Stocks

Time to Buy Rogers?

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I had been watching Rogers Communications (RCI.B) for a couple of months now. But once the stock started hitting $39 and $40 I felt it was overpriced and out of reach. I was waiting for a correction as a buy signal. So when Rogers missed earnings expectations today – big time, I was paying attention. In a previous article Bad News Investing ~ Profit from Crisis, I discussed how when companies get hit with bad news, it can be a great buy opportunity. Today Rogers Communications Inc. (RCI.B-T) reported weak third quarter earnings, posting a profit drop of 24 per …

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Are Canadian Banks Overvalued?

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It seems these days that caution has been thrown to the wind, and investors have been looking for higher yields and even better returns on investment.  With blue chip stocks paying dividend yields higher than government bonds and some corporate bonds, it’s no wonder dividend stocks are the flavour of the month.  A lot of attention has been centered on the Canadian Banks lately, and with yields of 3.5% to 4.7%, these stocks are looking attractive to investors.  But with three of the six big banks trading near their 52 week highs, and all six trading at or near 2007 …

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Three US Stocks for your RRSP

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US Stocks do not receive the dividend tax credit, and US dividend income is fully taxed unregistered or in a TFSA. So holding US Stocks inside your RRSP makes good sense.  Some of the big US blue chips also pay reasonable dividends of 3.00% or more, are deemed safer than the US Dollar,  and  raise their dividends annually. In addition the dividend yield on these blue chips is higher than the current rate for GIC’s and government bonds. I’ve picked three of the Dividend Cadillacs for US Stocks. You’re not going to get a huge capital gain on these companies, …

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Encana, A Natural Gas Play

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I was looking a couple of months ago at Superior Plus (SPB.B) because of its high dividend yield of over 11%.  I’m familiar with  the company as they deliver propane to my parent’s home.  But I quickly realized the company had a very high debt load (liabilities to equity of 3.14), and seemed to be diversifying into some obscure areas to expand its business (i.e. drywall).  In addition the dividend is currently very high at 13.5%, as the share price had crashed. To me that signalled a company in trouble, and perhaps even a dividend cut in the near future. …

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