Top 10 Canadian Dividend Stocks – June 2017

While we know that the stock market will grow over time, on a day-to-day or even month-to-month basis, the stock market is always changing value due to the daily fluctuation of all the stocks.

The opportunities will vary every month and that’s why it’s important to have a systematic approach to understanding which dividend stocks is an opportunity. An opportunity can be for a stock you already own or simply for a new addition to your portfolio. It is important to note that the rankings below do not assess the viability of the business. Some of the companies are strong blue chip stocks while others are smaller companies with growth.

Top 10 Canadian Dividend Stocks

Here is a summary of the top 10 Canadian dividend stocks for the month of June, see below for the details. This is obviously a snapshot in time at the time of writing, many factors could change the rankings.

Here is a quick excerpt on the top 10 dividend growth stocks opportunities identified through the Canadian Dividend Performance List.

Stay on top of your next investment decision with the Dividend Snapshot Canadian Dividend Performance List. Review the Chowder Rule along with the 3, 5, and 10 year ratios for dividend growth, EPS growth and the payout ratio to pick a solid investment for your portfolio.

The monthly top 10 rarely have the same top 10 stocks. Be sure to come back, or better yet, follow the top 10 with the Canadian Dividend Performance List.

CIBC

CIBC (TSE:CM, NYSE:CM) is a leading Canadian-based financial institution. Through three main business units – Retail and Business Banking, Wealth Management and Capital Markets – CIBC provides a full suite of financial products and services in Canada and around the world.

  • Opportunity Score: 85%
  • Stock: TSE:CM, NYSE:CM
  • Sector: Financial Services
  • Dividend Yield: 4.81%
  • Dividend Payout Ratio: 42.30%
  • Technical Trend: Technical Trend Analysis

Gluskin Sheff + Associates Inc

Gluskin Sheff + Associates Inc.(TSE:GS) is one of Canada’s pre-eminent wealth management firms. Founded in 1984 and serving high net worth private clients and institutional investors, we are dedicated to meeting the needs of our clients by delivering strong risk-adjusted returns together with the highest level of personalized client service.

  • Opportunity Score: 84%
  • Stock: TSE:GS
  • Sector: Financial Services
  • Dividend Yield: 6.41%
  • Dividend Payout Ratio: 76.34%
  • Technical Trend: Technical Trend Analysis

Genworth MI Canada Inc.

TSE:MICGenworth MI Canada Inc. (TSX: MIC) through its subsidiary, Genworth Financial Mortgage Insurance Company Canada (Genworth Canada), is the largest private residential mortgage insurer in Canada. The Company provides mortgage default insurance to Canadian residential mortgage lenders, making homeownership more accessible to first-time homebuyers. For more than two decades, Genworth Canada has supported the housing market by providing thought leadership and a focus on the safety and soundness of the mortgage finance system.

  • Opportunity Score: 83%
  • Stock: TSE:MIC
  • Sector: Financial Services
  • Dividend Yield: 5.59%
  • Dividend Payout Ratio: 42.72%
  • Technical Trend: Technical Trend Analysis

Exco Technologies Limited

TSE:XTCExco Technologies Limited (TSE:XTC) is a global designer, developer and manufacturer of dies, moulds, components and assemblies, and consumable equipment for the die-cast, extrusion and automotive industries.

  • Opportunity Score: 82%
  • Stock: TSE:XTC
  • Sector: Consumer Cyclical
  • Dividend Yield: 2.72%
  • Dividend Payout Ratio: 26.89%
  • Technical Trend: Technical Trend Analysis

First National Financial Corporation

Over the last 25 plus years, First National (TSE:FN) has grown to become a recognized and respected leader in real estate financing. On both the residential and commercial sides of our business, FN has grown and evolved, yet have maintained true to their values – trust, honesty, transparency, delivery, ingenuity, responsiveness and partnership.

Their mortgage specialists have earned a reputation for delivering exceptional service underscored by unparalleled knowledge. That reputation is a collective one. It’s not one individual or even a group of individuals standing out from the crowd. Going beyond service is ingrained in how they do business, in how they operate, in how they innovate and in how they deliver.

  • Opportunity Score: 80%
  • Stock: TSE:FN
  • Sector: Financial Services
  • Dividend Yield: 7.27%
  • Dividend Payout Ratio: 56.58%
  • Technical Trend: Technical Trend Analysis

TFI International Inc

TFI International Inc. (TSE:TFII) is a North American leader in the transportation and logistics industry, operating across the United States, Canada and Mexico through its subsidiaries.

TFI International creates value for shareholders by identifying strategic acquisitions and managing a growing network of wholly-owned operating subsidiaries. Under the TFI International umbrella, companies benefit from financial and operational resources to build their businesses and increase their efficiency. TFI International companies service the following segments; package and courier, less-than-truckload, truckload, and logistics.

Sun Life Financials

Sun Life Financial (TSE:SLF, NYSE:SLF) is a leading financial services company that helps clients achieve lifetime financial security. We have honoured our commitments for a century-and-a-half, and our future looks brighter all the time.

Sun Life Financial offers a broad range of protection and wealth products and services to individuals, businesses and institutions, including:

  • Insurance: Life, health, wellness, disability, critical illness, stop-loss and long-term care insurance
  • Investments: Mutual funds, segregated funds, annuities and guaranteed investment products
  • Advice: Financial planning and retirement planning services
  • Asset management: Pooled funds, institutional portfolios and pension funds
  • Opportunity Score: 78%
  • Stock: TSE:SLF, NYSE:SLF
  • Sector: Financial Services
  • Dividend Yield: 3.93%
  • Dividend Payout Ratio: 42.96%
  • Technical Trend: Technical Trend Analysis

Emera

Emera Inc. is a geographically diverse energy and services company headquartered in Halifax, Nova Scotia with approximately $27.5 billion in assets and 2015 pro-forma revenues of $ 6.3 billion. The company invests in electricity generation, transmission and distribution, gas transmission and distribution, and utility energy services with a strategic focus on transformation from high carbon to low carbon energy sources. Emera has investments throughout North America, and in four Caribbean countries. Emera continues to target having 75-85% of its adjusted earnings come from rate-regulated businesses.

Canadian Western Bank

CWB Financial Group (TSE:CWB) is a diversified financial services organization providing specialized service in banking, trust and wealth management. Since 1984, we’ve grown from a single branch operating in Edmonton, Alberta, to a western-based, federally regulated financial institution with a national presence.

  • Opportunity Score: 77%
  • Stock: TSE:CWB
  • Sector: Financial Services
  • Dividend Yield: 3.63%
  • Dividend Payout Ratio: 42.01%
  • Technical Trend: Technical Trend Analysis

Imperial Oil

Imperial (TSE:IMO) is Canada’s largest refiner of petroleum products. Imperial refines raw hydrocarbons into about 650 petroleum products essential to consumers and businesses: gasoline, diesel, heating oil, natural gas, lubricants, and chemicals used to make plastics. It’s hard to imagine life without the products manufactured from hydrocarbons. They fuel our economies, heat our homes and make our lives easier and more enjoyable. Like you, Imperial is concerned about the effects of chemicals on health and the environment and we have integrated Responsible Care® into our business practices.

Imperial offers products and services to consumers across Canada as well as in export markets.  In total, we manufacture and sell about a quarter of the petroleum products used every day by Canadians.  We are a leading marketer of fuels, lubricants, asphalts and specialty products.

  • Opportunity Score: 76%
  • Stock: TSE:IMO
  • Sector: Energy
  • Dividend Yield: 1.69%
  • Dividend Payout Ratio: 20.92%
  • Technical Trend: Technical Trend Analysis

Past Top 10 Dividend Stocks

Methodology

The top 10 stocks identified below are based on a score calculated using a number of financial data points from the companies. In the end, the score is generated from following five key indicators:

  • 52-Week Range : Trend over the past 52 weeks. Is the stock pulling back from a 52 week high?
  • P/E Ratio : Is the stock price running away from its earnings?
  • Dividend Yield : Is the yield attractive? Usually could identify a pull back if the yield starts to go up or major trouble if it goes too high.
  • Dividend Growth : Uses dividend growth and the Chowder Rule. Is the company capable of growing the dividend consistently?
  • Dividend Payout Ratio : Uses historical averages to put today’s ratio in perspective. Is the company able to grow the dividend at the same rate it increases its earnings?

If you are interested in more details, the Canadian Dividend Performance List provides many more data points to help make your investment decision.

Disclosure: See my list of holdings for the stocks I hold as I may or may not have a position in stocks mentioned..

Image courtesy of David Castillo Dominici – FreeDigitalPhotos.net