Q: I am looking for some interest bearing stocks.
I do not have any REITs and with the state of office space these days, I am always a little concerned.
However, I just read about this company “SmartCentres” that pays an 8.2% dividend (pretty amazing – but it is sometimes a warning sign). Based on company information, it states that it has “98.5% in place and committed occupancy” which I believe is positive.
According to its profile (in 5i), the stock appears to be close to its low for the past year. In fact, the stock is lower than the “Low Target price”. The liquidity ratios appear to (very) good. I don’t know how it compares to its peers but the P/E ratio also appears low compared to its historical trend.
I understand this is not a growth stock but my need is to find some balance and dividends are always good (especially at 8.2%). I also own other dividend paying stocks, such as Enbridge which I’ve acquired slowly over the past number of years. The stock price today is a little lower than when I bought it as the stock price has not changed very much during the last 10 years (but the dividend is very good and the volatility has been reasonable). It has been a very good paying GIC.
Any thoughts on the above. If you have better ideas for dividend paying stocks (or ETFs), please list your top 2 or 3, with a short explanation. As a secondary question, for dividends to rise to 8.2% for SRU and 7.8% for Enbridge, is it also possible that these stocks are out of favor and may also have some potential capital appreciate over the years? Thanks.
(As an aside, I compared the 10 year chart provided by 5i in the “Enbridge profile” section with 2 other charting tools and the one in 5i did not match. I did a comparison because I felt that the return I got with Enbridge did not align with the 5i profile chart.)
I do not have any REITs and with the state of office space these days, I am always a little concerned.
However, I just read about this company “SmartCentres” that pays an 8.2% dividend (pretty amazing – but it is sometimes a warning sign). Based on company information, it states that it has “98.5% in place and committed occupancy” which I believe is positive.
According to its profile (in 5i), the stock appears to be close to its low for the past year. In fact, the stock is lower than the “Low Target price”. The liquidity ratios appear to (very) good. I don’t know how it compares to its peers but the P/E ratio also appears low compared to its historical trend.
I understand this is not a growth stock but my need is to find some balance and dividends are always good (especially at 8.2%). I also own other dividend paying stocks, such as Enbridge which I’ve acquired slowly over the past number of years. The stock price today is a little lower than when I bought it as the stock price has not changed very much during the last 10 years (but the dividend is very good and the volatility has been reasonable). It has been a very good paying GIC.
Any thoughts on the above. If you have better ideas for dividend paying stocks (or ETFs), please list your top 2 or 3, with a short explanation. As a secondary question, for dividends to rise to 8.2% for SRU and 7.8% for Enbridge, is it also possible that these stocks are out of favor and may also have some potential capital appreciate over the years? Thanks.
(As an aside, I compared the 10 year chart provided by 5i in the “Enbridge profile” section with 2 other charting tools and the one in 5i did not match. I did a comparison because I felt that the return I got with Enbridge did not align with the 5i profile chart.)
