Q: hi,
I am looking at adding these to my dividend equities. I like growth with the dividend stocks, both in capital appreciation and dividend payout ( to keep up with inflation, over the long term ). how do these 2 stack up? further, is there an open source website to check CDN dividend equites in regards to the dividend growth, payout ratios, etc...
cheers, chris
I am looking at adding these to my dividend equities. I like growth with the dividend stocks, both in capital appreciation and dividend payout ( to keep up with inflation, over the long term ). how do these 2 stack up? further, is there an open source website to check CDN dividend equites in regards to the dividend growth, payout ratios, etc...
cheers, chris
5i Research Answer:
The negative momentum on ACO.x has not been great but the company is profitable, has a solid ROE, expanding margins, growing EBITDA, and a strong free cash flow yield. ADN's payout ratio last year was just above 100%. Solid growth is expected in 2024 but much depends on management execution.
Both companies should have stable cash flows but do carry a lot of debt. We think valuations on both make them attractive but we would view them more as slow growth dividend payers opposed to names offering a lot of growth potential.
YCharts and Morningstar are good sources to check on dividend stats:
https://www.morningstar.com/stocks/xtse/adn/dividends
Payout ratios can be more difficult to find reliable data on as calculations/methodology can differ.