I started this “tradition” on my blog in 2012. The goal is to pick 20 US and 10 CDN dividend stocks that I think will outperform their peers. This is the reason why I use VIG and XDV as my benchmarks and then keep track of my results for accountability purposes. I find that too many analysts and blogs just drop the ball on their picks when they are not that great. By posting monthly results, I have no other choice but to face my performance and explain it. You can look at my previous picks and returns:
Best Dividend Stock Picks 2012 (-1.47% vs VIG (US dividend ETF), + 8.32% vs XDV (CDN dividend ETF)
Best Dividend Stock Picks 2013 (+11.07% vs VIG, + 0.77% vs XDV)
My 2014 Best Dividend Stock Picks Book is for sale on Amazon.
Top US Dividend Picks 6.54% (vs VIG at 4.15%)
I’m still beating my benchmark by more than 2% and my portfolio pays 1% more in dividend yield. Therefore, I should finish the year with a total return around +3 to 4% compared to my benchmark which is still very good. 60% of my picks currently beat the ETF and only two are seriously lagging in this bullish market: Aflac (AFL) and Mattel (MAT).
Aflac’s results were greatly affected by the Yen in 2014. This is why it is currently lagging behind. As a long term pick, you can consider that AFL has never missed a dividend increase over the past 31 years. On top of that, with a yield over 2.30%, it’s definitely a good asset for a dividend portfolio. I still like the stock as it is currently reasonably priced with a P/E less than 10. This is quite interesting, especially in today’s market!
As for Mattel, the price has been stabilized after its 20% drop back in January due to the Holiday sales slump. Investors are currently looking forward to their next quarterly report which will be posted on July 17th. This is when we will know if keeping MAT in my portfolio was a good choice or if the toy company is heading towards the dump.
Top Canadian Dividend Stocks + 3.85% (vs XDV at 5.16%)
For the first time this year, I’m lagging behind the index with my Canadian picks. I have mixed feelings about this portfolio as I was able to select a few good picks but the overall portfolio not only lags my benchmark but it is far away from the TSX 60.
The positive news comes from Lassonde Industries (LAS.A) which recently exploded upon news of the acquisition of US Branded Juice Company. The Canadian juice giant continues its expansion into the United States will continue to bring in good growth in the upcoming years.
On the other hand, news wasn’t too good for the telecom industry with the Canadian Govt coming back with more rules to enable other players to enter Telus, Rogers and Bell mobile’s playground. Telus (T) lost 3.66% from opening the on July 7th to closing on July 8th. Rogers (RCI.B) followed behind with a loss of 1.90% for the same period. I’m not too worried with Telus while Rogers seems to be hit from the right, left and center these days.
Things are not going so good with North West Company. Their latest quarterly report (June) missed analysts estimates by $0.08/share. There is nothing to help them recover and the stock dipped another 3% in the past 30 days.
I’m currently stuck with two big losers (NWC and RCI.B)… this is time for me to rethink my approach for these two investments.
At least, I’m simply lagging by 1.31%, it can easily be recovered!
S&P TSX 60 DIVIDEND YIELD AND EX DIVIDEND DATE
| Ticker | Name | Price | Dividend Yield | Payout Ratio | Ex-Dvd |
|---|---|---|---|---|---|
| CPG | Crescent Point Energy Corp | 47.29 | 5.84 | 746.54 | 7/29/2014 |
| COS | Canadian Oil Sands Ltd | 24.18 | 5.79 | 81.29 | 8/22/2014 |
| TA | TransAlta Corp | 13.08 | 5.5 | N/A | 8/29/2014 |
| PWT | Penn West Petroleum Ltd | 10.42 | 5.37 | N/A | 9/24/2014 |
| BCE | BCE Inc | 48.4 | 5.1 | 91.52 | 9/12/2014 |
| RCI/B | Rogers Communications Inc | 42.94 | 4.26 | 53.69 | 9/10/2014 |
| NA | National Bank of Canada | 45.26 | 4.24 | 38.36 | 9/23/2014 |
| CM | Canadian Imperial Bank of Commerce/Canada | 97.1 | 4.12 | 44.49 | 9/24/2014 |
| SJR/B | Shaw Communications Inc | 27.36 | 4.02 | 61.58 | 7/11/2014 |
| ERF | Enerplus Corp | 26.89 | 4.02 | 452.03 | 7/7/2014 |
| BMO | Bank of Montreal | 78.58 | 3.97 | 46.86 | 7/30/2014 |
| FTS | Fortis Inc/Canada | 32.47 | 3.94 | 78.38 | 8/13/2014 |
| POW | Power Corp of Canada | 29.65 | 3.91 | 54.63 | 9/5/2014 |
| T | TELUS Corp | 39.77 | 3.82 | 67.26 | 9/10/2014 |
| PPL | Pembina Pipeline Corp | 45.91 | 3.79 | 149.14 | 7/23/2014 |
| TRP | TransCanada Corp | 50.93 | 3.77 | 75.99 | 9/26/2014 |
| RY | Royal Bank of Canada | 76.28 | 3.72 | 45.2 | 7/22/2014 |
| TRI | Thomson Reuters Corp | 38.85 | 3.7 | 848.03 | 8/22/2014 |
| TCK/B | Teck Resources Ltd | 24.36 | 3.69 | 53.9 | 12/10/2014 |
| ARX | ARC Resources Ltd | 32.49 | 3.69 | 155.38 | 7/29/2014 |
| POT | Potash Corp of Saskatchewan Inc | 40.58 | 3.69 | 64.42 | 7/9/2014 |
| SLF | Sun Life Financial Inc | 39.22 | 3.67 | 50.86 | 8/25/2014 |
| BNS | Bank of Nova Scotia | 71.14 | 3.6 | 46.06 | 10/3/2014 |
| HSE | Husky Energy Inc | 34.46 | 3.48 | 64.96 | 8/19/2014 |
| TD | Toronto-Dominion Bank/The | 54.93 | 3.42 | 46.72 | 7/7/2014 |
| AGU | Agrium Inc | 97.75 | 3.28 | 34.01 | 9/26/2014 |
| CVE | Cenovus Energy Inc | 34.59 | 3.08 | 110.57 | 9/12/2014 |
| ENB | Enbridge Inc | 50.63 | 2.77 | 234.16 | 8/13/2014 |
| BBD/B | Bombardier Inc | 3.77 | 2.69 | 32.52 | 9/10/2014 |
| TLM | Talisman Energy Inc | 11.28 | 2.6 | N/A | 9/11/2014 |
| MFC | Manulife Financial Corp | 21.21 | 2.45 | 31.96 | 8/15/2014 |
| THI | Tim Hortons Inc | 58.37 | 2.19 | 36.8 | 8/21/2014 |
| G | Goldcorp Inc | 29.78 | 2.19 | N/A | 7/15/2014 |
| WN | George Weston Ltd | 78.71 | 2.13 | 36.25 | 9/12/2014 |
| L | Loblaw Cos Ltd | 47.62 | 2.06 | 41.94 | 9/10/2014 |
| SU | Suncor Energy Inc | 45.5 | 2.02 | 28.02 | 9/4/2014 |
| CTC/A | Canadian Tire Corp Ltd | 102.37 | 1.95 | 21.38 | 7/29/2014 |
| CCO | Cameco Corp | 20.93 | 1.91 | 49.66 | 9/24/2014 |
| CNQ | Canadian Natural Resources Ltd | 49.03 | 1.84 | 27.58 | 9/10/2014 |
| YRI | Yamana Gold Inc | 8.78 | 1.83 | N/A | 9/24/2014 |
| MRU | Metro Inc | 65.97 | 1.82 | 12.94 | 8/25/2014 |
| SNC | SNC-Lavalin Group Inc | 56.12 | 1.71 | 389.78 | 8/15/2014 |
| BAM/A | Brookfield Asset Management Inc | 47.01 | 1.48 | 18.41 | 8/27/2014 |
| MG | Magna International Inc | 114.86 | 1.44 | 18.19 | 8/27/2014 |
| CNR | Canadian National Railway Co | 69.4 | 1.44 | 27.72 | 9/3/2014 |
| SAP | Saputo Inc | 63.93 | 1.44 | 32.89 | 7/3/2014 |
| ECA | Encana Corp | 25.28 | 1.2 | 209.32 | 9/12/2014 |
| ABX | Barrick Gold Corp | 19.54 | 1.11 | N/A | 8/27/2014 |
| SLW | Silver Wheaton Corp | 28.08 | 1.09 | 42.61 | 9/17/2014 |
| IMO | Imperial Oil Ltd | 56.23 | 0.92 | 14.67 | 8/27/2014 |
| AEM | Agnico Eagle Mines Ltd | 40.86 | 0.85 | N/A | 8/29/2014 |
| FM | First Quantum Minerals Ltd | 22.82 | 0.82 | 21.13 | 8/27/2014 |
| GIL | Gildan Activewear Inc | 62.87 | 0.75 | 13.66 | 8/12/2014 |
| CP | Canadian Pacific Railway Ltd | 193.31 | 0.72 | 28.11 | 9/24/2014 |
| ELD | Eldorado Gold Corp | 8.16 | 0.25 | N/A | 8/12/2014 |
| BB | BlackBerry Ltd | 10.94 | N/A | N/A | #N/A N/A |
| CCT | Catamaran Corp | 47.12 | N/A | 0 | #N/A N/A |
| GIB/A | CGI Group Inc | 37.82 | N/A | 0 | #N/A N/A |
| VRX | Valeant Pharmaceuticals International Inc | 134.94 | N/A | N/A | #N/A N/A |
| K | Kinross Gold Corp | 4.42 | N/A | N/A | 9/17/2014 |