2 Dividend Raises

2 Dividend Raises

Good Morning.  What a great week dividend-wise for me. It reminds me of that gum – I have 2 jobs. Well dividend investing has rewarded me with 2 raises this week. mmmmmmmmmmmmmmm oh yeah!

2 dividend raises


Enbridge has recently pulled back because the management didn’t reiterate its dividend growth guidance. People were wondering if Enbridge would keep up with their 10-12% dividend growth strategy and how they would fund future projects. Well Wednesday night Enbridge decided to silence the critics and released their strategic update.  They mentioned they will sell about 1.5 billion stock in a private sale and plan to sell 3 billion of non essential assets.

Enbridge has identified $10-billion of assets it deems not crucial, including unregulated gas midstream and onshore renewable s operations, and $3-billion of those are targeted for sale in 2018, Mr. Monaco said. – I would prefer them to keep the renewable s as it keeps them diversified but sounds like those will be gone.

They have 22 billion dollars in projects they intend to finish by 2020. Enbridge now aims to speed up their debt reduction.

About that dividend. Enbridge said it will pay out a quarterly dividend of 67.1 cents per common share, payable on March 1, 2018 which represents a 10% increase. The energy giant also expects it will continue the dividend growth by 10% until at least 2020.

Considering Enbridge is my biggest holding at the moment this dividend increase will boost my yearly forward dividends by $77.59. Now that is a pretty huge raise for doing absolutely nothing.

National Bank

National Bank has been absolutely killing it. Unfortunately it’s not one of my biggest holdings but it has increased in value 48% since I purchased them. (not including dividends) Today they released their 4th quarter earnings. Highlights

National Bank says its net income amounted to $1.39 per diluted share for the quarter ended Oct. 31, up from $307 million or 78 cents per share a year ago.

“The fourth quarter concludes a record year for the Bank in which its net income exceeded $2 billion for the first time,” ceo Louis Vachon said in a statement Friday.

Pretty massive gains and new records being set. Like I said they are tearing it up. Oh yeah that dividend though

They raised it from 58 cents to 60 cents. Payable Feb 1, 2018 This is their 2nd dividend raise this year. At the start of the year their dividend was 56 cents per share so if my math is correct, in total they raised their dividend 7.14% this year. This new raise by National Bank will increase my forward dividends by $2.87. Take it and Run…..

So in conclusion

Today was a Pd day for our son, so I decided to take it off. We played on the trampoline, flew our remote helicopters (broke one, heh) went for a nice hike with the dog, Made my favorite family meal – Soft tacos and to end it all we got a boost of $80.46 to our dividend portfolio. What a great start to the weekend. I hope you got a piece of these raise’s as well!

Dream Bigger……. Cheers!

Ps – You wanted better, so I will be better. I have now joined twitter feel free to follow me and others there. I would appreciate it. The bird for my link is at bottom of the page……. Tweet Tweet?? haha

12 Responses

  1. German Korb says:

    Congrats on dividend raises! I hope the management at ENB are right, because if they need to raise capital by issuing more debt and selling assets to cover the dividend growth then for me that’s a red flag. At some point they will run out of non-essential assets and won’t be able to issue more debt to cover the dividend. Crescent Point was in the same boat until they cut the dividend and their share price went from $40 to $10. They were too aggressive with dividend payouts. I hope ENB has a better plan.

    • Hey income. You know what, that is exactly what i was thinking. Is this issuing of shares there to cover its dividend? Long term it shouldnt be a issue. I think as more power plants switch to natural gas it just will boost the demand for enbridge. The spectra merger also creates a bunch of overlapping entities that they dont need so the sales are a good idea. And paying off debt is a great idea. Hopefully they initiate some share buybacks as well though.

  2. Congrats on the raises. It sure does feel great seeing that income rise without having to do anything. I’m also a shareholder of Enbridge it was awesome seeing the dividend rise 10%. Take care 🙂

  3. Congrats on the dividend increases! It is always nice to get a raise (in this case, two!). What better way to begin a new month then with dividend increases? 🙂

  4. Leo T. Ly says:

    I am definitely happy with the dividend raise. I also bought 200 shares before they announced the dividend raise. This stock has been taking a beating this year, so the management reiterating their commitment to sustain the dividend growth will hopefully give this stock a boost.

    Cheers to ENB. Tweet, tweet.

  5. PCI –

    Heck yah, two amazing news posts right there. Congratulations and the day off seems fun!!


  6. Hey PCI,

    dividend raises and free days – that’s definitely a great combination:-). Keep the snowball rolling…Wish i could take a few days off.


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