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Strategies & Market Trends : Dino's Bar & Grill

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To: Goose94 who wrote (110332)7/23/2021 8:28:52 AM
From: Goose94Read Replies (2) of 202374
 
BCE (BCE-T) could provide some reasonably priced inflation protection for your portfolio.

BCE is a dividend growth stock with a current yield of 5.7 per cent. He says that according to Tom Connolly's DividendGrowth website, BCE's average yield from 2011 through 2020 was 4.7 per cent. That means BCE is reasonably priced by the yield measure. Despite huge gains for stocks in the past 12 months, there are still some blue-chip dividend payers at levels that suggest they are fairly priced or better on a historical basis. Mr. Carrick notes that yield and share prices move in opposite directions.

If the yield is higher than usual, it suggests price growth has lagged. The inflation rate in Canada most recently hit 3.6 per cent, compared with a 10-year average of just 1.6 per cent.

On a list of 23 dividend growth stocks recently supplied by Mr. Connolly, each produced an average annual dividend growth rate close to or more than 3.6 per cent. The average annual dividend growth rate for the group was 7.8 per cent. Mr. Connolly has been one of this country's top experts on dividend stocks; he has been writing about them for 40 years.
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