New stock ideas: Innergex Renewable Energy Inc. (INE) and Sun Life Financial Inc. (SLF)

The TSX gains over 400 points this past Friday, closing the session on a good 14,359.88 points. Usually, in "normal times", a gain of 400 points is quite extraordinary, but in those volatile times, and since we went from +17 000 points to 11 000 points, and now up to the 14 000 points, in this context, a gain of 400 points is just what it is, a gain, a little move in a context of ultra volatility. We'll need a lot more trading days with gains of 400 points to get back in those old marvelous 17 000 points, but when it will happen, I probably will be in $300 000 net worth or really quite nearby or even maybe exceeding the 300k, considering my latest investments, which I consider as being excellent investments who will easily bring me to where my net worth belong: to the highest possible note.

In the meantime, my non-registered portfolio closed this past Friday session at $95,821.03, my TFSA portfolio at $77,287.68 and my RRSP portfolio at $43,144.35. I currently have $143.99 in cash inside my TFSA portfolio, coming from dividend distribution. The cash accumulates little by little, but at a point, it makes it possible to invest in a new stock using that money coming from dividend distribution. This down market makes it easier to invest because stocks had become cheaper, but it's however not a simple task to invest in such volatile market conditions that remain extra sensitive to anything and everything. Since I am almost 100% invested in stocks, the only way for me to go through this without being to badly hurt is to invest - again, again and again - in stocks, as much as I can, in order to get the most of what this down market has to offer. And of course, I am hoping that in a close future, the markets will go up again and reach - or exceed - the very good old 17 000 points.

Today was quite a strange day. Oil had now a negative value and despite that, the TSX closed today session still in the 14 000 points, more exactly 14,388.28 points. I guess the market was getting ready for such eventuality and that fact that it actually happens didn't hurt much.

Earlier this month, I came with a few interesting findings on Susan Brunner's blog, which conducted me to one of my latest investments: Power Corporation of Canada Subordinate Voting Shares (POW).
I am not just giving up yet and I am still looking around for new stocks to invest in. Other stocks that are included in that list caught my attention. For example, I wouldn't mind investing in Innergex Renewable Energy Inc. (INE), or even in Sun Life Financial Inc. (SLF).

I also had a look Ritchie Bros. Auctioneers Incorporated (RBA). I notice that stock before. And it,s now catching my attention because RBA lowest value, in the $38, was reached earlier during this current crisis, and it's highest value for the past 52 weeks was $58.94. Currently, Ritchie Bros. Auctioneers Incorporated (RBA) is trading at $58.30. It's quite interesting to see that despite the fact that we are still in this crisis, despite it all, RBA is still in his highest value for the past 52 weeks.

I now have a delicate net worth of 196,823.6‬0

I hope you all had a happy Easter. Usually, I always go visit my family in New Brunswick during this time of the year. I had been doing so for the past 8 years, ever since I had to leave New Brunswick behind to find work. I went outside for a walk and I found out that Second Cup was open, so I bought a coffee and it makes my day. Because otherwise, nothing much is going on, if not that I updated my investment portfolio and debt pages just for you to enjoy.

I usually published an update of my portfolio only when I have good results, but these days, I am doing it mostly only to have a better picture of where I am at with all this mess. My net worth is currently at $‭196,823.6‬0. I recognize in this the same situation I was in back on January 14, 2019, when I was on a tiny little $191 009.83. A few months earlier, back on August 3, 2018, I was experiencing my highest value ever, $257,187.44‬. This is simply to illustrate that no matter what, it worth it to hold on to stocks during downtimes. You should be selling your precious stocks only because the stock market is down.

This time, I was experiencing my highest value EVER back in February of this year, with a $257,187.44‬. And currently, my net worth is, like said, of ‭$196,823.6‬0. Just like last time, I expect my portfolio to make massive gains, despite that "this time" has nothing to compare to what we live back in January 2019. We will recover from this, the TSX is already on a recovery mode. We are no more in the alarming 11 000 points. I can easily handle a TSX in the 14 000 points, I don't have any problems with that. 

The stock markets have the capacity to recover from anything especially when the governments around the world are all injecting millions and millions, billions of dollars to help smooth up things. It's quite interesting to see that in times of distress, governments will do whatever it takes, not for their people, but for financial security, for the stock markets, in the name of the capitalist system we live in and in which I believe is powerful enough to drive me where I want to be. That being of course in the magic $300 000 net worth, but that sound to easy now. So I am switching it to half a million dollars NOW.

My debt situation on date of April 9, 2020

Margin account: $46 469.09 @ 4%
Annual interest: $1,858.77

Credit line: $5 000 @ 4.31%
Annual interest: $215.50

Total: $51,469.09 
Total annual interest: $2,074.27
On the date of April 9, 2020

**For a complete update regarding my debt, click on the label "Debt situation" located at the right column of this blog.

My investment portfolio on date of April 9, 2020

Cold cash: $2 593.65

Stocks and Units investment portfolio $CAN
Bank of Nova Scotia (BNS): $10,256.70

Methanex Corporation (MX): $2,204.80

Fortis Inc. (FTS): $7,092.48

Pembina Pipeline Corporation (PPL): $21,383.95

iShares S&P/TSX Capped REIT Index (XRE): $2,379.25

New Flyer Industries Inc. (NFI): $1,711.95

TMX Group Inc. (X): $904.56

K-Bro Linen Inc. (KBL): $2,795.00

TransCanada Corp (TRP): $1,651.50

Canadian National Railway Co (CNR): $9,984.60

Enbridge Inc. (ENB): $13,797.84

Emera Inc. (EMA): $1,403.75

BCE Inc. (BCE): $1,261.04

Saputo Inc. (SAP): $1,354.00

Loblaw Companies (L): $862.92

Savaria Corporation (SIS): $5,802.72

WSP Global Inc. (WSP): $4,193.50

Aphria Inc. (APH): $880.00

George Weston Limited (WN): $103.23

Rogers Communications Inc. (RCI.B): $1,803.30

Telus Corp (T): $2,002.50

Power Corporation of Canada Subordinate Voting Shares (POW): $2,002.50

TOTAL: $95,832.09

Stocks and Units investment portfolio $US:

Berkshire Hathaway Inc. (BRK.B): $1,549.92

General Mills Inc. (GIS): $1,836.48

Cash: $26.66

TOTAL: $3,413.06 USD: $4 821,63 CAN

Tax-free savings account (TFSA):

Dumont Nickel Inc. (DNI): $11.48

CT Real Estate Investment Trust (CRT.UN): $1,301.00

Canadian National Railway Co (CNR): $4,437.60

Exchange Income Corporation (EIF): $21.50

Brookfield Infrastructure Partners L.P. (BIP.UN): $3,822.35

Brookfield Renewable Energy Partners L.P. (BEP.UN): $1,911.00

Andrew Peller Limited (ADW.A): $1,431.40

Toronto-Dominion Bank (TD): $1,204.00

Boyd Group Services Inc. (BYD): $5,313.90

Canadian Apartment Properties Real Estate Investment Trust (CAR.UN): $3,188.50

Data Communications Mgmt (DCM): $0.69

Morneau Shepell Inc. (MSI): $2,770.20

Royal Bank of Canada (RY): $5,729.10

Park Lawn Corporation (PLC): $1,131.60

Toromont Industries Ltd (TIH): $2,561.20

BCE Inc. (BCE): $515.88

Boralex Inc. Class A Shares (BLX): $1,144.40

Richelieu Hardware Ltd. (RCH): $1,080.08

Savaria Corporation (SIS): $769.30

Northland Power Inc. (NPI): $2,879.00

Calian Group Ltd. (CGY): $3,007.36

Canadian Utilities Limited (CU): $1,483.86

WSP Global Inc. (WSP): $2,096.75

Granite Real Estate Investment Trust (GRT.UN): $627.40

Cargojet Inc. (CJT): $3,367.19

Nutrien Ltd. (NTR): $2,570.00

TFI International Inc. (TFII): $2,740.00

Canadian Imperial Bank Of Commerce (CM): $2,583.00

SIR Royalty Income Fund (SRV.UN): $278.80

ATCO Ltd. (ACO.Y): $2,118.00

Aecon Group Inc. (ARE): $1,364.51

Brookfield Asset Management Inc. Class A Limited Voting Shares (BAM.A): $2,793.57

Metro Inc. (MRU): $2,243.14
Alimentation Couche-Tard Inc. (ATD.A): $426.00
Fortis Inc. (FTS): $1,939.35
CGI Inc. (GIB.A): $1,677.40
TMX Group Limited (X): $2,826.75

(BIPC): $399.14

Suncor Energy Inc. (SU): $385.90 

Cash: $60.06

TOTAL: $76,212.36

RSP investment portfolio: 

Emera Incorporated (EMA): $16,508.10

Ovintiv Inc. (OVV): $128.10

Toronto-Dominion Bank (TD): $1,806.00

Telus Corp (T): $2,247.25

Royal Bank of Canada (RY): $1,762.80

Savaria Corporation (SIS): $2,219.98

Thomson Reuters Corporation (TRI): $3,571.56

Park Lawn Corporation (PLC): $3,772.00

Richards Packaging Income Fund (RPI.UN): $1,452.00

Toromont Industries Ltd (TIH): $448.21

CAE Inc. (CAE): $1,330.00

CGI Group Inc. Class A Subordinate Voting Shares (GIB.A): $2,935.45

Boralex Inc. Class A Shares (BLX): $1,430.50

Quebecor Inc. (QBR.B): $742.75

Logistec Corporation Class B Subordinate Voting Shares (LGT.B): $167.37

Brookfield Renewable Partners L.P. (BEP.UN): $1,210.30

Leon's Furniture Limited (LNF): $460.70

Bank of Nova Scotia (BNS): $343.80

Cash: $124.12

Total: $42,660.99

CIBC Dividend Growth Fund + CIBC Emerging Markets Index Fund + CIBC Monthly Income Fund: $2,681.89

Energy and Base Metals Term Savings (Indexed term savings): $577.30

Natural Resources Term Savings (Indexed term savings): $502.45

GIC BN: $1 364.49        

Manulife Fidelity NorthStar GIF CAP B: $1 553,98

Manulife Simplicity Growth Portfolio: $1 315,91

Maritime Life CI Harbour Seg Fund: $1 159,39

Maritime Life Fidelity True North Seg Fund: $1 120,37

Manulife GIF MLIA B World Invest: $1 183,37

Total: $6 333.02

Other various: $14 625.93

TOTAL: $68 746.07

Social Capital at Desjardins Membership share: $35

Online money: $51.79

Savings + Stocks, units, mutual funds + Tax-free Savings account + RRSP:

$248 292.69

On the date of April 9, 2020

Welcome in my portfolio Power Corporation of Canada Subordinate Voting Shares (POW) & Suncor Energy Inc. (SU)

Following my post of yesterday, I decided to invest in a few shares of Suncor Energy Inc. (SU) inside my TFSA portfolio. For my non-registered portfolio, I didn't go with Sun Life Financial Inc. (SLF). Instead, I invested in some Power Corporation of Canada Subordinate Voting Shares (POW) shares. Despite the hard times we are living in right now, POW recently declared a dividend increased, more exactly a 10.5% increase to its quarterly dividend. I decided to invest in both POW and SU as a little Easter gift, especially since I am stuck here in Montreal and won't be able to visit New Brunswick.

My non-registered portfolio closed today session at $93,859.64, my TFSA portfolio at $72,976.16 and my RRSP portfolio closed today session at $41,547.11. Today was quite exciting for the TSX. At a point, we were in the 14 000 points!!!

In search of the best anti-recession & anti-coronavirus proof free Canadian stocks

It's getting harder to invest in stocks these days. Stocks are cheaper, but this current situation makes it difficult to target good stocks to invest in. But don't you worry, I have it all figure it out, and just like usual, I am going to show off right here in my pink blog because without me around, you'll be totally lost, which isn't a shame.

I was thinking of Loblaw Companies (L) as my next investment, but L stocks are not cheap, and the dividend return is quite little. I would like a nice sharp investment just the way I like it, that pay a nice, but reasonable, dividend distribution.  For my next investment, REITs are out of the question - businesses, just like too many normal individuals are going to experience some difficulties to pay out rent. The oil sector is risky, and I am already invested enough in the energy sector, especially with my investments in PPL and ENB. Anything involves in the airline industry is a big no-no. Today, a stock that I hold in my RRSP portfolio, CAE Inc. (CAE), had suspended their dividend distribution and proceed with a massive laid off. You need to be aware of what's going on and keep informed with what kind of moves the companies you are already holding on to in your investment portfolio are making, so you can act like a smart investor, who's desperately trying to keep in control no matter what.

Things are getting a little bit better. The TSX began the week on a high note. In result, my non-registered portfolio closed today session at $91,862.64, my TFSA portfolio at $71,876.06 and my RRSP portfolio at $41,337.98. I have almost $500 accumulated in cash coming from dividend distribution inside my TFSA portfolio. I may invest that little sum in Suncor Energy Inc. (SU), I am still thinking about it at this time. And that's only because Derek Foster announced not so long ago that he had invested himself in some SU stocks. And what Derek Foster does, I do it too - most of the time. But I also like to search for myself (and my readers) for stocks that could potentially become my next investment. To do so, I need substance to work on. In the past, I had Stockopedia, which I don't have any more to consult and browsed pages and pages of screens.

This evening, in my desperate search for stocks, I stopped by Susan Brunner blog and I click on this magic link right here. I came with this list:

Waste Connections Inc. (WCN)
Sun Life Financial Inc. (SLF) 
Stantec Inc. (STN)
Shaw Communications Inc. Class B Non-voting Shares (SJR.B) 
Rogers Sugar Inc. (RSI) 
Ritchie Bros. Auctioneers Incorporated (RBA)
Power Corporation of Canada Subordinate Voting Shares (POW)
PFB Corporation (PFB)
Parkland Fuel Corporation (PKI)
ONEX Corporation Subordinate Voting Shares (ONEX)
North West Company Inc. (The) (NWC)
National Bank of Canada (NA)
Kirkland Lake Gold Ltd. (KL)
Keyera Corp. (KEY)
Intact Financial Corporation (IFC)
Innergex Renewable Energy Inc. (INE)
iA Financial Corporation Inc. (IAG)
FirstService Corporation (FSV)
Enghouse Systems Limited (ENGH)
Canadian Tire Corporation Limited Class A Non-Voting Shares (CTC.A)
Canadian Pacific Railway Limited (CP)
Allied Properties Real Estate Investment Trust (AP.UN)
Alimentation Couche-Tard Inc. Class B Subordinate Voting Share (ATD.B)
Algonquin Power & Utilities Corp. (AQN)

This is a first list that I want to check in closer. I can say that I currently have an interest in Sun Life Financial Inc. (SLF).

Need again stock ideas? Check out my beauties WSP Global Inc. (WSP) and Toromont Industries Ltd (TIH)!

I hope that you are doing well. For my part, I am doing fine, but my only regret is that I probably won't be able to visit my family in New Brunswick this upcoming Easter, like I usually do every single year for ages now. It's basically the single negative point I am living with right now. I am not sick, and I still have a job at this present time. Despite the thousands of millions of people who are temporarily laid off in Canada, the TSX closed today session at a good 13,038.50 points. My non-registered portfolio closed today at $86,865.49, my TFSA portfolio at $69,713.52 and my RRSP portfolio at $40,644.79. I plan to invest again in mid-April to that advantage of this low market and I cross everything I have that the TSX will go over the 17 000 points soon enough so I can finally make it to the $300 000 net worth. This is taking too long now to happen.

While waiting for richness to arrive again, I took care of my tax declaration. It will take about 4 weeks to be completed. I know that now we have until July to have this done, but sometimes in July, I will be gone to New Brunswick. Also, I can get quite really lazy with this kind of tasks. If I wasn't getting my paper ready this past weekend, I wasn't going to do it all! I am actually quite impressed by myself for taking care of it now instead or later... or NEVER. lol

And while checking my portfolio - that remain beautiful no matter what, I cannot help it, but I really like, among other, WSP Global Inc. (WSP) and Toromont Industries Ltd (TIH) who both remain super strong stock in my portfolio, those 2 are among the best portfolio boosters value that you can find out there. No need to thanks me.

Why McDonald’s Will Outperform In A Recession

The following is a guest post coming from Bob Ciura of Sure Dividend. Please enjoy!

The spread of the coronavirus in the U.S. and around the world is likely to result in a recession. Even if the recession is short, it is likely to be severe, particularly when it comes to industries most vulnerable to economic downturns.

The restaurant industry is particularly at risk, as consumers typically curtail eating out in a recession. Job losses and falling stock markets usually lead to consumers tightening their belts. But not all restaurant stocks are at risk. For example, McDonald’s Corporation (MCD) is likely to outperform both its own industry, as well as the S&P 500 Index if a recession occurs in 2020.

McDonald’s is a Dividend Aristocrat that has increased its dividend for over 40 years in a row. With a strong current yield of 3.1% and a defensive business model, risk-averse income investors should consider McDonald’s to be a recession-resistant dividend stock.

Business Overview

McDonald’s is the world’s largest publicly-traded restaurant company, with more than 38,000 restaurants in more than 100 countries around the world. Over 90% of McDonald’s restaurants are franchised, which is a lucrative operating structure for the parent company. Under this structure, McDonald’s receives a steady stream of royalty income from franchisees, while placing the burden of many costs like maintenance, taxes, and insurance onto the franchise owner. McDonald’s has accelerated its franchising of restaurants over the past few years.

While this had the impact of lowering net sales, it resulted in significantly higher earnings-per-share due to margin expansion. For example, McDonald’s net sales declined from $22.82 billion to $21.08 billion from 2017-2019, but diluted earnings-per-share increased from $6.37 to $7.88 in the same time, representing 24% earnings-per-share growth.

Today, McDonald’s operates three business segments: the U.S. market, where the company has more than 14,000 stores, International Operated Markets, which includes developed markets France, the U.K, Canada and Australia, International Developed Licensee, which includes high-growth markets such as China, Italy and Russia. McDonald’s has a current market capitalization of $120 billion.

2019 was another strong year of growth for McDonald’s. Revenue increased 4% to $5.4 billion for the quarter. Global comparable sales, which measures sales growth at restaurant locations open at least one year, increased nearly 6% compared with estimates of 5.3% growth. U.S. sales increased 5.1%, the International segment grew 6.2% and the International Development Licensed segment increased 6.6%.

For the year, revenues were flat but earnings-per-share improved 4.5% thanks in large part to share repurchases. Global same-store sales were higher by 5.9%, with 5% growth in the U.S., a 6.1% increase for International Operated segment and a 7.2% improvement for the International Development Licensed segment.

Future growth will be fueled by continued expansion of comparable sales, led by new initiatives such as digital kiosks, mobile ordering, and delivery partnerships with third-party services. Store renovations will also help boost traffic, as McDonald’s has completed renovations on nearly 10,000 of its restaurants in the U.S. at the end of 2019.

Serving Dividends To Shareholders

McDonald’s has the longest history of consecutive annual dividend increases of any restaurant stock. Since it paid its first dividend in 1976, it has increased its dividend for 43 consecutive years. This is a very long period of consecutive dividend increases that proves McDonald’s has a time-tested business model that can outlast recessions. The past 43 years included multiple recessions and global challenges, and yet, McDonald’s continued to increase its dividend each year.

The fundamental reason for this is because McDonald’s sees steady demand each year, even during recessions. Its status as a fast-food operator means that in economic downturns, cost-conscious consumers looking to tighten their belts typically scale down their spending on dining. In this way, McDonald’s might actually benefit from a recession. McDonald’s grew its earnings-per-share each year from 2007-2010, during the “Great Recession”. This was a very impressive performance that few other companies could match. In fact, McDonald’s was one of only two stocks in the Dow Jones Industrial Average (the other being Walmart) that saw its share price increase in 2008.

As a result, investors should be confident that the company will continue to increase its dividend in 2020 and beyond, even in a deep recession. With an expected dividend payout ratio of approximately 60% for 2020, the dividend appears highly secure.

McDonald’s has a current dividend payout of $5.00 per share, which represents a solid yield of 3.1% based on the recent share price. By contrast, the S&P 500 Index has an average dividend yield of just 2.3%. Therefore, McDonald’s stock provides significantly higher dividend income than the average stock in the broader stock market index, with the added bonus of yearly dividend increases—even in economic recessions. Because of these qualities, McDonald’s is among the safest stocks to own in a recession, in terms of dividend sustainability.

Welcome in my non-registered portfolio Telus Corp (T)!

I don't know what you are doing these days, but here in Montreal, nothing much is going on. However, it's not because everything is close that I am doing anything. I am still employed, I can work from home. For me, it's basically one week at a time. I know that if work gets slow, I could lose my job. I don't take things for granted, but at least here in Montreal, it will be easier to find a job if something has to happen.

Since gyms are all closed, I have to find something to burn myself. Walking around for just walking is just not my thing. I took quite a long walk this Saturday to downtown Montreal, just to see which stores were open and which stores were closed and almost every stores were closed, including Indigo, which is usually never never closed. at the exception of grocery stores, pharmacies, SAQ, Best Buy - there were actually people waiting outside to enter the store. And the same thing with that store that sells marijuana, there was a big line up of people waiting outside, and they were not at 2 meters form each other. Personally, I go out every day, even if the idea of walking just for walking doesn't bring in much excitement. I watch out to stay away from other people. It's a good thing that stores are closed because people being people, if stores remain open, people, I included, will go out and just shop. And especially with spring coming in a hurry, it's just too tempting to get something new for our wardrobe isn't it?

Being stuck at home have some advantages. Like I can sleep later during the mornings, because I don't have to go to my workplace, it's obviously easier to build up some savings because all the stores are close, even the hairdresser... So no spending, working from home, so can you just concentrate on drinking water and get ready for summer - without... shopping. I am not a fan of online shopping or Amazon.

This past Friday, I was all happy because the TSX was going great at a point, it was exceeding the 12 000 points! But unfortunately, it closed the day at 11 851 points, which is not really good. These days on the stock market, it's really one day at a time. The TSX like other stock markets around the world is responding really sharply to this human disaster. This will do its time. Also, let's not forget that the market was just silently waiting for a moment to do its correction and it did. We actually have a double disaster here in Canada: that virus AND oil thing, which has the effect of a double-dip of trouble. And the TSX never likes it when there's trouble.

I announced it previously, Telus Corp (T) went under a stock split and I couldn't resist, I bought some Telus Corp (T) stock for my non-registered portfolio. I already had some Telys stocks inside my RRSP portfolio, but I decided to extend the experience to my non-registered portfolio. It's hard these days to see my net worth going all the way down, but this won't last, it's a temporary situation. I am trying to make the most of it by investing from time to time. There's just one basic rule that you need to know: it's time to buy while stocks are cheap. 

With my newest Telus Corp stocks inside my non-registered portfolio, my overall dividend income if now at almost 10k, $9 805.01.

The TSX is making a comeback in the 12 000 points. Hourra!

I was SO in need of this. I am quite busy during the day, even if I work from home. I just have no time to run at the bank to borrow money on an extra credit line to save my margin situation. With a TSX in the 12 000 points, I am now in much better shape. My non-registered portfolio closed today session at $78,593.22, my TFSA portfolio at $66,257.52 and my RRSP portfolio, stocks only, at $37,839.77. From now on, let's hope that the new usual for the TSX remains in those 12 000 points.

Other than those 12 000 points, today, I learned something nice: Telus Corporation (T) went under a 2 for 1 stock split! As you might know if you are a long time reader, I adore, no, I JUST LOVEE stock split. Most of the time, the value of a stock swore following a stock split. I am looking forward to invest in some Telus Corporation (T) stocks and this is going to be great! Susan Brunner announced on her blog that she recently invested in some TFI International Inc. (TFII). I understand the logic behind that investment, TFII being involved in the transportation and logistic sector. We need companies like TFII for the transportation of goods. I had been holding on to some TFII stocks for a while now and I find the title to be volatile, even in easy times.

I don't believe that this epidemic will last for really long. They're just too many efforts put worldwide in other to beat the beast. It may go on for a couple of weeks, couple of months, but after what, it will be a super spending rally, people will travel and spend money like crazy again. Personally, the hardest thing is not being able to go to the gym. I go for a walk after being done with work, but walking is to slow, boring up to a certain point and doesn't burn me up the way I need. Sure, I could do some jogging, but it's not the ideal weather yet. I guess at one point, it will be a big f off and I will go and jog jog jog :-)

In the meantime, my TSX bitch is better to remain in the 12 000 points.