Chemtrade Logistics Income Fund

Sound bite for Twitter and StockTwits is: Dividend Paying Material Stock. I think that my testing is showing that it is a bit pricey, but not overly so. Personally, I rather have dividend (or distribution) growth than high yield. See my spreadsheet on Chemtrade Logistics Income Fund.

I do not own this stock of Chemtrade Logistics Income Fund (TSX-CHE.UN, OTC-CGIFF). I decided to investigate this stock after reading an article in the G&M in February 2012 about investing in small cap stocks that pay dividends. This was one of the stocks mentioned that I had never heard of before.

When I was updating my spreadsheet, I noticed high dividend yield, but no dividend growth. Also, there is a lot of red ink which is confided mostly to 5 year running averages and some per share growth. The outstanding shares have grown a lot with 17% and 11% per year over the past 5 and 10 years.

This company did growth their dividends when they first started out as a trust. They are classified as a Mutual Fund Trust, so the distributions are taxed depending on source as Other Income, Dividends other than Eligible Dividends and Foreign Non-Business Income. If you want to buy this stock it would be a good idea to see what happened in past years to understand how you will be taxed after any purchase if this is for a unregistered account. The company has this information on their site.

This company has kept their distributions at $1.20 per year per year since 2007. Analysts seem to feel that they will start to increase the distribution beginning in 2018. However, I cannot see anywhere this is stated by the company. Frankly, I do not see this. If we are to judge the distributions based on Funds from Operations (FFO) and Adjusted Funds from Operations (AFFO) both these dropped a lot in the second quarter of 2018.

The Dividend Payout Ratio for 2017 based on AFFO is 56% with 5 year coverage at 48%. The DPR for 2017 for FFO is 88% with 5 year coverage at 69%. If you compare the AFFO for the 12 month period to the end of the second quarter to the 12 mnth period ending at December 2017, it is down by 46%. The FFO drop is even higher at 55%.

The Long Term Debt/Market Cap Ratio for 2017 was 0.71. However, the current one is 0.88. Mind you, you one tends not to worry about this until is approaches 100%. The Liquidity Ratio for 2017 was low at 1.37 and 5 year median at 1.04. If you add in cash flow after distributions this ratio becomes 1.53 with 5 year median at 1.36. Not stellar but probably acceptable.

The Debt Ratio is 1.63 with 5 year median at 1.57. Leverage and Debt/Equity Ratios are 2017 are 2.60 and 1.60 with 5 year median at 2.74 and 1.78. A little high but acceptable.

The Total Return per year is show below for years of 5 to 16. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

Shareholders have done well, but most of the total return is in dividends. The capital gains returns are relatively low.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	0.00%	10.42%	3.52%	6.90%
10	0.00%	18.94%	8.42%	10.52%
15	0.17%	16.36%	4.50%	11.86%
16	5.68%	14.82%	3.18%	11.64%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 11.18, 12.11 and 13.04. The corresponding 10 year ratios are 8.05, 10.33 and 13.01. The corresponding historical ratios are 12.42, 14.57 and 16.47. The current P/E Ratio is 18.31 based on a stock price of $16.30 and EPS estimates of $0.89. This stock price testing suggests that the stock price is relatively expensive.

Since this is a trust we should repeat this test with FFO and AFFO. The 5 year low, median, and high median, Price/AFFO Ratios are 6.66, 7.24 and 8.07. The corresponding 10 year ratios are 5.70, 6.82 and 7.67. The current P/AFFO Ratio is 14.09 based on last 12 month AFFO of $1.16 and a stock price of $16.30. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $15.32. The 10 year low, median, and high median Price/Graham Price Ratios are 0.98, 1.11 and 1.27. The current P/GP Ratio is 1.06 based on a stock price of $16.30. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10 year median Price/Book Value per Share Ratio of 1.66. The current P/B Ratio is 1.39 based on a stock price of $16.30, Book Value of $1085M and Book Value per Share of $11.73. the current ratio is some 16% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get an historical median dividend yield of 8.09%. The current dividend yield is 7.36% based on dividends of $1.20 and a stock price of $16.30. The current dividend yield is some 9% lower than historical median. 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 0.80. The current P/S Ratio is 0.91 based on 2018 Revenue estimate of $1667M, Revenue per Share of $18.00 and a stock price of $16.30. the current ratio is some 13% above the 10 year median. This stock price testing suggests that the stock price is relatively reasonable but above the median.

When I look at analysts’ recommendations I find Buy (7) and Hold (2). The consensus would be a Buy. The 12 month stock price consensus is $19.08. This implies a total return of 24.42% with 17.06% from capital gains and 7.36% from dividends based on a current stock price of $16.30.

The company announced on News Wire the results of their second quarter of 2018. Michelle Swanson on Press Oracle talks about some analysts that have lower the target stock price on this stock. Brian Paradza of Motley Fool thinks this is a good stock for your watch list. See what analysts are saying about this stock on Stock Chase. They think it is a decent company with a great dividend yield.

Chemtrade Logistics Income Fund provides industrial chemicals and services to customers in North America and around the world. It owns nearly 62 production facilities in North America. Its web site is here Chemtrade Logistics Income Fund.

The last stock I wrote about was about was Badger Daylighting Ltd. (TSX-BAD, OTC- BADFF) ... learn more. The next stock I will write about will be Alimentation Couche-Tard Inc. (TSX-ATD.B, OTC-ANCUF) ... learn more on Tuesday, September 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.

Badger Daylighting Ltd

I am going on holidays and will be back very early on Friday. I am not yet sure if I will post on Friday.

Sound bite for Twitter and StockTwits is: Dividend Growth Industrial. I think that the stock is a bit pricey at the moment, but I would be bullish on this stock for the long term. See my spreadsheet on Badger Daylighting Ltd.

I do not own this stock of Badger Daylighting Ltd. (TSX-BAD, OTC-BADFF). I started to follow this stock after reading a couple of articles in February 2012 in the G&M that talked about the company. The first article looked at what the pros who manage small-cap funds are buying. Badger was one of 10 stocks mentioned and it looked like an interesting stock. It is a dividend paying small cap. The second article looked at why stocks might appeal to a conservative investor looking for income.

When I was updating my spreadsheet, I noticed a lot of green ink. The company is growing is revenue, earnings, cash flow and book value. The only red if for dividend growth for the past 10 years. This is not surprising as this company used to be an income trust. Income Trust companies can pay out more than corporations in dividends, so most income trusts had to cut dividends when they became corporation.

Currently dividends are low and dividend growth is good. The current dividend yield is 1.86% with 5 year median at 1.45%. The last dividend increase was this year and it was for 18.4%. The dividend yields were much higher when it was an income trust with it sometimes over 10%. This is still reflected in the historical median dividend yield of 4.75%.

They can afford their dividend as the Dividend Payout Ratio for 2017 was 24% with 5 year coverage at 31%. The DPR for CFPS for 2017 was 13% with 5 year coverage at 15%. This is a good coverage also.

All the debt ratios are good. Long Term Debt/Market Cap Ratio for 2017 is low at 0.09. The Liquidity Ratio for 2017 was 3.08 with 5 year median of 3.08 also. The Debt Ratio for 2017 is 2.74 with 5 year median at 2.50. Thee Leverage and Debt/Equity Ratios are also quite good at 1.57 and 0.57 respectively and 10 year medians at 1.92 and 0.92 respectively.

The Total Return per year is show below for years of 5 to 20. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

Shareholders have done well with this stock. In the future the dividend portion of the return will be like it was for the past 5 years. Dividend yields will never go back up to were they were before the company became a corporation.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	4.02%	24.00%	21.45%	2.55%
10	-0.10%	17.45%	14.16%	3.28%
13-15	6.58%	45.63%	29.34%	16.29%
20	10.25%	12.03%	10.05%	1.97%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 17.31, 23.06, 28.78. The corresponding 10 year ratios are 9.25, 13.77 and 16.98. The historical ones are 9.19, 11.15 and 13.99. The current P/E Ratio is 17.91 based a stock price of $29.01 and a 2018 EPS estimate of $1.62. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of 18.20. The 10 year low, median, and high median Price/Graham Price Ratios are 0.93. 1.40 and 1.74. The current P/GP Ratio is 1.59 based on a stock price of $29.01. This stock price testing suggests that the stock price is relatively reasonable, but above the median.

I get a 10 year median Price/Book Value per Share Ratio of 3.22. The current P/B Ratio is 3.19 based on a stock price of $29.01, Book Value of $337M and a Book Value per Share of $9.09. The current ratio is some 0.9% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and around the median.

I get an historical median dividend yield of 4.75%, 5 year and 10 year median of 1.45% and 2.82% and since 2011, 1.50%. It would appear that the current yield is less since it because of corporation in 2011. The current yield is some 24% above the median yield since 2011. 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 1.77. The current P/S Ratio is 1.84 based on 2018 Revenue estimate of $585M, Revenue per Share of $15.77 and a stock price of $29.01. The current ratio is some 4% above the 10 year median. 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), Hold (1) and Underperform (1). The consensus would be a Buy. The 12 month stock price consensus is $34.43. This implies a total return of 20.54% with 18.68% from capital gains and 1.86% from dividends based on a current stock price of $29.01.

Jenifer Prater on Simply Wall Street talks about the volitivity of the stock’s price. There is an interesting article by Dan Healing in The Star about a short selling possibly making untrue accusation against this company. Joey Frenette on Motley Fool thinks that things look bright for this company’s future. See what analysts are saying on Stock Chase. They like the stock and think that they have proved the short-sellers wrong.

Badger Daylighting Ltd is a provider of non-destructive hydrovac excavation services through two methods: Badger Corporate locations and Operating Partners. The company's technology, Badger Hydrovac System, is a truck-mounted hydrovac excavation unit. Its web site is here Badger Daylighting Ltd.

The last stock I wrote about was about was Andrew Peller Ltd. (TSX-ADW.A, OTC-ADWPF) ... learn more. The next stock I will write about will be Chemtrade Logistics Income Fund (TSX-CHE.UN, OTC-CGIFF) ... learn more on Friday, August 31, 2018 around 5 pm, maybe.

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.

Andrew Peller Ltd

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. The stock seems relatively expensive currently. So, I would be bearish short term, but bullish long term. I think that the company has a great future. To buy this, I would wait for a pullback in price. See my spreadsheet on Andrew Peller Ltd.

I do not own this stock of Andrew Peller Ltd (TSX-ADW.A, OTC-ADWPF), but I used to. This stock was on Mike Higgs' dividend growth stock list. I owned this stock as Andres Wines Ltd between 1996 and 2000. I held it for 4.6 year and made a total return of 5.41% with 5.35% from dividends and 0.06% from capital gain. That is why I sold in 2000.

When I was updating my spreadsheet, I noticed the it has only been a dividend growth stock since 2007 and that earnings are growing faster than sales over the past 5 and 10 years.

Dividends were started in 1988. Dividend yields were good at first (4 to 5% range) but there was only one increase and that was in 1998. Dividend increases started in 2007, but were irregular at first. There have only been regular increases since 2012. Therefore, we are only interested in dividend increases for the past 5 and 10 years which are at 7.94% and 5.80% per year. The last increase was for 13.9% and it was in 2018.

They can afford their dividends. The Dividend Payout Ratio for 2018 financial year (ending in March 2018) was 24.8%with 5 year coverage at 30%. The DPR for CFPS for 2018 is 15% with 5 year coverage at 12%.

The company has good debt ratios no matter which ones you look at. The Long Term Debt/Market Cap Ratio is just 0.15 for 2018 so this is good. The Liquidity Ratio for 2018 is 2.12 with 5 year median at 1.90. The Debt Ratio for 2018 is 1.93 with 5 year median at 1.96. The Leverage and Debt/Equity Ratios are 2.08 and 1.08.

The Total Return per year is show below for years of 5 to 33. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

On a long term basis, shareholders have done well with this consumer stock. They have been paying dividends for 30 years.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	7.94%	38.43%	35.89%	2.54%
10	5.80%	19.58%	17.42%	2.15%
15	6.16%	17.64%	15.25%	2.40%
20	4.59%	11.01%	9.32%	1.70%
25	3.97%	16.60%	10.03%	6.57%
30	3.30%	13.89%	9.02%	4.87%
33		11.11%	7.85%	3.26%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 11.81, 16.30 and 19.83. The corresponding 10 year ratios are 10.81. 12.01 and 13.21. The historical corresponding ratios are 10.92, 12.85 and 14.35. The current P/E Ratio is 22.50 based on a stock price of $17.10 and 2019 EPS estimate of $0.76. The P/E Ratios over time seem quite consistent. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $9.36. The 10 year low, median, and high median Price/Graham Price Ratios are 0.72, 0.87 and 0.99. The current P/GP Ratio is 1.83 based on a stock price of $17.10. 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 1.35. The current P/B Ratio is 3.54 based on Book Value of $226M, Book Value per Share of $5.12 and a stock price of $17.10. The current ratio is some 143% above the 10 year median. This stock price testing suggests that the stock price is relatively expensive.

I get an historical median dividend yield of 3.84%. The current dividend yield is 1.20% based on dividends of $0.21 and a stock price of $17.10. The current dividend yield is some 69% below the historical dividend yield. Also, the 5 year median dividend yield is 1.97%. The current yield is some 39% below this one also. This stock price testing suggests that the stock price is relatively expensive.

The 10 year median Price/Sales (Revenue) Ratio is 0.56. The current P/S Ratio is 1.93 based on 2019 Revenue estimate of $391M, Revenue per Share of $8.86 and a stock price of $17.10. The current ratio is some 242% above the 10 year median. This stock price testing suggests that the stock price is relatively expensive.

When I look at analysts’ recommendations I find Buy (2) and Hold (1). The consensus recommendation would be a Buy. The 12 month stock price is $19.92. This implies a total return of 17.69% with 16.49% from capital gains and 1.20% from Dividends based on a current stock price of $17.10.

The company announced on CBC that they are buying 3 B. C. wineries. This article by The Canadian Press talks about how this winery feels about and handles bachelorette parties. On Global News Wire the company has reported a good 2018. Ambrose O'Callaghan on Motley Fool thinks that this is a good stock to invest in now. See what analysts are saying about this stock on Stock Chase. They do like this stock.

Andrew Peller Ltd is a wine producing company. It is principally engaged in the production and marketing of wine and spirit products in Canada. Through its subsidiary, the company also produces and markets personal winemaking products. Its web site is here Andrew Peller Ltd.

The last stock I wrote about was about was Superior Plus Corp (TSX-SPB, OTC-SUUIF) ... learn more. The next stock I will write about will be Badger Daylighting Ltd. (TSX-BAD, OTC- BADFF) ... learn more on Monday, August 27, 2018 around 5 pm (maybe).

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.

Superior Plus Corp

Sound bite for Twitter and StockTwits is: Dividend Paying Industrial. Price may on the expensive side. Dividend yield is good and stock may yet grow their dividends in the future but not the near future. This would not be my first choice for a dividend industrial sector stock. See my spreadsheet on Superior Plus Corp.

I do not own this stock of Superior Plus Corp (TSX-SPB, OTC-SUUIF). I started to follow this stock as it was an income trust company that was talked about in the Money Reporter from MPL Communications. This company changed to a corporation from Unit Trust (TSX-SPF.UN) in 2009.

When I was updating my spreadsheet, I noticed the decline in dividends. However, this used to be an income trust. It was expected that old income trusts would cut dividends and this one did by around 63%. Since then there was one major increase in 2014 of 20% and then dividends have been flat ever since. Analysts do not expect any increase over the next few years.

The current dividend yield is good at 5.49%. It is typical for companies with high dividends to have low dividend growth. Dividends for this company used to be much higher. They were over 18% at one point (went it was an income trust). The historical median is still very high at 9.79%. The 10 year median and 5 year median dividend yields are lower with the 10 and 5 year median dividend yields being 7.03% and 5.91%

They had an earnings loss in 2017 so the Dividend Payout Ratio cannot be calculated. However, the 5 year coverage is at 120%, which is too high. Analysts expect the DPR for 2018 to be around 124%. This is probably why analysts are not suggesting any dividend increases in the near term. The DPR for CFPS is fine with the one for 2017 at 40.5% and 5 year coverage at 36%. The 5 year coverage is what really counts.

The Long Term Debt/Market Cap Ratio is fine at 0.60. The Liquidity Ratio is low at 1.34, but more acceptable if you added in cash flow after dividends for a ratio of 1.53. The current Debt Ratio is fine at 1.50. Leverage and Debt/Equity Ratios are fine at 3.01 and 2.01 with 5 year medians at 3.87 and 2.87. I would prefer the last two ratios to be lower.

The Total Return per year is show below for years of 5 to 21. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

Except for the 15 year period, the total return for shareholders have been quite good. 15 years ago, was 2002 and both the Price/Graham Price and Price/Book Value Ratios were pointing to an expensive stock price. Other testing ratios were not. This is as far as I can see.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	3.71%	9.17%	3.00%	6.17%
10	-7.50%	9.55%	0.14%	9.41%
15	-6.55%	6.10%	-3.31%	9.41%
20	-2.10%	11.93%	-0.55%	12.48%
21	-1.55%	11.04%	-0.68%	11.73%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 25.63, 29.15 and 32.68. The corresponding 10 year ratios are 9.40, 12.38 and 15.35. The corresponding historical ratios are 13.93, 19.59 and 19.78. The current P/E Ratio is 22.62 based on a stock price of $13.12 and a 2018 EPS estimate of $0.58. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $9.19. The 10 year low, median, and high median Price/Graham Price Ratios are 1.21, 1.58 and 1.90. The current P/GP Ratio is 1.43. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10 year median Price/Book Value per Share Ratio of 2.40. The current P/B Ratio is 2.34 based on a stock price of $13.12, Book Value of $800M and Book Value per Share of $5.60. The current ratio is some 2.6% below the 10 year median. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 5 year median dividend yield of 5.91%. The current dividend yield is 5.49% a value some 7.2% lower. The current yield is based on dividends of $0.72 and a stock price of $13.12. This stock price testing suggests that the stock price is relatively reasonable and below the median. Because this stock used to be an income trust, it would not be a good test to use the Historical Dividend Yield. On the other hand, we should pay more attention to the other tests rather than this one.

The 10 year median Price/Sales (Revenue) Ratio is 0.42. The current P/S Ratio is 0.63 based on 2018 Revenue estimate of $2,960M, Revenue per Share of $20.73 and a stock price of $13.12. The current ratio is some 52% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Because this stock used to be an income trust, it would not be a good test to use the Historical Dividend Yield test so I used the 5 year median dividend yield. Because it used to be an income trust, we should be paying more attention to the other tests rather than the dividend yield test. Both the P/S Ratio and P/B Ratios would be good tests, but they are saying the opposite thing.

On an absolute basis the P/E Ratio is high at 22.62 for this sort of stock. I find the Graham Price a bit high for this stock of stock also. My guess would be that the price is reasonable to expensive, with the price more to the expensive end.

When I look at analysts’ recommendations I find Strong Buy (1), Buy (6) and Hold (4). The consensus recommendations would be a buy. The 12 month stock price is $14.66. This implies a total return of 17.23% with 11.745 of capital gains and 5.49% from dividends based on a current stock price of $14.66.

Brandy Kinsey on Simply Wall Street thinks that this stock could help diversity your portfolio. Ploutos Investing on Seeking Alpha thinks that the purchase of NGL Propane was a good move for this company. Will Ashworth on Motley Fool gave this stock as one to achieve a 5% yield. . See what analysts are saying about this stock on Stock Chase. They think it is a good dividend payer.

Superior Plus Corp provides distribution, wholesale procurement and related services in relation to propane, heating oil and other refined fuels. Its segments include Energy Distribution, and Specialty Chemicals. Its web site is here Superior Plus Corp.

The last stock I wrote about was about was Evertz Technologies (TSX-ET, OTC-EVTZF) ... learn more. The next stock I will write about will be Andrew Peller Ltd. (TSX-ADW.A, OTC-ADWPF) ... learn more on Friday, August 24, 2018 around 5 pm. Tomorrow on my other blog I will write about Best Canadian Banks Ranked.... learn more on Thursday, August 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.

Evertz Technologies

Sound bite for Twitter and StockTwits is: Dividend Paying Tech. Company has not done well recently, but the stock price is still in a reasonable range, it is not cheap. See my spreadsheet on Evertz Technologies.

I own this stock of Evertz Technologies (TSX-ET, OTC-EVTZF). I got the idea to investigate this stock from a G&M Article. It looked like something I might want to try out. This stock came up in a stock screen filter article that was looking for reliable dividend payers. That is companies that have reliable profits big enough to comfortably cover their dividend payments.

When I was updating my spreadsheet, I noticed Revenue has gone up a bit over the last two years, but EPS and CFPS is down. It has not done well lately. Stock price has flattened. Analysts do expect improvements this year and next to Revenue and earnings.

Dividend yield is good and it has always been good. Thee current yield is 4.62% with 5, 10 and historical yields at 4.15%, 3.99% and 3.97%. Dividend growth is slowing, with 10 year growth at 13.7% per year and 5 year growth at 4.4% per year. Dividends stopped growing in 2016.

They probably stopped growing their dividends as the Dividend Payout Ratios got too high. The DPR for 2018 was 103% with 5 year coverage at 140%. Analysts expect the DPR for EPS to be below 100% in 2019. (Note that their financial year ends in April 30 each year.) The DPR for CFPS is also high for 2018 at 81% with 5 year coverage at 95%. This should be 40% or less for safety’s sake.

The Debt Ratios are very good. There is barely any long term debt compared to market cap. The Liquidity Ratio for 2018 is 4.69 with 5 year median at 5.36. The Debt Ratio for 2018 is 4.69 with 5 year median at 5.71. Leverage and Debt/Equity Ratios are also very good at 1.27 and 0.27 respectively.

The Total Return per year is show below for years of 5 to 11. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

There is a capital loss over the pass 10 years. The 5 year to then end of 2017 has a positive gain, but the current price is where it was in 2013. Year to date the stock price is down by 14.3%.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	4.42%	10.14%	2.79%	7.35%
10	13.67%	-1.32%	-4.72%	3.40%
11		7.05%	2.68%	4.37%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 16.10, 18.12 and 21.07. The corresponding 10 year ratios are 14.76, 17.72 and 19.96. The historical ones are 14.54, 17.73 and 20.24. The current P/E Ratio is 16.77 based on a stock price of $15.60 and 2019 EPS estimate of $1.16. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a Graham Price of $10.60. The 10 year low, median, and high median Price/Graham Price Ratios are 1.37, 1.67, and 1.93. The current P/GP Ratio is 1.47 based on a stock price of $16.50. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10 year median Price/Book Value per Share Ratio of 3.54. The current P/B Ratio is 3.62 based on Book Value of $329M, Book Value per Share of $4.30 and a stock price of $15.60. the current ratio is some 2.3% above thee 10 year median. This stock price testing suggests that the stock price is relatively reasonable but above the median. It is close to the median.

I get an historical median dividend yield of 3.97%. The current dividend yield is 4.62% a value some 16% below the historical one. The current dividend is based on Dividends of $0.72 and a stock price of $15.60. 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 3.48. The current P/S Ratio is 3.00 based on 2019 Revenue estimate of $428, Revenue per Share of $6.03 and a stock price of $15.60. The current ratio is 19.9% below the 10 year median. This stock price testing suggests that the stock price is relatively reasonable and below the median. It is close to being cheap.

When I look at analysts’ recommendations I find Strong Buy (1) and Buy (3). The consensus recommendation would be a Buy. The 12 month stock price is $18.56. This implies a total return of 23.59% based on a stock price of $15.60. This would be 18.97% from capital gains and 4.62% from dividends.

Raj Burman on Simply Wall Street says that this company has a very attractive ROCE. Marlon Spencer on Reeves Business Review says the Ultimate Oscillator reading of above 60 says the stock might be headed into overbought Territory. Karen Thomas on Motley Fool says that this stock is undervalued. See what analysts are saying about this stock on Stock Chase. Analyst mainly like this company and think it is well managed.

Evertz Technologies Ltd designs, manufactures and distributes video and audio infrastructure equipment for the production, post-production, broadcast, and telecommunications markets. Its web site is here Evertz Technologies.

The last stock I wrote about was about was Onex Corp. (TSX-OCX, OTC-ONEXF) ... learn more. The next stock I will write about will be Superior Plus Corp (TSX-SPB, OTC-SUUIF) ... learn more on Wednesday, August 22, 2018 around 5 pm. Tomorrow on my other blog I will write about Profile Article.... learn more on Tuesday, August 21, 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.

Onex Corp

Sound bite for Twitter and StockTwits is: Dividend Growth Financial. My stock price testing is saying that the stock price is relatively expensive. The lack of coverage of long term debt could be a problem in a recession. See my spreadsheet on Onex Corp.

I do not own this stock of Onex Corp (TSX-ONEX, OTC-ONEXF) but I used to. I bought this stock in 2001 because it was on a stock hit list article I read. By April 2008, I knew that this was not the sort of stock I wanted to be invested in as it was really not a dividend paying stock as the dividends never changed, so I sold.

When I was updating my spreadsheet, I noticed that all the earnings came from discontinued operations. There was a loss from continuing operations. They started to increase the dividends in 2017, but they are still under 1% yield, so really not a dividend paying stock. Few analysts follow it.

This is not really a dividend paying stock. The dividend was flat from 1997 to 2013. Also, the dividend yield has mostly been below 1%. I would not buy a stock with a yield below 1%. (It takes too long for compounding to get you to a good yield.) Some very low yield stock I have waited until the dividend yield is above 1% to buy because of the dividend increases.

They started to raise the dividends in 2014 and the increases have been good. The 5 year dividend growth is 21.19%. This is the only one that counts as dividend increases have only been going on for less than 5 years.

I do not think that they can afford the dividends because of very low EPS. The 5 year coverage looks very good at 6.8% but the 5 year median is a negative 4.4%. On the other hand, the Dividend Payout Ratio for CFPS is really low at 1.21% for 2017 and a 5 year coverage at 0.96. So in this sense, coverage is not a problem.

The Long Term Debt/Market Cap Ratio is 2.95. This means that that long term debt is almost 3 times the value of the stock. This is a concern. I would feel better about this long term debt if they had cash and long term assets to cover the long term debt. Currently that coverage is just 75%.

The Debt Ratio is low at just 1.13 for 2017, but this is not unusual for a Financial Services Sector stock. The Liquidity Ratio is good at 1.59 with 5 year coverage at 1.56. The Leverage and Debt/Equity Ratios are a bit high but here again not unusual for a Financial Services Sector stock at 8.91 and 7.91 respectively.

The Total Return per year is show below for years shown below. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

This first chart is in CDN$ and covers years 5 to 25. Shareholders have done well as far as Total Return goes.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	21.19%	17.46%	17.10%	0.36%
10	10.08%	10.46%	10.17%	0.28%
15	6.61%	12.78%	12.38%	0.40%
20	4.92%	14.28%	13.64%	0.64%
25	4.31%	18.33%	16.65%	1.67%

This second chart is in US$ and the Total Return, Capital Gains and Dividends, it covers years 5 to 16. Except for the 10 year return, the total return is good.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	15.69%	11.96%	11.64%	0.32%
10	7.49%	7.67%	7.40%	0.27%
15	8.27%	14.46%	13.97%	0.49%
20, 16	5.61%	11.21%	10.82%	0.39%
25	4.37%

The 5 year low, median, and high median Price/Earnings per Share Ratios are -12.55, -15.01 and -17.48. The corresponding 10 year ratios are -10.66, -12.86 and -16.26. The corresponding historical ratios are 2.75, 3.32 and 3.88. These are all in CDN$ terms. The current P/E Ratio is 127.79 based on a stock price of $97.19 CDN$ and 2018 EPS estimate of $0.79 CDN$ ($0.58 US$). It is impossible to do any testing using P/E Ratios because of the historical lack of earnings.

I get a Graham Price of $22.92 CDN$. The 10 year low, median, and high median Price/Graham Price Ratios are 0.53, 0.68 and 0.60 CDN$. The current P/GP Ratio is 4.24 based on a stock price of $97.19 CDN$. This stock price testing suggests that the stock price is relatively expensive. However, this is probably not a good test because of the past history of earning losses.

I get a 10 year median Price/Book Value per Share Ratio of 2.14 US$. The current P/B Ratio is 3.15 US$ based on Book Value of $2,362M US$, Book Value per Share of $23.41 US$ and a stock price of $73.81 US$. The current P/B Ratio is some 48% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get an historical median dividend yield of 0.52% CDN$. The current dividend yield is 0.36% CDN$ based on dividends of $0.35 CDN$ and a stock price of $79.19 CDN$. The current dividend yield is some 31% below the historical one. This stock price testing suggests that the stock price is relatively expensive.

The 10 year median Price/Sales (Revenue) Ratio is 0.18 US$. The current P/S Ratio is 0.30 US$ based on last 12 month revenue of $25,100 US$, Revenue per Share of $248.81 US$ and a stock price of $73.81 US$. The current ratio is some 66% above the 10 year median. 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 (2). The consensus would be a Buy. The 12 month stock price is $105.42 CDN$. This implies a total return of 8.83% with 8.47% from capital gains and 0.36% from dividends.

Onex announces their investment in Power School Group on Global News Wire. Onex reports on 2 quarter results on Global News Wire. Mat Litalien on Motley Fool like the dividend growth of this stock. See what analysts are saying about this stock on Stock Chase. Mostly the analysts like this company.

Onex Corp is a private equity investor and asset management firm. The company invests in businesses in partnership with management teams. It also invests in non-investment-grade debt through credit funds and collateralized loan obligations. Its web site is here Onex Corp.

The last stock I wrote about was about was BlackBerry Ltd. (TSX-BB, NASDAQ-BBRY) ... learn more. The next stock I will write about will be Evertz Technologies (TSX-ET, OTC-EVTZF) ... learn more on Monday, August 20, 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.

BlackBerry Ltd

Sound bite for Twitter and StockTwits is: Damaged tech stock. My stock price testing suggests that the current stock price is relatively expensive. People invest in such stock because of a belief that the stock will do great things in the future. I think that this is still an uncertainty for this company. On the other hand Prem Watsa is known for his astute investments. See my spreadsheet on BlackBerry Ltd.

I do not own this stock of BlackBerry Ltd. (TSX-BB, NYSE-BB) but I used to. I bought this stock for capital gain. I first bought it in 1999 and then some more in 2000. I sold some in 2006 and 2007 to lock in some profit. I sold the rest of my stock in 2010.

When I was updating my spreadsheet, I noticed Fairfax Financial has slightly increased their shareholdings. The Fairfax stake is worth around $660M. They also accepted new debentures with a lower interest rate. Rate have gone from 6% to 3.75%. It would imply that Fairfax thinks the risk of these debentures have gone down.

Debt/Market Cap Ratio is very low at 0.12. Both the Liquidity Ratio and Debt Ratios are very good at 5.49 and 2.96. I want this to be 1.50 and above. The Leverage and Debt/Equity Ratios are also (and low) at 1.51 and 0.51 respectively.

The Total Return per year is show below for years of 5 to 20. This company has never paid dividends so all I have in the chart is Total Return. See charts below. Really long time holders have made money. It would appear that there have been recent gains. The stock did well in 2017.

Years	Tot Ret
5	3.54%
10	-18.79%
15	9.83%
20	13.23%

The 5 year low, median, and high median Price/Earnings per Share Ratios are -2.70, -3.07 and -3.43. The corresponding 10 year ratio are 2.69, 4.62 and 5.7 in CDN$. The corresponding historical ratios are 9.80, 16.77 and 25.54 in CDN$. The current P/E Ratio is -36.52 CDN$ based on a stock price of $13.41 CDN$ and 2019 EPS estimate of -$0.37 CDN$. Obviously, a P/E Ratio test is not a good one for this stock.

I get a Graham Price of $1.62 CDN$. The 10 year low, median, and high median Price/Graham Price Ratios are 0.79, 1.14 and 1.44 in CDN$. The current P/GP Ratio is 8.30 CDN$ based on a stock price of $13.41 CDN$. 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 1.91 US$. The current P/B Ratio is 2.31 US$ based on Book Value of $2376M, Book Value per Share of $4.42 and a stock price of $10.24 US$. The current ratio is some 21% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

The 10 year median Price/Sales (Revenue) Ratio is 1.80 in US$. The current P/S Ratio is 6.17 based on 2019 Revenue estimate of $892 US$, Revenue per Share of $1.66 US$ and a stock price of $10.24 US$. The current P/S Ratio is some 243% above the 10 year median. This stock price testing suggests that the stock price is relatively expensive.

When I look at analysts’ recommendations I find Buy (2), Hold (12) and Underperform (7). The consensus would be a Hold. The 12 month stock price is $9.61 US$ ($12.60 CDN$). This implies a total loss of $6.03 CDN$ based on a current stock price of $13.41 or 6.15% based on a stock price of $10.24 US$.

Floyd Graber of Press Oracle says this company has an average recommendation of a Hold. Bill Maurer at Seeking Alpha says John Chen has not done a good job turning this company around. Demetris Afxentiou of Motley Fool thinks that Blackberry is a good beat for long term growth. See what analysts are saying on Stock Chase. Some like it, so do not.

BlackBerry Ltd is a Canada-based designer, manufacturer, and marketer of wireless solutions for the mobile communications market. It also owns QNX, a leader in software used in automotive infotainment systems. Its web site is here BlackBerry Ltd.

The last stock I wrote about was about was Stingray Digital Group Inc (TSX-RAY, OTC-NONE) ... learn more. The next stock I will write about will be Onex Corp. (TSX-OCX, OTC-ONEXF) ... learn more on Friday, August 17, 2018 around 5 pm. Tomorrow on my other blog I will write about Dividends and Volatility.... learn more on Thursday, August 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.

Stingray Digital Group Inc

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. I think that that the current price is reasonable. But some of the ratios are high in absolute terms. For example, P/GP Ratio of 2.70 and the P/B Ratio of 3.88 are high for these types of ratios. This is a startup and therefore high risk. Also, startups with dividends are the sort of companies that cut dividends in recessions. I just bought 100 shares for my TFSA account. I am using this account to try out new risky stocks. See my spreadsheet on Stingray Digital Group Inc.

I just bought some of this stock of Stingray Digital Group Inc (TSX-RAY.A, OTC-NONE). I was following Newfoundland Capital Corp and Stingray Bought them out. Also, I read the blub on CEO, Eric Boyko. The site says he is an entrepreneur with nearly two decades of experience with start-ups, Mr. Boyko has extensive expertise in early stage business innovations.

When I was updating my spreadsheet, I noticed that they only went public in 2015. So, there is not much data on this company. It is still of interest. This is another Quebec start up paying dividends. Why is Quebec so much better with Start Ups than Ontario. I never understood this.

They have paid dividends since they listed on the TSX. Dividend yields are low to moderate. The current dividend is 2.49% with a 3 year median of 1.73%. Current dividend growth is at 26.5% per year. But growth has slowed down with the last dividend increase this year at 10%.

The last year was not a good one for earnings. The Dividend Payout Ratio for 2017 was 500%. However, the 4 year coverage was 82%. Analysts do not think that they will cover the dividend in 2018 and think the DPR will be 104%. If the current rate holds they expect the 2020 dividend to be covered by 62%. (Note that this stock has a financial year ending at the end of March each year.

I do not like the Liquidity Ratio. No matter how I look at Liquidity, there is not good coverage of current liabilities with current assets. This ratio barely breaks 1.00 after we add in Cash Flow after dividends. The other debt ratios are fine, but in tough times, it is Liquidity that counts.

The Long Term Debt/Market Cap is a low 0.07. The Debt Ratio is 2.14. Leverage and Debt/Equity Ratios are low at 1.88 and 0.88 respectively.

The Total Return per year is show below for 2 years. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
2	26.49%	29.33%	26.80%	2.53%

The 3 year low, median, and high median Price/Earnings per Share Ratios are 31.76, 37.21 and 42.67. the current P/E Ratio is 42.14 based on a stock price of $8.85 and 2019 EPS estimate of $0.21. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a Graham Price of $3.28. The 3 year low, median, and high median Price/Graham Price Ratios are 2.26, 2.64 and 3.03. The current P/GP Ratio is 2.70 based on a stock price of $8.85. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 3 year median Price/Book Value per Share Ratio of 4.00. The current P/B Ratio is 3.88 based on a Book Value of $128.5M, Book Value per Share of $2.28 and a stock price of $8.85. The current P/B Ratio is some 3% below the 3 year ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get an historical median dividend yield of 1.98%. Note that in this case it covers 3 years and the company just declared another dividend hike. The current dividend yield is 2.71% based on a stock price of $8.85 and dividends of $0.24. The current dividend is some 37% above the historical. This stock price testing suggests that the stock price is relative cheap.

The 3 year median Price/Sales (Revenue) Ratio is 3.98. The current P/S Ratio is 2.40 based on 2019 Revenue estimate of $208M, Revenue per Share of $3.69 and a stock price $8.85. This stock price testing suggests that the stock price is relative cheap.

When I look at analysts’ recommendations I find Buy (5) and Hold (1). The consensus recommendation is a Buy. The 12 month stock price consensus is $11.58. This implies a total return of 33.33% with 30.85% from capital gains and 2.49% from dividends.

In a Canadian Press Article on the National Post we learn that this company has made another bid for a US company called Music Choice. Liliana Gabriel on Simply Wall street says that this company has a very low Return on Capital Employed (ROCE) of $3.94. Will Ashworth of Motley Fool likes this small company. It is surprising there are entries on Stock Chase for this stock since it is so new. The two analysts look on it favourably.

Stingray Digital Group Inc. provides business-to-business multi-platform music and in-store media solutions to businesses and individuals worldwide. Its web site is here Stingray Digital Group Inc.

The last stock I wrote about was about was Newfoundland Capital Corp. (TSX-NCC.A, OTC-none) ... learn more. The next stock I will write about will be BlackBerry Ltd. (TSX-BB, NASDAQ-BBRY) ... learn more on Wednesday, August 15, 2018 around 5 pm. Tomorrow on my other blog I will write about Robin Speziale.... learn more on Tuesday, August 14, 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.

Newfoundland Capital Corp

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. It would seem that Stingray is paying a relatively high price for the stock but not an excessive price. See my spreadsheet on Newfoundland Capital Corp.

I do not own this stock of Newfoundland Capital Corp. (TSX-NCC.A, OTC-none). I started to follow this stock as it was suggested as a decent dividend paying stock for investment purposes in the latter part of 2009. It is not on any dividend lists that I follow so I took a look at it.

When I was updating my spreadsheet, I noticed that this company is being bought by Stingray Digital Group Inc. This company provides business-to-business multi-platform music and in-store media solutions to businesses and individuals worldwide. It is headquartered in Montreal and it is dividend paying stock.

Dividend have varied over time. Why there is no value for dividends for 15 year period is that exactly 15 years ago dividends were cancelled. There were no dividends from 2000 to 2003 and then none in 2009. Dividends have done both up and down since being started in 1997. Currently the dividend yield is the highest it has ever been. This is mostly due to some really big increases in 2017 and 2018 of 84% and 42% respectively.

The dividends in the past have been low but current dividends are in the moderate range. The dividend yield is currently at 3.47%. However, the 5, 10 and historical dividend yields are 1.75%, 1.795 and 1.56% respectively.

The company tends to pay what dividends they can afford. So there has been big increases in the past as well. For example, there was a 150% rise in dividends in 2005. The Dividend Payout Ratio for 2017 was 35% with 5 year coverage at 23%. For 2018 the DPR is expected to be at 51% with 5 year coverage at 35%. The 5 year coverage is the one the really counts as any company can have a really good or really bad financial year.

Debt/Market Cap Ratio for 2017 is low at 0.20. The Liquidity Ratio for 2017 is 1.02 with 5 year median at 1.09. However, since this is a consumer stock there is a tendency to use cash flow to cover current liabilities. I you add in cash flow after dividends the ratio because 1.61 with 5 year median at 1.77. Leverage and Debt/Equity Ratios are also good at 1.79 and 0.79 for 2017 with 5 year median at 2.26 and 1.26. Good small companies need good debt ratios to see them through the rough times, like recessions.

The Total Return per year is show below for years of 5 to 25. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	18.47%	8.28%	6.48%	1.79%
10	13.35%	8.50%	6.84%	1.65%
15	#NUM!	12.54%	10.66%	1.88%
20	8.87%	13.30%	7.80%	5.50%
25		29.03%	14.74%	14.29%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 9.34, 11.39 and 13.43. The 10 year ratios are 9.95, 12.04 and 14.12. The corresponding historical ratios are 13.33. 15.81 and 18.66. The current P/E Ratio is 14.69 based on a stock price of $14.22 and latest 12 month EPS of $0.98. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $11.41. The 10 year low, median, and high median Price/Graham Price Ratios are 0.98, 1.15 and 1.33. The current P/GP Ratio is 1.26 based on a stock price of $14.40. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10 year median Price/Book Value per Share Ratio of 2.04. The current P/B Ratio is 2.44 based on Book Value of $173M, Book Value per Share of $5.90 and a stock price of $14.40. The current P/B Ratio is 19.4% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median. If the current ratio was 10% higher than the 10 year median the stock would be considered to be relatively expensive.

I get an historical median dividend yield of 1.56%. The current yield is 3.47% based on dividends of $0.50 and a stock price of $14.40. The current yield is some 123% above the historical median. This stock price testing suggests that the stock price is relatively cheap. However, this is probably not a good test because of the recent big rises in dividends.

The 10 year median Price/Sales (Revenue) Ratio is 1.89. The current P/S Ratio is 2.48 based on latest 12 months revenue of $169.7M, Revenue per Share of $5.80 and a stock price of $14.40. The current P/S Ratio is some 32% 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 that no analysts seem to be following this stock.

A Canadian Press article in the Globe and Mail says that Stingray Digital Group plans to acquire this company. Roger Taylor at the Chronicle Herald of Halifax talks about the deal with Stingray. There is not much news on this company and it is not followed in Stock Chase.

Newfoundland Capital Corp Ltd is a radio broadcasting company. As a pure-play radio company, its core business is the operation of radio channels globally via the internet and other media. Its revenue is derived from sale of advertising airtime. Its web site is here Newfoundland Capital Corp.

The last stock I wrote about was about was about Choice Properties REIT (TSX- CHP.UN, OTC- PPRQF) ... learn more. The next stock I will write about will be Stingray Digital Group Inc (TSX-RAY, OTC-NONE) ... learn more on Monday, August 13, 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.

Choice Properties REIT

Sound bite for Twitter and StockTwits is: Dividend Growth REIT. My stock testing generally shows this stock as cheap. The only real concern is the Liquidity Ratio. Low Liquidity Ratios can get companies in problems in recessions. We are always going to have another recession at some time. See my spreadsheet on Choice Properties REIT.

I own this stock of Choice Properties REIT (TSX- CHP.UN, OTC-PPRQF). I got this stock when CDN REIT was acquired by Choice Properties.

When I was updating my spreadsheet, I noticed this REIT has only been around for 4 years and it has grown quite a bit in that time period. For example, Revenue is up by 27% and EPS by 52%.

The dividend yield has been good to high. The current dividend yield is good at 5.97% and the 4 year median is also good at 5.36%.

The only item with little growth is the dividends or distributions. The growth over the past 5 years is at 2.86% per year. However, dividend increase did not happen at first with the first increase in 2016 and another one in 2017. So far there has been no increase this year. There is a trade off between dividend yield and dividend growth with higher yields come low growth.

By the standard of earnings, they cannot afford their dividends because 4 year coverage is at 393%. The 2017 coverage is better at 74% with coverage expected to be around 52% in 2018. Generally, affordability on dividends or distributions for REITs is measured using Funds from Operations (FFO) or Adjusted Funds from Operations (AFFO). The DPR for AFFO for 2018 is 83% with 5 year coverage at 84%. The DPR for FFO for 2018 is 68% with 5 year coverage at 68%. Coverage is expected to be between 75% and 95% on this measurement.

Debt/Market Cap Ratio is fine at 0.60 in 2017 and the current one at 0.71. The Liquidity Ratio is really low. Unfortunately, this is the case for all REITs. The current Liquidity Ratio is just 0.32. Which means that the current assets cannot cover the current liabilities. Even when you take of current portion of the debt and add in Cash Flow after Dividends, the ratio is still below 1.00 at 0.79. Liquidity is a problem as it is companies with low Liquidity Ratios that have hard times in recessions.

Unfortunately, the Debt Ratio is also low at 1.10. Most REIT have good Debt Ratios but this company does not. Also, the Leverage and Debt/Equity Ratios are really high at 10.69 and 9.68 but it has been reduced to 4.80 and 3.80 for the second quarter of 2018 and I suspect it will be more reasonable in the future.

The Total Return per year is shown below for year 4. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below. Total return has been good for shareholders.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
4	2.86%	12.04%	6.14%	5.90%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 13.12, 13.85 and 14.58. We only have 5 year ratios to go on. The current P/E Ratio is 8.61 based on a stock price of $12.39 and last 12 month EPS of $1.14. This stock price testing suggests that the stock price is relatively cheap.

Generally, the Price/Funds from Operations (FFO) Ratio test is considered a better test for REITs than the P/E Ratio test. The 5 year low, median, and high median P/FFO Ratios are 11.26, 12.67 and 13.34. The current P/FFO Ratio is 12.03 based on 2018 FFO estimate of 1.03. This stock price testing suggests that the stock price is reasonable and below the median.

I get a Graham Price of $16.45. The 5 year low, median, and high median Price/Graham Price Ratios are 0.84, 0.88 and 0.93. The current P/GP Ratio is 0.75 based on a stock price of $12.39. This stock price testing suggests that the stock price is relatively cheap.

I get a 5 year median Price/Book Value per Share Ratio of 1.21. The current P/B Ratio is 1.06 based on Book Value of $3,236.M, Book Value per Share of $11.67 and a stock price of $12.39. The current P/B Ratio is some 12% less than the 10 year ratio. This stock price testing suggests that the stock price is reasonable and below the median.

I get an historical median dividend yield of an historical dividend yield of 5.36%. The current dividend yield is 5.97% based on dividends of $0.74 and a stock price of $12.39. The current yield is some 11% above the historical one. This stock price testing suggests that the stock price is reasonable and below the median.

The 5 year median Price/Sales (Revenue) Ratio is 6.77. The current P/S ratio is 7.08 based on 2018 Revenue estimate of $1,167M, Revenue per Share of $1.73 and a stock price of $12.39. The current ratio is some 4.7% above the 5 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 (1) and Hold (7). The consensus would be a Hold. The 12 month stock price is $13.14. This implies a total return of $12.03% with 6.05% from Capital Gains and 5.97%% come Distributions based on a current stock price of $12.39

Demetris Afxentiou on Motley Fool thinks this REIT is a good one for your portfolio. John Lawlor on Seeking Alphaalso has good things to say about this REIT. Rachelle Younglai And Marina Strauss on G&M talk about Choice takeover of CDN REIT. See what analysts are saying about this stock on Stock Chase. Analysts say some interesting things.

Choice Properties Real Estate Investment Trust is a player in the real estate sector. The company functions as a real estate investment trust which primarily is focused on managing supermarkets. Its web site is here Choice Properties REIT.

The last stock I wrote about was about was Loblaw Companies Ltd. (TSX-L, OTC-LBLCF) ... learn more. The next stock I will write about will Newfoundland Capital Corp. (TSX-NCC.A, OTC-none) ... learn more on Friday, August 10, 2018 around 5 pm. Tomorrow on my other blog I will write about Something to Buy August 2018.... learn more on August 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.

Loblaw Companies Ltd

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. The current stock price seems to be on the expensive side on all my tests. The company certainly seems to have been doing better lately, but not all that much better. Still, stocks are priced on what people hope for tomorrow. Although now may not be the best time to buy this stock. See my spreadsheet on Loblaw Companies Ltd.

I do not own this stock of Loblaw Companies Ltd. (TSX-L, OTC-LBLCF), but I used to. I owned it from 1996 to 2007. It was originally a great stock. I sold it in 2007 because it was having problems with its tech upgrade to its supply system and it did not seem that it would be fixed anytime soon. It is still not working well. However, I must admit I still like shopping at Loblaws.

When I was updating my spreadsheet, I noticed that shares have gone up by 7.3% and 3.8% per year over the past 5 and 10 years. The increase was due to a 46% increase in 2014 for the purchase of Shopper’s Dung Mart. Because of the share increases, you really need to look at the per share values and they have not gone up much over the past 5 years, or even the past 10 years. An important one is Revenue per Share and this has only increased by 1.5% and 1.2% per year over the past 5 and 10 years.

Dividend yields have always been low to moderate. The current dividend yield is 1.74%. The 5, 10 and historical median dividend yields are 1.52%, 2.12% and 1.25%. Dividend growth used to be good but really slowed down after 2007. See chart below. Dividend growth was once again higher for the last increase at 9.3% for 2018.

They currently have no problem in covering their dividends. The Dividend Payout Ratio for 2017 was 28.5% with 5 year coverage at 50%. The DPR for CFPS is also good with the one for 2017 at 10% and 5 year coverage at 13.5%.

Debt/Market Cap Ratio is good at 0.36 in 2017. The Liquidity Ratio is a bit low and has always been. The ratio for 2017 is 1.30 with 5 year median at 1.43. If you add in cash flow after dividends it is 1.62 with a 5 year median at 1.65. The Debt Ratio is fine at 1.59 for 2017 and 5 year median at 1.61. The Leverage and Debt/Equity Ratios are normal for a consumer stock at 2.69 and 1.69 respectively and 5 year medians at 2.64 and 1.64 respectively.

The Total Return per year is show below for years of 5 to 26. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See charts below.

The total return from the past 15 and 20 years is quite low. Recently it has picked up again and growth for the past 5 years is good as is the growth for the past 25 years.

Years	Div. Gth	Tot Ret	Cap Gain	Div.
5	4.71%	12.20%	10.22%	1.98%
10	2.45%	9.21%	7.21%	2.00%
15	5.49%	3.78%	1.57%	2.21%
20	9.97%	2.93%	1.69%	1.24%
25	10.93%	12.32%	9.86%	2.46%
27	10.63%	11.55%	9.33%	2.22%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 26.28, 28.80 and 31.32. The corresponding 10 year ratios are 15.87, 17.76 and 19.62. The corresponding historical ratios are 17.03, 19.41 and 20.80. The recent increase in this ratio has been on the price side. The current P/E Ratio is 20.45 based on a stock price of $67.68 and EPS of $3.31. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $49.33. The 10 year low, median, and high median Price/Graham Price Ratios are 1.05, 1.18 and 1.33. The current P/GP Ratio is 1.37 based on a stock price of $67.68. 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 1.74. The current P/B Ratio is 2.07 based on Book Value of $12,237M, Book Value per Share of $32.67 and a stock price of $67.68. The current ratio is some 19% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median. If it was 20% above the 10 year median, the stock price would be considered expensive.

I get an historical median dividend yield of 1.25%. The current dividend yield is 1.74% based on dividends of $1.18 and stock price of $67.68. The current dividend yield is some 39% above the historical median. This stock price testing suggests that the stock price is relatively expensive.

The 10 year median Price/Sales (Revenue) Ratio is 0.37. The current P/S Ratio is 0.54 based on 2018 Revenue estimate of $47, 076M, Revenue per Share of $125.68 and a stock price of $67.68. The current ratio is some 44% above the 10 year median. This stock price testing suggests that the stock price is relatively expensive.

When I look at analysts’ recommendations I find Buy (8) and Hold (3). The consensus recommendation would be a Buy. The 12 month stock price is $78.80. This implies a total return of 18.17% with 16.43% from capital gains and 1.74% from Dividends based on a current stock price of $67.68.

David Jagielski on Motley Fool thinks Loblaws has a revenue growth challenge. A Canadian Press Report on Financial Post talks about this company’s second quarter with earnings and revenue down.. There is a Canadian Press report on the Financial Post about a disagree with of Loblaws with the CRA. See what analysts are saying about this company on Stock Chase. Some like this stock and some do not.

Loblaw Companies Ltd is a retailer of food products that also provides drugstore, general merchandise and financial products and services. The company operates corporate-owned stores as well as franchised stores. Its web site is here Loblaw Companies Ltd.

The last stock I wrote about was about Ballard Power Systems Inc. (TSX-BLDP, NASDAQ-BLDP) ... learn more. The next stock I will write about will be Choice Properties REIT (TSX- CHP.UN, OTC- PPRQF) ... learn more on Wednesday, August 8, 2018 around 5 pm. Today on my other blog I will write about Dividend Stocks August 2018.... learn more on Tuesday, August 7, 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.