Saputo Inc

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. The stock price is reasonable. It has not done well recently and most analysts are putting this down to the pandemic. Both the Dividend Payout Ratios and the Debt Ratios are good. See my spreadsheet on Saputo Inc.

I own this stock of Saputo Inc (TSX-SAP, OTC-SAPIF). This was a stock on Mike Higgs' Canadian Dividend Growth Stock list and on the dividend lists that I followed. I bought this stock first in 2006 for my RRSP account. Because I am now taking money from my RRSP accounts, I have been selling this stock because of the low dividend. I still like this stock so I have been buying it in my TFSA. I have transferred some from my RRSP account to my Trading Account. The year end date is March 31 of each year, so I looking at the year end for March 31, 2021.

When I was updating my spreadsheet, I noticed that although I have done well with this stock over the longer term, over the short term it has not done that well. I have this stock for just over 14 years and I have a total return of 16.43% with 14.06% from capital gains and 2.37% from dividends. For the shares I bought 14 years ago, I have a yield of 7.6% on my original cost. However, the total return to the end of 2020 for the past 5 years is 3.38% with 1.48% from capital gains and 1.90% from dividends. Analysts are putting the recent low return down to pandemic problems.

The dividend yields are low with dividend growth low. The current dividend yield is low (under 2%) at 1.90%. The 5, 10 and historical dividend yields are also low at 1.57%, 1.59% and 1.61%. The dividend increases over the past 5 years has been low (under 8%) at 5.37% per year. The last dividend increase was in 2021 and it was for 2.9%. The dividend increases used to be higher, in the moderate (8% to 14% ranges) to high (15% and above). We last had an 8% increase in 2018. However, analysts expect an 8% plus increase in 2023.

The Dividend Payout Ratios (DPR) are good. The DPR for 2021 was 46% with 5 year coverage at 36%. The DPR for EPS was higher in 2021 than in the past. Mostly in the past the DPR for EPS was in a 30% range. The DPR for CFPS for 2021 was 19% with 5 year coverage also at 19%. The DPR for Free Cash Flow for 2021 was 31% with 5 year coverage at 42%.

Debt Ratios are good. The Long Term Debt/Market Cap Ratio for 2021 was 0.21. This is a good ratio. The Liquidity Ratio for 2021 is 1.84. The Debt Ratio or 2021 is 1.96. These are both good ratios. The Leverage and Debt/Equity Ratios for 2021 are 2.04 and 1.04 and these are fine.

The Total Return per year is shown below for years of 5 to 24 to the end of 2020. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	5.37%	3.38%	1.48%	1.90%
2010	10	18.81%	8.14%	6.06%	2.09%
2005	15	9.42%	12.57%	10.03%	2.54%
2000	20	14.67%	13.39%	10.86%	2.52%
1995	24	13.99%	16.05%	9.26%	6.79%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 19.50, 23.33 and 26.37. The corresponding 10 year ratios are 19.26, 22.09 and 25.08. The corresponding historical ratios are 16.97, 19.11 and 27.21. The current P/E Ratio is 22.33 based on EPS estimate for 2022 of $1.65 and a stock price of $36.85. The current ratio is between the median and high 10 year median P/E Ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a Graham Price of $24.09. The 10 year low, median, and high median Price/Graham Price Ratios are 1.59, 1.83 and 2.03. The current P/GP Ratio is 1.53 based on a stock price of $36.85. The current ratio is below the low 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median Price/Book Value per Share Ratio of 3.55. The current P/B Ratio is 2.36 based on a Book Value of $6,444M, Book Value per Share of $15.63 and a stock price of $36.85. The current ratio is 34% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median Price/Cash Flow per Share Ratio of 16.17. The current P/CF Ratio is 12.80 based on Cash Flow per Share estimate for 2022 of $2.88, Cash Flow of 41,188M and a stock price of $36.85. The current ratio is 21% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get an historical median dividend yield of 1.61%. The current dividend yield is 1.90% based on a dividend of $0.70 and a stock price of $36.85. The current yield is 18% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get an historical median dividend yield of 1.59%. The current dividend yield is 1.90% based on a dividend of $0.70 and a stock price of $36.85. The current yield is 19% above the historical median dividend yield. 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 1.21. The current P/S Ratio is 1.03 based on Revenue estimate for 2022 of $14,715M, Revenue per Share of $34.26 and a stock price of $36.85. The current ratio is 14% below the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and below the median.

Results of stock price testing is that the stock price is probably reasonable. The dividend yield tests both say that the stock price is reasonable and below the median. This is confirmed by the P/S Ratio test. Some of the other tests, like the P/B Ratio and P/CF Ratio are saying the stock price is cheap.

Is it a good company at a reasonable price? I think that the stock price is probably reasonable. I will continue to hold stock in this company. I do not expect to do as well in the future as I have done in the pass, but I expect to get a decent long term return and growing dividends. However, the rate of growth of dividends is much lower now than in the past, but a lot of companies are being cautious because of the pandemic. I review the stocks I hold every year.

When I look at analysts’ recommendations, I find Strong Buy (1), Buy (5), Hold (1), Underperform (1) and Sell (1). This is quite a mixed bag. The consensus would be a Buy. The 12 month stock price consensus is $41.33. This implies a total return of 14.06% with 1.90% from dividend and 12.16% from capital gains.

This stock is not well liked or covered by Stock Chase. Ambrose O'Callaghan on Motley Fool thinks this is a defensive dividend stock. The executive summary on Simply Wall Street gives this stock 4 stars out of 5 and lists one risk. A writer on Simply Wall Street likes the revenue and earnings trend on this stock. The company reports on their fourth quarter on newswire.

Saputo Inc is a dairy processor and cheese producer that operates in Canada, the U.S., Argentina, the United Kingdom, and Australia and sells products in more than 50 countries. Roughly half of Saputo's sales are to retail customers, but the firm also sells its products to food service (34% of sales) and industrial (17% of sales) clients. Its web site is here Saputo Inc.

The last stock I wrote about was about was Parkland Fuel Corp (TSX-PKI, OTC-PKIUF) ... learn more. The next stock I will write about will be Empire Company Ltd (TSX-EMP.A, OTC-EMLAF) ... learn more on Friday, July 2, 2021 around 5 pm. Tomorrow on my other blog I will write about Dividend Portfolio.... learn more on Friday, July 02, 2021 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.

Parkland Fuel Corp

Sound bite for Twitter and StockTwits is: Dividend Growth Industrial. The stock price seems reasonable. The Dividend Payout Ratio is high for Dividends, but it is expected to drop to a better rate in the near future. Some Debt Ratio need to be improved so this makes the stock risky. They have provided solid returns for investors. See my spreadsheet on Parkland Fuel Corp.

I do not own this stock of Parkland Fuel Corp (TSX-PKI, OTC-PKIUF). I decided to do a spreadsheet on this stock as it was a stock recommended by Roger Conrad in Money Show 2013.

When I was updating my spreadsheet, I noticed that for a company in the oil and gas business they have continued to do well for their shareholders. They have delivered a total return of 15.72% per year over the past 5 years. Of course, they deliver products, they do not service the oil and gas industry. This company has been raising their dividends, but only by slightly over 1% for the last few years. They cannot afford to do any more. This kept them on the Dividend Aristocrat list.

The dividend yields are moderate with dividend growth low. The current dividend yield is moderate (2% to 4%) at 3.15%. The 5, 10 and historical dividend yields are also moderate at 3.51%, 4.47% and 3.51%. The dividend growth over the past 5 years is low (below 8%) at just 2.4% per year. The last dividend increase was for 2021 and was for 1.7%. Analysts expect the low dividend growth to continue in the near future.

The Dividend Payout Ratios (DPR) for EPS is too high, but is expected to drop. The other DPRs are fine. The DPR for EPS for 2020 was 224% with 5 year coverage at 101%. Analysts expect this DPR to drop to 70% in 2021 and then 47% in 2022. The DPR for CFPS for 2020 was 24%, with 5 year coverage at 32%. The DPR for Free Cash Flow for 2020 is 23% with 5 year coverage at 36%.

Some Debt Ratios need to be improved. The Long Term Debt/Market Cap is 0.64 and this is fine. The Liquidity Ratio for 2020 low at 1.16. However, if you add in cash flow after dividends, it is good at 1.62. The Debt Ratio at 1.33 is low and I like that to be 1.50 or higher. The Leverage and Debt/Equity Ratios for 2020 are 4.75 and 3.57 and are too high. I like them to be below 3.00 and below 2.00.

The Total Return per year is shown below for years of 5 to 32 to the end of 2020. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	2.38%	15.72%	11.64%	4.08%
2010	10	-0.41%	19.36%	13.40%	5.97%
2005	15	4.71%	24.33%	12.80%	11.53%
2000	20	19.67%	25.54%	13.73%	11.82%
1995	25	18.69%	17.79%	11.60%	6.20%
1990	30	15.35%	16.21%	11.41%	4.80%
1988	32	14.33%	13.71%	9.90%	3.81%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 34.28, 40.43 and 46.59. The corresponding 10 year ratios are 22.03, 27.21 and 32.38. The corresponding historical ratios are 10.65, 13.12 and 16.02. The current P/E Ratio is 22.04 based on a stock price of $39.23 and EPS estimate for 2021 of 1.78. This ratio is between the low and median 10 year ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a Graham Price of $22.63. The 10 year low, median, and high median Price/Graham Price Ratios are 1.43, 1.84 and 2.20. The current P/GP Ratio is 1.73 based on a stock price of $39.23. The current ratio is between the low and median 10 year ratios. 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 2.82. the current P/B Ratio is 3.07 based on a Book Value of $1919M, Book Value per Share of $12.79 and a stock price of $39.23. The current ratio is 8.9% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10 year median Price/Cash Flow per Share Ratio of 9.71. The current P/CF Ratio is 6.12 based on Cash Flow per Share estimate for 2021 of $6.41, Cash Flow of $961.8M and a stock price of $39.23. The current ratio is 37% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get an historical median dividend yield of 3.51%. The current dividend yield is 3.15% based on dividends of $1.2348 and a stock price of $39.23. The current dividend yield is 10% below the historical dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get an historical median dividend yield of 3.51%. The current dividend yield is 3.15% based on dividends of $1.2348 and a stock price of $39.23. The current dividend yield is 10% below the historical dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10 year median dividend yield of 4.47%. The current dividend yield is 3.15% based on dividends of $1.2348 and a stock price of $39.23. The current dividend yield is 30% below the historical dividend yield. This stock price testing suggests that the stock price is relatively expensive.

The 10 year median Price/Sales (Revenue) Ratio is 0.33. The current P/S Ratio is 0.34 based on Revenue estimate for 2021 of $17,466M, Revenue per Share of $116.40 and a stock price of $39.23. The current ratio is 0.6% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and at the median.

Results of stock price testing is that the stock price is probably reasonable. First the P/S Ratio testing says the stock price is reasonable and at the median. The problem with the dividend yield tests is that this stock spent time before 2010 as an income trust. When it became a corporation in 2010, it did decrease the dividends, but not enough and it has had low dividend increases since. Some of the other tests vary in results, but it is nice that the P/CF says the stock price is relatively cheap.

Is it a good company at a reasonable price? I think that the stock price is reasonable. It has done well for the shareholders in total return. They used to be an income trust so they have had a hard time getting the DPR for EPS at a reasonable level. The Debt Ratios need improving so this makes the stock risky. However, if you are willing to accept the risks, the company will probably do fine. They have provided solid returns for investors in the past.

When I look at analysts’ recommendations, I find Strong Buy (6) and Buy (9) recommendations. The consensus would be a Strong Buy. The 12 month stock price consensus is $49.60. This implies a total return of $29.58% with 26.43% from capital gains and 3.15% from dividend.

Most analysts like this stock on Stock Chase. One said it was a good long term hold. Joey Frenette on Motley Fool thinks this stock is cheap and it is time to buy it. The executive summary on Simply Wall Street gives this stock 4 stars out of 5 and lists two risks. A writer on Simply Wall Street is uncomfortable with the high dividend payout ratio for EPS and says dividends are where they were 10 years ago. A writer on Simply Wall Street says the intrinsic value of this stock is $29.37 CDN$.

Parkland Fuel Corp distributes and markets fuels and lubricants. Refined fuels and other petroleum products are among the variety of offerings the company delivers to motorists, businesses, consumers, and wholesalers in the United States and Canada. Its web site is here Parkland Fuel Corp.

The last stock I wrote about was about was Computer Modelling Group Ltd (TSX-CMG, OTC-CMDXF) ... learn more. The next stock I will write about will be Saputo Inc (TSX-SAP, OTC-SAPIF) ... learn more on Wednesday, June 29, 2021 around 5 pm. Tomorrow on my other blog I will write about Best Renewable Energy Stocks.... learn more on Tuesday, June 29, 2021 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.

Computer Modelling Group Ltd

Sound bite for Twitter and StockTwits is: Dividend Paying Tech. The stock price is probably cheap. It services the oil and gas industry and this could be a problem. It has no long term debt. It is no longer and dividend growth company and it is hard to know how the current problems with the oil and gas industries will payout, but they will last a lot longer than anyone suspects. See my spreadsheet on Computer Modelling Group Ltd.

I own this stock of Computer Modelling Group Ltd (TSX-CMG, OTC-CMDXF). I bought this company in 2008 because it is a dividend paying growth stock that would also be considered to be a small cap with a capitalization of around $115 million. It has great growth and it is information technology a favourite sector of mine. Because the stock grew rapidly and because it is a tech stock, I sold some shares in 2011 to lock in profit.

When I was updating my spreadsheet, I noticed that I have done well with this stock, earning 20% per year over the 13 years I have held this stock. However, the stock has not done well recently with a negative total return of 12% per year over the past 5 years and a total return of just 3.6% per year over the past 10 years. This is not surprising as this company services the oil and gas industry. The stock hit a high in 2014 and is down some 67% from this high. This stock has a year end of March 31 each year, so I am currently looking at the March 31, 2021 year end.

The dividend yields are moderate with dividend growth non-existent. The current dividend yield is moderate (2% to 4% ranges) at 3.68%. The 5, 10 and historical dividend yields are also moderate at 4.52%, 3.73% and 3.66%. The dividends hit a high in 2014, were flat for awhile and then declined in 2021. When the oil and gas industry recovers, we should see some benefit for the shareholders of this stock.

The Dividend Payout Ratios (DPR) are still too high, but the company does have lots of cash. The DPR for EPS for 2021 was 80% with 5 year coverage at 130%. The DPR for CFPS for 2021 was 61% with 5 year coverage at 86%. The DPR for Free Cash Flow for 2021 is 80% with 5 year coverage at 137%.

Debt Ratios are fine. The company has no long term debt. The Liquidity Ratio is good at 1.92. The Debt Ratio is good at 1.55. The Leverage and Debt/Equity Ratios are fine at 2.82 and 1.82.

The Total Return per year is shown below for years of 5 to 24 to the end of 2020. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	-12.94%	-12.38%	-16.59%	4.21%
2010	10	0.38%	3.55%	-2.77%	6.32%
2005	15	14.87%	25.89%	11.81%	14.08%
2000	20	15.48%	44.24%	22.82%	21.42%
1996	24		18.04%	11.28%	6.76%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 19.45, 26.41 and 32.96. The corresponding 10 year ratios are 20.34, 28.93 and 33.96. The corresponding historical ratios are 10.89, 17.09 and 21.11. The current ratio is 23.61 based on a stock price of $5.43 and EPS estimate for 2022 of $0.23. This ratio is between the low and median 10 year ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a Graham Price of $1.67. The 10 year low, median, and high median Price/Graham Price Ratios are 3.15, 4.04 and 4.86. The current P/GP Ratio is 3.25 based on a stock price of $5.43. This ratio is between the low and the median 10 year ratios. 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 12.69. The current P/B Ratio is 10.04 based on a Book Value of 43.4M, Book Value per Share of $0.54 and a stock price of $5.43. The current ratio is 21% below the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median Price/Cash Flow per Share Ratio of 24.13. The current P/CF Ratio is 14.68 based on Cash Flow per Share estimate for 2022 of $0.37, Cash Flow of $29.7M and a stock price of $5.43. The current ratio is 39% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get an historical median dividend yield of 3.66%. The current dividend yield is 3.68% based on dividends of $0.20 and a stock price of $5.43. The current yield is 0.6% above the historical dividend yield. This stock price testing suggests that the stock price is relatively reasonable and at the median.

I get a 10 year median dividend yield of 3.73%. The current dividend yield is 3.68% based on dividends of $0.20 and a stock price of $5.43. The current yield is 1.3% above the historical dividend 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 10.39. The current P/S Ratio is 6.60 based on Revenue estimate for 2022 of $66.1M, Revenue per Share of $0.82 and a stock price of $5.43. The current ratio is 37% below the 10 year median. This stock price testing suggests that the stock price is relatively cheap.

Results of stock price testing is that the stock price is probably cheap. The dividend yield tests are showing the stock price at the median, but the dividend was cut by 50% in 2021. The P/S Ratio is showing the stock price as cheap as is a lot of the other tests.

Is it a good company at a reasonable price? I think the stock price is reasonable and probably cheap. I am still interested in this company which I own. There is, of course, a problem as it services the oil and gas industries and eventually, these industries will die. Although this will take a lot longer than anyone imagines. The plus side is that they are in a lot of countries, not just Canada.

When I look at analysts’ recommendations, I find Buy (4) and Hold (3). The consensus would be a Buy. The 12 month stock price is $6.64. This implies a total return of $25.97% with 22.28% from capital gains and 3.68% from dividends.

The analysts on Stock Chase last updated on this company in 2017. So, analysts have lost interest in this stock. Jitendra Parashar on Motley Fool thinks this stock is currently an amazing buy. The executive summary on Simply Wall Street gives this stock 3 stars out of 5 and list 3 risks. A writer on Simply Wall Street wonders if the dividend is sustainable. A writer on Simply Wall Street thinks that this company is overpriced because he thinks the fair price is $4.00 CDN$.

Computer Modelling Group Ltd is a Canada-based provider of reservoir simulation software for the oil and gas industry. The firm has operations in over 60 countries in the Americas, Europe, Middle East, Africa, and Asia-Pacific regions. Its web site is here Computer Modelling Group Ltd.

The last stock I wrote about was about was CI Financial Corp (TSX-CIX, OTC-CIFAF) ... learn more. The next stock I will write about will be Parkland Fuel Corp (TSX-PKI, OTC-PKIUF) ... learn more on Monday, June 28, 2021 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.

CI Financial Corp

Sound bite for Twitter and StockTwits is: Dividend Paying Financial. The stock price is relatively cheap. Some analyst think that this company will start to increase dividends in 2022. They do have a history of rising dividends in the past. Some analysts see a great future because of recent acquisitions. There is also the risk that new acquisitions will not work out as expected. See my spreadsheet on CI Financial Corp.

I do not own this stock of CI Financial Corp (TSX-CIX, NYSE-CIXX). I started to follow this stock originally because it was a Mutual Fund company. People talked about it being easier to make money from buying a Mutual Fund company than buying Mutual Funds. When they became a Unit Trust in 2006, dividends were significantly increased, but these dividends proved to be unsustainable. They changed back to a corporation in 2009 and dividends were decreased in 2010. In June 2014, MPL communications called this stock a Buy and advised that they were adding it to their list of Key Stock for the Investment reporter.

When I was updating my spreadsheet, I noticed that they changed slightly the value of the Assets under management and Revenue for 2019 in the 2020 statements and make no mention of this. I find this annoying. For example, in the 2019 report, Revenue was 2,119,227 and in the 2020 report, Revenue for 2019 is shown as 2,122,466.

They made some acquisitions in 2020. On February 19, 2020, CI acquired 100% of the outstanding shares and debt obligations of CI ETF Investment Management Inc. [“CI ETF”], formerly WisdomTree Asset. Management Canada, Inc. On October 19, 2020, CI acquired a controlling interest in Aligned Capital Distributions Inc. During the year ended December 31, 2020, CI acquired controlling interests in some registered investment advisory firms.

The dividend yields are moderate with dividend growth currently non-existent. The current dividend yield is moderate (2% to 4% ranges) at 3.19%. The 5, 10 and historical dividend yields are also moderate at 4.77%, 4.03% and 3.69%. The dividends have declined over the past 5 years by 11% per year. The dividends have been flat since 2019. Most analysts do not expect this to change in the near future. However, they do have a past history of dividend rises. Over the past 25 years they have increased dividends 16 times and decreased them 4 times.

The Dividend Payout Ratios (DPR) are fine. The DPR for EPS for 2020 is 33% with 5 year coverage at 50%. The DPR for CFPS for 2020 is 29% with 5 year coverage at 43%. The DPR for Free Cash Flow for 2020 is 30% with 5 year coverage at 48%.

Debt Ratios need improving. Long Term Debt/Market Cap for 2020 is 0.68 and declining to 0.50 currently. The Liquidity Ratio for 2020 is 0.99. If you add in cash flow after dividends it is still low at 1.21. I prefer this to be 1.50 or high. The Debt Ratio is also low at 1.34 and I prefer this also to be 1.50 or higher. The Leverage and Debt/Equity Ratios are too high at 3.93 and 2.93. I prefer these to be below 3.00 and 2.00, respectively.

The Total Return per year is shown below for years of 5 to 26 to the end of 2020. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	-11.08%	-8.00%	-12.41%	4.41%
2010	10	14.05%	2.02%	-3.49%	5.51%
2005	15	0.95%	7.23%	-0.74%	7.97%
2000	20	18.30%	7.87%	1.17%	6.70%
1995	25	18.66%	21.34%	10.31%	11.03%
1994	26		19.33%	9.62%	9.71%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 7.48, 9.87 and 12.64. The corresponding 10 year ratios are 14.12, 15.55 and 17.46. The corresponding historical ratios are 14.88, 17.26 and 19.91. The current P/E Ratio is 8.27 based on a stock price of $22.59 and EPS estimate of $2.73. the current ratio is below the low 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a Graham Price of $21.76. The 10 year low, median, and high median Price/Graham Price Ratios are 1.46, 1.65 and 1.85. The current P/GP Ratio is 1.04 based on a stock price of $22.59. The current ratio is below the 10 year low median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median Price/Book Value per Share Ratio of 3.92. The current P/B Ratio is 2.96 based on a Book Value of $1,554M, Book Value per Share of $7.62 and a stock price of $22.59. The current ratio is 24% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median Price/Cash Flow per Share Ratio of 11.89. The current P/CF Ratio is 29.72 based on Cash Flow per Share estimate for 2021 of $0.76, Cash Flow of $155M and a stock price of $22.59. The current ratio is 150% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. However, analysts are showing a drop of 70% in CFPS for 2021. You have wonder about that.

If I look at the Cash Flow per Share for 2022 the Cash Flow per Share Ratio is $2.23, a more reasonable value. The P/CF Ratio for 2022 is 10.13. This is based on Cash Flow per Share estimate for 2022 at $2.23, Cash Flow of $455M, and a stock price $22.59. This P/CF Ratio is 15% 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 3.69%. The current dividend yield is 3.19% based on Dividends of $0.72 and a stock price of $21.76. The current dividend yield is 14% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10 year median dividend yield of 4.03%. The current dividend yield is 3.31% based on Dividends of $0.72 and a stock price of $21.76. The current dividend yield is 20% below the historical median dividend 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 3.89. The current P/S Ratio is 1.71 based on a Stock Price of $22.59, Revenue estimate for 2021 of $2,697M and Revenue per Share of $13.22. The current ratio is 56% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

Results of stock price testing is that the stock price is probably cheap. There is a problem with the Dividend yield tests because dividends were cut by 48% in 2018. This really invalidates the dividend yield tests. Most of the rest of the testing is showing the stock price as cheap also.

Is it a good company at a reasonable price? The stock price is reasonable if not cheap. It is not currently a dividend growth company, but it will probably be that again. Dividend yield is still in the moderate range and this is good. The company has paid a lot in dividends over the years and will continue to do so. However, in buying this company you are taking a risk as there is always the possibilities the new acquisitions will not work out as the company expects and you may not get increased dividends in the future

When I look at analysts’ recommendations, I find Strong Buy (1), Buy (6) and Hold (3). The consensus would be a Buy. The 12 month stock price consensus is $25.05. this implies a total return of 14.08% with 10.89% from capital gains and 3.19% from dividends.

The most recent entry on Stock Chase says to watch this company because it might have a bright future. Nikhil Kumar on thinks that buying this stock you can benefit from the boom in asset management services. The executive summary on Simply Wall Street gives this stock 3 stars out of 5 and lists 3 risks. A writer on Simply Wall Street says the company looks good from a dividend perspective. Analysts expect EPS to increase and dividend payments are the same as 10 years ago. A writer on Simply Wall Street likes this stock because analysts expect good increases in Revenue and EPS in the near future.

CI Financial is a diversified provider of wealth management products and services, primarily in the Canadian market. Its web site is here CI Financial Corp.

The last stock I wrote about was about was Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF) ... learn more. The next stock I will write about will be Computer Modelling Group Ltd (TSX-CMG, OTC-CMDXF) ... learn more on Friday, June 25, 2021 around 5 pm. Tomorrow on my other blog I will write about Dividend Investing.... learn more on Thursday, June 24, 2021 around 5 pm.

Also, on my book blog I have put a review of the book Your Money or Your Life by Vicki Robin 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.

Intertape Polymer Group Inc

Sound bite for Twitter and StockTwits is: Dividend Growth Industrial. Stock price seems reasonable, but on the top end. Debt Ratios could stand to be improved. Dividends are paid in US$. Analysts expect total returns to be high in 2021. See my spreadsheet on Intertape Polymer Group Inc .

I do not own this stock of Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF). I got this stock suggestion from Peter Keyser who I met in an Investment Club. The company reports in US$ and distributes its dividend in US$.

When I was updating my spreadsheet, I noticed that they had dividends in 1998 and then cancelled them for 15 years and restarted dividends in 2013. Long term investors did not do well, but investors have done better in the last 5 and 10 years. See chart below.

The dividend yields are moderate with dividend growth low. The current dividend yield is moderate (2% to 4% ranges) at 2.82%. The 5, 10 and historical dividend yield is also moderate at 3.86%, 3.42% and 3.64%. The dividends are paid in US$. The dividend growth in US$ over the past 5 years is low (below 8%) at 3.7% per year. Also, note that there were no dividends paid between 1999 and 2012.

The Dividend Payout Ratios (DPR) are fine. The DPR for EPS for 2020 is 49% with 5 year coverage at 61%. The DPR for CFPS for 2020 is 17% with 5 year coverage at 22%. The DPR for Free Cash Flow for 2020 is 27% with 5 year coverage at 57%.

Debt Ratios could stand to be improved. The Long Term Debt/Market Cap Ratio for 2020 is 0.41 and this is good. The Liquidity Ratio for 2020 is good at 1.72. The Debt Ratio is a bit low at 1.40 and I prefer this at 1.50 or above. This has always been often low with the 5 median Debt Ratio at 1.40. The Leverage and Debt/Equity Ratios are 3.64 and 2.60. These are high and I prefer them to be below 3.00 and 2.00.

The Total Return per year is shown below for years of 5 to 27 to the end of 2020 in CDN$. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	26.12%	8.84%	5.25%	3.59%
2010	10	#NUM!	44.29%	35.35%	8.94%
2005	15	#NUM!	7.51%	5.79%	1.71%
2000	20	10.03%	5.19%	4.01%	1.18%
1995	25	10.63%	1.35%	0.48%	0.88%
1993	27	10.25%	4.87%	3.83%	1.04%

The Total Return per year is shown below for years of 5 to 27 to the end of 2020 in US$. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	3.71%	10.79%	7.11%	3.68%
2010	10	9.40%	39.75%	31.83%	7.91%
2005	15	#NUM!	7.20%	5.52%	1.68%
2000	20	#NUM!	6.11%	4.90%	1.21%
1995	25	10.34%	1.65%	0.77%	0.88%
1990	30	10.79%	4.97%	3.95%	1.02%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 13.69, 17.31 and 20.88. The corresponding 10 year ratios are 11.80, 16.16 and 21.27. The corresponding historical ratios are 10.32, 15.70 and 21.07. The current P/E Ratio is 13.62 based on a stock price of $27.74 and EPS estimate for 2021 of $2.04 ($1.64 US$). The current ratio is between the low and median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in CDN$.

I get a Graham Price of $17.51. The 10 year low, median, and high median Price/Graham Price Ratios are 1.19, 1.48 and 1.86. The current P/GP Ratio is 1.58 based on a stock price of $27.74. The current ratio is between the median and high 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median. This testing is in CDN$.

I get a 10 year median Price/Book Value per Share Ratio of 3.28. The current P/B Ratio is 4.16 based on a Book Value of $318M, Book Value per Share of $5.39 and a stock price of $22.41. The current ratio is 27% above 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$. You will get a similar result in CDN$.

I get a 10 year median Price/Cash Flow per Share Ratio of 8.00. The current P/CF Ratio is 6.87 based on a stock price of $22.41, Cash Flow per Share estimate for 2021 of $3.26 and Cash Flow of $192M. The current ratio is 14% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in US$. You will get a similar result in CDN$.

I will skip the historical median dividend yield test because dividends were not paid for quite a number of years between 1999 and 2012.

I get a 10 year median dividend yield of 3.42%. The current dividend is 2.81% based on dividends of $0.63 and a stock price of $22.41. The current dividend is 18% below the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median. This testing is in US$. You will get a similar result in CDN$.

The 10 year median Price/Sales (Revenue) Ratio is 0.87. The current P/S Ratio is 0.93 based on Revenue estimate for 2021 of $1,416M, Revenue per Share of $23.99 and a stock price of $22.41. The current ratio is 7% above the 10 year median ratio. This testing is in US$. You will get a similar result in CDN$.

Results of stock price testing is that the stock price is probably reasonable, but on the high side. The 10 year dividend yield test shows this and it is confirmed by the P/S Ratio test. The other tests all show the stock price is reasonable, but above or below the median.

Is it a good company at a reasonable price? The stock price is probably still reasonable, but a bit on the high side. Long Term investors have not done well, and there were a number of years of not dividends. This company looks like it will provide better total returns and more consistent for shareholders in the future.

When I look at analysts’ recommendations, I find Strong Buy (2) and Buy (6). The consensus is a Buy. The 12 month stock price of $39.72 ($31.98 US$). This implies a total return of 45.99% with 43.17% from capital gains and 2.82% from dividends. With the total return so high, it is a wonder there are not more Strong Buys.

This is the top pick on Stock Chase of James Telfser. Robin Brown onMotley Fool says this stock trades at a discount to its larger peers. The executive summary on Simply Wall Street gives this stock 4 stars out of 5 and lists 3 risks. However, it does not have an unstable dividend record, but pays dividends in US$, so for Canadians, dividends will fluctuate. Also, I do not see insider selling, it is just insiders are not keeping all the stock options they earned. A writer on Simply Wall Street likes the payout ratio for this stock. A writer on Simply Wall Street thinks this company’s CEO is paid high than others in this industry.

Intertape Polymer Group Inc is engaged in the manufacturing of packaging products and systems for industrial and retail use. It offers its products to industrial and specialty distributors, consumer outlets, and end-users. Its web site is here Intertape Polymer Group Inc.

The last stock I wrote about was about was Waste Connections Inc (TSX-WCN, NYSE-WCN) ... learn more. The next stock I will write about will be CI Financial Corp (TSX-CIX, OTC-CIFAF) ... learn more on Wednesday, June 23, 2021 around 5 pm. Tomorrow on my other blog I will write about AltaGas Ltd.... learn more on Tuesday, June 22, 2021 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.

Waste Connections Inc

Sound bite for Twitter and StockTwits is: Dividend Growth Industrial. The share price seems to be expensive at this time. Outstanding shares have been increased a lot over the past 5 years. Revenue per Share and Cash Flow per Share are declining. Dividend Payout Ratios and Debt Ratios are fine. See my spreadsheet on Waste Connections Inc.

I do not own this stock of Waste Connections Inc (TSX-WCN, NYSE-WCN), but I used to. I first bought this stock in 2007 because TD Securities had a very favorable report on this stock and had it on their action buy list. At that time, it was BFI Canada Income Fund. I sold in 2016 when it because the target of a reverse takeover by an American company.

When I was updating my spreadsheet, I noticed that although the Revenue is strongly going up, Revenue per share is going down. The Revenue growth for the past 5 and 10 years is 23% and 14 % per year. However, the Revenue per Share growth over the past 5 and 10 years has declined by 3.36% and 1.67% per year. This is because the company is issuing lots of shares. Outstanding shares are up by 27% per year over the past 5 years and 16% per year over the past 10 years. There is the same problem with Cash Flow. The EPS is low in 2020 because of write offs.

The dividend yields are low with dividend growth good. The current dividend yield is low (less than 2%) at just 0.68%. The 5, 10 and historical dividend yields are also low at 0.80%, 1.00% and 1.20%. The dividend growth is good (8% to 14% ranges) at 19% per year over the past 5 years. The last increase was in 2020 and it was for 10.8%.

The Dividend Payout Ratios (DPR) are fine. The DPR for EPS for 2020 is 97% with 5 year coverage at 37%. The DPR for EPS for 2021 is expected to be around 30%. The DPR for CFPS for 2020 is 14% with 5 year coverage at 12%. The DPR for Free Cash Flow for 2020 is 27% with 5 year coverage at 21%.

Debt Ratios are fine. The Long Term Debt/Market Cap Ratio is 0.18. The Liquidity Ratio for 2020 is low at 1.37 but if you add in cash flow after dividends it is good at 2.54. The Debt Ratio for 2020 is 1.96. The Leverage and Debt/Equity Ratios for 2020 are 2.04 and 1.04.

The Total Return per year is shown below for years of 5 to 19 to the end of 2020 in CDN$. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	17.07%	24.80%	23.66%	1.14%
2010	10	11.25%	15.47%	14.57%	0.90%
2005	15	-0.81%	9.57%	8.41%	1.16%
2001	19	3.22%	15.12%	12.53%	2.59%

The Total Return per year is shown below for years of 5 to 18 to the end of 2020 in US$. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	19.05%	26.93%	25.76%	1.17%
2010	10	8.56%	12.62%	11.79%	0.83%
2005	15	-1.39%	9.04%	7.81%	1.23%
2002	18	4.47%	14.93%	12.41%	2.52%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 32.70, 40.90 and 46.22. The corresponding 10 year ratios are 20.70, 23.97 and 27.24. The corresponding historical ratios are 16.21, 19.81 and 25.76. The current P/E Ratio is 44.70 based on a stock price of $147.16 and EPS estimate for 2021 of $3.29 ($2.71 US$). This stock price testing suggests that the stock price is relatively expensive. This testing is in CDN$.

I get a Graham Price of $48.74. The 10 year low, median, and high median Price/Graham Price Ratios are 1.32, 1.58 and 1.81. The current P/GP Ratio is 3.02 based on a stock price of $147.16. This stock price testing suggests that the stock price is relatively expensive. This testing is in CDN$.

I get a 10 year median Price/Book Value per Share Ratio of 2.24. The current P/B Ratio is 4.58 based on a Book Value of $6,938M, Book Value per Share of $26.40 and a stock price of $120.99. The current ratio is 105% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$. You will get a similar result in CDN$.

I get a 10 year median Price/Cash Flow per Share Ratio of 10.21. The current P/CF Ratio is 21.01 based on Cash Flow per Share estimate for 2021 of $5.76, Cash Flow of $1,514M and a stock price of $120.99. The current ratio is 106% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$. You will get a similar result in CDN$.

I get an historical median dividend yield of 1.19%. The current dividend yield is 0.68% based on dividends of $1.00 ($0.82 US$) and a stock price of $147.16. The current yield is 43% below the historical dividend yield. This stock price testing suggests that the stock price is relatively expensive. This testing is in CDN$.

I get a 10 year median dividend yield of 0.96%. The current dividend yield is 0.68% based on dividends of $1.00 ($0.82 US$) and a stock price of $147.16. The current yield is 29% below the historical dividend yield. This stock price testing suggests that the stock price is relatively expensive. This testing is in CDN$.

The 10 year median Price/Sales (Revenue) Ratio is 2.39. The current P/S Ratio is 5.33 based on Revenue estimate for 2021 of $5,966M, Revenue per Share of $22.70 and a stock price of $120.99. The current ratio is 123% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$. You will get a similar result in CDN$.

Results of stock price testing is that the stock price is relatively expensive. The dividend yield test is showing the stock price as expensive and this is confirmed by the P/S Ratio test. In fact, all my tests are showing the stock price as expensive.

Is it a good company at a reasonable price? It would seem that the current stock price is on the expensive side. Investors have done well with this company. I worry about the dilution of shares because the company has issued so many over the past 5 and 10 years. As a Canadian I do not like to have too many companies paying dividends in US$, because of fluctuating dividends. I do not regret selling my shares.

When I look at analysts’ recommendations, I find Strong Buy (11), Buy (6), Hold (1) and Sell (1). The consensus would be a Buy. The 12 month stock price is 157.52 ($129.67 US$). This implies a total return of 7.72%, with 0.68% from dividends and 7.04% from capital gains.

Analysts on Stock Chase like this stock and it is the top pick for some. Rajiv Nanjapla on Motley Fool likes the EBITDA margin of this company. The executive summary on Simply Wall Street gives this stock 2 stars out of 5 and lists 4 risks. A writer on Simply Wall Street says this stock’s fair value is $92.66 US$. A writer on Simply Wall Street thinks that this company can handle it debt.

Waste Connections is the third- largest integrated provider of traditional solid waste and recycling services in the North America. The firm serves residential, commercial, industrial, and energy end markets. Waste Connections entered the Canadian market with its 2016 merger with Progressive Waste. Its web site is here Waste Connections Inc.

The last stock I wrote about was about was Lassonde Industries Inc (TSX-LAS.A, OTC-LSDAF) ... learn more. The next stock I will write about will be Intertape Polymer Group Inc (TSX-ITP, OTC-ITPOF) ... learn more on Monday, June 21, 2021 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.

Lassonde Industries Inc

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. The stock price is reasonable. It may even be cheap. Both the Dividend Payout Ratios and the Debt Ratios are good. Dividends have been a bit inconsistent. See my spreadsheet on Lassonde Industries Inc.

I do not own this stock of Lassonde Industries Inc (TSX-LAS.A, OTC-LSDAF). Although this stock is not on the Investment Reporter list, MPL communications does write about this stock. It has been covered several times in their Advice Hotline emails in 2010. Reports have been favorable and they suggest buying it for dividends and long term capital gains.

When I was updating my spreadsheet, I noticed that the stock hit a high in 2018 that it has yet to recover to. This company is still 37% off its 2018 high. It high a low in February 2020 and has been recovering since then. However, long term investors have done fine with this stock.

The dividend yields are low with dividend growth moderate. The current yield is low (less than 2%) at 1.92%. The 5, 10 and historical dividend yields are also low at 1.29%, 1.39% and 1.76%. The yield on this stock has always been low and just occasionally venturing into the 2% range. The dividend growth over the past 5 years is moderate (8% to 14% ranges) at 9.3% per year. However, they have raised and lower their dividend rates. There have been 18 increases and 3 decreased over the past 30 years. See chart below.

One of the things I look at, using past data, is dividend yield on original investments after 5 to 25 years. I am also looking at how much of the stock cost is covered by dividends after 5 to 25 years. In the chart below I show the numbers for this stock. For example, if you bought this stock 10 years ago at the median price, you would have a current yield on your original investment of 4.87% and 32% of your original cost would have now been paid by dividends. This is how you build a dividend portfolio to live off of.

Years	Yield	Cost Cov
5	1.75%	7.33%
10	4.87%	32.12%
15	8.77%	70.24%
20	22.69%	197.55%
25	21.61%	197.60%

The Dividend Payout Ratios (DPR) are good. The DPR for EPS for 2020 is 18% with 5 year coverage at 22%. The DPR for CFPS for 2020 is 9% with 5 year coverage at 10%. The DPR for Free Cash Flow 9% with 5 year coverage at 11%

Debt Ratios are all good. The Long Term Debt/Market Cap is good and low at 0.17. The Liquidity Ratio is good at 1.52. The Debt Ratio is good and high at 2.36. The Leverage and Debt/Equity Ratios are low and good at 1.74 and 0.74.

The Total Return per year is shown below for years of 5 to 30 to the end of 2020. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	9.32%	2.82%	1.33%	1.49%
2010	10	-1.20%	13.48%	11.50%	1.97%
2005	15	11.46%	12.13%	10.35%	1.78%
2000	20	11.67%	15.88%	13.60%	2.27%
1995	25	9.55%	12.22%	10.54%	1.68%
1990	30	10.01%	14.76%	12.44%	2.32%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 15.66. 17.87 and 20.08. The corresponding 10 year ratios are 15.26, 17.59 and 19.93. The corresponding historical ratios are 14.43, 13.15 and 15.53. The current P/E Ratio is 14.41 based on a stock price of $183.00 and EPS estimate for EPS of $12.70. The current ratio is below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a Graham Price of $176.64. The 10 year low, median, and high median Price/Graham Price Ratios are 1.07, 1.24 and 1.40. The current P/GP Ratio is 1.04 based on a stock price of $183.00. The current ratio is below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median Price/Book Value per Share Ratio of 1.95. The current P/B Ratio is 1.68 based on a Book Value of $757M, Book Value per Share of $109.19 and a stock price of $183.00. The current ratio is 14% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10 year median Price/Cash Flow per Share Ratio of 8.89. The current ratio is 6.02 based Cash Flow for the last 12 months of $210.7M, Cash Flow per Share of $30.38 and a stock price of $183.00. The current ratio is 32% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get an historical median dividend yield of 1.76%. The current dividend yield is 1.92% based on a stock price of $183.00 and dividends of $3.52. The current dividend yield is 9% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10 year median dividend yield of 1.39%. The current dividend yield is 1.92% based on a stock price of $183.00 and dividends of $3.52. The current dividend yield is 38% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

The 10 year median Price/Sales (Revenue) Ratio is 0.71. The current P/S Ratio is 0.64 based on Revenue estimate for 2021 of $1,968M, Revenue per Share of $283.84 and a stock price of $183.00. The current ratio is 9% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

Results of stock price testing is that the stock price is probably reasonable. Of the dividend yield test, the historical one says stock price is reasonable and the 10 year says cheap. The P/S Ratio test confirms the reasonableness of the stock price. A number of tests suggest a cheap stock price.

Is it a good company at a reasonable price? I think the stock price is reasonable, if not cheap. I also think that this will be a good long term company to buy for capital gains and dividends.

When I look at analysts’ recommendations, I find Buy (2) recommendations. The 12 month stock price consensus is $211.00. This implies a total return of 17.22% with 15.30 from capital gains and 1.92% from dividends.

This stock is not well covered on Stock Chase. Nikhil Kumar on Motley Fool thinks this is a recession-proof stock to buy. The Executive Summary on Simply Wall Street gives this stock 4 stars out of 5 and lists one risk. A writer on Simply Wall Street says they are pleased with this company’s performance. They like the fact the they are only paying out 22% of EPS in Dividends and therefore reinvesting 78% back into the company. The blogger Dividend Earner points out that this stock is no longer on the Dividend Aristocrat list. However, I think you need to look past their dividend inconsistencies and see that it has delivered some good and growing dividends for its shareholders. I like companies that grow their dividends over time and I do not dismiss ones that are not on the Dividend Aristocrat list.

Lassonde Industries Inc is engaged in the development, manufacturing, and marketing of ready-to-drink fruit and vegetable juices and drinks. It also acts as a producer of store brand shelf-stable fruit juices and drinks in the United States and a major producer of cranberry sauces. Lassonde has its presence in Canada and the United States. It earns the majority of the revenue in the United States. Its web site is here Lassonde Industries Inc.

The last stock I wrote about was about was Goeasy Ltd (TSX-GSY, OTC-EHMEF) ... learn more. The next stock I will write about will be Waste Connections Inc (TSX-WCN, NYSE-WCN) ... learn more on Friday, June 18, 2021 around 5 pm. Tomorrow on my other blog I will write about Dividend Income.... learn more on Thursday, June 17, 2021 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.

Goeasy Ltd

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. The stock price seems to be on the expensive side. Earnings are growing a lot faster than revenue. Dividend Payout Ratios are good. Dividend yield is low at 1.75%. Investors have done well with this company. See my spreadsheet on Goeasy Ltd.

I do not own this stock of Goeasy Ltd (TSX-GSY, OTC-EHMEF). In April of 2016 Investment Reporter said to seek stocks with growing dividends from The Investment Reporter Key stock buys. This is one stock that was named. However, I would still rather invest in companies that are not in the business of charging very high interest rates.

When I was updating my spreadsheet, I noticed that this stock is growing very quickly in regards to EPS, Dividends and Stock Price. The EPS is up by 39% and 30% per year over the past 5 and 10 years. The dividend growth for the past 5 years is 34% per year, and the stock price is up by 39% and 26% per year over the past 5 and 10 years. Revenue growth is not as high with Revenue per Share group up by 14% and 11% per year over the past 5 and 10 years. So, EPS is growing much faster than Revenue and this cannot continue indefinitely. Although, analysts expect higher rates of growth in revenue for 2021 and 2022. These rates are 27% in 2021 and 23% in 2022. Still not as fast as EPS.

The dividend yields are low with dividend growth good. The current dividend yield is low (less than 2%) at 1.81%. The 5, 10 and historical dividend yields are moderate (2% to 4% ranges) at 2.17%, 2.21% and 2.21%. The dividends have increased by 34% per year over the past 5 years. The last dividend increase was in 2021 and it was for 47%.

The Dividend Payout Ratios (DPR) good. The DPR for EPS for 2020 is 19% with 5 year coverage at 23%. The DPR for CFPS for 2020 is 7% with 5 year coverage at 6%. The DPR for Free Cash Flow for 2020 is 36%. The 5 year coverage cannot be calculated because FCF was negative until 2020 when it turned positive.

Debt Ratios are fine, but there is room for improvement. The Long Term Debt/Market Cap Ratio for 2020 is 0.48. The Liquidity Ratio for 2020 is 1.93 and is good. The Debt Ratio for 2020 is 1.42 and this is a bit low. The 5 year median Debt Ratio is also low at 1.42. The current Debt Ratio is better at 1.52. I prefer this to be 1.50 or higher. The Leverage and Debt/Equity Ratios for 2020 are 3.39 and 2.39. These are high and I prefer them to be below 3.00 and 2.00.

The Total Return per year is shown below for years of 5 to 25 to the end of 2020. 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 chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2015	5	33.60%	40.94%	38.52%	2.41%
2010	10	16.51%	28.68%	26.43%	2.24%
2005	15	15.96%	14.13%	12.83%	1.29%
2000	20		23.95%	21.20%	2.75%
1995	25		7.08%	6.58%	0.51%

The 5 year low, median, and high median Price/Earnings per Share Ratios are 8.74, 11.97 and 14.51. The corresponding 10 year ratios are 8.41. 11.42 and 14.11. The corresponding historical ratios are 9.41, 12.67 and 16.28. The current P/E Ratio is 10.98 based on a stock price of $150.46 and EPS estimate for 2021 of $13.70. The current ratio is between the 10 year low and median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a Graham Price of $106.63. The 10 year low, median, and high median Price/Graham Price Ratios are 0.64, 0.84 and 1.13. The current ratio is 1.41 based on a stock price of $150.46. The current ratio is above 10 year median ratio. 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 1.61. The current P/B Ratio is 4.08 based on a stock price of $150.46, Book Value of $550.3M and a Book Value per Share of $36.88. The current ratio is 153% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10 year median Price/Cash Flow per Share Ratio of 1.90. The current P/CF Ratio is 20.67 based on Cash Flow for the last 12 months of $109M, Cash Flow per Share of $7.28 and a stock price of $150.46. The current ratio is 990% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. The 10 year median ratio is very low at 1.90 and it is low because the company has had some years of negative cash flow. However, a P/CF Ratio of 20.67 is quite high.

I get an historical median dividend yield of 2.21%. The current dividend yield is 1.75% based on a stock price of $150.46 and dividends of $2.64. The current dividend is 21% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive.

I get a 10 year median dividend yield also of 2.21%. The current dividend yield is 1.75% based on a stock price of $150.46 and dividends of $2.64. The current dividend is 21% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive.

The 10 year median Price/Sales (Revenue) Ratio is 0.93. The current P/S Ratio is 2.71 based on Revenue estimate for 2021 of $828M, Revenue per Share of $55.50 and a stock price of $150.46. The current ratio is 192% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is probably expensive. The dividend yield tests are showing this and it is confirmed by the P/S Ratio test. The only test that does not show this is a P/E Ratio test and this one can be unreliable. For this company, the EPS is growing much faster than the Revenue. Also, analysts expect EPS to grow 56% in 2021 and I sort of wonder at this.

Is it a good company at a reasonable price? This is a company that I would not be keen to invest in. It is basically doing Pay-Day Loans and I understand why these companies should be legal, but I rather invest in other places. Currently the stock price seems on the expensive side.

When I look at analysts’ recommendations, I find Strong Buy (2) and Buy (4). The consensus would be a Buy. The 12 month stock price consensus is $175.67. This implies a total return of 18.51% with 16.76% from capital gains and 1.75% from dividends

The last entry on Stock Chase says to wait and not jump in based on historical performance. Jed Lloren on Motley Fool is impress with this company. The executive summary on Simply Wall Street gives this stock 4 stars out of 5 and list 4 risks. A writer on Simply Wall Street is impressed with the earnings growth of this company. A writer on Simply Wall Street likes this stock as a dividend growth stock because of the conservative payout ratio, increasing EPS and increasing dividends.

Goeasy Ltd provides financial services to own furniture, electronics, computers, and appliances. It offers merchandise leasing of household furnishings, appliances, and home electronic products to consumers under weekly or monthly leasing agreements. The company also offers unsecured installment loans to consumers. Its reportable business segments include easyhome and easyfinancial, of which it derives maximum revenue from easyfinancial. Its web site is here Goeasy Ltd.

The last stock I wrote about was about was Algonquin Power & Utilities Corp (TSX-AQN, NTSE-AQN) ... learn more. The next stock I will write about will be Lassonde Industries Inc (TSX-LAS.A, OTC-LSDAF) ... learn more on Wednesday, June 16, 2021 around 5 pm. Tomorrow on my other blog I will write about Best Utility Buys.... learn more on Tuesday, June 15, 2021 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.

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