40, Book Value per Share of $11.35 and a stock price of $63.53. The current P/B Ratio is some 122% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical dividend yield is 1.52%. The current dividend yield is 1.01% based on dividends of $0.64 and a stock price of $63.53. The current dividend yield is some 34% lower than the historical one. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Sales (Revenue) Ratio is 2.98. The current P/S Ratio is 4.97 based on 2018 Revenue estimate of $345M, Revenue per Share of $12.78 and a stock price of $63.53. The current ratios is some 57% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
When I look at analysts' recommendations I find I find Buy (3) and Hold (1). The consensus recommendation would be a Buy. The 12 month stock price consensus is $69.82. This implies a total return of 1376% with 12.72% from capital gains and 1.03% from dividends based on a current stock price of $61.94.
Rex Bailey of Week Herald.talks about the Chairman and CEO of this company doing insider selling. Stock Press Contributor on Stock Press Daily says that the Williams Percent Range is -25.68. That means that the stock is neither overbought nor oversold, but it is closer to overbought. Nicole Wilson on Ledger Gazette talks about some recent analysts recommendations. See what analysts are saying about this stock on Stock Chase.
Enghouse Systems Ltd is active in the software industry in Canada. Its business involves provision of software services to a variety of end markets. The company's major product is software for the communication companies. Its web site is here Enghouse Systems Ltd.
The last stock I wrote about was about was Sylogist Ltd (TSX-SYZ, OTC-SYZLF)... learn more. The next stock I will write about will be Valener Inc. (TSX-VNR, OTC-VNRCF)... learn more on Monday, January 29, 2018 around 5 pm.
Also, on my book blog I have put a review of the book SPQR by Mary Beard learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I do not own this stock of Enghouse Systems Ltd (TSX-ENGH, OTC-EGHSF). This stock has been recommended by Keystone Financial Publishing as a good Small Cap tech stock with dividend.
There is a lot of insider selling. The Net Insider Selling is at 1.40% of market cap. You expect this to be closer to the 0.01% range. Most of the selling is by the Chairman and CEO. It is the same person for both jobs. The problem, of course, is that you never know why someone is selling.
Dividends are low, but dividend growth is good. I consider low dividend yield to be under 2%. The current dividend is 1.03% with 5 and 9 year median dividend yields at 1.07% and 1.52%. I think that dividend growth over 15% is good. The dividend growth over the past 5 and 9 years is at 21% and 22% per year. Dividends have only been paid for 9 years.
This stock seems to have been listed on a stock exchange since 1995. So I have total return for 5, 10, 15, 20 and 22 years which are 30.06%, 24.71%, 18.96%, 16.85% and 15.32% per year. Total return includes both capital gains and dividends. This is showing compounded return over these years. Total return here is calculated from December to December.
The 5 year low, median and high median Price/Earnings per Share Ratios are 26.42, 29.94 and 34.22. The 10 year corresponding ratios are 17.65, 24.54 and 32.00. The historical corresponding ratios are 16.28, 20.71 and 24.42. It would appear that the recent run up in price is based on higher P/E Ratios. The current P/E Ratio is 31.14 based on a stock price of $63.53 and 2018 EPS estimate of $2.04. This stock price testing suggests that the stock price is relatively reasonable, but above the median and getting close to expensive.
I get a Graham Price of $22.83. The 10 year low, median and high median Price/Graham Price Ratios are 1.13, 1.49 and 1.95. The current P/GP Ratio is 2.78 based on a stock price of $63.53. This stock price testing suggests that the stock price is relatively expensive.
I get a 10 year median Price/Book Value per Share Ratio of 2.52. The current P/B Ratio is 5.60 based on Book Value of $306.40, Book Value per Share of $11.35 and a stock price of $63.53. The current P/B Ratio is some 122% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical dividend yield is 1.52%. The current dividend yield is 1.01% based on dividends of $0.64 and a stock price of $63.53. The current dividend yield is some 34% lower than the historical one. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Sales (Revenue) Ratio is 2.98. The current P/S Ratio is 4.97 based on 2018 Revenue estimate of $345M, Revenue per Share of $12.78 and a stock price of $63.53. The current ratios is some 57% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
When I look at analysts' recommendations I find I find Buy (3) and Hold (1). The consensus recommendation would be a Buy. The 12 month stock price consensus is $69.82. This implies a total return of 1376% with 12.72% from capital gains and 1.03% from dividends based on a current stock price of $61.94.
Rex Bailey of Week Herald.talks about the Chairman and CEO of this company doing insider selling. Stock Press Contributor on Stock Press Daily says that the Williams Percent Range is -25.68. That means that the stock is neither overbought nor oversold, but it is closer to overbought. Nicole Wilson on Ledger Gazette talks about some recent analysts recommendations. See what analysts are saying about this stock on Stock Chase.
Enghouse Systems Ltd is active in the software industry in Canada. Its business involves provision of software services to a variety of end markets. The company's major product is software for the communication companies. Its web site is here Enghouse Systems Ltd.
The last stock I wrote about was about was Sylogist Ltd (TSX-SYZ, OTC-SYZLF)... learn more. The next stock I will write about will be Valener Inc. (TSX-VNR, OTC-VNRCF)... learn more on Monday, January 29, 2018 around 5 pm.
Also, on my book blog I have put a review of the book SPQR by Mary Beard learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Wednesday, January 24, 2018
Sylogist Ltd
Sound bite for Twitter and StockTwits is: Dividend Growth Tech. This is a small cap tech. Mostly the stock price is testing in the expensive range. I agree with Jordan McNamee on Stock Chase that it would be best to buy on weakness. See my spreadsheet on Sylogist Ltd.
I do not own this stock of Sylogist Ltd (TSX-SYZ, OTC-SYZLF). I learned about this stock from the newsletter I subscribe to.
The thing about this company is that they give almost no information on their website. They tell you to go to Sedar for information. There is a lot of insider selling. The Net Insider Selling is 2.63% of market cap. You would expect this to be around 0.02%. The Chairman and CEO (same person) sold over $5M of shares over the past year. Last year he own almost 6% of the company and now owns just over 3%. The thing is that if you have all your money in your own company, it is wise to diversify your investments.
Another thing that I have noticed is that they always seem to have lots of cash on hand. At the end of 2017 financial year they had $1.28 per share. This is some 12.7% of the stock's price. The 5 year median of cash on hand as a percentage of the stock price is 12.7%.
They have only been paying dividends for 7 years. The growth over this is period is 23.5% per year. The growth over the past 5 years is at 15.5% per year. The company not only pays out an increasing dividend, but also pays out special dividends. In the past 7 years they have paid out 4 special dividends, and they have also paid out a special dividend for this current financial year.
The current dividend is moderate at 3.25%. The 5 year and 7 year median dividends are also moderate at 3.01% and 3.02%. Their dividend payout ratios are high, especially when including the special dividends. For 2017 the Dividend Payout Ratio for both dividends is 103% with 5 year cover at 131%. If you look only at the regular dividend the payout ratio for 2017 is 88% with 5 year coverage at 110%.
The Dividend Payout Ratios for CFPS is also high at 56% for 2017 with a5 year coverage at 70%. However, this company does have a lot of cash on hand. At the end of 2017 cash was $1.28 per share which is some 12.7% of the stock's price. Also the 5 year median cash coverage is 12.7% of the stock's price.
This stock has only been around since 1988, so I have 5, 10, 15 and 19 years of total return data. The total returns for these periods are 28.49%, 44.43%, 45.06% and 1.75% per year. Total return includes both capital gains and dividends and is from December to December.
Note that in this stock started out in 1998 in the $6 and $8 range and then spiked at $24.95 in 2000. It did not surpass the earlier prices until 2014 and has never come close to the 2000 spike. A lot of tech companies spiked in 2000. If you look at a chart, there have been ups and downs since 2014, but it has not surpassed 2014 prices yet. The high in 2014 was $11.00and the high in 2017 is $10.08.
The 5 year low, median and high Price/Earnings per Share Ratios are 23.94, 31.30 and 40.54. The 10 year ratios are 16.09, 23.27 and 31.85. The historical ratios are 2.33, 9.91 and 15.35. It would seem that the price part of this equation is rising faster than the earnings part. The current P/E Ratio is 30.94 based on a current stock price of $9.90 and 12 month EPS to the end of September 2017 the last 12 month period. This stock price testing suggests that the stock price is on the relatively expensive side.
The 10 year low, median and high median Price/Graham Price Ratios are 1.32, 2.12 and 2.68. These are really high ratios. The current P/GP Ratio is 2.74 based on a stock price of $9.90. This stock price testing suggests that the stock price is on the relatively expensive.
The 10 year Price/Book Value per Share Ratio is 3.34. The current P/B Ratio is 5.47 based on Book Value of $40.6M, Book Value per Share of $1.81 and a stock price of $9.90. The current P/B Ratio is some 64% higher than the 10 year ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical (or 7 year) median dividend yield is 3.02%. The current dividend yield is 3.23% based on dividends of $0.32 and a stock price of $9.90. The current dividend yield is some 7% higher than the historical one. This stock price testing suggests that the stock price is relatively reasonable but above the median.
As I mentioned above they are paying out a very high portion and sometimes more than the EPS in dividends. However, they do have a lot of cash and all that cash is from operations. There OPM (Operational Profit Margin or Cash Flow from Operations divided by Revenue is quite high at 37% in 2017.)
I can find no site with analysts' recommendations on this stock. However, if you follow the link for Stock Chase below, there are some. One analyst suggested buying the company only on weakness. This was in October of 2017.
The 10 year median Price/Sales (Revenue) Ratio is 5.11. The current P/S Ratio is 6.75 based on latest 12 months Revenue to the end of September 2017 of $32.9M and a stock price of $9.90. The current P/S Ratio is some 32% higher than the 10 year median. This stock price testing suggests that the stock price is on the relatively expensive.
Veer Mallick on Simply Wall Street talks about the implication of no debt for this company. Lenox Staff says on Lenox Ledger that the company's Value Composite score is 58. This show the company is neither under or overvalued. This article on Globe News Wire talks about the company acquiring software used in US schools. See what analysts are saying about this stock on Stock Chase. They mostly like the company.
Sylogist Ltd is a technology licensing company. The Company through strategic acquisitions, investments and operations management provides intellectual property solutions to public and private sector customers. Its web site is here Sylogist Ltd.
The last stock I wrote about was about was Transcontinental Inc. (TSX-TCL, OTC-TCLAF)... learn more. The next stock I will write about will be Enghouse Systems Ltd (TSX-ENGH, OTC-EGHSF)... learn more on January 26, 2018 around 5 pm. Tomorrow on my other blog I will write about Banks and Other Things.... learn more on Thursday, January 25, 2018 around 5 pm.
Also, on my book blog I have put a review of the book The Ends of the World by Peter Brannen learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I do not own this stock of Sylogist Ltd (TSX-SYZ, OTC-SYZLF). I learned about this stock from the newsletter I subscribe to.
The thing about this company is that they give almost no information on their website. They tell you to go to Sedar for information. There is a lot of insider selling. The Net Insider Selling is 2.63% of market cap. You would expect this to be around 0.02%. The Chairman and CEO (same person) sold over $5M of shares over the past year. Last year he own almost 6% of the company and now owns just over 3%. The thing is that if you have all your money in your own company, it is wise to diversify your investments.
Another thing that I have noticed is that they always seem to have lots of cash on hand. At the end of 2017 financial year they had $1.28 per share. This is some 12.7% of the stock's price. The 5 year median of cash on hand as a percentage of the stock price is 12.7%.
They have only been paying dividends for 7 years. The growth over this is period is 23.5% per year. The growth over the past 5 years is at 15.5% per year. The company not only pays out an increasing dividend, but also pays out special dividends. In the past 7 years they have paid out 4 special dividends, and they have also paid out a special dividend for this current financial year.
The current dividend is moderate at 3.25%. The 5 year and 7 year median dividends are also moderate at 3.01% and 3.02%. Their dividend payout ratios are high, especially when including the special dividends. For 2017 the Dividend Payout Ratio for both dividends is 103% with 5 year cover at 131%. If you look only at the regular dividend the payout ratio for 2017 is 88% with 5 year coverage at 110%.
The Dividend Payout Ratios for CFPS is also high at 56% for 2017 with a5 year coverage at 70%. However, this company does have a lot of cash on hand. At the end of 2017 cash was $1.28 per share which is some 12.7% of the stock's price. Also the 5 year median cash coverage is 12.7% of the stock's price.
This stock has only been around since 1988, so I have 5, 10, 15 and 19 years of total return data. The total returns for these periods are 28.49%, 44.43%, 45.06% and 1.75% per year. Total return includes both capital gains and dividends and is from December to December.
Note that in this stock started out in 1998 in the $6 and $8 range and then spiked at $24.95 in 2000. It did not surpass the earlier prices until 2014 and has never come close to the 2000 spike. A lot of tech companies spiked in 2000. If you look at a chart, there have been ups and downs since 2014, but it has not surpassed 2014 prices yet. The high in 2014 was $11.00and the high in 2017 is $10.08.
The 5 year low, median and high Price/Earnings per Share Ratios are 23.94, 31.30 and 40.54. The 10 year ratios are 16.09, 23.27 and 31.85. The historical ratios are 2.33, 9.91 and 15.35. It would seem that the price part of this equation is rising faster than the earnings part. The current P/E Ratio is 30.94 based on a current stock price of $9.90 and 12 month EPS to the end of September 2017 the last 12 month period. This stock price testing suggests that the stock price is on the relatively expensive side.
The 10 year low, median and high median Price/Graham Price Ratios are 1.32, 2.12 and 2.68. These are really high ratios. The current P/GP Ratio is 2.74 based on a stock price of $9.90. This stock price testing suggests that the stock price is on the relatively expensive.
The 10 year Price/Book Value per Share Ratio is 3.34. The current P/B Ratio is 5.47 based on Book Value of $40.6M, Book Value per Share of $1.81 and a stock price of $9.90. The current P/B Ratio is some 64% higher than the 10 year ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical (or 7 year) median dividend yield is 3.02%. The current dividend yield is 3.23% based on dividends of $0.32 and a stock price of $9.90. The current dividend yield is some 7% higher than the historical one. This stock price testing suggests that the stock price is relatively reasonable but above the median.
As I mentioned above they are paying out a very high portion and sometimes more than the EPS in dividends. However, they do have a lot of cash and all that cash is from operations. There OPM (Operational Profit Margin or Cash Flow from Operations divided by Revenue is quite high at 37% in 2017.)
I can find no site with analysts' recommendations on this stock. However, if you follow the link for Stock Chase below, there are some. One analyst suggested buying the company only on weakness. This was in October of 2017.
The 10 year median Price/Sales (Revenue) Ratio is 5.11. The current P/S Ratio is 6.75 based on latest 12 months Revenue to the end of September 2017 of $32.9M and a stock price of $9.90. The current P/S Ratio is some 32% higher than the 10 year median. This stock price testing suggests that the stock price is on the relatively expensive.
Veer Mallick on Simply Wall Street talks about the implication of no debt for this company. Lenox Staff says on Lenox Ledger that the company's Value Composite score is 58. This show the company is neither under or overvalued. This article on Globe News Wire talks about the company acquiring software used in US schools. See what analysts are saying about this stock on Stock Chase. They mostly like the company.
Sylogist Ltd is a technology licensing company. The Company through strategic acquisitions, investments and operations management provides intellectual property solutions to public and private sector customers. Its web site is here Sylogist Ltd.
The last stock I wrote about was about was Transcontinental Inc. (TSX-TCL, OTC-TCLAF)... learn more. The next stock I will write about will be Enghouse Systems Ltd (TSX-ENGH, OTC-EGHSF)... learn more on January 26, 2018 around 5 pm. Tomorrow on my other blog I will write about Banks and Other Things.... learn more on Thursday, January 25, 2018 around 5 pm.
Also, on my book blog I have put a review of the book The Ends of the World by Peter Brannen learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Monday, January 22, 2018
Transcontinental Inc.
Sound bite for Twitter and StockTwits is: Dividend Growth Industrial. I think that the stock price might be relatively reasonable. I also think that there is risk in this stock due to it transitioning away from strictly a printing company. See my spreadsheet on Transcontinental Inc.
I own this stock of Transcontinental Inc. (TSX-TCL, OTC-TCLAF). This is a dividend growth stock. It was on a number of dividend lists. However, it fell on hard times after 2008, but currently seems to be recovering. It is still on the Canadian Dividend Aristocrats Index.
I have done relatively well on this stock because I bought it at a relative low point in 2015. My total return since then is 21.60% per year. My total return consists of 17.41% capital gain per year and 4.19% dividends per year. I have had it for almost 3 years.
It looks like a lot of insider selling as the Net Insider Selling as a percentage of the stock's market cap is 0.21%. However, the problem is that they are selling off their options rather than taking the stock. The other thing is that this stock really took off in 2002 and hit a peak in 2004 ($28.20) that took it until October 2017 to match. At $25.70 it is lower than the 2004 peak.
Dividends used to low with good increases. That is the yields were below 2% and the increases were around 15%. The 5 year growth to 2008 is 17.23% per year. The historical median dividend yield is 1.31%.
However, things changed in 2009 and since then the dividends have been moderate (2 to3% range) and dividend growth has been slowing to a low growth (below 8%). The 5 year growth in dividends is just 6.6%. The 5 and 10 years median dividend yields are 3.84% and 3.72%. The 5 and 10 year dividend growth rates are 6.6% and 11.1% per year.
I have dividend growth rates going back 24 years. The dividend growth is moderate except for the last 5 years when it is low (below 8%). The 5, 10, 15, 20 and 24 year dividend growth is 6.61%, 11.06%, 13.10%, 12.77% and 11.31% per year.
If you had bought this stock 5, 10, 15, 20, 25 or 30 years ago, you would be making a dividend yield on your original purchase price of 6.17%, 5.09%, 4.23%, 11.24%, 16.30% and 27.83%.
The long term total returns are low to good. The 5, 10, 15, 20 and 24 year total return for this stock is 23.82%, 7.85%, 4.15%, 9.78% and 9.38% per year. The total return includes dividends and capital gains and goes from December to December. That means for the 9.38% for 24years, I am using the stock price for December 1992 to December 2017. I am also using all the dividends from 1993 to present. Note that dividends only started in 1993.
I have a longer series of stock price for the financial year ending in October. Here the total return for 25 and 29 years is at 9.93% and 11.29% per year. So for the total return over the past 29 years, I am using data from October 1988 to October 2017.
Note that the stock price climbed starting in 2002 and reached a peak of $28.20 in March of 2004. If you had been unlucky enough to have purchased the stock then you would have had to wait until October 2017 for the stock to reach that peak again. I made money on this stock because I purchased it at a relatively low point in 2015.
The 5 year low, median and high median Price/Earnings per Share Ratios are 6.37, 8.43 and 10.49. The corresponding 10 year P/E Ratios are 6.01, 7.50 and 9.00. The corresponding historical ratios are 10.03, 13.53 and 14.02. The Historical ones are higher because of earning losses in the past 5 and 10 years. The current P/E Ratio is 9.72 based on a stock price $25.08 and 2018 EPS estimate of $2.58. This stock price testing suggests that the stock price is relatively reasonable. On an absolute basis a P/E of 10.00 or lower is consider to be pointing to a relatively cheap price.
I get a Graham Price of $30.20. The 10 year low, median and high median Price/Graham Price Ratios are 0.62, 0.77 and 0.93. The current P/GP Ratio is 0.83 based on a stock price of $25.08. This stock price testing suggests that the stock price is relatively reasonable but above the median. Generally speaking a P/GP Ratio below 1.00 is considered a good one on an absolute basis.
The 10 year median Price/Book Value per Share ratio is 1.25. The current P/B Ratio is 1.60 based on a Book Value of $1,219M, Book Value per Share of $15.71 and a stock price of $25.08. The current P/B Ratio is some 28% higher than the 10 year median P/B Ratio. This stock price testing suggests that the stock price is relatively expensive. However, on an absolute basis a P/B Ratio of 1.50 is considered a good one and a P/B Ratio of 1.25 is considered a low one.
The historical median dividend yield is 1.31%. The current dividend yield is 3.19% based on dividends of $0.80 and a stock price of $25.08. On this basis the current yield is some 143% higher than the historical one. This stock price testing suggests that the stock price is relatively cheap.
If you look at the median dividend yield for the past 5 and 10 years, which are 3.84% and 3.72% respectively. The current dividend yield is some 17% and 14% below 5 and 10 year median yields. This would suggest that the stock price might be relatively reasonable but above the median.
The 10 year median Price/Sales (Revenue) Ratio is 0.53. The current P/S Ratio is 1.04 based on 2018 Revenue estimate of $1,875M, Revenue per Share of $24.18 and a stock price of $25.08. The current P/S Ratio is some 94% above the 10 year ratio. This stock price testing suggests that the stock price is relatively expensive.
When I look at analysts' recommendations I find Strong Buy (1), Buy (3) and Hold (4). The consensus would be a Buy. The 12 months stock price consensus is $28.19. This implies a total return of 15.39% with 12.40% from capital gain and 3.19% from dividends based on a current stock price of $25.08.
Staff Writer on Luxora Leader give some technical analysis and says this company has a Piotroski's F-Score or 8 and this is showing the stock to be strong. Michael Canly on Simply Wall Street says the company has a high chance of being able to pay good dividends for years to come. See what analysts are saying about this stock on Stock Chase. Most like it and some talk about their transition risk. It is still in the printing business.
Transcontinental Inc. provides printing services in Canada and North America. The Company publishes consumer magazines and French-language educational, and community newspapers in Quebec and in the provinces of Atlantic. Its web site is here Transcontinental Inc.
The last stock I wrote about was about was Canadian Imperial Bank of Commerce (TSX-CM, NYSE-CM)... learn more. The next stock I will write about will be Sylogist Ltd (TSX-SYZ, OTC-SYZLF)... learn more on Wednesday, January 24, 2018 around 5 pm. Tomorrow on my other blog I will write about Banks and Ratios.... learn more on Tuesday, January 23, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I own this stock of Transcontinental Inc. (TSX-TCL, OTC-TCLAF). This is a dividend growth stock. It was on a number of dividend lists. However, it fell on hard times after 2008, but currently seems to be recovering. It is still on the Canadian Dividend Aristocrats Index.
I have done relatively well on this stock because I bought it at a relative low point in 2015. My total return since then is 21.60% per year. My total return consists of 17.41% capital gain per year and 4.19% dividends per year. I have had it for almost 3 years.
It looks like a lot of insider selling as the Net Insider Selling as a percentage of the stock's market cap is 0.21%. However, the problem is that they are selling off their options rather than taking the stock. The other thing is that this stock really took off in 2002 and hit a peak in 2004 ($28.20) that took it until October 2017 to match. At $25.70 it is lower than the 2004 peak.
Dividends used to low with good increases. That is the yields were below 2% and the increases were around 15%. The 5 year growth to 2008 is 17.23% per year. The historical median dividend yield is 1.31%.
However, things changed in 2009 and since then the dividends have been moderate (2 to3% range) and dividend growth has been slowing to a low growth (below 8%). The 5 year growth in dividends is just 6.6%. The 5 and 10 years median dividend yields are 3.84% and 3.72%. The 5 and 10 year dividend growth rates are 6.6% and 11.1% per year.
I have dividend growth rates going back 24 years. The dividend growth is moderate except for the last 5 years when it is low (below 8%). The 5, 10, 15, 20 and 24 year dividend growth is 6.61%, 11.06%, 13.10%, 12.77% and 11.31% per year.
If you had bought this stock 5, 10, 15, 20, 25 or 30 years ago, you would be making a dividend yield on your original purchase price of 6.17%, 5.09%, 4.23%, 11.24%, 16.30% and 27.83%.
The long term total returns are low to good. The 5, 10, 15, 20 and 24 year total return for this stock is 23.82%, 7.85%, 4.15%, 9.78% and 9.38% per year. The total return includes dividends and capital gains and goes from December to December. That means for the 9.38% for 24years, I am using the stock price for December 1992 to December 2017. I am also using all the dividends from 1993 to present. Note that dividends only started in 1993.
I have a longer series of stock price for the financial year ending in October. Here the total return for 25 and 29 years is at 9.93% and 11.29% per year. So for the total return over the past 29 years, I am using data from October 1988 to October 2017.
Note that the stock price climbed starting in 2002 and reached a peak of $28.20 in March of 2004. If you had been unlucky enough to have purchased the stock then you would have had to wait until October 2017 for the stock to reach that peak again. I made money on this stock because I purchased it at a relatively low point in 2015.
The 5 year low, median and high median Price/Earnings per Share Ratios are 6.37, 8.43 and 10.49. The corresponding 10 year P/E Ratios are 6.01, 7.50 and 9.00. The corresponding historical ratios are 10.03, 13.53 and 14.02. The Historical ones are higher because of earning losses in the past 5 and 10 years. The current P/E Ratio is 9.72 based on a stock price $25.08 and 2018 EPS estimate of $2.58. This stock price testing suggests that the stock price is relatively reasonable. On an absolute basis a P/E of 10.00 or lower is consider to be pointing to a relatively cheap price.
I get a Graham Price of $30.20. The 10 year low, median and high median Price/Graham Price Ratios are 0.62, 0.77 and 0.93. The current P/GP Ratio is 0.83 based on a stock price of $25.08. This stock price testing suggests that the stock price is relatively reasonable but above the median. Generally speaking a P/GP Ratio below 1.00 is considered a good one on an absolute basis.
The 10 year median Price/Book Value per Share ratio is 1.25. The current P/B Ratio is 1.60 based on a Book Value of $1,219M, Book Value per Share of $15.71 and a stock price of $25.08. The current P/B Ratio is some 28% higher than the 10 year median P/B Ratio. This stock price testing suggests that the stock price is relatively expensive. However, on an absolute basis a P/B Ratio of 1.50 is considered a good one and a P/B Ratio of 1.25 is considered a low one.
The historical median dividend yield is 1.31%. The current dividend yield is 3.19% based on dividends of $0.80 and a stock price of $25.08. On this basis the current yield is some 143% higher than the historical one. This stock price testing suggests that the stock price is relatively cheap.
If you look at the median dividend yield for the past 5 and 10 years, which are 3.84% and 3.72% respectively. The current dividend yield is some 17% and 14% below 5 and 10 year median yields. This would suggest that the stock price might be relatively reasonable but above the median.
The 10 year median Price/Sales (Revenue) Ratio is 0.53. The current P/S Ratio is 1.04 based on 2018 Revenue estimate of $1,875M, Revenue per Share of $24.18 and a stock price of $25.08. The current P/S Ratio is some 94% above the 10 year ratio. This stock price testing suggests that the stock price is relatively expensive.
When I look at analysts' recommendations I find Strong Buy (1), Buy (3) and Hold (4). The consensus would be a Buy. The 12 months stock price consensus is $28.19. This implies a total return of 15.39% with 12.40% from capital gain and 3.19% from dividends based on a current stock price of $25.08.
Staff Writer on Luxora Leader give some technical analysis and says this company has a Piotroski's F-Score or 8 and this is showing the stock to be strong. Michael Canly on Simply Wall Street says the company has a high chance of being able to pay good dividends for years to come. See what analysts are saying about this stock on Stock Chase. Most like it and some talk about their transition risk. It is still in the printing business.
Transcontinental Inc. provides printing services in Canada and North America. The Company publishes consumer magazines and French-language educational, and community newspapers in Quebec and in the provinces of Atlantic. Its web site is here Transcontinental Inc.
The last stock I wrote about was about was Canadian Imperial Bank of Commerce (TSX-CM, NYSE-CM)... learn more. The next stock I will write about will be Sylogist Ltd (TSX-SYZ, OTC-SYZLF)... learn more on Wednesday, January 24, 2018 around 5 pm. Tomorrow on my other blog I will write about Banks and Ratios.... learn more on Tuesday, January 23, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Friday, January 19, 2018
Canadian Imperial Bank of Commerce
First I would like to say that the transfer of money to my Meridian Account was showing up on Friday, January 19 first thing in the morning and was dated January 18. This is effectively 4 business days before money can actually be used. So I did transfer on Monday and can use the money on Friday. If this was Tangerine, the transaction would be done the following day that is I could use the money on Tuesday.
Sound bite for Twitter and StockTwits is: Dividend Growth Bank. The stock price seems fairly good with a number of good tests show it reasonable and around the median. Here again a bank with some very good long term returns. See my spreadsheet on Canadian Imperial Bank of Commerce.
I do not own this stock of Canadian Imperial Bank of Commerce (TSX-CM, NYSE-CM). This was the only major Canadian Bank I was not following. I think it is about time I did.
The dividends are good and the dividend increases are low to moderate. The current dividend is 4.23%, with the 5, 10 and historical median yields at 4.67%, 4.80% and 4.29%. I consider any yield in the 4 or 5% range as good. The growth in dividends over the past 5, 10, 15, 20, 25 and 30 years are 6.89%, 5.03%, 8.01%, 8.20%, 8.51% and 7.56%. I consider growth less than 8% to be low and 8% to 15% to be moderate.
They can afford their dividends. The Dividend Payout Ratio for 2017 is 45.2% with 5 year coverage at 46.6%. For banks the DPR is expected to be in the 40% to 55% range.
The long term total returns are also good for this bank. I have them for up to 30 years. The 5, 10, 15, 20, 25 and 30 year total returns are 13.49%, 10.03%, 12.15%, 8.82%, 14.64% and 12.50%. The total return includes both dividends and capital gain and values are for December to December. The growth rates are compounded rates
The 5 year low, median and high median Price/Earnings per Share Ratios are 9.00, 9.89 and 10.78. The 10 year ratios are 9.14, 10.19 and 11.24. The historical ratios are 8.34, 9.73 and 11.40. The current P/E Ratio is 11.18 based on a stock price of $122.95 and 2018 EPS estimate of $11.00. This stock price testing suggests that the stock price is relatively reasonable but above the median and close to being expensive.
I get a Graham Price of $128.34. The 10 year low, median and high median Price/Graham Price Ratios are 0.86, 0.97 and 1.08. The current P/GP Ratio is 0.96 based on a stock price of $122.95. This stock price testing suggests that the stock price is relatively reasonable and around the median.
The 10 year Price/Book Value per Share Ratio is 1.96. The current P/B Ratio is 1.85 based on Book Value of $29,238M, Book Value per Share of $66.55 and a stock price of $122.95. The current ratio is some 5.9% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.
The historical median dividend yield is $4.29%. The current dividend yield is 4.23% based on dividends of $5.20 and a stock price of $122.95. The current dividend yield is some 1.4% below the historical median. This stock price testing suggests that the stock price is relatively reasonable and around the median.
The 10 year median Price/Sales (Revenue) Ratio is 2.52. The current P/S Ratio is 3.06 based on 2018 Revenue estimate of $17,641M, Revenue per Share of $40.16 and a stock price of 122.95. The current ratio is some 21.3% higher than the 10 year median ratio. This stock price testing suggests that the stock price is expensive.
When I look at analysts' recommendations I find Strong Buy (2), Buy (6), Hold (4) and Underperform (3). The consensus would be a Buy recommendation. The 12 month stock price consensus is $128.47. This implies a total return of 8.72% with 4.49% from capital gains and 4.23% from dividends.
Eric Emin Wood on IT World Canada talks about this bank going tech. They also have just purchased Toronto-based Wellington Financial. Andrew Walker on Motley Fool says what he likes about this bank. The Motley Fool David Jagielski of The Motley Fool on Yahoo talks about CIBC might be the best Canadian bank to buy. The Dividend Earner blogger talks about CIBC. See what analysts are saying about this bank on Stock Chase. They think it is doing well.
Canadian Imperial Bank of Commerce is a Canadian-based financial institution. The company serves its clients through retail and business banking, wealth management and wholesale banking. Its web site is here Canadian Imperial Bank of Commerce.
The last stock I wrote about was about was National Bank of Canada (TSX-NA, OTC-NTIOF)... learn more. The next stock I will write about will be Transcontinental Inc. (TSX-TCL, OTC-TCLAF)... learn more on Monday, January 22, 2018 around 5 pm.
Also, on my book blog I have put a review of the book Why Zebras Don't Get Ulcers by Robert Sapolsky learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Sound bite for Twitter and StockTwits is: Dividend Growth Bank. The stock price seems fairly good with a number of good tests show it reasonable and around the median. Here again a bank with some very good long term returns. See my spreadsheet on Canadian Imperial Bank of Commerce.
I do not own this stock of Canadian Imperial Bank of Commerce (TSX-CM, NYSE-CM). This was the only major Canadian Bank I was not following. I think it is about time I did.
The dividends are good and the dividend increases are low to moderate. The current dividend is 4.23%, with the 5, 10 and historical median yields at 4.67%, 4.80% and 4.29%. I consider any yield in the 4 or 5% range as good. The growth in dividends over the past 5, 10, 15, 20, 25 and 30 years are 6.89%, 5.03%, 8.01%, 8.20%, 8.51% and 7.56%. I consider growth less than 8% to be low and 8% to 15% to be moderate.
They can afford their dividends. The Dividend Payout Ratio for 2017 is 45.2% with 5 year coverage at 46.6%. For banks the DPR is expected to be in the 40% to 55% range.
The long term total returns are also good for this bank. I have them for up to 30 years. The 5, 10, 15, 20, 25 and 30 year total returns are 13.49%, 10.03%, 12.15%, 8.82%, 14.64% and 12.50%. The total return includes both dividends and capital gain and values are for December to December. The growth rates are compounded rates
The 5 year low, median and high median Price/Earnings per Share Ratios are 9.00, 9.89 and 10.78. The 10 year ratios are 9.14, 10.19 and 11.24. The historical ratios are 8.34, 9.73 and 11.40. The current P/E Ratio is 11.18 based on a stock price of $122.95 and 2018 EPS estimate of $11.00. This stock price testing suggests that the stock price is relatively reasonable but above the median and close to being expensive.
I get a Graham Price of $128.34. The 10 year low, median and high median Price/Graham Price Ratios are 0.86, 0.97 and 1.08. The current P/GP Ratio is 0.96 based on a stock price of $122.95. This stock price testing suggests that the stock price is relatively reasonable and around the median.
The 10 year Price/Book Value per Share Ratio is 1.96. The current P/B Ratio is 1.85 based on Book Value of $29,238M, Book Value per Share of $66.55 and a stock price of $122.95. The current ratio is some 5.9% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.
The historical median dividend yield is $4.29%. The current dividend yield is 4.23% based on dividends of $5.20 and a stock price of $122.95. The current dividend yield is some 1.4% below the historical median. This stock price testing suggests that the stock price is relatively reasonable and around the median.
The 10 year median Price/Sales (Revenue) Ratio is 2.52. The current P/S Ratio is 3.06 based on 2018 Revenue estimate of $17,641M, Revenue per Share of $40.16 and a stock price of 122.95. The current ratio is some 21.3% higher than the 10 year median ratio. This stock price testing suggests that the stock price is expensive.
When I look at analysts' recommendations I find Strong Buy (2), Buy (6), Hold (4) and Underperform (3). The consensus would be a Buy recommendation. The 12 month stock price consensus is $128.47. This implies a total return of 8.72% with 4.49% from capital gains and 4.23% from dividends.
Eric Emin Wood on IT World Canada talks about this bank going tech. They also have just purchased Toronto-based Wellington Financial. Andrew Walker on Motley Fool says what he likes about this bank. The Motley Fool David Jagielski of The Motley Fool on Yahoo talks about CIBC might be the best Canadian bank to buy. The Dividend Earner blogger talks about CIBC. See what analysts are saying about this bank on Stock Chase. They think it is doing well.
Canadian Imperial Bank of Commerce is a Canadian-based financial institution. The company serves its clients through retail and business banking, wealth management and wholesale banking. Its web site is here Canadian Imperial Bank of Commerce.
The last stock I wrote about was about was National Bank of Canada (TSX-NA, OTC-NTIOF)... learn more. The next stock I will write about will be Transcontinental Inc. (TSX-TCL, OTC-TCLAF)... learn more on Monday, January 22, 2018 around 5 pm.
Also, on my book blog I have put a review of the book Why Zebras Don't Get Ulcers by Robert Sapolsky learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Wednesday, January 17, 2018
National Bank of Canada
Sound bite for Twitter and StockTwits is: Dividend Growth Bank. Price wise it would see that the bank's stock price is relatively reasonable but above the median. So the price is a little high, but not overly so. It is a smaller bank, but has provided shareholders with good long term returns. See my spreadsheet on National Bank of Canada.
I do not own this stock of National Bank of Canada (TSX-NA, OTC-NTIOF). I thought I should follow one of the smaller Canadian Banks. This seems like a good choice.
There seems to be a lot of insider selling as the selling as a percentage of the market cap is at 0.20%. You expect a percentage closer to 0.02%. However, it seems that insiders are selling off their stock options rather than selling share that they already own.
The dividend yield is moderate to good with dividend growth low to moderate. The current dividend yield is 3.83% with the 5, 10 and historical median yields at 4.17%, 4.17% and 3.95%. The dividend growth over the past 5 and 10 years is low to moderate at 8.25% and 7.42%. I have the same comment for longer term growth which over the past 15, 20, 25 and 30 years is at 11.26%, 10.98%, 7.11% and 7.26%.
I consider a moderate dividend yield to be in the 2% and 3% range and good to be in the 4% and 5% range. For dividend growth, growth below 8% is low and between 8% and 15% is moderate.
The Dividend Payout Ratio for this bank for 2017 is 41.5% and the 5 year coverage is 45.09%. Generally you expect the DPR for banks to be in the 40% to 55% range. So they can afford their dividends.
The Total Return for this bank over the past 30 years is quite decent at 12.28% per year. The total return includes capital gains and dividends paid. This is a compounded return. The total return for the past 5, 10, 15, 20, 25 and 30 years is at 14.35%, 13.28%, 13.62%, 12.24%, 16.17% and 12.28%.
The 5 year low, median and high median Price/Earnings per Share Ratio are 9.04, 10.62 and 12.21. The corresponding 10 year ratios are 9.07, 10.29 and 11.76. The historical ratios are 8.38, 9.82 and 11.88. The current P/E Ratio is 10.87 based on a stock price of $62.61 and 2018 EPS estimate of $5.76. This stock price testing suggests that the stock price is relatively reasonable and around the median.
I get a Graham Price of $69.64. The 10 year low, median and high median Price/Graham Price Ratios are 0.76, 0.86 and 1.02. The current P/GP Ratio is 0.98 based on a stock price of $62.61. This stock price testing suggests that the stock price is relatively reasonable but above the median.
The 10 year median Price/Book Value per Share Ratio is 1.66. The current P/B Ratio is 1.99 based on Book Value of $10,700M, Book Value per Share of $31.51 and a stock price of $62.61. The current P/B Ratio is some 19.7% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median and very close to expensive.
The historical median dividend yield is 3.95%. The current dividend yield is 3.83% based on dividends of $2.40 and a stock price of $62.61. The current yield is some 2.96% below the historical median yield. This stock price testing suggests that the stock price is relatively reasonable but above the median (just).
The 10 year median Price/Sales (Revenue) Ratio is 2.55. The current P/S Ratio is 2.96 based on 2018 Revenue estimate of $7,190M, Revenue per Share of $21.17 and a stock price of $62.61. The current P/S Ratio is some 16.06% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations I find Strong Buy (1), Buy (2), Hold (9) and Underperform (1). This consensus would be a Hold. The 12 month stock price consensus is $66.08. This implies a total return of 9.38% with 5.54% from capital gains and 3.83% from dividends based on a current stock price of $62.61.
The bank on Cision talks about their new website. Jonathon Baker on Simply Wall Street talks about this bank's debt. Nicole Wilson on Ledger Gazette talks about recent ratings for this bank. See what analysts think of this stock on Stock Chase. They mostly like this bank.
National Bank of Canada is a financial service provider for consumers, small and medium-sized enterprises, and large corporations. The company's segments include Personal and Commercial, Wealth Management and Financial Markets. Its web site is here National Bank of Canada.
The last stock I wrote about was about was Bank of Nova Scotia (TSX-BNS, NYSE-BNS)... learn more. The next stock I will write about will be Canadian Imperial Bank of Commerce (TSX-CM, NYSE-CM)... learn more on Friday, January 19, 2018 around 5 pm. Tomorrow on my other blog I will write about Tangerine and Meridian.... learn more on Thursday, January 18, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I do not own this stock of National Bank of Canada (TSX-NA, OTC-NTIOF). I thought I should follow one of the smaller Canadian Banks. This seems like a good choice.
There seems to be a lot of insider selling as the selling as a percentage of the market cap is at 0.20%. You expect a percentage closer to 0.02%. However, it seems that insiders are selling off their stock options rather than selling share that they already own.
The dividend yield is moderate to good with dividend growth low to moderate. The current dividend yield is 3.83% with the 5, 10 and historical median yields at 4.17%, 4.17% and 3.95%. The dividend growth over the past 5 and 10 years is low to moderate at 8.25% and 7.42%. I have the same comment for longer term growth which over the past 15, 20, 25 and 30 years is at 11.26%, 10.98%, 7.11% and 7.26%.
I consider a moderate dividend yield to be in the 2% and 3% range and good to be in the 4% and 5% range. For dividend growth, growth below 8% is low and between 8% and 15% is moderate.
The Dividend Payout Ratio for this bank for 2017 is 41.5% and the 5 year coverage is 45.09%. Generally you expect the DPR for banks to be in the 40% to 55% range. So they can afford their dividends.
The Total Return for this bank over the past 30 years is quite decent at 12.28% per year. The total return includes capital gains and dividends paid. This is a compounded return. The total return for the past 5, 10, 15, 20, 25 and 30 years is at 14.35%, 13.28%, 13.62%, 12.24%, 16.17% and 12.28%.
The 5 year low, median and high median Price/Earnings per Share Ratio are 9.04, 10.62 and 12.21. The corresponding 10 year ratios are 9.07, 10.29 and 11.76. The historical ratios are 8.38, 9.82 and 11.88. The current P/E Ratio is 10.87 based on a stock price of $62.61 and 2018 EPS estimate of $5.76. This stock price testing suggests that the stock price is relatively reasonable and around the median.
I get a Graham Price of $69.64. The 10 year low, median and high median Price/Graham Price Ratios are 0.76, 0.86 and 1.02. The current P/GP Ratio is 0.98 based on a stock price of $62.61. This stock price testing suggests that the stock price is relatively reasonable but above the median.
The 10 year median Price/Book Value per Share Ratio is 1.66. The current P/B Ratio is 1.99 based on Book Value of $10,700M, Book Value per Share of $31.51 and a stock price of $62.61. The current P/B Ratio is some 19.7% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median and very close to expensive.
The historical median dividend yield is 3.95%. The current dividend yield is 3.83% based on dividends of $2.40 and a stock price of $62.61. The current yield is some 2.96% below the historical median yield. This stock price testing suggests that the stock price is relatively reasonable but above the median (just).
The 10 year median Price/Sales (Revenue) Ratio is 2.55. The current P/S Ratio is 2.96 based on 2018 Revenue estimate of $7,190M, Revenue per Share of $21.17 and a stock price of $62.61. The current P/S Ratio is some 16.06% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations I find Strong Buy (1), Buy (2), Hold (9) and Underperform (1). This consensus would be a Hold. The 12 month stock price consensus is $66.08. This implies a total return of 9.38% with 5.54% from capital gains and 3.83% from dividends based on a current stock price of $62.61.
The bank on Cision talks about their new website. Jonathon Baker on Simply Wall Street talks about this bank's debt. Nicole Wilson on Ledger Gazette talks about recent ratings for this bank. See what analysts think of this stock on Stock Chase. They mostly like this bank.
National Bank of Canada is a financial service provider for consumers, small and medium-sized enterprises, and large corporations. The company's segments include Personal and Commercial, Wealth Management and Financial Markets. Its web site is here National Bank of Canada.
The last stock I wrote about was about was Bank of Nova Scotia (TSX-BNS, NYSE-BNS)... learn more. The next stock I will write about will be Canadian Imperial Bank of Commerce (TSX-CM, NYSE-CM)... learn more on Friday, January 19, 2018 around 5 pm. Tomorrow on my other blog I will write about Tangerine and Meridian.... learn more on Thursday, January 18, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Monday, January 15, 2018
Bank of Nova Scotia
Sound bite for Twitter and StockTwits is: Dividend growth bank. Stock price is reasonable to expensive. It may be on the expensive side but not overly so. This stock has great long term total return with the one for 30 years at 16.60% per year. See my spreadsheet on Bank of Nova Scotia.
I do not own this stock of Bank of Nova Scotia (TSX-BNS, NYSE-BNS). This is one of the big banks of Canada. All our big banks are dividend growth companies. Besides, my son owns shares in this bank.
The dividend yields are moderate to high and the dividend growth is low to moderate. The current dividend yield is 3.85%. The 5, 10 and historical dividend yields are higher at 4.12%, 4.15% and 4.11%. Dividend growth over the past 5 and 10 years has been low with growth at 6.9% and 5.8% per year. Dividend growth was better longer term with dividend growth for the past 15, 20, 25 and 30 years at 10%, 11.1%, 10.4%, and 9.9% per year.
I think that dividend yields of 4 and 5% are high. If dividends are at 6% or above you have to consider the possibility that the company is in financial problems. In fact any time a stock's yield gets way above where it normally is, you have to look for financial problems.
The 2008/9 crisis hit banks hard. This bank only had one year of not rising dividends in 2010, but dividend increases have also been much lower since then than they had been in the past. They were through a period from 2000 to 2007when dividend increases were high (that is over 15%). However, they were lower before that period and after.
They can afford their dividends as the Dividend Payout Ratio is for 2017 at 47% with the 5 year coverage of DPR at 47.3%. The basic rule of thumb is that banks DPR should be from 40% to 55%.
I have total returns for this bank over the past 30 years. The total returns for the past 5, 10, 15, 20, 25 and 30 years is at 11.25%, 8.64%, 12.08%, 12.04%, 15.91% and 16.60% per year. Total returns include both dividends and capital gains. These values are determined using December 31 values. This total return calculation is compounded. The lowest is for the past 10 years and that is because it includes the difficult period of 2008/9.
The 5 year low, median and high median Price/Earnings per Share Ratios are 10.29, 11.32 and 12.52. The corresponding 10 year Ratios are 10.47, 11.47 and 12.97. The corresponding historical ones are 10.29, 11.25 and 13.20. They are pretty consistent. The current P/E Ratio 12.86, based on a stock price of $82.11 and 2018 EPS estimate of $6.39. This stock price testing suggests that the stock price is relatively reasonable but above the median and getting very close to expensive.
I get a Graham price of $81.51. The 10 year low, median and high median Price/Graham Price Ratios are 0.85, 0.93 and 1.05. The current P/GP Ratio is 1.01 based on a stock price of $82.11. This stock price testing suggests that the stock price is relatively reasonable but above the median.
The 10 year Price/Book Value per Share Ratio is 1.88. The current P/B Ratio is 1.78 based on Book Value of $55,454M, Book Value per Share of $46.24 and a stock price of $82.11. The current P/B Ratio is some 5% below the 10 year median. This stock price testing suggests that the stock price is relatively reasonable and below the median.
The historical median dividend yield is 4.11. The current dividend yield is 3.85% based on dividends of $3.16 and a stock price of $82.11. The current dividend is some 6.4% below the historical yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.
The 10 year median Price/Sales (Revenue) Ratio is 3.30. The current ratio is 3.42 based on 2018 Revenue estimate of $28,775M, Revenue per Share of $23.99 and a stock price of $82.11. The current ratio is 3.7% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations, I find Strong Buy (3), Buy (10), Hold (1) and Underperform (1). The consensus would be a Buy. The 12 months stock price is $89.71. This implies a total return of $13.10 based on a stock price of $82.11. This total return consists of capital gains of 9.26% and dividends of $3.85%.
Andrew Walker of Motley Fool thinks that this would be a great addition to a TFSA retirement fund. Ploutos Investing on Seeking Alpha does an analysis of this stock. Lisa Williams on Marea Informative gives an interesting view about the attention being paid to this bank. See what analysts are saying onStock Chase. Most mention that this bank is doing business in South America.
Bank of Nova Scotia is an international bank and a financial service provider. The company provides personal and commercial banking, wealth management and private banking, corporate and investment banking, and capital markets services. Its web site is here Bank of Nova Scotia.
The last stock I wrote about was about was Toronto Dominion Bank (TSX-TD, NYSE-TD)... learn more. The next stock I will write about will be National Bank of Canada (TSX-NA, OTC-NTIOF)... learn more on Wednesday, January 17, 2018 around 5 pm. Tomorrow on my other blog I will write about Dividend Stocks Changes 2017... learn more on Tuesday, January 16, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I do not own this stock of Bank of Nova Scotia (TSX-BNS, NYSE-BNS). This is one of the big banks of Canada. All our big banks are dividend growth companies. Besides, my son owns shares in this bank.
The dividend yields are moderate to high and the dividend growth is low to moderate. The current dividend yield is 3.85%. The 5, 10 and historical dividend yields are higher at 4.12%, 4.15% and 4.11%. Dividend growth over the past 5 and 10 years has been low with growth at 6.9% and 5.8% per year. Dividend growth was better longer term with dividend growth for the past 15, 20, 25 and 30 years at 10%, 11.1%, 10.4%, and 9.9% per year.
I think that dividend yields of 4 and 5% are high. If dividends are at 6% or above you have to consider the possibility that the company is in financial problems. In fact any time a stock's yield gets way above where it normally is, you have to look for financial problems.
The 2008/9 crisis hit banks hard. This bank only had one year of not rising dividends in 2010, but dividend increases have also been much lower since then than they had been in the past. They were through a period from 2000 to 2007when dividend increases were high (that is over 15%). However, they were lower before that period and after.
They can afford their dividends as the Dividend Payout Ratio is for 2017 at 47% with the 5 year coverage of DPR at 47.3%. The basic rule of thumb is that banks DPR should be from 40% to 55%.
I have total returns for this bank over the past 30 years. The total returns for the past 5, 10, 15, 20, 25 and 30 years is at 11.25%, 8.64%, 12.08%, 12.04%, 15.91% and 16.60% per year. Total returns include both dividends and capital gains. These values are determined using December 31 values. This total return calculation is compounded. The lowest is for the past 10 years and that is because it includes the difficult period of 2008/9.
The 5 year low, median and high median Price/Earnings per Share Ratios are 10.29, 11.32 and 12.52. The corresponding 10 year Ratios are 10.47, 11.47 and 12.97. The corresponding historical ones are 10.29, 11.25 and 13.20. They are pretty consistent. The current P/E Ratio 12.86, based on a stock price of $82.11 and 2018 EPS estimate of $6.39. This stock price testing suggests that the stock price is relatively reasonable but above the median and getting very close to expensive.
I get a Graham price of $81.51. The 10 year low, median and high median Price/Graham Price Ratios are 0.85, 0.93 and 1.05. The current P/GP Ratio is 1.01 based on a stock price of $82.11. This stock price testing suggests that the stock price is relatively reasonable but above the median.
The 10 year Price/Book Value per Share Ratio is 1.88. The current P/B Ratio is 1.78 based on Book Value of $55,454M, Book Value per Share of $46.24 and a stock price of $82.11. The current P/B Ratio is some 5% below the 10 year median. This stock price testing suggests that the stock price is relatively reasonable and below the median.
The historical median dividend yield is 4.11. The current dividend yield is 3.85% based on dividends of $3.16 and a stock price of $82.11. The current dividend is some 6.4% below the historical yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.
The 10 year median Price/Sales (Revenue) Ratio is 3.30. The current ratio is 3.42 based on 2018 Revenue estimate of $28,775M, Revenue per Share of $23.99 and a stock price of $82.11. The current ratio is 3.7% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations, I find Strong Buy (3), Buy (10), Hold (1) and Underperform (1). The consensus would be a Buy. The 12 months stock price is $89.71. This implies a total return of $13.10 based on a stock price of $82.11. This total return consists of capital gains of 9.26% and dividends of $3.85%.
Andrew Walker of Motley Fool thinks that this would be a great addition to a TFSA retirement fund. Ploutos Investing on Seeking Alpha does an analysis of this stock. Lisa Williams on Marea Informative gives an interesting view about the attention being paid to this bank. See what analysts are saying onStock Chase. Most mention that this bank is doing business in South America.
Bank of Nova Scotia is an international bank and a financial service provider. The company provides personal and commercial banking, wealth management and private banking, corporate and investment banking, and capital markets services. Its web site is here Bank of Nova Scotia.
The last stock I wrote about was about was Toronto Dominion Bank (TSX-TD, NYSE-TD)... learn more. The next stock I will write about will be National Bank of Canada (TSX-NA, OTC-NTIOF)... learn more on Wednesday, January 17, 2018 around 5 pm. Tomorrow on my other blog I will write about Dividend Stocks Changes 2017... learn more on Tuesday, January 16, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Friday, January 12, 2018
Toronto Dominion Bank
Sound bite for Twitter and StockTwits is: Dividend Growth Bank. Stock price is fliting with the expensive range. Maybe best to wait for a better price, but that may take some time. This stock has a great long term total return with 40 year total return at 17.65% per year. Also, dividend increases over the past 40 years is at 11.4% per year. See my spreadsheet on Toronto Dominion Bank.
I own this stock of Toronto Dominion Bank (TSX-TD, NYSE-TD). This stock, as all banks, was on Mike Higgs' Canadian Dividend Growth Stock list and the other dividend lists that I followed. When I sold some Metro in 2009, I bought this stock. It is the 3rd bank stock I bought. This is one of the big 5 banks of Canada. I think all Canadians should have at least one bank in their portfolio.
I have 40 years of dividend and stock price data on this stock. The returns and dividend growth over the past 40 years have been great for shareholders. This bank only kept dividends flat for one year in 2010. Compare this to BMO which kept dividends flat for 4 years from 2009 to 2012 inclusive. Note that BNS and National Bank also only kept dividends level for one year whereas Royal Bank and CIBC had dividends level for 2 years.
Dividend yield is moderate as is the dividend growth. Current dividend yields are at 3.20% with 5, 10 and historical median dividend yield at 3.71%, 3.71% and 3.50%. The dividend growth over the past 5, 10, 15, 20, 25, 30, 35 and 40 years are 10.21%, 8.34%, 10.03%, 11.22%, 10.58%, 10.83%, 10.08% and 11.37% per year. The one period under 10% is for the past 10 years and that is because the one year of flat dividends was within the past 10 years.
They can afford their dividends. The Dividend Payout Ratio for 2017 is at 42.7% and the 5 year covers is at 45.4%. The DPR for CFPS is 31.4% for 2017 and the 5 year coverage is 33.9%.
The long term total return is great and it is the reason everyone should have a Canadian Bank in their portfolio. The Total Return over the past 5, 10, 15, 20, 25, 30, 35 and 40 years are 15.73%, 11.05%, 14.00%, 12.05%, 20.62%, 14.43%, 15.82% and 17.65% per year. This is 31 of December to 31 of December. Total return includes both dividends and capital gains and this is a compounded rate. The 40 year total return at 17.65% is exceptional.
The total return over the past 5 and 10 years of 15.73% and 11.05% break down into 11.96% and 7.80% from capital gains and 3.78% and 3.25% from dividends.
The 5 year low, median and high median Price/Earnings per Share Ratios are 11.40, 12.63 and 13.69. The corresponding 10 year ratios are 11.20, 12.65 and 13.76. The historical ratios are 11.40, 11.34 and 13.92. These are remarkable consistent. The current P/E Ratio is 13.54 based on a stock price of $74.90 and 2018 EPS estimate of $5.53. This stock price testing suggests that the stock price is relatively reasonable but above the median and very close to relatively expensive.
I get a Graham Price of $68.66. The 10 year low, median and high median Price/Graham Price Ratios are 0.86, 0.97 and 1.07. The current P/GP Ratio is 1.09 based on a stock price of $74.90. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Book Value per Share Ratio is 1.61. The current P/B Ratio is 1.98 based on a Book Value of $69,807, BVPS of $37.89 and a stock price of $74.90. The current ratio is some 22.7% above the 10 year ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical median dividend yield is 3.50%. The current dividend yield is 3.20% based on dividends of $2.40 and a stock price of $74.90. The current dividend yield is some 8.5% below the historical median. This stock price testing suggests that the stock price is relatively reasonable but above the median.
I get a 10 year median Price/Sales (Revenue) Ratio of 3.13. The current P/S Ratio is 3.81 based on 2018 Revenue estimate of $36,198M, Revenue per Share of $19.65 and a stock price of $74.90. The current ratio is some 21.7% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations I find Strong Buy (3), Buy (5), Hold (6) and Underperform (1). They are sort of all over the place. The consensus would be a Buy. The 12 month stock price consensus is $78.00. This implies a total return of 7.34% with 4.14% from capital gains and 3.20% from dividends. This makes sense as price is relatively high.
Susan Portelance on Motley Fool talks about the bank's investment in AI. Canadian banks talk in this CTV News Report of the effect of US tax laws on them. This Globe and Mail article talks about Canada introducing new bank capital rules. See what analysts are saying about this stock on Stock Chase.
The Toronto-Dominion Bank and its subsidiaries provide financial products and services. It offers asset management, insurance, wealth management, investment banking, wholesale banking, personal banking and commercial banking services and others. Its web site is here Toronto Dominion Bank.
The last stock I wrote about was about was Calian Group Ltd. (TSX-CGY, OTC- CLNFF)... learn more. The next stock I will write about will be Bank of Nova Scotia (TSX-BNS, NYSE-BNS)... learn more on Monday, January 15, 2018 around 5 pm.
Also, on my book blog I have put a review of the book A World in Disarray by Richard Haass learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I own this stock of Toronto Dominion Bank (TSX-TD, NYSE-TD). This stock, as all banks, was on Mike Higgs' Canadian Dividend Growth Stock list and the other dividend lists that I followed. When I sold some Metro in 2009, I bought this stock. It is the 3rd bank stock I bought. This is one of the big 5 banks of Canada. I think all Canadians should have at least one bank in their portfolio.
I have 40 years of dividend and stock price data on this stock. The returns and dividend growth over the past 40 years have been great for shareholders. This bank only kept dividends flat for one year in 2010. Compare this to BMO which kept dividends flat for 4 years from 2009 to 2012 inclusive. Note that BNS and National Bank also only kept dividends level for one year whereas Royal Bank and CIBC had dividends level for 2 years.
Dividend yield is moderate as is the dividend growth. Current dividend yields are at 3.20% with 5, 10 and historical median dividend yield at 3.71%, 3.71% and 3.50%. The dividend growth over the past 5, 10, 15, 20, 25, 30, 35 and 40 years are 10.21%, 8.34%, 10.03%, 11.22%, 10.58%, 10.83%, 10.08% and 11.37% per year. The one period under 10% is for the past 10 years and that is because the one year of flat dividends was within the past 10 years.
They can afford their dividends. The Dividend Payout Ratio for 2017 is at 42.7% and the 5 year covers is at 45.4%. The DPR for CFPS is 31.4% for 2017 and the 5 year coverage is 33.9%.
The long term total return is great and it is the reason everyone should have a Canadian Bank in their portfolio. The Total Return over the past 5, 10, 15, 20, 25, 30, 35 and 40 years are 15.73%, 11.05%, 14.00%, 12.05%, 20.62%, 14.43%, 15.82% and 17.65% per year. This is 31 of December to 31 of December. Total return includes both dividends and capital gains and this is a compounded rate. The 40 year total return at 17.65% is exceptional.
The total return over the past 5 and 10 years of 15.73% and 11.05% break down into 11.96% and 7.80% from capital gains and 3.78% and 3.25% from dividends.
The 5 year low, median and high median Price/Earnings per Share Ratios are 11.40, 12.63 and 13.69. The corresponding 10 year ratios are 11.20, 12.65 and 13.76. The historical ratios are 11.40, 11.34 and 13.92. These are remarkable consistent. The current P/E Ratio is 13.54 based on a stock price of $74.90 and 2018 EPS estimate of $5.53. This stock price testing suggests that the stock price is relatively reasonable but above the median and very close to relatively expensive.
I get a Graham Price of $68.66. The 10 year low, median and high median Price/Graham Price Ratios are 0.86, 0.97 and 1.07. The current P/GP Ratio is 1.09 based on a stock price of $74.90. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Book Value per Share Ratio is 1.61. The current P/B Ratio is 1.98 based on a Book Value of $69,807, BVPS of $37.89 and a stock price of $74.90. The current ratio is some 22.7% above the 10 year ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical median dividend yield is 3.50%. The current dividend yield is 3.20% based on dividends of $2.40 and a stock price of $74.90. The current dividend yield is some 8.5% below the historical median. This stock price testing suggests that the stock price is relatively reasonable but above the median.
I get a 10 year median Price/Sales (Revenue) Ratio of 3.13. The current P/S Ratio is 3.81 based on 2018 Revenue estimate of $36,198M, Revenue per Share of $19.65 and a stock price of $74.90. The current ratio is some 21.7% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations I find Strong Buy (3), Buy (5), Hold (6) and Underperform (1). They are sort of all over the place. The consensus would be a Buy. The 12 month stock price consensus is $78.00. This implies a total return of 7.34% with 4.14% from capital gains and 3.20% from dividends. This makes sense as price is relatively high.
Susan Portelance on Motley Fool talks about the bank's investment in AI. Canadian banks talk in this CTV News Report of the effect of US tax laws on them. This Globe and Mail article talks about Canada introducing new bank capital rules. See what analysts are saying about this stock on Stock Chase.
The Toronto-Dominion Bank and its subsidiaries provide financial products and services. It offers asset management, insurance, wealth management, investment banking, wholesale banking, personal banking and commercial banking services and others. Its web site is here Toronto Dominion Bank.
The last stock I wrote about was about was Calian Group Ltd. (TSX-CGY, OTC- CLNFF)... learn more. The next stock I will write about will be Bank of Nova Scotia (TSX-BNS, NYSE-BNS)... learn more on Monday, January 15, 2018 around 5 pm.
Also, on my book blog I have put a review of the book A World in Disarray by Richard Haass learn more...
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Wednesday, January 10, 2018
Calian Group Ltd
First I would like to say that I bought Alaris Royalty Corp (TSX-AD, OTC-ALARF) for my main purchase in my TFSA for my 2018 deposit.
Sound bite for Twitter and StockTwits is: Dividend Paying Tech. The stock price is generally testing as expensive, but it is just into the expensive range and so not that overpriced. A good sign that they are growing again would be an increase in dividends but analysts do not see this happening over the next couple of years. See my spreadsheet on Calian Group Ltd.
I own this stock of Calian Group Ltd. (TSX-CGY, OTC-CLNFF). This is an interesting company with a very nice dividend. This stock came up on a Globe Investor site. The Globe Investor Number Cruncher is an investment column about screening for stocks and funds. They did one on companies with little to no debt. I also noted that the Financial Blogger has this stock on his Top Ten Canadian Dividend Stocks list.
This company has virtually no debt and certainly no long term debt. I remember one commentator at the Money Show saying that it was almost impossible for a company with no debt to go bankrupt. This company hit a peak in 2012. They have now surpassed this in Revenue, Earnings and stock price, but they have not reinstated dividend growth. Dividends have not been increased since 2012. You know that the company feels more confident about the future when dividends are increased.
The main thing to point out is that they have not raised the dividend since 2012. Business has had a long slow recovery and this has had a big effect on a lot of companies. Prior to 2012 dividend were growing. The dividend growth rate was 1.1%, 10.3% and 14.4% per year over the past 5 and 10 years. Dividends have only been paid since 2003, but there was some very good growth at first.
The current dividend yield is moderate, but it has varied a lot. The high is around 7.6% and the low around 1.6%. The current dividend yield is 3.92% and the historical median yield is 4.9%. This 5 and 10 year median yield is 5.7% and 5.3%.
They have had no trouble covering the dividends. The Dividend Payout Ratio for 2017 is 55.7% with 5 year coverage at 67%. The DPR for 2017 for CF is 36% with 5 year coverage at 42%. The preferred DPR for CF is at 40% or less.
This stock has only been around on the TSX since 1993 so I have only up to 24 years of total return. The total return per year over the past 5 10, 15, 20 and 24 years is at 13.45%, 15.28%, 20.32%, 18.19% and 9.02% per year. Total return includes both capital gain and dividends. This is a compounded rate of return. Any compounded rate of return above 8% is good. Mostly the total return on this stock has been good for investors.
The total return on this stock has included a lot of dividends. The 5 and 10 year total return is 13.45% and 15.28% per year which includes 8.88% and 9.23% per year in capital gains and 4.57% and 6.04% in dividends.
The 5 year low, median and high median Price/Earnings per Share Ratios are 10.34, 13.09 and 13.84. The corresponding 10 year ratios are 11.20, 11.08 and 14.98. The historical ratios are 9.54, 11.27 and 12.69. The current P/E Ratio is 15.43 based on a stock price of $32.10 and 2018 EPS estimate of $2.08. This stock price testing suggests that the stock price is relatively expensive.
I get a Graham Price of $23.39. The 10 year low, median and high median Price/Graham Price Ratios are 0.93, 1.02 and 1.14. The current P/GP Ratio is 1.22 based on a stock price of $32.10. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Book Value per Share Ratio is 2.01. The current P/B Ratio is 2.45 based on Book Value of $89.49, Book Value per Share of $11.69 and a stock price of $32.10. The current P/B Ratio is some 21.8% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical median dividend yield is 4.90%. The current dividend yield is 3.92% based on dividends of $1.12 and a stock price of $32.10. The current yield is some 20% higher than the historical median. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Sales (Revenue) Ratio is 0.62. The current P/S Ratio is 0.73 based on 2018 Revenue estimate of $300M, Revenue per Share of $39.19 and a stock price of $32.10. The current P/S Ratio is some 18% higher than the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations I find only Buy (4) Recommendations and the consensus would be a Buy. The 12 months stock price is $37.00. This implies a total return of 19.18% with 15.26% from capital gains and 3.92% from dividends based on a current stock price of $32.10.
Marguerite Chambers on BZ Weekly says analysts expect the company to report $0.49 EPS on February 7, 2018. Times Staff Times Staff says on Ozark Times that some measures so no strong trend for this stock. Andrew Edmonds on Simply Wall Street thinks this stock is fairly valued. See what analysts are saying about this stock on Stock Chase. Most like it, but one analyst points out that if they lose a big contract it really impacts the results.
Calian Group Ltd is engaged in providing business and technology services to industry and government in the health, IT services and training and engineering domains. Its web site is here Calian Group Ltd.
The last stock I wrote about was about was Rogers Sugar Inc. (TSX-RSI, OTC-RSGUF)... learn more. The next stock I will write about will be Toronto Dominion Bank (TSX-TD, NYSE-TD)... learn more on Friday, January 12, 2018 around 5 pm. Tomorrow on my other blog I will write about Update Notes.... learn more on Thursday, January 11, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Sound bite for Twitter and StockTwits is: Dividend Paying Tech. The stock price is generally testing as expensive, but it is just into the expensive range and so not that overpriced. A good sign that they are growing again would be an increase in dividends but analysts do not see this happening over the next couple of years. See my spreadsheet on Calian Group Ltd.
I own this stock of Calian Group Ltd. (TSX-CGY, OTC-CLNFF). This is an interesting company with a very nice dividend. This stock came up on a Globe Investor site. The Globe Investor Number Cruncher is an investment column about screening for stocks and funds. They did one on companies with little to no debt. I also noted that the Financial Blogger has this stock on his Top Ten Canadian Dividend Stocks list.
This company has virtually no debt and certainly no long term debt. I remember one commentator at the Money Show saying that it was almost impossible for a company with no debt to go bankrupt. This company hit a peak in 2012. They have now surpassed this in Revenue, Earnings and stock price, but they have not reinstated dividend growth. Dividends have not been increased since 2012. You know that the company feels more confident about the future when dividends are increased.
The main thing to point out is that they have not raised the dividend since 2012. Business has had a long slow recovery and this has had a big effect on a lot of companies. Prior to 2012 dividend were growing. The dividend growth rate was 1.1%, 10.3% and 14.4% per year over the past 5 and 10 years. Dividends have only been paid since 2003, but there was some very good growth at first.
The current dividend yield is moderate, but it has varied a lot. The high is around 7.6% and the low around 1.6%. The current dividend yield is 3.92% and the historical median yield is 4.9%. This 5 and 10 year median yield is 5.7% and 5.3%.
They have had no trouble covering the dividends. The Dividend Payout Ratio for 2017 is 55.7% with 5 year coverage at 67%. The DPR for 2017 for CF is 36% with 5 year coverage at 42%. The preferred DPR for CF is at 40% or less.
This stock has only been around on the TSX since 1993 so I have only up to 24 years of total return. The total return per year over the past 5 10, 15, 20 and 24 years is at 13.45%, 15.28%, 20.32%, 18.19% and 9.02% per year. Total return includes both capital gain and dividends. This is a compounded rate of return. Any compounded rate of return above 8% is good. Mostly the total return on this stock has been good for investors.
The total return on this stock has included a lot of dividends. The 5 and 10 year total return is 13.45% and 15.28% per year which includes 8.88% and 9.23% per year in capital gains and 4.57% and 6.04% in dividends.
The 5 year low, median and high median Price/Earnings per Share Ratios are 10.34, 13.09 and 13.84. The corresponding 10 year ratios are 11.20, 11.08 and 14.98. The historical ratios are 9.54, 11.27 and 12.69. The current P/E Ratio is 15.43 based on a stock price of $32.10 and 2018 EPS estimate of $2.08. This stock price testing suggests that the stock price is relatively expensive.
I get a Graham Price of $23.39. The 10 year low, median and high median Price/Graham Price Ratios are 0.93, 1.02 and 1.14. The current P/GP Ratio is 1.22 based on a stock price of $32.10. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Book Value per Share Ratio is 2.01. The current P/B Ratio is 2.45 based on Book Value of $89.49, Book Value per Share of $11.69 and a stock price of $32.10. The current P/B Ratio is some 21.8% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
The historical median dividend yield is 4.90%. The current dividend yield is 3.92% based on dividends of $1.12 and a stock price of $32.10. The current yield is some 20% higher than the historical median. This stock price testing suggests that the stock price is relatively expensive.
The 10 year median Price/Sales (Revenue) Ratio is 0.62. The current P/S Ratio is 0.73 based on 2018 Revenue estimate of $300M, Revenue per Share of $39.19 and a stock price of $32.10. The current P/S Ratio is some 18% higher than the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.
When I look at analysts' recommendations I find only Buy (4) Recommendations and the consensus would be a Buy. The 12 months stock price is $37.00. This implies a total return of 19.18% with 15.26% from capital gains and 3.92% from dividends based on a current stock price of $32.10.
Marguerite Chambers on BZ Weekly says analysts expect the company to report $0.49 EPS on February 7, 2018. Times Staff Times Staff says on Ozark Times that some measures so no strong trend for this stock. Andrew Edmonds on Simply Wall Street thinks this stock is fairly valued. See what analysts are saying about this stock on Stock Chase. Most like it, but one analyst points out that if they lose a big contract it really impacts the results.
Calian Group Ltd is engaged in providing business and technology services to industry and government in the health, IT services and training and engineering domains. Its web site is here Calian Group Ltd.
The last stock I wrote about was about was Rogers Sugar Inc. (TSX-RSI, OTC-RSGUF)... learn more. The next stock I will write about will be Toronto Dominion Bank (TSX-TD, NYSE-TD)... learn more on Friday, January 12, 2018 around 5 pm. Tomorrow on my other blog I will write about Update Notes.... learn more on Thursday, January 11, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Monday, January 8, 2018
Rogers Sugar Inc.
Sound bite for Twitter and StockTwits is: Good yield consumers. On a number of tests the current stock price is relatively reasonable and below or at the median. This is probably a fair judge of this stock’s price. It might take off with new purchases. See my spreadsheet on Rogers Sugar Inc.
I do not own this stock of Rogers Sugar Inc. (TSX-RSI, OTC-RSGUF). This stock was brought to my attention by Dividend Ninja. This company used to be an Income Trust (TSX-RSI.UN) but it has been converted to a corporation. On its change to a corporation, it lowered its dividend.
Both their Intangibles and goodwill and long term debt has increased. The debt has increased by 150% to a ratio with the market cap of 0.25 and Intangibles and Goodwill has increased by 50.4% to a ratio of 0.59. They also issued new shares and shares have increased by 12.7%. Any time you get big changes to these items you need to find out why.
In this case, the company acquired the outstanding shares of LBMT. LBMT is one of the world’s largest branded and private label maple syrup bottling and distribution companies. One analyst has said that Rogers in the past lacked a growth avenue, but with the addition of LBMT and Decacer they have one.
The dividend yields have always been high on this stock. The historical high yield is around 16% and the historical low yield is around 5.2%. This average historical yield is 10.57% with a historical median yield at 9.47%. They reduced their dividends when they became a corporation but even since then the median is still high at 6.18%. The current dividend yield is 5.78% which is still a pretty good yield.
The bad news is that there is no growth in dividends. The dividend has not increased since 2013. The 5 dividend growth is the only one that is positive because of an increase 5 years ago but that is still extremely low at just 0.85%. For the past, 10, 15 and 19 year dividends have declined by 1.69%, 0.94% and 3.43% per year. Analysts do not see any increase in the near term.
The problem is that the company has not been able to cover its dividends with its earnings since 2012. The Dividend Payout Ratio for 2017 is 164% with 5 year coverage of 119%. Analysts think that the dividends will be covered by earnings in 2018 at a rate of 68%. However, they also thought that earnings would be high enough for them to cover the dividends in 2017.
Actually the total return has been fairly good except for the 20 year one. The total return for the past 5, 10, 15 and 20 years is at 8.34%, 11.15%, 10.32% and 4.75% per year. A lot of things happen over the long term and I think that any per year total return over the long term at or above 8% is a good one.
However, most of the total return for this stock is in dividends. The total return for the past 5 and 10 years is at 8.34% and 11.15% per year with capital gain at 1.08% and 3.01% per year and dividends at 7.27% and 8.14% per year respectively.
The 10 year low, median and high median Price/Earnings per Share Ratios are 14.49, 16.21 and 18.52. The 10 year ratios are 12.26, 13.62 and 14.68. The historical ones are 9.02, 9.84 and 11.16. The current P/E Ratios are 11.75 based on a stock price $6.23 and 2018 EPS estimates of $0.53. This stock price testing suggests that the stock price is relatively cheap.
I get a Graham Price of $6.11. The 10 year low, median and high median Price/Earnings per Share Ratios are 0.92, 1.03 and 1.16. The current P/GP Ratio is 1.02 based on a stock price of $6.23. This stock price testing suggests that the stock price is reasonable and around the median.
The 10 year Price/Book Value per Share Ratio is 1.82. The current P/B Ratio is 1.99 based on a stock price of $6.23, Book Value of $331M and Book Value per Share of $3.13. The current P/B Ratio is some 9.3% above the 10 year median ratio. This stock price testing suggests that the stock price is reasonable but above the median.
The historical median dividend yield is 9.47%. The one since the company became a corporation is 6.18%. The current dividend yield is 5.78% based on dividends of $0.36 and stock price of $6.23. The current dividend yield is some 39% and 6.5% below these yields. The current yield is even below the 5 year median yield of 6.70% by 13.8%. All this testing suggests that the stock price could relatively reasonable, but it is certainly above the median.
You are never going to get a good result from using my favourite test using the dividend yield. The yields in the past have been very high. High dividend yields usually denote a company in problem. If they fix the problems, the dividend yield is going to go down.
The Price/Sales (Revenue) Ratio is 0.89. The current P/S Ratio is 0.75 based on 2018 Revenue estimate of $879M, Revenue per Share of $8.31 and a stock price of $6.23. This stock price testing suggests that the stock price is relatively reasonable and below the median.
When I look at analysts’ recommendations I find Buy (3) and Hold (2). The consensus would be a Buy. The 12 month stock price is $7.05. This implies a total return of 18.94% with 5.78% from dividends and 13.16% from capital gains.
Joseph Solitro on Motley Fool likes the dividend yield on this stock. Migdalia James on Herald KS talks about what analysts expect on this stock. See what analysts are saying about this stock on Stock Chase. Most think that they are making a good move into Maple Sugar.
Rogers Sugar Inc is engaged in refining, packaging and marketing of sugar products. The Company produces granulated, icing, organic and brown sugars, liquid sugars and syrups. Its web site is here Rogers Sugar Inc.
The last stock I wrote about was about was Royal Bank of Canada (TSX-RY, NYSE-RY)... learn more. The next stock I will write about will be Calian Group Ltd. (TSX-CGY, OTC- CLNFF)... learn more on Wednesday, January 9, 2018 around 5 pm. Tomorrow on my other blog I will write about Stock Entries 2018.... learn more on Tuesday, January 9, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I do not own this stock of Rogers Sugar Inc. (TSX-RSI, OTC-RSGUF). This stock was brought to my attention by Dividend Ninja. This company used to be an Income Trust (TSX-RSI.UN) but it has been converted to a corporation. On its change to a corporation, it lowered its dividend.
Both their Intangibles and goodwill and long term debt has increased. The debt has increased by 150% to a ratio with the market cap of 0.25 and Intangibles and Goodwill has increased by 50.4% to a ratio of 0.59. They also issued new shares and shares have increased by 12.7%. Any time you get big changes to these items you need to find out why.
In this case, the company acquired the outstanding shares of LBMT. LBMT is one of the world’s largest branded and private label maple syrup bottling and distribution companies. One analyst has said that Rogers in the past lacked a growth avenue, but with the addition of LBMT and Decacer they have one.
The dividend yields have always been high on this stock. The historical high yield is around 16% and the historical low yield is around 5.2%. This average historical yield is 10.57% with a historical median yield at 9.47%. They reduced their dividends when they became a corporation but even since then the median is still high at 6.18%. The current dividend yield is 5.78% which is still a pretty good yield.
The bad news is that there is no growth in dividends. The dividend has not increased since 2013. The 5 dividend growth is the only one that is positive because of an increase 5 years ago but that is still extremely low at just 0.85%. For the past, 10, 15 and 19 year dividends have declined by 1.69%, 0.94% and 3.43% per year. Analysts do not see any increase in the near term.
The problem is that the company has not been able to cover its dividends with its earnings since 2012. The Dividend Payout Ratio for 2017 is 164% with 5 year coverage of 119%. Analysts think that the dividends will be covered by earnings in 2018 at a rate of 68%. However, they also thought that earnings would be high enough for them to cover the dividends in 2017.
Actually the total return has been fairly good except for the 20 year one. The total return for the past 5, 10, 15 and 20 years is at 8.34%, 11.15%, 10.32% and 4.75% per year. A lot of things happen over the long term and I think that any per year total return over the long term at or above 8% is a good one.
However, most of the total return for this stock is in dividends. The total return for the past 5 and 10 years is at 8.34% and 11.15% per year with capital gain at 1.08% and 3.01% per year and dividends at 7.27% and 8.14% per year respectively.
The 10 year low, median and high median Price/Earnings per Share Ratios are 14.49, 16.21 and 18.52. The 10 year ratios are 12.26, 13.62 and 14.68. The historical ones are 9.02, 9.84 and 11.16. The current P/E Ratios are 11.75 based on a stock price $6.23 and 2018 EPS estimates of $0.53. This stock price testing suggests that the stock price is relatively cheap.
I get a Graham Price of $6.11. The 10 year low, median and high median Price/Earnings per Share Ratios are 0.92, 1.03 and 1.16. The current P/GP Ratio is 1.02 based on a stock price of $6.23. This stock price testing suggests that the stock price is reasonable and around the median.
The 10 year Price/Book Value per Share Ratio is 1.82. The current P/B Ratio is 1.99 based on a stock price of $6.23, Book Value of $331M and Book Value per Share of $3.13. The current P/B Ratio is some 9.3% above the 10 year median ratio. This stock price testing suggests that the stock price is reasonable but above the median.
The historical median dividend yield is 9.47%. The one since the company became a corporation is 6.18%. The current dividend yield is 5.78% based on dividends of $0.36 and stock price of $6.23. The current dividend yield is some 39% and 6.5% below these yields. The current yield is even below the 5 year median yield of 6.70% by 13.8%. All this testing suggests that the stock price could relatively reasonable, but it is certainly above the median.
You are never going to get a good result from using my favourite test using the dividend yield. The yields in the past have been very high. High dividend yields usually denote a company in problem. If they fix the problems, the dividend yield is going to go down.
The Price/Sales (Revenue) Ratio is 0.89. The current P/S Ratio is 0.75 based on 2018 Revenue estimate of $879M, Revenue per Share of $8.31 and a stock price of $6.23. This stock price testing suggests that the stock price is relatively reasonable and below the median.
When I look at analysts’ recommendations I find Buy (3) and Hold (2). The consensus would be a Buy. The 12 month stock price is $7.05. This implies a total return of 18.94% with 5.78% from dividends and 13.16% from capital gains.
Joseph Solitro on Motley Fool likes the dividend yield on this stock. Migdalia James on Herald KS talks about what analysts expect on this stock. See what analysts are saying about this stock on Stock Chase. Most think that they are making a good move into Maple Sugar.
Rogers Sugar Inc is engaged in refining, packaging and marketing of sugar products. The Company produces granulated, icing, organic and brown sugars, liquid sugars and syrups. Its web site is here Rogers Sugar Inc.
The last stock I wrote about was about was Royal Bank of Canada (TSX-RY, NYSE-RY)... learn more. The next stock I will write about will be Calian Group Ltd. (TSX-CGY, OTC- CLNFF)... learn more on Wednesday, January 9, 2018 around 5 pm. Tomorrow on my other blog I will write about Stock Entries 2018.... learn more on Tuesday, January 9, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Friday, January 5, 2018
Royal Bank of Canada
By the way I have started a spreadsheet on Industrial Alliance Insurance and Financial Services Inc (TSX-IAG, OTC- IDLLF). This is the second one I have added this year because of other stocks being dropped from my list.
Sound bite for Twitter and StockTwits is: Dividend Growth Bank. Price is a bit high but not overly so. Very good long term return. My yield on my original stock price is 50.14% currently after 23 years. This is eye popping and a good reason to buy dividend growth stocks. See my spreadsheet on Royal Bank of Canada.
I own this stock of Royal Bank of Canada (TSX-RY, NYSE-RY). At the time I bought this stock it was on Mike Higgs' list of Canadian Dividend Growth Stocks and on the dividend lists I followed as were all the banks. I still value this stock and consider it a core stock of my portfolio.
I have done even better on the Royal Bank than Bank of Montreal. I have had this bank for 23 years and my yield on my original stock price is an eye popping 50.14%. According to my spreadsheet, people who have had this stock for 25 years get a yield of 57% and for 30 years get a yield of 93% if they paid a median price for the stock. This is why you buy bank stocks for the long term.
The dividend yield is moderate with the current yield at 3.55% and the 5, 10 and historical median yields at 3.92%, 3.93% and 3.92% respectively. This is close to a good yield which I consider to be in the 4 to 5% range.
Dividend growth has been low to moderate over the past 5 and 10 years with growth at 8.15% and 6.17% per year for the past 5 and 10 years. Growth has been better in the past with the 15, 20, 25 and 30 year dividend growth at 10.10%, 11.14%, 10.65% and 9.20% per year.
The 5 and 10 year total return is at 15.37% and 10.86% per year. Even more impressive is the longer term total return with growth for 15, 20, 25 and 30 years at 12.71%, 12.35%, 16.50% and 17.03% per year. I have had this stock for 23 years and my total return is 17.97% per year with 12.68% from capital gains and 5.29% from dividends.
What this means that say I had invested $10,000 in this stock 23 years ago, my stock would be worth $141,390.11 today and I would have collected some $48,866.71 in dividends so far. However a warning is required because past returns do not guarantee future returns. Perhaps this bank will continue to show good returns or you may need to buy a smaller bank to get such returns. However, this does show the possibilities. And note that a lot of things can happen over 30 years. There will be all sorts of expansions and recessions happening.
I get 5 year low, median and high median Price/Earnings per Share Ratios of 10.51, 11.44 and 12.68. The corresponding 10 year ratios are 10.68, 12.39 and 13.68. The historical ratios are 10.40, 12.42 and 14.07. The current P/E Ratio is 12.91 based on a current stock price of $102.64 and 2018 EPS estimate of 7.95. This stock price testing suggests that the stock price is reasonable but above the median.
I get a Graham Price of $88.09. The 10 year low, median and high Price/Graham Price Ratios are 0.92, 1.08 and 1.19.The current P/GP Ratio is 1.17 based on a stock price of $102.64. This stock price testing suggests that the stock price is reasonable but above the median. It is almost to the relatively expensive range.
The 10 year median Price/Book Value per Share Ratio is 2.02. The current P/B Ratio is 2.21 based on Book Value of $67,416m, Book Value per Share of $46.41 and a stock price of $102.64. The current P/B Ratio is some 9.4% higher than the 10 year median. This stock price testing suggests that the stock price is reasonable but above the median.
The current dividend yield is 3.55% based on dividends of $3.64 and a stock price of $102.64. The historical median dividend yield is 3.92%. The current dividend yield is some 9.5% below the historical median. This stock price testing suggests that the stock price is reasonable but above the median.
The 10 year median Price/Sales (Revenue) Ratio is 2.98. The current P/S Ratio is 3.64 based on 2018 Revenue estimate of $40,957M, Revenue per Share of $28.20 and a stock price of $102.64. The current P/S Ratio is some 11.4% above the 10 year median ratio. This stock price testing suggests that the stock price is reasonable but above the median.
When I look at analysts' recommendations I find Strong Buy (3), Buy (6), Hold (5) and Underperform (3). The consensus would be a Buy. The 12 month stock price is $108.47. This implies a total return of 9.23% with 5.68% from capital gains and 3.55% from dividends.
Katy Gagnon on Analysts Buzz says with the Relative Strength Index (RSI) over 70 at 75.73, this stock is overbought. Note site is quoting in US$. Nicole Wilson on Ledger Gazette interestingly compares RBC and Farmers National Banc (NASDAQ:FMNB). See what analysts are saying about this bank on Stock Chase. They rather like it and most feel that it will continue to grow.
Royal Bank of Canada is one of the largest Canadian banks. It provides diversified financial services, personal and commercial banking, wealth management services, insurance, corporate and investment banking, and transaction processing services worldwide. Its web site is here Royal Bank of Canada.
The last stock I wrote about was about was Bank of Montreal (TSX-BMO, NYSE-BMO)... learn more. The next stock I will write about will be Rogers Sugar Inc. (TSX-RSI, OTC-RSGUF)... learn more on Monday, January8, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Sound bite for Twitter and StockTwits is: Dividend Growth Bank. Price is a bit high but not overly so. Very good long term return. My yield on my original stock price is 50.14% currently after 23 years. This is eye popping and a good reason to buy dividend growth stocks. See my spreadsheet on Royal Bank of Canada.
I own this stock of Royal Bank of Canada (TSX-RY, NYSE-RY). At the time I bought this stock it was on Mike Higgs' list of Canadian Dividend Growth Stocks and on the dividend lists I followed as were all the banks. I still value this stock and consider it a core stock of my portfolio.
I have done even better on the Royal Bank than Bank of Montreal. I have had this bank for 23 years and my yield on my original stock price is an eye popping 50.14%. According to my spreadsheet, people who have had this stock for 25 years get a yield of 57% and for 30 years get a yield of 93% if they paid a median price for the stock. This is why you buy bank stocks for the long term.
The dividend yield is moderate with the current yield at 3.55% and the 5, 10 and historical median yields at 3.92%, 3.93% and 3.92% respectively. This is close to a good yield which I consider to be in the 4 to 5% range.
Dividend growth has been low to moderate over the past 5 and 10 years with growth at 8.15% and 6.17% per year for the past 5 and 10 years. Growth has been better in the past with the 15, 20, 25 and 30 year dividend growth at 10.10%, 11.14%, 10.65% and 9.20% per year.
The 5 and 10 year total return is at 15.37% and 10.86% per year. Even more impressive is the longer term total return with growth for 15, 20, 25 and 30 years at 12.71%, 12.35%, 16.50% and 17.03% per year. I have had this stock for 23 years and my total return is 17.97% per year with 12.68% from capital gains and 5.29% from dividends.
What this means that say I had invested $10,000 in this stock 23 years ago, my stock would be worth $141,390.11 today and I would have collected some $48,866.71 in dividends so far. However a warning is required because past returns do not guarantee future returns. Perhaps this bank will continue to show good returns or you may need to buy a smaller bank to get such returns. However, this does show the possibilities. And note that a lot of things can happen over 30 years. There will be all sorts of expansions and recessions happening.
I get 5 year low, median and high median Price/Earnings per Share Ratios of 10.51, 11.44 and 12.68. The corresponding 10 year ratios are 10.68, 12.39 and 13.68. The historical ratios are 10.40, 12.42 and 14.07. The current P/E Ratio is 12.91 based on a current stock price of $102.64 and 2018 EPS estimate of 7.95. This stock price testing suggests that the stock price is reasonable but above the median.
I get a Graham Price of $88.09. The 10 year low, median and high Price/Graham Price Ratios are 0.92, 1.08 and 1.19.The current P/GP Ratio is 1.17 based on a stock price of $102.64. This stock price testing suggests that the stock price is reasonable but above the median. It is almost to the relatively expensive range.
The 10 year median Price/Book Value per Share Ratio is 2.02. The current P/B Ratio is 2.21 based on Book Value of $67,416m, Book Value per Share of $46.41 and a stock price of $102.64. The current P/B Ratio is some 9.4% higher than the 10 year median. This stock price testing suggests that the stock price is reasonable but above the median.
The current dividend yield is 3.55% based on dividends of $3.64 and a stock price of $102.64. The historical median dividend yield is 3.92%. The current dividend yield is some 9.5% below the historical median. This stock price testing suggests that the stock price is reasonable but above the median.
The 10 year median Price/Sales (Revenue) Ratio is 2.98. The current P/S Ratio is 3.64 based on 2018 Revenue estimate of $40,957M, Revenue per Share of $28.20 and a stock price of $102.64. The current P/S Ratio is some 11.4% above the 10 year median ratio. This stock price testing suggests that the stock price is reasonable but above the median.
When I look at analysts' recommendations I find Strong Buy (3), Buy (6), Hold (5) and Underperform (3). The consensus would be a Buy. The 12 month stock price is $108.47. This implies a total return of 9.23% with 5.68% from capital gains and 3.55% from dividends.
Katy Gagnon on Analysts Buzz says with the Relative Strength Index (RSI) over 70 at 75.73, this stock is overbought. Note site is quoting in US$. Nicole Wilson on Ledger Gazette interestingly compares RBC and Farmers National Banc (NASDAQ:FMNB). See what analysts are saying about this bank on Stock Chase. They rather like it and most feel that it will continue to grow.
Royal Bank of Canada is one of the largest Canadian banks. It provides diversified financial services, personal and commercial banking, wealth management services, insurance, corporate and investment banking, and transaction processing services worldwide. Its web site is here Royal Bank of Canada.
The last stock I wrote about was about was Bank of Montreal (TSX-BMO, NYSE-BMO)... learn more. The next stock I will write about will be Rogers Sugar Inc. (TSX-RSI, OTC-RSGUF)... learn more on Monday, January8, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Wednesday, January 3, 2018
Bank of Montreal
Sound bite for Twitter and StockTwits is: Dividend Growth Bank. In testing the stock price it seem to be coming out as reasonable but above the median. So the price may be a bit high, but it is not extraordinarily high. See my spreadsheet on Bank of Montreal.
I own this stock of Bank of Montreal (TSX-BMO, NYSE-BMO). When I bought this stock in 1983, I thought it was the best bank stock to buy at that time.
What I noticed was an eye popping 50.47% yield on my original purchase price of this stock in 1983. Some 35 years ago, I know but still eye popping. This is why you buy banks for your portfolio.
I have a fair bit of data on this stock. The total return over the past 5, 10, 15, 20, 25 and 30 years is at 14.91%, 10.13%, 10.18%, 9.65%, 14.48% and 15.30% per year. So on average this bank produced a minimum long term of 9.65% total return per year. If you had bought this stock 30 years ago you would have made 15.30% total return per year. This is very good. Note that total return includes capital gains and dividends.
The dividend yield on this bank is moderate to good with low growth. The dividend yield is currently 3.70%, with 5, 10 and historical median dividend yields at 4.29%, 4.58% and 4.47%. Dividend growth has varied over the years with 5, 10, 15, 20, 25, 30 and 34 growth at 4.68%m 2.65%, 7.44%, 7.69%, 7.87%, 6.74% and 5.97% per year.
The 5 year low, median and high median Price/Earnings per Share Ratios are 10.07, 11.42 and 12.77. The corresponding 10 year ratios are 10.06, 11.62 and 12.92. The corresponding historical ones are 10.52, 11.83 and 13.54. These are pretty consistent. The current P/E Ratio is 12.12 based on a stock price of $100.59 and 2018 EPS estimate of $8.30. This stock price testing suggests that the stock price is relatively reasonable and above the median. It is almost expensive.
I get a Graham Price of $100.59. The 10 year low, median and high median Price/Graham Price Ratios are 0.73, 0.86 and 0.97. The current P/GP Ratio is 0.92. This stock price testing suggests that the stock price is relatively reasonable and above the median.
The 10 year Price/Book Value per Share Ratio is 1.49. The current P/B Ratio is 1.58 based on Book Value of $41,114M, Book Value per Share of $63.47 and a stock price of $100.59. The current P/B Ratio is some 6.6% higher than the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and above the median.
The current dividend yield is 3.70% based on dividends of $3.72 and a stock price of $100.59. The historical median dividend yield is 4.47%. The current dividend yield is some 17% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and above the median.
The 10 year median Price/Sales (Revenue) Ratio is 2.55. The current P/S Ratio is 2.93 based on 2018 Revenue estimate of $22,262M, Revenue per Share of $34.36 and a stock price of $100.59. The current P/S Ratio is some 15% higher than the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and above the median.
When I look at analysts' recommendations I find Strong Buy (1), Buy (4) and Hold (10) recommendations. The consensus recommendation would be a Hold. The 12 month stock price consensus is $105.80. This implies a total return of 8.88% with 5.18% from capital gains and 3.70% from dividends based on a current price of $105.80.
Dolores Ford on Frisco Fastball talks about this bank surging to an all-time high on January 2, 2018. Note she is talking is US$. Katy Gagnon on Analysts Buzz also thinks this stock is overbought. She is also using US$. See what analysts are saying about this bank on Stock Chase . BMO does not seem to be a favourite bank.
Bank of Montreal (the Bank) is a financial services provider. The Bank provides a range of personal and commercial banking, wealth management and investment banking products and services. The Bank conducts its business through three operating groups: Personal and Commercial Banking (P&C), Wealth Management and BMO Capital Markets. The P&C business includes two retail and business banking operating segments, such as Canadian Personal and Commercial Banking (Canadian P&C), and the United States Personal and Commercial Banking (U.S. P&C). Its web site is here Bank of Montreal .
The last stock I wrote about was about was Metro Inc. (TSX-MRU, OTC-MTRAF)... learn more. The next stock I will write about will be Royal Bank of Canada (TSX-RY, NYSE-RY)... learn more on Friday, January 5, 2018 around 5 pm. Tomorrow on my other blog I will write about Something to Buy January 2018... learn more on Thursday, January 4, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
I own this stock of Bank of Montreal (TSX-BMO, NYSE-BMO). When I bought this stock in 1983, I thought it was the best bank stock to buy at that time.
What I noticed was an eye popping 50.47% yield on my original purchase price of this stock in 1983. Some 35 years ago, I know but still eye popping. This is why you buy banks for your portfolio.
I have a fair bit of data on this stock. The total return over the past 5, 10, 15, 20, 25 and 30 years is at 14.91%, 10.13%, 10.18%, 9.65%, 14.48% and 15.30% per year. So on average this bank produced a minimum long term of 9.65% total return per year. If you had bought this stock 30 years ago you would have made 15.30% total return per year. This is very good. Note that total return includes capital gains and dividends.
The dividend yield on this bank is moderate to good with low growth. The dividend yield is currently 3.70%, with 5, 10 and historical median dividend yields at 4.29%, 4.58% and 4.47%. Dividend growth has varied over the years with 5, 10, 15, 20, 25, 30 and 34 growth at 4.68%m 2.65%, 7.44%, 7.69%, 7.87%, 6.74% and 5.97% per year.
The 5 year low, median and high median Price/Earnings per Share Ratios are 10.07, 11.42 and 12.77. The corresponding 10 year ratios are 10.06, 11.62 and 12.92. The corresponding historical ones are 10.52, 11.83 and 13.54. These are pretty consistent. The current P/E Ratio is 12.12 based on a stock price of $100.59 and 2018 EPS estimate of $8.30. This stock price testing suggests that the stock price is relatively reasonable and above the median. It is almost expensive.
I get a Graham Price of $100.59. The 10 year low, median and high median Price/Graham Price Ratios are 0.73, 0.86 and 0.97. The current P/GP Ratio is 0.92. This stock price testing suggests that the stock price is relatively reasonable and above the median.
The 10 year Price/Book Value per Share Ratio is 1.49. The current P/B Ratio is 1.58 based on Book Value of $41,114M, Book Value per Share of $63.47 and a stock price of $100.59. The current P/B Ratio is some 6.6% higher than the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and above the median.
The current dividend yield is 3.70% based on dividends of $3.72 and a stock price of $100.59. The historical median dividend yield is 4.47%. The current dividend yield is some 17% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and above the median.
The 10 year median Price/Sales (Revenue) Ratio is 2.55. The current P/S Ratio is 2.93 based on 2018 Revenue estimate of $22,262M, Revenue per Share of $34.36 and a stock price of $100.59. The current P/S Ratio is some 15% higher than the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and above the median.
When I look at analysts' recommendations I find Strong Buy (1), Buy (4) and Hold (10) recommendations. The consensus recommendation would be a Hold. The 12 month stock price consensus is $105.80. This implies a total return of 8.88% with 5.18% from capital gains and 3.70% from dividends based on a current price of $105.80.
Dolores Ford on Frisco Fastball talks about this bank surging to an all-time high on January 2, 2018. Note she is talking is US$. Katy Gagnon on Analysts Buzz also thinks this stock is overbought. She is also using US$. See what analysts are saying about this bank on Stock Chase . BMO does not seem to be a favourite bank.
Bank of Montreal (the Bank) is a financial services provider. The Bank provides a range of personal and commercial banking, wealth management and investment banking products and services. The Bank conducts its business through three operating groups: Personal and Commercial Banking (P&C), Wealth Management and BMO Capital Markets. The P&C business includes two retail and business banking operating segments, such as Canadian Personal and Commercial Banking (Canadian P&C), and the United States Personal and Commercial Banking (U.S. P&C). Its web site is here Bank of Montreal .
The last stock I wrote about was about was Metro Inc. (TSX-MRU, OTC-MTRAF)... learn more. The next stock I will write about will be Royal Bank of Canada (TSX-RY, NYSE-RY)... learn more on Friday, January 5, 2018 around 5 pm. Tomorrow on my other blog I will write about Something to Buy January 2018... learn more on Thursday, January 4, 2018 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
See my website for stocks followed and investment notes. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter or StockTwits. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.
Subscribe to:
Posts (Atom)