The stocks on our list also have capital gain potential in addition to yields that should remain high
SmallCapPower | October 24, 2016: Generally, stocks that have higher dividend yields tend to be those with fewer growth opportunities. So instead of sitting on large amounts of cash, they pay it out to the shareholders in the form of a dividend. That being said, the stocks on our list today all have high dividend yields, but have also experienced good share price appreciation, with net income increasing year over year by at least 25%, which could lead to an increase in the dividend payout.
Savanna Energy Services Corp. (TSE:SVY) – $1.42
Oil & Gas Drilling
Savanna Energy Services Corp. (Savanna) is a drilling, well servicing and oilfield rentals company. The Company operates through three segments: corporate, services and drilling. The corporate segment provides management and administrative services to its subsidiaries and their respective operations. The services segment provides well servicing services and rental equipment to the oil and gas industry. The drilling segment provides contract drilling services to the oil and gas industry. Its business is conducted through two divisions: contract drilling and oilfield services.
- Market Cap: $128 (mm)
- Dividend yield: 8.5%
- YTD Price PCT Change: 15.4%
- YoY % Chg in Net Income After Taxes: 28.54%
MCAN Mortgage Corp. (TSE:MKP) – $14.04
MCAN Mortgage Corporation (MCAN) is a Canada-based loan company and mortgage investment corporation. The Company’s primary objective is to generate income by investing its corporate funds in a portfolio of mortgages (including single family residential, residential construction, non-residential construction and commercial loans), as well as other types of financial investments, loans and real estate investments. The Company’s primary subsidiary, Xceed Mortgage Corporation (Xceed), focuses on the origination and sale to MCAN and third party mortgage aggregators of residential first-charge mortgage products across Canada.
- Market Cap: $324 (mm)
- Dividend yield: 8.3%
- YTD Price PCT Change: 15.7%
- YoY % Chg in Net Income After Taxes: 29.12%
Stuart Olson Inc. (TSE:SOX) – $6.13
Construction & Engineering
Stuart Olson Inc. is a Canada-based construction and industrial services company. The Company’s segments include General Contracting, Commercial Systems, Industrial Services, and Corporate and Other. The General Contracting segment, through the Buildings Group, provides general contracting services, including integrated project delivery, construction management and design-build services. The Commercial Systems segment includes Canem, which designs, builds, maintains and services critical building systems, including electrical and life safety systems, voice, data and communications networks, and security infrastructure. The Industrial Services segment offers various industrial construction and maintenance services.
- Market Cap: $164 (mm)
- Dividend yield: 7.8%
- YTD Price PCT Change: 7.7%
- YoY % Chg in Net Income After Taxes: 56.68%
Student Transportation Inc. (TSE:STB) – $7.83
Passenger Transportation, Ground & Sea
Student Transportation Inc. is engaged in providing school bus transportation services in North America. The Company operates through two segments: transportation, and oil and gas. The transportation segment provides school bus and management services to public and private schools in North America. The oil and gas segment represents the Company’s investments as a non-operator in oil and gas interests. The Company offers various services, such as contracted services, special needs transportation, charter services, direct to parent and used bus sales. The Company operates a fleet of approximately 13,000 vehicles.
- Market Cap: $721 (mm)
- Dividend yield: 7.4%
- YTD Price PCT Change: 52.9%
- YoY % Chg in Net Income After Taxes: 70.88%