Income Investors: This Stock Pays a Nice Dividend in U.S. Dollars

Are you looking for a healthy dividend stock? Then consider Intertape Polymer Group (TSX:ITP) and its U.S. dollar dividend.

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If you are on the lookout for a new dividend stock, here’s one that pays a quality dividend in U.S. dollars, to boot, and it just had a stellar quarter. Which stock are we talking about? It’s Intertape Polymer Group (TSX:ITP).

Intertape do works in specialty packaging. Specifically, it develops and manufactures specialized tapes and packaging films. Its products include pressure-sensitive and water-activated tapes.

We last talked about this stock in September, when Fool contributor Kay Ng discussed a dip in the stock’s price. Let’s see what the stock is up to now.

Quarterly results

The company reported third-quarter results on November 13. Revenue increased 17.9% to $243.4 million from last year’s Q3 results. This was largely due to acquisitions and price increases. Net earnings also made a large jump of $13 million to $19.2 million this quarter. Earnings per share came in at $0.40, blowing past analysts’ estimates of $0.29 per share. This was a rebound after two straight quarters of missing expectations. The company did not announce any new big moves during this last quarter.

What else is there to like?

The company has some solid numbers. Return on equity sits at 22.56%, higher than the 15-20% analysts normally like to see. The net profit margin for the quarter is 7.92%, putting the stock around the middle of the pack when compared to its peers. Its P/E ratio is 15.69, below many of its peers. The stock price has been up and down and is currently on an upswing.

Intertape also offers a nice dividend paid in U.S. cash. The stock currently pays a quarterly dividend of U.S.$0.14 per share for an annual payout of US$0.56 per share. This gives the stock a yield of 3.36%. The company has a history of steadily increasing its dividend payout over the last five years, which I always like to see.

Bottom line

The company pays a quality dividend and had a good quarter. If you are looking for dividend stocks, this one is worth your consideration.

For discussion on other possible dividend contenders, here’s another recent article to look at.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Susan Portelance has no position in any stocks mentioned.

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