The TSX-listed Canadian dividend stocks on our list are all yielding greater than 3% with decent stock-price appreciation during the past three years
SmallCapPower | October 5, 2018: Today we have identified four TSX-listed Canadian dividend stocks with yields that exceed 3%, which have achieved share-price gains of more than 30% in the last three years. Blackrock’s iShares Core S&P/TSX Capped Composite ETF (TSX:XIC), one of the largest ETFs tracking the performance of the TSX Composite, currently yields 2.7% and has delivered share-price appreciation of 19% over the last three years. While the TSX Composite has failed to gain significant traction following the collapse of oil prices in 2014 and the ongoing international trade worries, the four stocks on our list have all delivered returns in excess of the XIC ETF.
Richards Packaging Inc. (TSX:RPI.UN) – $40.67
Metal and Glass Containers
Richards Packaging is a container manufacturing and distribution company to commercial clients in the North American and European markets. In addition to sourcing and distributing over 5,000 variants of containers, the Company operates three manufacturing facilities that collectively represent about 10% of total revenues. Although its core business involves packaging solutions, Richards Packaging also provides logistics management services. The Company’s shares have outperformed the XIC ETF by 134% in the past three years.
- Market Cap: $443.0 Million
- 3 Year Returns: 152.5%
- Dividend Yield: 3.2%
Lucara Diamond Corp. (TSX:LUC) – $2.17
Metals and Mining
Lucara Diamond is a mining company engaged in the exploration and development of diamond properties in various parts of Africa. This includes a 100% stake in the Karowe mine in Botswana. The mine was commissioned in Q2 2012 and estimates total production to be in the range of 270,000 – 290,000 carats for 2018. The Company reported net income of US$19.7M for the quarter ended June 30, 2018, on US$64.5M of revenues. Lucara recently acquired Clara, a digital sales platform that uses cloud and blockchain technologies to drive efficiencies in the supply chain. For producers, this has the potential to increase the maximum selling price for every stone, while also allowing for better inventory management. The Company’s shares have outperformed the XIC ETF by 16% in the last three years.
- Market Cap: $860.4 Million
- 3 Year Returns: 34.8%
- Dividend Yield: 4.6%
Rogers Sugar Inc. (TSX:RSI) – $5.45
Consumer Packaged Foods
Rogers Sugar refines and packages sugar and maple-based products, including sugar cubes, syrups, jams, and iced tea mixes. The Company’s products are branded under both Rogers Sugar, as well as through its wholly-owned subsidiary Lantic Inc., which operates sugar processing facilities in Montreal and Vancouver. Rogers Sugar’s maple syrup business operates under the L.B. Maple Treat brand, with three plants in Quebec. The Company’s shares have outperformed the XIC ETF by 13% in the past three years.
- Market Cap: $574.5 Million
- 3 Year Returns: 31.6%
- Dividend Yield: 6.6%
First National Financial Corporation (TSX:FN) – $28.59
Financials
First National is a Canada-based financial services company. The Company’s Residential segment originates single-family residential mortgages, while its Commercial segment is focused on multi-unit residential and commercial mortgages. First National has more than $100 billion in mortgages under administration. The Company owns a number of financial services subsidiaries and operates out of five offices across Canada. The Company’s shares have outperformed the XIC ETF by 17% in the last three years.
- Market Cap: $1.7 Billion
- 3 Year Returns: 35.4%
- Dividend Yield: 6.5%
Disclosure: Neither the author nor his family own shares in any of the companies mentioned above.
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