Q: Greetings,
My first purchase of CCL.B in May 2017 was just before the stock split. At the time it was $63.3 per share. I have earned approx $1200 in dividends and am currently down around $600 based on current share price, and up $600 overall. Can you please remind me why I should continue to hold this stock. My patience is beginning to wear thin. Many thanks and my apologies if my expectations are not reasonable.
My first purchase of CCL.B in May 2017 was just before the stock split. At the time it was $63.3 per share. I have earned approx $1200 in dividends and am currently down around $600 based on current share price, and up $600 overall. Can you please remind me why I should continue to hold this stock. My patience is beginning to wear thin. Many thanks and my apologies if my expectations are not reasonable.
5i Research Answer:
We too are a bit impatient here. We liked it for its growth potential, valuation, management and also for its highly predictable cash flow. We still like it overall, but growth has been somewhat muted. Higher inflation was a factor recently, and covid did not help. EPS this year is expected to be $3.86, from $3.66 expected for 2023's results and $3.47 in 2022. Free cash flow is high, and the share count is flat. Not a worry in anyway, but we were expecting better overall growth. The last quarter was a slight miss. The dividend is decent, and secure, and has been growing. We will give it a few more quarters, but in a world returning to higher corporate growth we need to see it participate.