Agrium Inc. (TSX: AGU)(NYSE: AGU) and BCE Inc. (TSX: BCE)(NYSE: BCE) are great companies for investors looking to build a portfolio consisting of a diverse blend
of quality growth stocks that pay reliable dividends.
Some are concentrated in slower - growth companies and sectors, while others are a who's who list
of quality growth stocks.
Not exact matches
His deep - value philosophy can be boiled down to four points: he's looking for high -
quality stocks that protect against the downside; he wants businesses where short - term issues have caused investors to abandon the company; he wants to wait until valuations are «out -
of - this - world» cheap, and he tries not to pay attention to macro issues like eurozone debt or Chinese
growth.
The base for OYAIB is that as we move nearer to retirement, we want to trade the
growth potential and volatility
of stocks for the comparative safety and predictability
of quality bonds.
The MSCI USA
Quality Index is comprised of 125 stocks in the MSCI USA Index that have high quality scores based on return - on - equity, earnings growth and financial le
Quality Index is comprised
of 125
stocks in the MSCI USA Index that have high
quality scores based on return - on - equity, earnings growth and financial le
quality scores based on return - on - equity, earnings
growth and financial leverage.
Jonathan Horton
of Perth - based «fund -
of - funds» NWQ points out that 2016 was notable because it delivered the lowest «price dispersion» between high -
growth, high -
quality stocks and deep - value
stocks with lower
quality balance sheets.
Investors are responding to them in a rational, measured way by moving out
of growth and momentum - driven names and into more value - priced, high
quality stocks.
That's because being able to buy a high -
quality dividend
growth stock when it's undervalued confers a lot
of benefits to the long - term investor.
More specifically, I'm speaking about collecting dividends from a broad portfolio
of high -
quality dividend
growth stocks.
Correlations between
Quality and
Growth factors are currently elevated Value is more negatively correlated than usual to
Quality,
Growth and Low Volatility Monitoring correlations is important for maximising diversification benefits INTRODUCTION The rise
of ETFs is often associated with higher
stock
While having all
of this information at hand is wonderful, I'm going to take it a step further by revealing and discussing a high -
quality dividend
growth stock that right now appears to be undervalued...
As I note throughout the Undervalued Dividend
Growth Stock of the Week series, a high - quality dividend growth stock that's undervalued can confer multiple benefits to the long - term investor: a higher yield, greater long - term total return prospects, and less
Growth Stock of the Week series, a high - quality dividend growth stock that's undervalued can confer multiple benefits to the long - term investor: a higher yield, greater long - term total return prospects, and less
Stock of the Week series, a high -
quality dividend
growth stock that's undervalued can confer multiple benefits to the long - term investor: a higher yield, greater long - term total return prospects, and less
growth stock that's undervalued can confer multiple benefits to the long - term investor: a higher yield, greater long - term total return prospects, and less
stock that's undervalued can confer multiple benefits to the long - term investor: a higher yield, greater long - term total return prospects, and less risk.
For more information on Amgen, check out my most recent Undervalued Dividend
Growth Stock of the Week article on this high - quality dividend growth
Growth Stock of the Week article on this high - quality dividend growth s
Stock of the Week article on this high -
quality dividend
growth growth stockstock.
The biggest challenge with the Dividend Aristocrats list is that each
stock must be a member
of the S&P 500 Index, cutting out many other high
quality dividend
growth stocks.
The big takeaway for those seeking to buy into market weakness: Be wary
of buying notionally cheap assets that face challenges (e.g. domestically - focused European assets like U.K. real estate and European banks), and instead focus on assets with relatively attractive valuations and positive fundamental drivers, such as
quality stocks, dividend -
growth stocks and investment - grade bonds.
This procedure ensures that the value and
growth portfolios, which each hold 150
stocks, contain
stocks of similar average
quality.
Sure Dividend uses The 8 Rules
of Dividend Investing to systematically identify the best high
quality dividend
growth stocks for the long - run.
Invests in common
stocks and convertible securities
of mid cap companies it believes demonstrate high -
quality businesses with
growth rates that exceed the overall market
My stated goal
of achieving Semi-Financial Freedom (SFF) involves, on the investment side
of the equation, accumulating high
quality dividend
growth stocks and reinvesting the income.
In its notes, S&P states this about its
quality grades: «
Growth and stability
of earnings and dividends are deemed key elements in establishing S&P Capital IQ's earnings and dividend rankings for common
stocks, which are designed to capsulize the nature
of this record in a single symbol.»
The appeal increases when you consider that dividend -
growth companies tend to be
of higher
quality and lower volatility than the broader
stock market.
If you're not familiar with Loyal3 they are a commission - free broker with a decent collection
of stocks, including some high
quality dividend
growth stocks.
Focus on investment
quality, and favour
growth over momentum, and you'll improve your chances
of success with aggressive
stock investing.
Invests in common
stocks and convertible securities
of mid cap companies it believes demonstrate high -
quality businesses with
growth rates that exceed the overall market
When I choose
stocks, I do all that I can to have the odds tipped in my favor — industry analysis, earnings
quality analysis, valuation analysis, balance sheet analysis, free cash flow use, and even a review
of the anomalies like momentum, volatility, balance sheet
growth, etc..
Not only does this mark a new era
of investment alternatives from traditional assets like
stocks and bonds for investors to use in order to protect against portfolio risks but as investors allocate to commodities in local Asian markets, the futures
growth may help standardize the
quality of energy and food to make prices less volatile and their environment cleaner.
Now that we see the power
of dividend
growth investing, and now that we see why an undervalued dividend
growth stock can be such a compelling opportunity, let's take a look at a high -
quality dividend
growth stock that appears to be undervalued...
Fortunately, it's not terribly difficult to recognize undervalued high -
quality dividend
growth stocks and take advantage
of these opportunities.
• Trimmed JNJ and PEP each back to 9 %
of the portfolio to get them under the 10 % - max guideline • With the proceeds, added to existing positions in AT&T (T) and Microsoft (MSFT) • With the remaining proceeds, started a new position in Digital Realty Trust (DLR) Thus, this package
of trades served several strategic goals at the same time: • It corrected the over-sized positions by getting them back under 10 %
of the portfolio • It allowed me to increase my stakes in two high -
quality dividend
growth companies • It allowed me to add a new position, bringing me closer to my target
of 20 - 25
stocks overall.
«Dividend
growth stocks tend to be
of higher
quality than those
of the broader market in terms
of earnings
quality,» write S&P strategists Tianyin Cheng and Vinit Srivastava.
Through seven years
of covering the
stock market, I have learned and discovered things that high -
quality conservative
growth investors want to know.
This fund has a strategy
of buying
quality stocks with a
growth bias.
The purpose
of owning high
quality dividend
growth stocks is to see your dividend income steadily grow through time.
Part 2, also by Ross, explores the power
of borrowing to invest (chiefly in real estate but you can also borrow to invest in
quality - dividend paying
stocks or indeed
growth stocks).
The fact that
quality growth stocks are doing badly says a lot about the health
of the
stock market.
The big takeaway for those seeking to buy into market weakness: Be wary
of buying notionally cheap assets that face challenges (e.g. domestically - focused European assets like U.K. real estate and European banks), and instead focus on assets with relatively attractive valuations and positive fundamental drivers, such as
quality stocks, dividend -
growth stocks and investment - grade bonds.
The
stock does look cheap when we consider its
quality and
growth potential, but what might a reasonable estimate
of its intrinsic value be?
My general thesis when it comes to investing in tech companies is to diversify across a number
of the highest -
quality and most profitable dividend
growth stocks in the space, limiting myself to those companies that have demonstrated an ability to change / adapt over time (with the dot - com bubble itself being a nice test
of that).
With all
of this in mind, being able to buy a high -
quality dividend
growth stock when it's undervalued can be a compelling and powerful long - term investment opportunity.
The appeal increases when you consider that dividend -
growth companies tend to be
of higher
quality and lower volatility than the broader
stock market.
The Firm believes diversified portfolios
of the
stocks of companies meeting its
quality -
growth criteria, purchased at reasonable prices, offer superior risk - adjusted returns over the long term.
My stated goal
of achieving Semi-Financial Freedom (SFF) involves, on the investment side
of the equation, accumulating high
quality dividend
growth stocks and reinvesting the income.
Capital IQ describes it
quality rankings this way: «
Growth and stability
of earnings and dividends are deemed key elements in establishing S&P Capital IQ's earnings and dividend rankings for common
stocks.»
S&P then divides
stocks into a
quality category matrix, rating each
stock from A + to D, basing ratings upon each individual company's
growth and stability
of earnings and dividends.
General Mills Inc (GIS) is a high
quality blue - chip dividend
growth stock with a consistent long - term record
of earnings
growth averaging approximately 8 % per annum.
If you are not immediately using the dividends for some expense purpose (pay bills, higher
quality of life) why would you not consider a lower dividend / no dividend yeilding
growth stock, at least for a time?
Says Mr. Phelps, «Perhaps the greatest advantage
of all in buying top
quality stocks without visible ceilings on their
growth is that when we do so we give ourselves the chance to profit by the unforeseeable and the incalculable.»
While
quality high - yield
stocks may be difficult to come by in this kind
of environment, there is an alternative: Focus on
growth.
Many
of the dividend
growth stocks I will be covering in this series are
of high
quality.
To summarize, I plan on creating a diversified portfolio
of dividend
growth stocks, by slowly dollar cost averaging my way into attractively valued
quality companies over time.