Investing

Investing Idea - Dividend Growth

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  • Dec 11th, 2017 10:37 am
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Newbie
Aug 23, 2011
6 posts
1 upvote
ETOBICOKE
Gungnir wrote:
Nov 14th, 2017 5:40 pm
Hi Rod,

What did you think about Cardinal Health? It has been selling off rapidly since it's Q3 and at first blush it looks like panic selling, what do you think?
What about Amazon's potential entry into drug distribution? If i'm not mistaken drug distribution is a significant part of Cardinal's business.
Sr. Member
Oct 21, 2014
677 posts
460 upvotes
Burlington, ON
halladay34 wrote:
Nov 16th, 2017 10:23 am
What about Amazon's potential entry into drug distribution? If i'm not mistaken drug distribution is a significant part of Cardinal's business.
To be fair, Amazon recently told regulators that they would not sell prescription drugs, only medical devices which Cardinal also sells. A strong competitor entering the space is worrisome but doesn't change my mind on buying.
Newbie
Oct 20, 2015
49 posts
1 upvote
Toronto, ON
What type of dividend stocks provides nice and stable dividends?
Deal Addict
Sep 2, 2004
1760 posts
84 upvotes
dangdwn wrote:
Nov 16th, 2017 4:22 pm
What type of dividend stocks provides nice and stable dividends?
What is a nice dividend? Is there a not-nice dividend? Stable is pretty easy to understand. This thread is all about companies that continue to grow their dividends, which is a notch above stable in my opinion. You can see Rod's current list of companies that meet his criteria in this regard on the first page.
Member
Mar 14, 2015
494 posts
13 upvotes
Vancouver, BC
FlyOverMyDoodle wrote:
Nov 6th, 2017 12:07 am
Hi Rod,

Can I get your analysis on PWF, ARX and MIC?

Thank you!
Hi Rod, can you provide analysis on the above?

Also does anyone know why banks (BNS, CWB) do not have Cash flow data at all in fastgraphs? Seems to drop off, do banks typically have negative cash flow?
[OP]
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Dec 14, 2010
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FlyOverMyDoodle wrote:
Nov 19th, 2017 11:46 pm
Hi Rod, can you provide analysis on the above?

Also does anyone know why banks (BNS, CWB) do not have Cash flow data at all in fastgraphs? Seems to drop off, do banks typically have negative cash flow?
Will do soon, just been extremely busy.

Regarding negative cash flow for banks: That's because banks are on the lending business to make money. Basically banks sell cash. So banks create an outflow of cash since it sells more and more cash through lending. Therefore, they have negative operating cash flows due to increased lending.

To learn more about analyzing the value of a bank, check this article by Chandan Dubey on the financial website Guru Focus titled "Valuing a Bank Made Simple: The Balance Sheet."

When investing, the 2 main fundamental metrics to evaluate banks are Common Equities per Share or book value and Return on Equity (ROE). More info about that is on the paper titled "Valuing Financial Service Firms" by Aswath Damordaran published on April 2009."

The Nix ration (bank efficiency ratio) is another useful metric to evaluate quality for banks.


Rod
Everything about my Investing and automated Trading strategies to boost your income: https://boostyourincome.ca
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Jul 17, 2008
7685 posts
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rodbarc wrote:
Nov 21st, 2017 7:02 pm
Will do soon, just been extremely busy.

Regarding negative cash flow for banks: That's because banks are on the lending business to make money. Basically banks sell cash. So banks create an outflow of cash since it sells more and more cash through lending. Therefore, they have negative operating cash flows due to increased lending.

To learn more about analyzing the value of a bank, check this article by Chandan Dubey on the financial website Guru Focus titled "Valuing a Bank Made Simple: The Balance Sheet."

When investing, the 2 main fundamental metrics to evaluate banks are Common Equities per Share or book value and Return on Equity (ROE). More info about that is on the paper titled "Valuing Financial Service Firms" by Aswath Damordaran published on April 2009."

The Nix ration (bank efficiency ratio) is another useful metric to evaluate quality for banks.


Rod
Hi Rod. Everybody is running at you with questions and opinions on a tons of stocks. You could make a fortune as a financial analyst lol, but before you decide to charge us poor slobs, I'm eyeing ENB very heavily. Planning to invest a significant amount in this and double, even triple my position. It's probably going to be 15-20% of my portfolio if I do that.

In your opinion, is ENB very undervalued currently? What are your risks in your view with this company? Their dividend is extremely juicy too. I'd like to double up or triple up as soon as tomorrow. Your feedback is extremely appreciated.
Deal Addict
Dec 3, 2014
1040 posts
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Ontario
Messerschmitt wrote:
Nov 27th, 2017 5:45 pm
Hi Rod. Everybody is running at you with questions and opinions on a tons of stocks. You could make a fortune as a financial analyst lol, but before you decide to charge us poor slobs, I'm eyeing ENB very heavily. Planning to invest a significant amount in this and double, even triple my position. It's probably going to be 15-20% of my portfolio if I do that.

In your opinion, is ENB very undervalued currently? What are your risks in your view with this company? Their dividend is extremely juicy too. I'd like to double up or triple up as soon as tomorrow. Your feedback is extremely appreciated.
The learned Rodbarc has recently opined on ENB and it has his seal of approval. Just browse back a few pages
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Jul 17, 2008
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Yea thanks, gave it a read.

So why would one not go for ENF instead of ENB. 6.7% yield is significant vs 5.2%. Is it more risky? It's part of ENB right?

I don't really understand the point of ENF as a fund for ENB. Does ENB syphons money to ENF for payouts? How does the system work? Theoretically wouldn't ENF mirror ENB since they would be the same "company" ?

I was gonna jump on ENB, but now I'm asking myself not go for the extra 1.5% if it's basically the "same" company.

Rod mentions he actually likes ENF is better than ENB, but I still don't understand. An article mentions ENF payout is 93.88% forcasted to go over 100%.

So bottom line. No negatives going ENF instead of ENB?
Newbie
Jan 20, 2014
66 posts
2 upvotes
Vancouver
ENB has higher growth potential, lower yield.

ENF has lower growth potential, higher yield.
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Jul 17, 2008
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TheyCallMeTheBatman wrote:
Nov 27th, 2017 11:25 pm
ENB has higher growth potential, lower yield.

ENF has lower growth potential, higher yield.

Makes sense. Although comparing the last 5y and even 10y, ENF grew better, lol. By 10 and 50% respectively.

Of course, past performance is not an indicator of future results etc etc.

Rod knows his stuff, so I'm really interested to know all the ins and outs of the ENF vs ENB if he says ENF is a better deal, especially with the significantly higher yield. I'd be in for at least 4 years, maybe even longer.
Sr. Member
Aug 17, 2008
657 posts
209 upvotes
Messerschmitt wrote:
Nov 27th, 2017 11:01 pm
Yea thanks, gave it a read.

So why would one not go for ENF instead of ENB. 6.7% yield is significant vs 5.2%. Is it more risky? It's part of ENB right?

I don't really understand the point of ENF as a fund for ENB. Does ENB syphons money to ENF for payouts? How does the system work? Theoretically wouldn't ENF mirror ENB since they would be the same "company" ?

I was gonna jump on ENB, but now I'm asking myself not go for the extra 1.5% if it's basically the "same" company.

Rod mentions he actually likes ENF is better than ENB, but I still don't understand. An article mentions ENF payout is 93.88% forcasted to go over 100%.

So bottom line. No negatives going ENF instead of ENB?
See my Aug 17/17 post. Page 967. I can't link ATM. Emphasis on the last paragraph.

Update with link, what-did-you-buy-what-might-you-buy-136 ... #p28122218
Last edited by MrMom on Nov 28th, 2017 12:12 am, edited 1 time in total.

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