Kalkine Media lists 5 under $50 dividend stocks to watch before 2023

Follow us on Google News:
 Kalkine Media lists 5 under $50 dividend stocks to watch before 2023
Image source: © Bakhtiarzein | Megapixl.com

Highlights

  • Slate Grocery’s rental revenue was US$ 48.4 million in Q3 2022.
  • In Q3 2022, Northland Power’s sales were C$ 555.85 million.
  • Cenovus Energy’s net earnings in Q3 2022 were C$ 1,609 million.

Dividend stocks are companies that offer dividends to investors from the profits they generate. The amounts may vary depending on market trends and external factors. With the fluctuating market, the company may put a dividend cut and vice versa.

With the inflation slowing signs of cooling, Canadians’ wallets may witness relief. In the long run, several dividend stocks may serve as a capital shelter for an investor. But for this, the investor must be alert while operating in the market. It is crucial to get clarity on every factor governing the overall market. Before selecting your stocks, analyze the growth aspect of every stock along with its risk factor.

Every investor holds a different risk appetite depending upon their portfolio’s needs. For some, the retirement perspective may weigh more than any other aspect. While for some, the short-term return may play a key role. The stock selection as per your portfolio suffices the investor’s investment goals.

Try ways to mitigate the existing risks in the market. Here we look at five dividend stocks and their recent financial highlights:

  1. Northland Power Inc. (TSX: NPI)

Northland Power Inc. deals in green and clean technologies and is engaged in constructing and developing maintainable infrastructure. The company supplies energy though regulated utilities in wind (offshore and onshore) and solar energy.

Northland Power’s sales rose to C$ 555.85 million from C$ 432.07 million in Q3 2021. The company’s gross profit also grew to C$ 484.1 million from C$ 383.44 million in the same comparable period. The operating income soared to C$ 216.46 million from C$ 89.01 million.

The adjusted EBITDA of the company jumped to C$ 289.76 million from C$ 210.66 million for the reported quarter. The free cash flow increased to C$ 44.67 million from C$ 11.06 million. Northland Power’s declared dividends were C$ 71.95 million versus C$ 67.81 million. The company distributed a monthly dividend of C$ 0.10 per share and reported a dividend yield of 3.138 per cent.

  1. Slate Grocery REIT (TSX: SGR.UN)

Slate Grocery REIT is an open-ended mutual fund trust that is engaged in owning, leasing, and acquiring revenue-producing commercial real estate properties. The company has a presence in the US and lays an emphasis on grocery-anchored retail properties.

In Q3 2022, Slate Grocery’s rental revenue increased to US$ 48.4 million from US$ 34.07 million in Q3 2021. In the same period, the company’s net income grew to US$ 33.55 million from US$ 9.6 million. The funds flow from operations grew to US$ 17.69 million from US$ 13.68 million. The cash flow from operations soared to US$ 19.9 million from US$ 8.03 million for the reported quarter. The adjusted EBITDA jumped to US$ 35.97 million from US$ 23.09 million. Slate Grocery paid a monthly dividend per share of 0.072 and posted a dividend yield of 7.332 per cent. The company’s EPS is 2.57.

  1. Hydro One Limited (TSX: H)

Hydro One Limited operates in Ontario with its regulated distribution and transmission assets. Almost 60 per cent of the company’s rate base is contributed by transmission and the remaining pertaining to distribution. Further, the company operates a telecom business, Acronym Solutions.

In Q3 2022, Hydro One’s revenue grew to C$ 2,031 million from C$ 1,913 million in Q3 2021. For the same period, the net income rose to C$ 307 million from C$ 300 million. The net cash from operating activities soared to C$ 594 million from C$ 550 million. Hydro One distributed a quarterly dividend per share of C$ 0.28 to the shareholders. The company noted an EPS of C$ 1.72.

  1. TELUS Corporation (TSX: T)

TELUS is a Canada-based wireless service provider and constitutes 30 per cent of the total market. The company provides landline, television, and internet services along with a small wireline presence in eastern Quebec.

In Q3 2022, TELUS’s operating revenue was reported at C$ 4,640 million compared to C$ 4,246 million in Q3 2021. The company’s EBITDA soared to C$ 1,646 million from C$ 1,496 million for the same comparable period. The net income jumped to C$ 551 million from C$ 358 million. The free cash flow was noted at C$ 331 million compared to C$ 203 million for the reported quarter.

On October 27, 2022, TELUS acquired WillowTree.

  1. Cenovus Energy Inc. (TSX: CVE)

Cenovus Energy Inc. is an oil company that focuses on oil sands development. Further, the company produces natural gas liquids, crude oil, and natural gas in Canada and refining operations in the US.

Cenovus Energy’s cash from operating activities in Q3 2022 was noted at C$ 4,089 million compared to C$ 2,138 million in Q3 2021. The net debt decreased to C$ 5.28 billion. The adjusted funds flow jumped to C$ 2.95 billion from C$ 2.34 billion. Meanwhile, the net earnings soared to C$ 1,609 million from C$ 551 million for the reported quarter. With an EPS of C$ 2.66, the company paid a quarterly dividend of C$ 0.105 per share. The dividend yield was reported at 1.549 per cent.  

Net earnings of Cenovus Energy in two different quarters:

Bottom Line

It is easy to move with the market trends, but it may take proper research to combat the existing risk and market fluctuations. To make a portfolio stable, an investor may go for the diversification strategy. This way, it may be feasible for the investor to pay attention to all the operating factors.

While selecting your dividend stocks, look at the dividend paid by the company. Additionally, analyze the company valuations and past and present financials. Collating these factors may keep the investor away from any deviation in the long run.

Lastly, reposition your portfolio at regular intervals and be clear with your approach.

Please note, the above content constitutes a very preliminary observation based on the industry and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Incorporated (Kalkine Media), Business Number: 720744275BC0001 and is available for personal and non-commercial use only. The advice given by Kalkine Media through its Content is general information only and it does not take into account the user’s personal investment objectives, financial situation and specific needs. Users should make their own enquiries about any investment and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media is not registered as an investment adviser in Canada under either the provincial or territorial Securities Acts. Some of the Content on this website may be sponsored/non-sponsored, as applicable, however, on the date of publication of any such Content, none of the employees and/or associates of Kalkine Media hold positions in any of the stocks covered by Kalkine Media through its Content. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used in the Content are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used in the Content unless stated otherwise. The images/music that may be used in the Content are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated or was found to be necessary.

Featured Articles

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK