Canadian Dividend All-Star List – September 2015 Update

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The Canadian Dividend All-Star List has been updated for September 30th. The list contains Canadian companies that have increased their recorded dividends for five or more calendar years in a row. The list also contains an “Others” tab to include some other companies that have a dividend streak of less than 5 years.

The list has an array of stock information that includes over 10 years’ worth of dividend data, the highest dividend yield for each year, and a wealth of other stock information. The list can be useful when screening for Canadian dividend growth companies. Once a month I update the list and it can be downloaded free here.

In this month’s list one company was added to the All-Star List and there were a number of September dividend increases announced.

Melcor Developments Ltd. [TSE:MRD Trend] was added to the Canadian Dividend All-Star List as it has increased its dividend for 5 consecutive calendar years and currently yields 4.1%. They have 5 and 10 year dividend growth rates of 18.3% and 17.1% respectively.

Melcor Developments Ltd is a real estate development company. It is engaged in community development, property development, investment property and recreational property divisions.

According to their website “Melcor has been paying dividends since 1969, only missing dividends in 3 years.” Prior to quarterly dividends in 2015, dividends were paid semi-annually at the end of June and at the end of December.

I haven’t done a lot of research on the company, but for the time being I don’t plan to invest in the company.

Some Notable Dividend Increases Announced in September

Emera Inc.

Emera Inc. [TSE:EMA Trend] is geographically diverse energy and services company headquartered in Halifax, Nova Scotia. The company invests in electricity generation, transmission and distribution, as well as gas transmission and utility energy services. Emera’s strategy is focused on the transformation of the electricity industry to cleaner generation and the delivery of that clean energy to market. Emera has investments throughout northeastern North America, and in four Caribbean countries. Emera continues to target having 75-85% of its adjusted earnings come from rate-regulated businesses.

Emera Incorporated announced a large 18.8% dividend increase in September. The quarterly dividend will be increased from $0.4000 to $0.4750. Emera Inc. has an 8 percent dividend growth target through 2019. Emera Incorporated has increased its dividend for 8 consecutive calendar years and currently yields 4.3%. They have 5 and 10 year dividend growth rates of 7.4% and 5.3% respectively.

I start to get interested in investing around a dividend yield of 5.3%.

Fortis Inc.

Fortis Inc. [TSE:FTS Trend] is a North American electricity and gas utility company with operations in Canada, the United States of America, and the Caribbean. Most of its utility operations are regulated. Fortis Inc. announced a 10.3% dividend increase. When the dividend increase was announced they also provided future dividend growth guidance stating that “Annual dividend per common share growth through 2020 [is] targeted at 6%.” The quarterly dividend will be increased from $0.3400 to $0.3750. Fortis Inc has increased its dividend for 41 consecutive calendar years and currently yields 4.0%. They have 5 and 10 year dividend growth rates of 4.2% and 9.0% respectively.

I start to get interested in investing around a dividend yield of 4.7%.

Altagas Ltd.

AltaGas Ltd. [TSE:ALA Trend] is a Canada-based energy infrastructure company with a focus on natural gas, power and regulated utilities. Altagas has increased its dividend for 3 consecutive calendar years. Altagas currently yields 5.8% and has 5 and 10 year dividend growth rates of -4.8% and 3.5% per year respectively. Its 5 year annual dividend growth is negative because the company used to be an income trust. When it converted to a corporation they cut the dividend. Altagas announced a 3.1% dividend increase in September. The monthly dividend will be increased from $0.1600 to $0.1650.

I start to get interested in investing around a dividend yield of 7.1%.

That’s it for dividend increases this month; hopefully you’re seeing some dividend growth in your own portfolio.
Photo credit: nocas / Foter / CC BY-NC-ND

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