In a late November article, I’d covered what stocks investors should watch ahead of the holiday shopping season. However, with the S&P/TSX Index hovering around all-time highs since late October, investors may want to prepare for economic headwinds that are gathering in 2018.
Let’s look at four stocks to stash in your portfolios that will provide solid income in the new year.
Thomson Reuters
Thomson Reuters Corp. (TSX: TRI)(NYSE:TRI) is a Toronto-based multinational mass media and information firm. Thomson Reuters stock has declined 3.1% in 2017 as of close on December 15. The company released its third-quarter results on November 1.
Revenues were up 1% in constant currency to $2.79 billion from $2.74 billion in the prior year. Tax and accounting revenues were up 5%, while legal, and financial and risk were up 1% each. The stock offers a dividend of $0.44 per share with a 3% dividend yield.
Boston Pizza
Shares of Boston Pizza Royalties Income Fund (TSX: BPF.UN) have dropped 2% in 2017. In a recent article, I’d discussed whether or not restaurants would see declining numbers, as the Canadian economy slowed in the latter half of the year. Boston Pizza released its third-quarter results on November 14.
The company reported system-wide gross sales of $286.7 million, which represented a 1.8% increase year over year. It reported same-store sales growth of 0.4% in the quarter, but same-store sales growth was down 0.4% for the year. Slumping economic activity in Canadian oil and gas regions resulted in some weaker data for restaurants in western Canada.
The stock boasts an attractive quarterly dividend of $0.12 per share, representing a 6.1% dividend yield.
BCE
BCE Inc. (TSX: BCE)(NYSE: BCE) is a Montreal-based telecommunications company — one of the largest in Canada. BCE stock has climbed 5.7% in 2017. Internet service providers (ISPs) like BCE and may see changes down the line after the net neutrality repeal in the United States on December 14, though Canada still upholds the principle.
BCE released its third-quarter results on November 2. The company saw net earnings jump 2.1% to $817 million. Service revenue increased 5.9%, and the company once again reported very strong wireless operating performance with net additions of 117,182.
BCE offers a quarterly dividend of $0.72 per share with a 4.6% dividend yield. The Canadian government will see increased pressure from investors in the coming years over net neutrality, especially if U.S. ISPs are able to push earnings higher after this huge move.
Cineplex
Cineplex Inc. (TSX: CGX) stock has risen 5.5% month over month as of close on December 15. Still, shares are down 23% in 2017. A historically slow summer for the box office dragged down third-quarter earnings, but the company could see a big boost in the fourth quarter.
Star Wars: The Last Jedi cleaned up on its opening weekend, raking in the second-largest opening weekend in history at $220 million in U.S. and Canadian theatres. Thor: Ragnarok, which was released on November 11, has also climbed to the sixth highest-grossing film in 2017.
Cineplex boasts a 4.2% dividend yield and could begin 2018 with some great momentum.
