Canadian Dividend Stock Purchases
If you are a regular reader of this site (my mom), you will know it’s been quite some time since I’ve added anything to my portfolio aside from the regular monthly contributions to my US Equity Index Fund & Canadian Equity Income fund. In fact the last stock purchases I had made were way back on March 10th when I purchased shares of:
- Go Easy Financial
- New Flyer Industries
- Ishares XAW Ex Canada ETF
- Diversified Royalty
- Chorus Aviation
Fast forward 5 months, and after taking a pretty big beating (due to Covid) most of them are back to my buy price or higher (Chorus being the one big exception). Although I haven’t purchased anything in 5 months, I have still been contributing bi-weekly amounts into my TFSA, and I have been updating my watchlist, and keeping tabs on a bunch of stock prices and news daily. A few that I have been following quite closely for the last few months include:
- Bank of Nova Scotia
- Alimentation Couche Tard
So what did I end up buying…
Dividend Purchase 1: Manulife
I was able to grab 146 shares of Manulife in my wife’s TFSA. I picked these up for $18.08, and I was happy because as long as the stock price didn’t jump above $20.44 I would be able to DRIP 2 new shares per quarter. Well, the good news is, within about a week of owning these shares I am already up 13%! The bad news is, as of today, I will only be able to DRIP 1 share per quarter. My plan is to continue to add to $MFC if it dips again.
This purchase added an additional $163.52 to my yearly dividend income.
Dividend Purchase 2: Telus
Telus was a stock I’ve been watching for months. It was one that just wasn’t coming down too far in price compared to most, but I really wanted to grab some shares. I finally bit the bullet on a day it dipped, and grabbed 180 shares for $22.99. I’m already up over 6%, but I plan on holding this one for the long haul. At the current price I will be able to DRIP 2 shares per quarter. I don’t plan on adding more at this point since Telus is also held in my RBC Canadian Equity income fund as well. Eventually I plan on selling some of the RBC Fund and picking up more XAW. When I do – I may look at adding more Telus shares. This purchase adds an additional $210.60 in yearly dividend income.
Dividend Purchase 3: European Residential Reit
ERE.UN is a stock I’ve followed a little over the last 6 months. If I am being honest, mostly because I see a lot of other people I know & respect buying it/talking about it. I kept it on my watchlist but hadn’t investigated it too seriously – until this week. They released earnings earlier this week, and things looked pretty good. I decided to start a small position with the intention of adding a bit more if it dips again. I added 573 shares at $4.10 each. This purchase allows me to drip an additional share each month, and adds $91.98 to my yearly dividend income.
Forward Dividend Income Update
If you recall, back in March I had passed my goal of $12,000 in forward dividend income, however after covid started decimating the markets, and global GDP began getting demolished, I very quickly had some painful dividend cuts and suspensions. These included:
- Diversified Royalty Income – Slight cut to their dividend
- Western Forest – Suspended their dividend
- CAE – Suspended their dividend
- Chorus Aviation – Suspended the dividend
- New Flyer Industries – Cut the dividend in half
These cuts dropped my dividend income by almost $2000 meaning I was quite a bit behind my goal of $12,000 in forward dividend income. Although I am not quite back yet, with these recent additions, I added $465.80 and I am happy to report my current forward dividend income is $11,894.72!
Hope everyone is staying safe out there. Cheers!