Barclays PLC ADR

Sound bite for Twitter and StockTwits is: Dividend Growth Bank. The stock price is probably cheap. Debt Ratios are fine. The Dividend Payout Ratios (DPR) are good. The current dividend yield is moderate with dividend growth restarting. See my spreadsheet on Barclays PLC ADR.

Is it a good company at a reasonable price? I will not be buying this bank again, mostly because I do not want to get involved with foreign stock. The bank’s financial a certainly improving. Analysts are optimistic. A very good sign is the raising of dividends. The stock price certainly is reasonable and is probably cheap.

I do not own this stock of Barclays PLC ADR (LSE-BARC, NYSE-BCS). I bought this stock when Barrett took over in 2000. Barrett used to run Bank of Montreal in Canada. At that time, it was a good dividend paying stock and I thought it would give me some geographical diversifications. I sold it in 2017 as I had lost faith in this bank making me any money. At that time, I had a total return of 1.25% with a capital loss of 4.92% and dividends of 6.17%. I had had the stock for almost 18 years.

If a Canadian had invested in this company in December 2012, for $1,016.67 you would have bought 59 shares at $17.23 per share. In December 2022, after 10 years you would have received $200.75 in dividends. The stock would be worth $623.29. Your total return would have been $824.04. This is assuming you bought the stock via the NYSE as an ADR. Values are in CDN$.

Note CDN$ was worth more than the US$ in 2012 and now the CDN$ is worth less than the US$. If a Canadian bought this stock in a US$ account you would have made in US$ what an American would have. If you had transferred new CDN$ to a US$ account, as a Canadian you would have made more as it would have cost you less than $17.32 a share in CDN$ to buy a share.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$17.23	$1,016.67	59	10	$200.75	$623.29	$824.04

If an American had invested in this company in December 2012, for $1,004.56 you would have bought 58 shares at $17.32 per share. In December 2022, after 10 years you would have received $151.76 in dividends. The stock would be worth $452.40. Your total return would have been $604.16. This is assuming you bought the stock via the NYSE as an ADR. Values are in US$.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$17.32	$1,004.56	58	10	$151.76	$452.40	$604.16

If someone invested in this company in in December 2012 in UK£ on the London Exchange (LSE) for £1,002.37you would have bought 382 shares at £2.62per share. In December 2022, after 10 years you would have received £182.41in dividends. The stock would be worth £605.55. Your total return would have been £787.95. Values are in UK£. Also note that there 4 shares on the LSE for each ADR.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
£2.62	£1,002.37	382	10	£182.41	£605.55	£787.95

When I was updating my spreadsheet, I noticed dividend growth for the past 5 years has changed to a positive number of 15% in UK£. Last year, dividend growth was still negative for all periods. From charts below on Total Return, shareholders have not been making any money.

The current dividend yield is moderate with dividend growth restarting. The current dividend yield is moderate (2% to 4% ranges) at 4.51%. The 5, 10 and historical dividend yields are also moderate at 2.47%, 2.47% and 3.25%. The dividends have growth by 15.8% per year over the past 5 years. However, dividends were suspended in 2020 and then restarted in 2022. Current dividends are now 11.5% higher than they were in 2015. The dividends are still some 79% below what they were in 2008.

The Dividend Payout Ratios (DPR) are good. The DPR for EPS for 2022 is 21% with 5 year coverage also at 21%. The DPR for Cash Flow per Share (CFPS) for 2022 is 1.41% with 5 year coverage at 1.38% with 5 year coverage at 1.28%. The DPR for Free Cash Flow (FCF) for 2022 is 3.6% with 5 year coverage at 4.4%.

Debt Ratios are fine. Long Term Debt/Market Cap Ratio is good at 0.38. Because this is a bank, I am looking at Long Term Debt/Covering Assets Ratio and that is good at 0.71. The Debt Ratio for 2022 is fine at 1.05 which is in the normal range for banks. (Although I note that lately the Canadian Banks are all 1.06 or higher.)

The Total Return per year is shown below for years of 5 to 29 to the end of 2022 in UK£. 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.
2017	5	15.81%	-2.58%	-4.84%	2.26%
2012	10	-0.39%	-2.66%	-4.91%	2.25%
2007	15	-10.32%	-5.36%	-7.42%	2.06%
2002	20	-5.24%	0.28%	-4.21%	4.48%
1997	25	-1.56%	0.54%	-3.87%	4.41%
1993	29	1.73%	8.55%	0.26%	8.28%

The Total Return per year is shown below for years of 5 to 29 to the end of 2022 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.
2017	5	9.03%	-4.36%	-6.47%	2.11%
2012	10	-5.12%	-5.59%	-7.67%	2.08%
2007	15	-14.32%	-8.62%	-10.38%	1.76%
2002	20	-7.26%	-0.73%	-5.60%	4.87%
1997	25	-3.31%	-0.02%	-4.89%	4.87%
1993	29	0.34%	9.16%	-0.38%	9.54%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 8.18, 11.24 and 13.60. The corresponding 10 year ratios are 6.19, 8.78 and 11.01. The corresponding historical ratios are 8.18, 10.05 and 12.87. The current P/E Ratio is 5.17 based on a stock price of $8.00 and EPS estimate for 2012 of $1.55 (£0.310). The current P/E Ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

I get a Graham Price of $24.11. The 10-year low, median, and high median Price/Graham Price Ratios are 0.53, 0.75 and 0.85. The current P/GP Ratio is 0.33 based on a stock price of $8.00. This ratio is below the low ratio of the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

I get a 10-year median Price/Book Value per Share Ratio of 0.56. The current ratio is 0.46 based on Book Value of £55,008, Book Value per Share £3.47 and a stock price of £1.6038. The current ratio is 17% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median. This test is in UK£ and you will get a similar result in US$.

I get a 10-year median Price/Cash Flow per Share Ratio of 0.57. The current P/CF Ratio is 0.84 based on a stock price of $8.00, Cash Flow per Share estimate for 2023 of $9.50 and cash flow of $37,704M. The current ratio is 47% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$.

I get an historical median dividend yield of 3.25%. The current dividend yield is 4.52% based on dividends of £0.0725 and a stock price of £1.6038. The current dividend yield is 39% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap. This testing is in UK£.

I get a 10 year median dividend yield of 2.47%. The current dividend yield is 4.52% based on dividends of £0.0725 and a stock price of £1.6038. The current dividend yield is 83.05% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap. This testing is in UK£$.

The 10-year median Price/Sales (Revenue) Ratio is 1.50. The current P/S Ratio is 0.97 based on a stock price of $8.00, Revenue estimate for 2023 of 32,598 US$ (£26,137) and Revenue per Share of $30.217. The current ratio is 35% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

Results of stock price testing is that the stock price is probably cheap. The dividend yield tests say this and is confirmed by the P/S Ratio test. I am using UK£ in testing for dividends, because sites I have seen and what the Barclay site says about dividends paid on the ADR differ substantially. Note that each ADR holds 4 shares in Barclays PLC.

When I look at analysts’ recommendations, I find Strong Buy (8), Buy (6) and Hold (7). The consensus would be a Buy. The 12 month stock price is $11.38 US$ (£2.2802). This implies a total return of 46.71% with 42.19% from capital gains and 4.52% from dividends. (Note that LSE prices are quoted in pence and I am converting the quote to pounds).

The last entries on Stock Chase for this stock was in 2021, with a Sell and Buy recommendations. Stock Chase gives this stock 1 star out of 5. Alan Oscroft on Motley Fool says the bank’s valuation is low with dividend rising. Dr. James Fox on Motley Fool thinks that Barclays Shares are a buy. The bank has a press release on CNBC about its 20022 results. Simply Wall Street via Yahoo Finance talk about who owns this bank. Simply Wall Street list 2 warnings signs of unstable dividend track record; and significant insider selling over the past 3 months. Simply Wall Street gives this stock 3 starts out of 5.

Barclays PLC is a major global banking and financial services company. With 325 years of expertise in banking, and operating through an international network in many countries and regions in Europe, the U.S., Africa & Asia, the company provides a wide range of financial services to individuals, corporations, and institutions. Its web site is here Barclays PLC ADR.

The last stock I wrote about was about was Canadian Natural Resources (TSX-CNQ, NYSE-CNQ) ... learn more. The next stock I will write about will be SNC-Lavalin Group Inc (TSX-SNC, OTC-SNCAF) ... learn more on Monday, May 1, 2023 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 site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Canadian Natural Resources

Sound bite for Twitter and StockTwits is: Dividend Growth Resource. Stock price would seem to be reasonable. Debt Ratios are good. The Dividend Payout Ratios (DPR) are good. The current dividend yield is moderate with dividend growth good. See my spreadsheet on Canadian Natural Resources.

Is it a good company at a reasonable price? I do like this company. However, if you invest in this stock, you must be fine with the volatility it will have in the stock price and therefore the value of your investment. See the paragraph below. Because this is a resource stock, I do not have much invested in it. The stock price would seem to be reasonable.

You can get an idea of this volatility by looking at the Beta for a stock. For example, this stock had a Beta recently of 2.02. A utility stock generally has a much lower. For example, Fortis had a Beta of 0.16. Note a Beta greater than 1.0 suggests that the stock is more volatile than the broader market, and a beta less than 1.0 indicates a stock with lower volatility.

I own this stock of Canadian Natural Resources (TSX-CNQ, NYSE-CNQ). I first bought CNQ in September 2012 because the dividend yield was relatively high. The 5 and 10 year median dividend yields were 0.73% and 0.75%. The current one was at 1.31% and I got it with a yield of 1.32%. In April 2013 I bought more shares of this stock because the yield is now at 1.54%.I bought another 100 shares in 2020 because the yield was 11.63%.

When I was updating my spreadsheet, I noticed I have had this stock for 11 years and I have made a total return of 14.88% per year with 11.89% from capital gains and 2.99% from dividends. I do not have much in this stock because it is a resource stock.

If you had invested in this company in December 2012, for $1,002.40 you would have bought 35 shares at $28.64 per share. In December 2022, after 10 years you would have received $521.94 in dividends. The stock would be worth $2,631.65. Your total return would have been $3,153.59.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$28.64	$1,002.40	35	10	$521.94	$2,631.65	$3,153.59

This stock has good growth in several important categories. See chart below.

Year	Item	Tot. Growth	Per Year
5	Revenue Growth	180.32%	22.89%
5	AEPS Growth	840.34%	56.55%
5	Net Income Growth	356.28%	35.47%
5	Cash Flow Growth	167.02%	21.71%
5	Dividend Growth	157.95%	20.87%
5	Stock Price Growth	67.39%	10.85%
10	Revenue Growth	205.84%	11.83%
10	AEPS Growth	661.22%	22.50%
10	Net Income Growth	478.07%	19.18%
10	Cash Flow Growth	212.30%	12.06%
10	Dividend Growth	600.62%	21.49%
10	Stock Price Growth	162.53%	10.13%

The current dividend yield is moderate with dividend growth good. The current dividend yield is moderate (2% to 4% ranges) at 4.44%. The 5 and 10 year median dividend yields are also moderate at 4.04% and 3.04%. The historical median dividend yield is low at 1.13%. The dividend growth is good (above 15% per year) with dividends growth at 21% per year over the past 5 years. Dividend growth has been good for most of the past 21 years of dividend payments.

As yields have gone up, so has the Dividend Payout Ratio. Dividend yields start at below 1% with a 7% payout ratio. Now the yields are in the 3% to 4% ranges and payout is around 30%.

The Dividend Payout Ratios (DPR) are good. The DPR for EPS for 2022 is 30% with 5 year coverage at 48%. DPR for Adjusted Earnings per Share (AEPS) for 2022 is 25% with 5 year coverage at 47%. The DPR for Adjusted Funds from Operations (AFFO) is 17% with 5 year coverage at 5%. The DPR for Cash Flow per Share (CFPS) for 2022 is 16% with 5 year coverage at 22%. The DPR for Free Cash Flow (FCF) for 2022 is 35% with 5 year coverage at 33%.

Debt Ratios are good. The Long Term Debt/Market Cap Ratio is low and good at 0.13. The Liquidity Ratio is low at 0.82, but if you add in cash flow after dividends it is good at 2.70. The Debt Ratio is high and good at 2.01. The Leverage and Debt/Equity Ratios are good and low at 1.99 and 0.99.

The Total Return per year is shown below for years of 5 to 32 to the end of 2022. 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.
2017	5	20.87%	14.47%	10.85%	3.62%
2012	10	21.49%	13.08%	10.13%	2.95%
2007	15	20.88%	6.75%	4.98%	1.77%
2002	20	21.33%	16.10%	13.62%	2.49%
1997	25	22.50%	14.52%	12.65%	1.87%
1992	30		13.96%	12.46%	1.50%
1990	32		22.55%	20.00%	2.55%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 6.54, 7.84 and 9.14. The corresponding 10 year ratios are 6.59. 7.90 and 9.22. The corresponding historical ratios are 10.26, 14.34 and 16.23. The current P/E Ratio is 11.88 based on a stock price of $80.99 and EPS estimate for 2023 of $6.82. This ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive. (However, this is not a very high ratio for P/E Ratios.)

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 5.57, 6.67 and 8.55. The corresponding 10 year ratios are 9.33, 11.52 and 13.72. The current P/AEPS Ratio is 10.45 based on a AEPS estimate for 2023 of $7.75 and a stock price of $80.99. This ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median. This is more important than the P/E Ratio testing.

I also have Adjusted Funds from Operations (AFFO) data. The 5-year low, median, and high median Price/Adjusted Funds from Operations Ratios are 3.50, 4.34 and 5.05. The corresponding 10 year ratios are 3.86, 5.02 and 6.11. The current P/AFFO Ratio is 5.76 based on a AFFO estimate for 2023 of $14.05 and stock price of $80.99. This ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a Graham Price of $77.70. The 10-year low, median, and high median Price/Graham Price Ratios are 0.73, 0.91 and 1.06. The current P/GP Ratio is 1.11 based on a stock price of $80.99. This ratio is above the high ratio of the 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 1.41. The current P/B Ratio is 2.34 based on a stock price of $80.99, Book Value of $37,175 and a Book Value per Share of $34.62. The current ratio is 66% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I also have a Book Value per Share estimate for 2023 of $36.50. This implies a P/B Ratio of 2.22 with a Book Value of $40,246M and a stock price of $80.99. This ratio is 57% 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 5.05. The current P/CF Ratio is 5.70 based on Cash Flow per Share estimate for 2023 of $14.20, Cash Flow of $15,657M and a stock price of $80.99. The current ratio is 13% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get an historical median dividend yield of 1.13. The current dividend yield is 4.44% based on dividends of $3.60 and a stock price of $80.99. The current dividend yield is 293% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median dividend yield of 3.04. The current dividend yield is 4.44% based on dividends of $3.60 and a stock price of $80.99. The current dividend yield is 38% above the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

The 10-year median Price/Sales (Revenue) Ratio is 2.02. The current P/S Ratio is 2.40 based on Revenue estimate for 2023 of $35,915M, Revenue per Share of $33.72 and a stock price of $80.99. The current ratio is 19% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

Results of stock price testing is that the stock price is probably reasonable. Both the dividend yield tests say that the stock price is cheap, but the P/S Ratio test says it is reasonable but above the median. The P/AEPS Ratio testing is important and says the stock price is reasonable and below the median. The P/CF Ratio test says it is reasonable, but above the median. Some of the tests are saying it is expensive.

When I look at analysts’ recommendations, I find Strong Buy (8), Buy (7) and Hold (7). The consensus would be a Buy. The 12 month stock price consensus is $91.62. This implies a total return of 17.57% with 13.13% from capital gains and 4.44% from dividends.

Analysts on Stock Chase seem to like this stock, but the last one says Hold because he says he is underweight in Oil and Gas stocks. Stock Chase gives this stock 5 stars out of 5. This stock is ranked 1 on the Money Sense List. Aditya Raghunath Motley Fool thinks this is an energy stock you can hold forever. Andrew Walker on Motley Fool thinks this stock is a safer bet than Suncor. The company put out a press release on Energy Now about their annual results for 2022.

Simply Wall Street reviews this stock via Yahoo Finance. Simply Wall Street gives this stock 3 stars out of 5. Simply Wall Street issued two warnings of earnings are forecast to decline by an average of 13.8% per year for the next 3 years; and significant insider selling over the past 3 months.

Canadian Natural Resources Ltd is an independent crude oil and natural gas exploration, development, and production company. The Company's exploration and production operations are focused in North America, largely in Western Canada; the United Kingdom (UK) portion of the North Sea, and Cote d'Ivoire and South Africa in Offshore Africa. Its web site is here Canadian Natural Resources.

The last stock I wrote about was about was Pembina Pipelines Corp (TSX-PPL, NYSE-PBA) ... learn more. The next stock I will write about will be Barclays PLC ADR (LSE-BARC, NYSE-BCS) ... learn more on Friday, April 28, 2023 around 5 pm. Tomorrow on my other blog I will write about Barrick Gold .... learn more on Thursday, April 27, 2023 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 site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Pembina Pipelines Corp

Sound bite for Twitter and StockTwits is: Dividend Growth Utility. Results of stock price testing is that the stock price is probably reasonable and below the median. The Dividend Payout Ratios (DPR) are fine, and they seem to be in the process of lowering rates, especial the one for EPS. Debt Ratios are fine. The current dividend yield is good with dividend growth low. See my spreadsheet on Pembina Pipelines Corp.

Is it a good company at a reasonable price? This company has served me well and I have had it for over 20 years. However, one must wonder about the long term future of a pipeline company although they are more diverse than just pipelines. The stock price is reasonable and below the median and that is a good time to buy. I will be holding on to the shares that I have. This is one of my core stocks.

I own this stock of Pembina Pipelines Corp (TSX-PPL, NYSE-PBA). In December 2001 I thought it would be a good time to purchase this stock as the market was relatively low. Pipeline stocks are conservative and the return on this one was good at 9.7%. When I purchased this stock, it was an Income Trust company.

When I was updating my spreadsheet, I noticed that I have had this stock for 21 years and I have made a Total Return of 15.74% per year with 7.16% from capital gains and 8.58% from dividends. Dividends have paid for 269% of the cost of my original stock. The current dividend yield is 5.27% and I am making 23% yield on my original investment.

If you had invested in this company in December 2012, for $1,024.56 you would have bought 36 shares at $28.46 per share. In December 2022, after 10 years you would have received $763.83 in dividends. The stock would be worth $1,654.56. Your total return would have been $2,418.39.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$28.46	$1,024.56	36	10	$763.83	$1,654.56	$2,418.39

The current dividend yield is good with dividend growth low. The current dividend yield is good (5% to 6% ranges) at 5.82%. The 5 and 10 year median dividend yields are also good at 5.57% and 5.18%. The historical median dividend yield is high (7% and above) at 7.14%. This stock has high yields because it used to be an income trust company which always had quite high yields.

Yields, of course, were lower once the company changed form an income trust to a corporation. The dividend growth is low (below 8%) at 4.77% per year over the past 5 years. The last dividend increase was in 2022 and it was for 3.6%. In 2023, this company change their dividend frequency from monthly to quarterly.

The Dividend Payout Ratios (DPR) are fine, and they seem to be in the process of lowering rates, especial the one for EPS. The DPR for EPS for 2022 is 50% with 5 year coverage at 109%. The DPR for Adjusted Funds from Operations (AFFO) for 2022 is 53% with 5 year coverage at 54%. The DPR for Funds from Operations (FFO) for 2022 is 48% with 5 year coverage at 51%. The DPR for Cash Flow per Share (CFPS) is 42% with 5 year coverage at 43%. The DPR for Free Cash Flow (FCF) for 2022 is 66% with 5 year coverage at 94%.

Debt Ratios are fine. The Long Term Debt/Market Cap is good at 0.40. The Liquidity Ratio is low at 0.67, but if you add in Cash Flow after Dividends, it is better at 1.41. However, I like this ratio to be 1.50 or higher. The Debt Ratio is high and good at 2.01. The Leverage and Debt/Equity Ratios are low and good at 1.99 and 0.99.

The Total Return per year is shown below for years of 5 to 25 to the end of 2022. 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.
2017	5	4.77%	5.52%	0.21%	5.31%
2012	10	4.70%	10.83%	4.91%	5.92%
2007	15	4.17%	13.80%	6.63%	7.17%
2002	20	4.54%	15.72%	7.46%	8.26%
1997	25	6.25%	20.22%	8.52%	11.70%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 15.29, 17.16 and 19.04. The corresponding 10 year ratios are 18.95, 20.82 and 23.05. The corresponding historical ratios are 1905, 21.64 and 23.94. The current ratio is 15.51 based on a stock price of $44.81 and EPS estimate for 2023 of $2.89. This ratio is below the low ratio of the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I also have Funds from Operations (FFO) data. The 5-year low, median, and high median Price/ Funds from Operations Ratios are 7.26, 8.64 and 10.21. The corresponding 10 year ratios are 9.20, 10.84 and 12.99. The current P/FFO ratio is 8.45 based on a stock price $44.81 and FFO for the last 12 months of $5.30. This ratio is below the low ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I also have Adjusted Funds from Operations (AFFO) data. The 5-year low, median, and high median Price/Adjusted Funds from Operations Ratios are 7.99, 9.50 and 11.13. The corresponding 10 year ratios are 10.00, 11.77 and 13.45. The current P/AFFO ratio is 9.47 based on a stock price $44.81 and AFFO estimate for 2023 of $4.73. This ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a Graham Price of $51.15. The 10-year low, median, and high median Price/Graham Price Ratios are 0.82, 0.91 and 1.08. The current P/GP Ratio is 0.88 based on a stock price of $44.81. The current ratio is between the low and median ratios of the 10 year median 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 1.71. The current P/B Ratio is 1.82 based on a Book Value of $13,251M, Book Value per Share of $24.58 and a stock price of $44.81. The current ratio is 6% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I also have a Book Value per Share estimate for 2023 of $28.20. This implies a P/B Ratio of 1.59 with a stock price of $44.81 and Book Value of $15,510M. This ratio is 7% 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 11.36. The current P/CF Ratio is 9.64 based on Cash Flow per Share estimate for 2023 of $4.65, Cash Flow of $2,558M and a stock price of $44.81. The current 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 7.14%. The current dividend yield is 5.82% based on dividends of $2.61 and a stock price of $44.81. The dividend yield is 18% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median. The problem with this test is that this company used to be an income trust as these companies can have much higher dividends than corporation.

I get a 10 year median dividend yield of 5.18%. The current dividend yield is 5.82% based on dividends of $2.61 and a stock price of $44.81. The dividend yield is 13% below 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 2.93. The current P/S Ratio is 2.44 based on Revenue estimate for 2023 of $10,108M, Revenue per Share of $18.38 and a stock price of $44.81. The current ratio is 17% 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 and below the median. The 10 year median dividend yield test says this and it is confirmed by the P/S Ratio test. Other tests are saying it is either cheap or reasonable. The P/AFFO Ratio and P/FFO Ratio tests are considered to be better than the P/E Ratio test.

When I look at analysts’ recommendations, I find Strong Buy (6), Buy (5) and Hold (6). The consensus would be a Buy. The 12 months stock price consensus is 51.18. This implies a total return of 20.04% with 14.22% from capital gains and 5.82% from dividends based on a current stock price of $44.81.

This stock is well liked by analysts on Stock Chase. Stock Chase gives this stock 5 stars out of 5. It is number 43 on the Money Sense List. Robin Brown on Motley Fool says to buy this for passive income. Kay Ng on Motley Fool says to buy for growing passive income. Pembina Pipelines put out a press release on their 2022 results on World Pipelines.

A Simply Wall Street on Yahoo Finance looks at this company’s Return on Equity. Simply Wall Street gives this stock 3 stars out 5. It lists 3 warnings of earnings are forecast to decline by an average of 11.5% per year for the next 3 years; has a high level of debt; and large one-off items impacting financial results.

Pembina Pipeline is a midstream company serving the Canadian and North American (primarily Bakken) markets with an integrated product portfolio. The firms' assets include pipelines and gas gathering as well as assets across fractionation, storage, and propane exports. Its web site is here Pembina Pipelines Corp.

The last stock I wrote about was about was Barrick Gold Corp (TSX-ABX, NYSE-GOLD) ... learn more. The next stock I will write about will be Canadian Natural Resources (TSX-CNQ, NYSE-CNQ) ... learn more on Wednesday, April 26, 2023 around 5 pm. Tomorrow on my other blog I will write about Deposits at Canadian Financial Institutions.... learn more on Tuesday, April 25, 2023 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 site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Barrick Gold Corp

Sound bite for Twitter and StockTwits is: Dividend Growth Materials. Results of stock price testing is that the stock price might be reasonable. Debt Ratios are fine. The Dividend Payout Ratios (DPR) are fine. The current dividend yield is moderate with dividend growth good. See my spreadsheet on Barrick Gold Corp.

Is it a good company at a reasonable price? I never have much invested in resource or materials stocks as I do not consider them long term holds. Because I am Canadian, I feel that I must pay attention to resource and materials stocks. It would seem that the stock price is probably reasonable on this stock. As shown by the return over the past 8 years and 10 years, timing your buy is important.

I own this stock of Barrick Gold Corp (TSX-ABX, NYSE-GOLD). I bought some of this stock in April 2013 because its stock price had fallen hard. I believed the market over reacted. I just bought 100 shares as I am living off my portfolio and do not have much to invest. I bought another 100 shares in 2016. However, this is a resource stock and I only buy resource stocks so I pay attention to that aspect of the TSX. I plan to have only a small stack in any resource stock.

When I was updating my spreadsheet, I noticed that I have a total return on this stock of 7.53% with 5.68% from capital gains and 1.85% from dividends. I do not have much of this stock because it is a gold company. However, I think that such companies are important in Canada so I have a bit so that I will pay attention to this sector. I have had stock in this company for 10 years. If you look at the total return charts below, this stock has not been a good long term hold.

The Revenue was just 5% lower than expected, but Adjusted Earnings per Share was a lot lower. AEPS for 2022 was expected at $1.11 but came in at $0.75, a value 32% lower. Analysts have adjusted AEPS for 2023 and 2024 to lower amounts. It would seem that the drop in earnings has to do with Impairment Charges.

If you had invested in this company in December 2012, for $1,009.78 you would have bought 29 shares at $34.82 per share. In December 2022, after 10 years you would have received $114.44 in dividends. The stock would be worth $673.09. Your total return would have been $787.53. This is in CDN$.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$34.82	$1,009.78	29	10	$114.44	$673.09	$787.53

However, if you had invested in this company in December 2014, for $1,001.60 you would have bought 80 shares at $12.52 per share. In December 2022, after 8 years you would have received $254.58.44 in dividends. The stock would be worth $1,856.80. Your total return would have been $2,111.38. This is in CDN$.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$12.52	$1,001.60	80	8	$254.58	$1,856.80	$2,111.38

In the below for 5 and 10 years to 2022, growth is mostly positive for the past 5 years compared to the past 10 years except for Net Income. The Adjusted Earnings per Share (AEPS) shows no growth in the past 5 years because AEPS dropped in 2022 by 35% (and EPS dropped 79%) because 2022 was not a good year for this company. Interestingly, the CEO bought shares at around $22.00 after report for 2022 was known (with the big drop in earnings). This is in US$.

Year	Item	Tot. Growth	Per Year
5	Revenue Growth US$	31.51%	5.63%
5	AEPS Growth	0.00%	0.00%
5	Net Income Growth	-232.87%	-11.19%
5	Cash Flow Growth	68.57%	11.01%
5	Dividend Growth	233.33%	27.23%
5	Stock Price Growth	18.73%	3.49%
10	Revenue Growth US$	-32.09%	-2.74%
10	AEPS Growth	-409.33%	-15.02%
10	Net Income Growth	164.96%	10.23%
10	Cash Flow Growth	-56.25%	-4.36%
10	Dividend Growth	-87.50%	-6.09%
10	Stock Price Growth	-103.78%	-6.87%

In the chart below from last year, 5 and 10 years to 2021, you can see that the 10 year growth is all negative, but in the last 5 years, it is all positive. This is in US$.

Year	Item	Tot. Growth	Per Year
5	Revenue Growth US$	40.04%	6.97%
5	AEPS Growth	65.71%	10.63%
5	Net Income Growth	208.70%	25.29%
5	Cash Flow Growth	65.83%	10.65%
5	Dividend Growth	350.00%	35.10%
5	Stock Price Growth	18.90%	3.52%
10	Revenue Growth US$	-19.42%	-1.76%
10	AEPS Growth	-302.59%	-13.00%
10	Net Income Growth	-121.76%	-7.66%
10	Cash Flow Growth	-21.40%	-1.92%
10	Dividend Growth	-41.67%	-3.42%
10	Stock Price Growth	-138.16%	-8.31%

The current dividend yield is moderate with dividend growth good. The current dividend yield is moderate (2% to 4% ranges) at 2.03%. The 5, 10 and historical dividend yields are low (below 2%) at 1.34%, 1.31% and 1.11%. The dividend growth over the past 5 years is good at 27% per year. However, the 10 year growth per year is negative, down 6% per year. Over the past 35 years, this company has raised dividends 23 times and cut them 4 times. Note that dividends are paid in US$ and this paragraph uses US$.

The Dividend Payout Ratios (DPR) are fine. The DPR for EPS for 2022 is 292% with 5 year coverage at 57%. The DPR for Adjusted Earnings per Share (AEPS) for 2022 is 53% with 5 year coverage at 53%. The DPR for Cash Flow per Share (CFPS) for 2022 is 24% with 5 year coverage at 14%. The DPR for Free Cash Flow (FCF) for 2022 in 265% with 5 year coverage at 41%. Note that dividends are paid in US$ and this paragraph uses US$.

Debt Ratios are fine. The Long Term Debt/Market Cap Ratio is good and low at 0.16. The Liquidity Ratio is good and high at 2.71. The Debt Ratio is good and high at 3.13. The Leverage and Debt/Equity Ratios are fine at 2.02 and 0.64.

The Total Return per year is shown below for years of 5 to 36 to the end of 2022 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.
2017	5	29.19%	7.58%	5.01%	2.57%
2012	10	-3.18%	-2.56%	-3.97%	1.41%
2007	15	4.10%	-2.44%	-3.84%	1.40%
2002	20	2.24%	1.40%	-0.24%	1.64%
1997	25	3.51%	0.95%	-0.55%	1.50%
1992	30	6.47%	2.11%	0.56%	1.55%
1987	35	11.24%	5.77%	3.59%	2.18%
1986	36		9.63%	6.22%	3.41%

The Total Return per year is shown below for years of 5 to 36 to the end of 2022 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.
2017	5	27.23%	6.07%	3.49%	2.57%
2012	10	-6.09%	-5.54%	-6.87%	1.33%
2007	15	1.94%	-4.41%	-5.79%	1.38%
2002	20	3.03%	2.61%	0.55%	2.07%
1997	25	3.73%	1.32%	-0.38%	1.70%
1992	30	6.24%	1.98%	0.34%	1.64%
1987	35	11.12%	5.71%	3.48%	2.23%
1986	36		9.80%	6.32%	3.48%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 12.96, 18.47 and 21.73. The corresponding 10 year ratios are 8.30, 10.73 and 13.16. The corresponding historical ratios are 16.93, 25.34 and 29.62. The current P/E Ratio is 20.80 based on a stock price of $25.78 and EPS estimate for 2023 of $1.24 (0.92 US$). The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive. However, there is quite a variance in ratios between 5, 10 and historical values. This testing is in CDN$.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 14.47, 25.79 and 34.11. The corresponding 10 year ratios are 16.28, 22.93 and 32.54. The current P/AEPS ratio is 23.49 based on a stock price $19.03 and AEPS estimate for 2023 of $0.81. The current ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median. This testing is in US$ and you will get a similar result in CDN$ testing.

I get a Graham Price of $20.69. The 10-year low, median, and high median Price/Graham Price Ratios are 0.93, 1.33 and 1.73. The current P/GP Ratio is 1.25 based on a stock price of $25.78. This ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in CDN$.

I get a 10-year median Price/Book Value per Share Ratio of 1.77. The current P/B Ratio is 1.47 based on a Book Value of $22,771M, Book Value per Share of $12.97 and a stock price of $19.03. The current ratio is 17% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in US$ and you will get a similar result in CDN$.

I also have a Book Value per Share estimate of $13.10. This implies a ratio of 1.45, Book Value of $22,995M and a stock price of $19.03. This ratio is 18% below the 10 year median ratio of 1.77. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in US$ and you will get a similar result in CDN$.

I get a 10-year median Price/Cash Flow per Share Ratio of 7.94. The current P/CF Ratio is 7.96 based on Cash Flow per Share estimate for 2023 of $2.39, Cash Flow of $4,195M and Stock price of $19.03. The current ratio is 0.2% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median. This testing is in US$ and you will get a similar result in CDN$.

I get an historical median dividend yield of 1.11%. The current dividend yield is $2.10 based on a stock price of $19.03 and dividends of $0.40. The current dividend yield is 89% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$ and you will get a similar result in CDN$.

I get a 10 year median dividend yield of 1.31%. The current dividend yield is $2.10 based on a stock price of $19.03 and dividends of $0.40. The current dividend yield is 61% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$ and you will get a similar result in CDN$.

The 10-year median Price/Sales (Revenue) Ratio is 2.34. The current P/S Ratio is 2.81 based on a stock price of $19.03, Revenue estimate for 2023 of $11,885M, and Revenue per Share of $6.77. The current ratio is 20.2% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in US$ and you will get a similar result in CDN$.

Results of stock price testing is that the stock price might be reasonable. The dividend yield tests say it is cheap, but the P/S Ratio testing does not confirm this and says the stock price is expensive. Several tests, including the P/AEPS Ratio, the P/GP Ratio, P/B Ratio, and the P/CF Ratio tests say the stock price is reasonable. These is also a lot of variation in the analyst’s recommendations below.

When I look at analysts’ recommendations, I find Strong Buy (9), Buy (8), Hold (8) and Underperform (1). The consensus is a Buy. The 12 month stock price consensus is $29.12 ($21.62 US). This implies a total return of 15.05% with 12.96% from capital gains and 2.09% from dividends.

Analysts on Stock Chase, basically has 4 Buys and 2 Holds in 2023. It is on the Money Sense list as number 13. Stock Chase gives this stock 4 stars out of 5. Adam Othman on Motley Fool says if you are bullish on gold, you should be buying Barrick. Chris MacDonald on Motley Fool thinks Barrick is the best market hedge. Adella Harding on Elko Daily talks about Barrick’s earnings drop. The company put out a Press Release about their 2022 results.

Simply Wall Street via Yahoo Finance talks about insider buying. Simply Wall Street gives 3 warnings of dividend of 3.38% is not well covered by earnings or cash flows; large one-off items impacting financial results; and profit margins (3.9%) are lower than last year (16.9%). Note it is because of large 0ne-off items that companies report on Adjusted Earnings per Share (AEPS). Simply Wall Street gives this stock 3 stars out of 5.

Barrick Gold Corp is engaged in producing and selling gold and copper, as well as related activities such as exploration and mine development. The company sells its gold and copper into the world market. It generates maximum revenue from the Carlin mine segment. Geographically, it derives a majority of its revenue from the United States. Its web site is here Barrick Gold Corp.

The last stock I wrote about was about was Leon's Furniture Ltd (TSX-LNF, OTC-LEFUF) ... learn more. The next stock I will write about will be Pembina Pipelines Corp (TSX-PPL, NYSE-PBA) ... learn more on Monday, April 24, 2023 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 site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Leon's Furniture Ltd

Sound bite for Twitter and StockTwits is: Dividend Growth Consumer. Stock price is reasonable and may even be cheap. Debt Ratios are fine. The Dividend Payout Ratios (DPR) are fine. The current dividend yield is moderate with dividend growth low. See my spreadsheet on Leon's Furniture Ltd.

Is it a good company at a reasonable price? Stock price is reasonable to cheap. Most of the testing says it is cheap except for the P/S Ratio test. With this company, you get a decent dividend yield, currently in the 3% range. They give out the occasional special dividend. Dividends have grown but not consistently. Stock price growth is low. I have had this now for almost 17 years and I intend to hold on to what I have. So, I do think that it is a good company at a reasonable price.

I own this stock of Leon's Furniture Ltd (TSX-LNF, OTC-LEFUF). I intend to keep the stock I have. It is not a great earner, but dividends are stable. In the last 34 years, dividends have increase in 20 of those years. Sometime the company gives out special dividends.

When I was updating my spreadsheet, I noticed that I have had this stock for almost 17 years and have made a total return to date of 6.65% with 2.75% from capital gains and 3.90% from dividends. This is one of my core stocks and generally I have been making over 8% total return on this stock. However, price, as far as I can see, is currently depressed. Last year to the end of March 2022, my total return was 8.38% with 4.24% from capital gain and 4.14% from dividends.

If you had invested in this company in December 2012, for $1,000.23 you would have bought 77 shares at $12.99 per share. In December 2022, after 10 years you would have received $501.27 in dividends. The stock would be worth $1,323.63. Your total return would have been $1,824.90.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$12.99	$1,000.23	77	10	$501.27	$1,323.63	$1,824.90

The current dividend yield is moderate with dividend growth low. The current dividend yield is moderate (2% to 4% ranges) at 3.53%. The 5, 10 and historical median dividend yields are also moderate at 3.19%, 2.85%, 2.26%. The dividends are currently increasing at a low rate (below 8%) at 6.8% per year over the past 5 years. The last dividend increase was for 14.29% and it occurred in 2021. This company does not raise its dividend each year. For example, there were no increases in 2020 or 2022. Occasionally, the company gives out a special dividend as they did in 2021.

The Dividend Payout Ratios (DPR) are fine. The DPR for EPS for 2022 is 24% with 5 year coverage at 45%. The DPR for Adjusted Earnings per Share (AEPS) for 2022 is 25% with 5 year coverage a5 32%. The DPR for Cash Flow per Share (CFPS) is 15% with 5 year coverage at 29%. The DPR for Free Cash Flow (FCF) for 2022 is negative and so not calculable. The FCF is negative in 2022. The 5 year coverage at 31%.

Debt Ratios are fine. The Long Term Debt/Market Cap Ratio is good and low at 0.19. The Liquidity Ratio is fine at 1.40, but I prefer this to be at 1.50 or higher. The Debt Ratio is good and high at 1.73. The Leverage Debt/Equity Ratios are fine at 2.36 and 1.36.

The Total Return per year is shown below for years of 5 to 34 to the end of 2022. 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.
2017	5	6.83%	3.64%	-1.40%	5.04%
2012	10	4.81%	6.96%	2.84%	4.12%
2007	15	5.87%	5.56%	1.93%	3.63%
2002	20	8.73%	7.88%	4.11%	3.77%
1997	25	10.31%	8.45%	4.72%	3.73%
1992	30	9.92%	10.40%	6.38%	4.02%
1988	34	8.70%	11.74%	7.48%	4.26%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 7.67, 8.85 and 10.04. The corresponding 10 year ratios are 11.69, 13.62 and 15.15. The corresponding historical ratios are 12.15, 14.56 and 16.28. The current P/E Ratio for 2023 is 7.17 based on a current stock price of $18.14 and EPS estimate for 2023 of $2.53. The current ratio is below the low of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 7.73, 8.92 and 10.12. The corresponding 10 year ratios are 11.82, 13.67 and 15.12. The current P/AEPS Ratio is 7.17 based on a stock price of $18.14 and AEPS estimate for 2023 of $2.53. The current ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I get a Graham Price of $27.91. The 10-year low, median, and high median Price/Graham Price Ratios are 0.86, 1.00 and 1.11. The current P/GP Ratio is 0.65 based on a stock price of $18.14. The current ratio is below the low ratio of the 10 year median ratios. 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 1.74. The current P/B Ratio is 1.33 based on a Book Value of $929M, Book Value per Share of $13.69 and a stock price of $18.14. 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 7.29. The current P/CF Ratio is 2.59 based on Cash Flow per Share estimate for 2023 of $7.00, Cash Flow of $475M and a stock of $18.14. The current P/CF Ratio is 64% 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 2.26%. The current dividend yield is 3.53% based on dividends of $0.64 and a stock price of $18.14. The current dividend yield is 56% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median dividend yield of 2.85%. The current dividend yield is 3.53% based on dividends of $0.64 and a stock price of $18.14. The current dividend yield is 24% above the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

The 10-year median Price/Sales (Revenue) Ratio is 0.56. The current P/S Ratio is 0.49 based on Revenue estimate for 2023 of $5,525M, Revenue per Share of $37.21 and a stock price of $18.14. The current P/S Ratio is 13% 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 reasonable and probably cheap. The dividend yield tests are showing the stock price as relatively cheap. The P/S Ratio test is showing the stock price as reasonable and below the median. All the other tests are showing the stock price as cheap.

When I look at analysts’ recommendations, I find one Hold (1) recommendation. The consensus would be a Hold. The 12 months stock price consensus is $22.00. This implies a total return of 24.81% with 21.28% from capital gains and 3.53% from dividends. There appears to be only one analyst reporting on this stock.

When I look at analysts’ recommendations last year, I found a Hold (1) recommendation. The consensus was a Hold. The 12 month stock price consensus was $28.00. That implies a total return of 36.06% with 33.02% from capital gains and 3.04% from dividends based on a stock price of $21.05. Then I felt that this made no sense to have a capital gain of 36% and a recommendation of Hold. However, a number of sites are saying the same thing. What happened was a decline in the stock price to $18.14 meaning a loss of 10.78% with a capital loss of 13.82% and dividends of 3.04% based on a starting price of $21.05

There are two entries on Stock Chase for 2023, one a hold and one a Buy. The Hold recommendation comment thinks there is an issue with long term growth. Ambrose O'Callaghan on Motley Fool reviews this stock and thinks it is a screaming buy. Joey Frenette on Motley Fool thinks this consumer stock will recover as consumer spending recovers. The company put out a press release on Newsfile for their 2022 results.

Simply Wall Street via Yahoo Finance reviews this stock. Maybe it is because the dividend is paid in CDN$ they think that the company has decrease the dividends in the past 10 years. I have 34 years of data and no dividend decrease. Simply Wall Street has two warnings of high level of non-cash earnings; and dividend of 3.61% is not well covered. Simply Wall Street gives this stock 3 stars out of 5.

Leon's Furniture Ltd is a Canada-based retailer which is involved in the sale of home furnishing, mattresses, appliances, and electronics. The firm is also the country's commercial retailer of appliances to builders, developers, hotels, and property management companies. It generates maximum revenue from sales of goods by corporate stores. Its web site is here Leon's Furniture Ltd.

The last stock I wrote about was about was Supremex Inc (TSX-SXP, OTC-SUMXF) ... learn more. The next stock I will write about will be Barrick Gold Corp (TSX-ABX, NYSE-GOLD) ... learn more on Friday, April 21, 2023 around 5 pm. Tomorrow on my other blog I will write about Line of Credit.... learn more on Thursday, April 20, 2023 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 site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Supremex Inc

I went to the dentist this morning. A filling fell out on Sunday, so I emailed by dentist’s office Adelaide Dental got a reply early this norming for an appointment and got my tooth fixed. I was lucky to find this dental office. After my dentist retired, I went to a local dentist office which was part of a chain. The different quality of the dentists that worked there was startingly. A friend told me about Adelaide Dental and so switch to them a couple of years ago. They have been great.

Sound bite for Twitter and StockTwits is: Dividend Paying Materials. Stock price is reasonable and below the median. Debt Ratios are fine with the Liquidity Ratio good. The Dividend Payout Ratios (DPR) are current good. The current dividend yield is moderate with dividend growth restarting. See my spreadsheet on Supremex Inc.

Is it a good company at a reasonable price? I still like this company. It is a good sign that they have restarted the dividends. Analysts have been quite accurate with where they expect the stock price to be next year in 2021 and 2023. They are suggesting another jump in the stock price for the next 12 months. The current stock price seems reasonable and below the median. I will, of course, be keeping the stock I own. Is there not a saying of letting your winners run.

I own this stock of Supremex Inc (TSX-SXP, OTC-SUMXF). I read about it in Money Sense article of 15 Stocks to help investors ride market swings by Michael Pe on Mar 4, 2018 . They were an envelope company, but are diversifying into packaging.

When I was updating my spreadsheet, I noticed I have done very well lately on this stock earning a Total Return of 26.65% with 23.66% from capital gains and 2.99% from dividends. They have made some acquisitions lately. The stock has been soaring lately, since the end of 2021.

This is quite a change for this stock that cut their dividends in 2020 and paid none in 2021. However, dividends were restarted in 2022 and have been increasing lately. This is one of the small cap stocks I bought with fooling around money in my TFSA. The company has generally had good growth over the past 5 and 10 years. See chart below.

Year	Item	Tot. Growth	Per Year
5	Revenue Growth	51.60%	17.20%
5	AEPS Growth	121.15%	17.20%
5	Net Income Growth	111.06%	16.11%
5	Cash Flow Growth	68.93%	11.06%
5	Dividend Growth	-77.78%	-10.87%
5	Stock Price Growth	28.60%	5.16%
10	Revenue Growth	106.61%	14.28%
10	AEPS Growth	279.88%	14.28%
10	Net Income Growth	239.92%	13.02%
10	Cash Flow Growth	96.44%	6.99%
10	Dividend Growth	12.50%	1.18%
10	Stock Price Growth	442.06%	18.41%

If you had invested in this company in December 2012, for $1,000.45 you would have bought 935 shares at $1.07 per share. In December 2022, after 10 years you would have received $1,626.9.90 in dividends. The stock would be worth $5,423.00. Your total return would have been $7,049.90.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$1.07	$1,000.45	935	10	$1,626.90	$5,423.00	$7,049.90

However, if you had invested in this company in December 2017, for $1,001.51 you would have bought 222 shares at $4.51 per share. In December 2022, after 5 years you would have received $174.27 in dividends. The stock would be worth $1,287.60. Your total return would have been $1,461.87.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$4.51	$1,001.22	222	5	$174.27	$1,287.60	$1,461.87

But, if you had invested in this company in December 2018, for $1,001.51 you would have bought 409 shares at $2.45 per share. In December 2022, after 4 years you would have received $214.73 in dividends. The stock would be worth $2,372.20. Your total return would have been $2,586.93.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$2.45	$1,002.05	409	4	$214.73	$2,372.20	$2,586.93

The current dividend yield is moderate with dividend growth restarting. The current dividend yield is moderate (2% to 4% ranges) at 2.31%. The 5 year and historical median dividend yields are high (7% and above) at 7.24% and 7.21%. The 10 year median dividend yield is good (5% to 6% ranges) at 5.88%. Dividend yield were mostly high before dividends were suspended in 2021. When dividends have been moderate to low since dividends were restarted in 2022. In 2022, the company paid 5 dividends. The last dividend increase was in 2023 and it was for 16.7%.

The Dividend Payout Ratios (DPR) are current good. The DPR for EPS for 2022 is 12% with 5 year coverage at 39%. The DPR for Adjusted Earnings per Share (AEPS) for 2022 is 12% with 5 year coverage at 40%. The DPR for Cash Flow per Share for 2022 is 8% with 5 year coverage at 16%.

Debt Ratios are fine with the Liquidity Ratio good. The Long Term Debt/Market Cap Ratio is good at 0.36. The Liquidity Ratio for 2022 is good at 2.08 and that is good as this company is a small cap. The Debt Ratio for 2022 is good at 1.91. The Leverage and Debt/Equity Ratios are fine at 2.10 and 1.10.

The Total Return per year is shown below for years of 5 to 16 to the end of 2022. 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.
2017	5	-10.87%	8.50%	5.16%	3.34%
2012	10	1.18%	28.10%	18.41%	9.68%
2007	15	-13.31%	4.77%	-0.20%	4.97%
2006	16	-12.53%	2.40%	-2.34%	4.73%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 3.19, 4.01 and 5.45. The corresponding 10 year ratios are 4.40, 6.67 and 8.94. The corresponding historical ratios are 4.60, 6.72 and 9.25. The current P/E Ratio is 5.13 based on a stock price of $6.05 and EPS estimate FOR 2023 of $1.18. The current ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I have Adjusted Earnings per Share (AEPS) ratios. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 2.89, 4.49 and 6.18. The corresponding 10 year ratios are 4.52, 6.82 and 9.13. The current P/AEPS Ratio is 5.13 based on an AEPS estimate for 2023 of $1.18 and a stock price of $6.05. The current ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a Graham Price of $11.27. The 10-year low, median, and high median Price/Graham Price Ratios are 0.49, 0.68 and 0.84. The current P/GP Ratio is 0.54 based on a stock price of $6.05. The current ratio is between the low and median ratios of the 10 year median 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 1.13. The current P/B Ratio is 1.26 based on a Book Value of $124M, Book Value per Share of $4.79 and a stock price of $6.05. The current ratio is 12.09% above the 10 year median ratios. 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 4.22. The current P/CF Ratio is 3.62 based on a stock price of $6.05, Cash Flow per Share estimate for 2023 of $1.67 and Cash Flow of $43.4M. The current ratio is 14% below the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get an historical median dividend yield of 7.21%. The current dividend yield is 2.31% based on a stock price of $6.05 and dividends of $0.14. The current dividend yield is 68% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. The problem is that this stock used to be an Income Trust and as such had very high dividend yields.

I get an historical median dividend yield of 5.88%. The current dividend yield is 2.31% based on a stock price of $6.05 and dividends of $0.14. The current dividend yield is 60% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. The problem is that this stock used to be an Income Trust and as such had very high dividend yields.

The 10-year median Price/Sales (Revenue) Ratio is 0.48. The current P/S Ratio is current ratio is 0.45 based on a stock price of $6.05, Revenue estimate for 2023 of $346M and Revenue per Share of $13.32. The current ratio is 5% 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 and below the median. The P/S Ratio test says this. The dividend yield tests are no good because this company used to be an Income Trust and these companies have very high yields. All the other tests say that the stock price is reasonable and below the median except for the P/B Ratio test which says the stock price is reasonable but above the median.

When I look at analysts’ recommendations, I find Strong Buy (1) and Buy (2). The consensus would be a Strong Buy. The 12 months stock price consensus is $10.38. This implies a total return of 73.88% with 71.57% from capital gains and 2.31% from dividends based on a current stock price of $6.05.

When I look at analysts’ recommendations last year (2022), I found only a Buy (1) recommendation. The consensus would be a Buy. Yahoo Finance gives a Buy (2) recommendations. WSJ shows a 12 month stock price consensus of $6.00 from one analyst. Alpha Spread is showing 3 analysts 12 month stock price consensus of $6.12. This implies a total return of 75.21% with 72.39% from capital gains and 2.82% from dividends based on a stock price of $3.55. What happened was a move to $6.05 and a total return of 73.24% with 70.42% from capital gains and 2.82% from dividends. The analysts were fairly accurate.

When I looked at analysts’ recommendations in 2021, I found only one recommendation of Buy. The Consensus would be a buy. The 12 month stock price consensus is $3.50. This implies a total return of 50.21%, all from capital gains based on a stock price of $2.33. What happened was a move to $3.55 and a total return of 52.36% all from capital gains. The analyst was fairly accurate.

There are two analysts on Stock Chase taking about this stock and both are positive. Stock Chase gives this stock 4 stars out of 5. The site Motley Fool has nothing recent and last entry was in 2019. The company put out a press release on Global Newswire. Simply Wall Street has a report on this stock on Yahoo Finance. A few months ago, Simply Wall Street on Yahoo Finance suggested you might want to put this stock on your watch list. Simply Wall Street gives this stock 4 stars out of 5. It lists two warnings of has a high level of debt; and unstable dividend track record.

Supremex Inc is engaged in the manufacturing and marketing of envelopes and is a growing provider of paper-based packaging solutions and specialty products. Most of its revenue is derived from its business in Canada. Its web site is here Supremex Inc.

The last stock I wrote about was about was Toromont Industries Ltd (TSX-TIH, OTC-TMTNF) ... learn more. The next stock I will write about will be Leon's Furniture Ltd (TSX-LNF, OTC-LEFUF) ... learn more on Wednesday, April 19, 2023 around 5 pm. Tomorrow on my other blog I will write about Stocks with Moats.... learn more on Tuesday, April 18, 2023 around 5 pm.

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