Posted by BM on January 10, 2022
Attached is our new list for 2022. Two of our dividend growers did not grow their dividend in 2021 (BNS-T and EQB-T) so they have been removed from this year’s list. Replacing them are Loblaws (L-T) and Stantec Inc. (STN-T).
We were hesitant to remove Bank of Nova Scotia and Equitable Bank from ‘The List’ (due to pandemic restrictions placed on them by Canada’s banking regulator which were out of their control) but the recorded dividends in 2020 were the same as in 2021. We wanted to be consistent with one of the criteria (> ten years of consecutive dividend growth) we came up with to assemble ‘The List’ so they were removed.
Performance of ‘The List’
The best performers last week on ‘The List’ were Magna (MGA-N) up 4.9%; Royal Bank (RY-T) up 3.6%; Enbridge (ENB-T) up 3.5%
TFI International (TFII-T) was the worst performer, down -7.3%.
‘The List’ was down 1.1% this past week with a -1.1% YTD price return gain (capital) and an average of 4.7% dividend increase (income) in 2022 already.
Dividend Increases
There were no dividend increases announced from companies on ‘The List’ this past week.
Earnings Releases
There were no earnings releases announced from companies on ‘The List’ this past week.
Recent News
CCL Industries Acquires McGavigan Holdings for CCL Design
CCL Industries Inc. (CCL-B-T), a world leader in specialty label, security and packaging solutions for global corporations, government institutions, small businesses and consumers, announced today it has acquired privately owned McGavigan Holdings Ltd. (“McGavigan”), a leading supplier of ‘in mould’ decorated components for automotive interiors.
McGavigan supports its global automotive customer base from a long-established manufacturing plant in the U.K. and a recently completed, wholly owned greenfield facility in China, where a significant majority of its operations are based. Capabilities include state-of-the-art clean rooms with technical screen printing, high precision forming, injection moulding and automation technologies.
For the calendar year 2021, consolidated sales and adjusted EBITDA are estimated to be $55.7 million and $14.6 million, respectively. The purchase price consideration, net of cash acquired, and debt assumed, is approximately $105.5 million.
Geoffrey T. Martin, President and Chief Executive Officer of CCL Industries Inc., commented, “We have known McGavigan and its key people for many years, and are very pleased to welcome the team to CCL where they will continue to focus on innovative specialty product designs for automotive interiors. This acquisition significantly expands our presence in the automotive sector in China and brings important new product and technology platforms to our CCL Design global network, headed by Derek Cumming, Group Vice President.”
Below is a snapshot of ‘The List’ from last Friday’s close. For a sortable version of ‘The List’ please click on The List menu item.
‘The List’ is not meant to be a template for investors to copy exactly. Rather, its purpose is to provide investment ideas and a real-time illustration of dividend growth investing in action. It is not a ‘Buy List’, only a starting point for our analysis and discussion.
The List (2022)
Last updated by BM on January 7, 2022
*Note: The following graph is wide, you can scroll to the right on your device to see more of the data.
| SYMBOL | COMPANY | YLD | PRICE | YTD % | DIV | YTD % | STREAK |
|---|---|---|---|---|---|---|---|
| AQN-N | Algonquin Power & Utilities | 4.8% | $14.18 | -1.2% | $0.68 | 2.3% | 11 |
| ATD-T | Alimentation Couche-Tard Inc. | 0.9% | $50.20 | -3.6% | $0.44 | 18.1% | 12 |
| BCE-T | Bell Canada | 5.3% | $65.87 | -0.1% | $3.50 | 1.2% | 13 |
| BIP-N | Brookfield Infrastructure Partners | 3.5% | $58.89 | -3.6% | $2.04 | 0.0% | 14 |
| CCL-B-T | CCL Industries | 1.3% | $65.99 | -2.7% | $0.84 | 0.0% | 20 |
| CNR-T | Canadian National Railway | 1.6% | $156.10 | 0.8% | $2.46 | 0.0% | 26 |
| CTC-A-T | Canadian Tire | 2.9% | $179.87 | -1.8% | $5.20 | 10.6% | 11 |
| CU-T | Canadian Utilities Limited | 4.9% | $35.63 | -2.7% | $1.76 | 0.0% | 50 |
| DOL-T | Dollarama Inc. | 0.3% | $61.86 | -2.4% | $0.20 | 1.7% | 11 |
| EMA-T | Emera | 4.3% | $60.96 | -2.6% | $2.65 | 2.9% | 15 |
| ENB-T | Enbridge Inc. | 6.7% | $51.28 | 3.5% | $3.44 | 3.0% | 26 |
| ENGH-T | Enghouse Systems Limited | 1.4% | $44.29 | -3.4% | $0.64 | 4.1% | 15 |
| FNV-N | Franco Nevada | 0.9% | $127.31 | -6.5% | $1.20 | 3.4% | 14 |
| FTS-T | Fortis | 3.6% | $58.84 | -2.7% | $2.14 | 4.4% | 48 |
| IFC-T | Intact Financial | 2.2% | $164.95 | 0.8% | $3.64 | 7.1% | 17 |
| L-T | Loblaws | 1.4% | $102.14 | -0.6% | $1.46 | 6.6% | 10 |
| MGA-N | Magna | 2.0% | $85.56 | 4.9% | $1.72 | 0.0% | 12 |
| MRU-T | Metro | 1.5% | $67.32 | 0.4% | $1.00 | 0.0% | 27 |
| RY-T | Royal Bank of Canada | 3.4% | $141.75 | 3.6% | $4.80 | 11.1% | 11 |
| SJ-T | Stella-Jones Inc. | 1.8% | $40.55 | -0.3% | $0.72 | 0.0% | 17 |
| STN-T | Stantec Inc. | 1.2% | $54.97 | -1.3% | $0.66 | 0.0% | 10 |
| TD-T | TD Bank | 3.6% | $100.14 | 0.8% | $3.56 | 12.7% | 11 |
| TFII-T | TFI International | 1.0% | $130.01 | -7.3% | $1.36 | 17.4% | 11 |
| TIH-T | Toromont Industries | 1.2% | $112.08 | -1.4% | $1.40 | 6.1% | 32 |
| TRP-T | TC Energy Corp. | 5.6% | $61.68 | 3.3% | $3.48 | 1.8% | 21 |
| T-T | Telus | 4.4% | $29.66 | -0.3% | $1.31 | 4.4% | 18 |
| WCN-N | Waste Connections | 0.7% | $130.24 | -2.8% | $0.92 | 8.9% | 12 |
| Averages | 2.7% | -1.1% | 4.7% | 18 |
