# Your favorite dividend growth stock



## Belguy (May 24, 2010)

If you had to pick just ONE Canadian or U.S. dividend growth stock as your favorite, which one would it be?

Stock name/ticker symbol/exchange

Feel free to repeat any stock already listed so that we can determine it's overall popularity.

ONE choice only please as I don't want to get into anyone's favourite dividend growth stock LISTS. Thanks!!


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## Argonaut (Dec 7, 2010)

Telus.


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## thenegotiator (May 23, 2012)

i have 2 of them KO and PM.
i just am not rich enough to live off divvys


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## 6811 (Jan 1, 2013)

thenegotiator said:


> i have 2 of them KO and PM. - Coke and Smoke... Hmmmm
> i just am not rich enough to live off divvys


 - Me either, Idon't even know anyone rich enough to live off divvys.


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## Jungle (Feb 17, 2010)

Ry
pm


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## gibor365 (Apr 1, 2011)

PM and MO on US side,
BCE and RY on ours


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## PMREdmonton (Apr 6, 2009)

At today's valuations I like COH, IBM, MSFT, INTC.


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## Ethan (Aug 8, 2010)

Acq


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## Spidey (May 11, 2009)

I wouldn't pick up much of anything at current valuations, but for the long term: TD


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## thompsg4416 (Aug 18, 2010)

Can't go wrong with BCE. BNS for a Cdn Bank and one no one else will agree with - SAN. 

I own all 3.


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## PMREdmonton (Apr 6, 2009)

To be a dividend growth stock you usually need at least a 5-year history of growing dividends annually. I assume that is the definition that most people would use so companies that just started dividends in the last year or two would normally not qualify due to too short of a dividend history. SAN pays a good dividend but has not been a consistent increaser. Like most European stocks they change the dividend based on availability of funds.


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## thompsg4416 (Aug 18, 2010)

fair enough I mis-understood the term.. lol

It pays a div and its gonna grow!!


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## martinv (Apr 30, 2009)

BNS. Held since 2001. Should have bought more!


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## PMREdmonton (Apr 6, 2009)

If one relaxes the 5-year rule, I really love PSD (Pulse Seismic Data). They have an intention to rapidly reduce debt and then institute a sustainable 20 cent dividend which would be a 7% yield at the present share price. I suspect the market will award them a 4% div yield which would put them at a $5 share price or a 70% gain from present prices. If they only give a 5% yield that would be $4 share price or a 35% gain. They are very profitable, gushing cash, buying back tons of share, have a huge moat and keep building their seismic data library in a very busy oil rich area.


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## doctrine (Sep 30, 2011)

Bank of Nova Scotia (BNS.TO) - 4% yield and two dividend increases per year for the foreseeable future


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## Belguy (May 24, 2010)

Keep them coming! It will be interesting to see how many stocks keep repeating. Thanks!


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## BullAllTheWay (Feb 29, 2012)

CMG (Computer Modelling). I have held it for years and it never ceases to amaze me. BDT (Bird Construction) is not far behind.


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## BullAllTheWay (Feb 29, 2012)

ACQ (AutoCanada) is not a bad choice either.


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## ranbam (Jan 12, 2013)

My pick is CNR.


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## gimme_divies (Feb 12, 2011)

Big fan of Visa (V) for dividend growth going forward.


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## jcgd (Oct 30, 2011)

gimme_divies said:


> Big fan of Visa (V) for dividend growth going forward.


Me too, but it's getting towards the top of my comfort range in valuation. You can draw the chart with a ruler though. Lots of momentum.


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## Jets99 (Aug 26, 2011)

Canada: T, BCE, BNS
US: MO
Europe: VOD


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## gibor365 (Apr 1, 2011)

Today my favorite is PSX.... every quarter dividend is up by 25%


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## webber22 (Mar 6, 2011)

Why would a couch potato enthusiast like Belguy want to collect a list of dividend growth stocks :sleeping:
I'll tell you why, he'll be using it against you later when your picks fail miserably :eek2:


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## jcgd (Oct 30, 2011)

gibor said:


> Today my favorite is PSX.... every quarter dividend is up by 25%


Mmmhmm. Nice capital appreciation as well.


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## gibor365 (Apr 1, 2011)

You bet  Since I got shares a spin off COP appreciation is more than 100%


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## gibor365 (Apr 1, 2011)

webber22 said:


> Why would a couch potato enthusiast like Belguy want to collect a list of dividend growth stocks :sleeping:
> I'll tell you why, he'll be using it against you later when your picks fail miserably :eek2:


Maybe he wants to become dividend investor?!

like this guy:
http://seekingalpha.com/article/1171051-my-k-i-s-s-dividend-portfolio


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## Belguy (May 24, 2010)

I have often wished that I had a portfolio of dividend growth stocks but I never felt qualified to pick them. I just thought that it would be interesting to collect ONE favourite from everyone and see if there was any consensus on the choices.

It is, after all, a forum that we are participating in. And, no, I will not be coming back later to rub it in if your choice ends up being a loser. That's not my game.


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## maxandrelax (Jul 11, 2012)

PGF Pengrowth. It has been killed over the past year, cut their dividend, but I have been collecting tonnes of DRIP shares. Almost have amassed 1/4 more of the shares I own. When the share value eventually recovers, I will be happy.


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## Argonaut (Dec 7, 2010)

gibor said:


> Maybe he wants to become dividend investor?!
> 
> like this guy:
> http://seekingalpha.com/article/1171051-my-k-i-s-s-dividend-portfolio


Guy is picking 50 stocks, what a mess of a portfolio that would be. Keep it focused, keep it quality, no need to overlap much if any.

maxandrelax: Not a fan of your pick, dividend cut is the opposite of dividend growth.


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## Cal (Jun 17, 2009)

Between my wifes and my accounts, we never exceed 20 holdings, can't follow any more, and as arg mentions at a certian point it becomes over diversified.


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## uptoolate (Oct 9, 2011)

So what about the cover of the new Maclean's? Is it time to start getting worried?


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## Argonaut (Dec 7, 2010)

I wouldn't worry about holding dividend growth stocks, but if I was trading I'd trade the downside for sure. Dow is looking like it's topping out at 14,000, Maclean's magazine cover, and Belguy reasonably happy. Sell, sell, sell.

@Cal: Yeah, I think 10-20 is a good number.


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## gibor365 (Apr 1, 2011)

Argonaut said:


> Keep it focused, keep it quality, no need to overlap much if any.
> 
> .


He keeps quality as one of his criteria is at least A- rating on S&P500 
What I don't agree so much - about his diversification, he doesn't look at different sectors, he doessn't have any telcos or tobacco as on US side none of them has low payout...
As per quantity of stocks, almost all "popular" bloggers who are dividend investors on seekingalpha (like David Fish, dividends4life, dividend growth investor and so on) have similar amount of stocks,


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## doctrine (Sep 30, 2011)

I'm on board with the 20-25 as a good number. I certainly wouldn't want more than 25 myself - you start losing the benefits of picking a runner if it's only 2-3% of your portfolio.


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## gibor365 (Apr 1, 2011)

doctrine said:


> I'm on board with the 20-25 as a good number. I certainly wouldn't want more than 25 myself - you start losing the benefits of picking a runner if it's only 2-3% of your portfolio.


But on other hand you if picked a loser, it won't impact greatly your portfolio.  The guy is going to sell only if dividends are cut/suspended, with this approach it's not too much following up his picks, he just want to be sure that has constant and increasing stream of dividends.
The chances that any of his picks will reduce dividends is small and if they do , still won't hurt too much.
As per his selection. I also not sure that approach "current yield + 5 years dividend growth" is good, in most cases - higher current yield, less annual dividend growth.... so it's much more likely that dividend growth % will be lower, that dividend cut itself....

P.S. Personally I have another challange...I manage 6 accounts and I don't like to have the same stocks in more than one account


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## gibor365 (Apr 1, 2011)

doctrine, just wondering , if you are planning to create similar to David Fish's spreadsheet of Canadian dividend champions/contenders/challengers ?!


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## Toronto.gal (Jan 8, 2010)

thompsg4416 said:


> no one else will agree with - SAN.


So are you saying that you opted for the cash instead of stock option? In that case, you're right, I don't agree with you. I'm happier with the shares I just received on Feb.11th instead of cash.


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## Toronto.gal (Jan 8, 2010)

Belguy said:


> And, no, I will not be coming back later to rub it in if your choice ends up being a loser. That's not my game.


You play some games here just like the rest of us, but the above is not your style, I agree! You merely express what you stubbornly believe in your heart is the right & only way, and I suppose you're entitled to that.

As the saying goes, it takes one to know one, so don't worry about what has been posted about you.


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## Belguy (May 24, 2010)

I feel that my opinion has evolved over the time that I have been on this forum and I no longer feel that 'Couch Potato' investing is the one and only way to go.

Investing in a portfolio of 12 to 15 dividend growth stocks also has a lot of merit but you need to be more knowledgeable about investing to go that route.


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## doctrine (Sep 30, 2011)

gibor, do you have a link to the spreadsheet?


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## gibor365 (Apr 1, 2011)

doctrine said:


> gibor, do you have a link to the spreadsheet?


http://dripinvesting.org/Tools/Tools.asp and in section "U.S.Companies with 25+ Straight Years Higher Dividends" click on Spreadsheet.
(it's updated every month)
Also, if you are going seekingalpha.com and search by David Fish , you can find a lot of interesting information about this spreadsheet


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## gibor365 (Apr 1, 2011)

Just checked all deletions from D. Fish's dividend champions status = 25 and more div increases (I think he tracks it from 2007).
1. Cut dividends: ASBC, BXS, BAC, CTL, CHFC, FNB, IRET, MAS, RF, SVU, SNV, WRE
2. Cut and increased year or 2 after: AVY, BBT, CMA, FULT, GCI, GE, KEY, LM, LNC, NPBC, ONB, PEBO, PFE, PGR, STT,USB, UDR,WFSL 
3. didn't increase (but didn't cut): BOH, LLY, HSY, TEG, MTB, OTTR, TFX, TRMK,
4. didn't increase and increased year or 2 after: JCI, MYE

From super-champions 45+ dividend increase, only 1 company MAS cut their dividend.
Currently there are 29 super-champions and 2 should become next year


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## The Financial Blogger (Apr 4, 2009)

Telus on Cdn market
STX on US market


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