Shares of DGN Holding Digital Realty Climbing Upwards
September 6, 2019
Image Source: Digital Realty Trust Inc – IR Presentation By Callum Turcan One of our favorite holdings in the Dividend Growth Newsletter is Digital Realty Trust (DLR), a data center REIT whose shares yield 3.4% as of this writing. Digital Realty expects to generate $6.60-$6.70 per share in core FFO this year, up 5% at the midpoint when excluding a new lease accounting standard and foreign currency headwinds. Please note that due to those two factors and pressure from rental renewals (DLR had a lot of leases expire in 2019 and some of the new leases were signed at modestly lower rates), Digital Realty’s reported core FFO ($6.65/share at the midpoint of guidance) in 2019 will only grow marginally from
Dividend Increases/Decreases for the Week Ending September 6
September 6, 2019
Below we provide a list of firms that raised their dividends during the week ending September 6. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Angel Oak Financial Strategies Income Trust (FINS): now $0.1181 per share monthly dividend, was $0.1171. Brady (BRC): now $0.2175 per share quarterly dividend, was $0.2125. DMC Global (BOOM): now $0.125 per share quarterly dividend, was $0.02. Eaton Vance Floating Rate Income Trust (EFT): now $0.0770 per share monthly dividend, was $0.0760. Eaton Vance Senior Floating-Rate Fund (EFR): now $0.0770 per share monthly dividend, was $0.0760. Eaton
The Valuentum Strategy in Action: Why We Are Letting BIN Holding Dollar General Run Higher
September 5, 2019
Image Shown: Best Ideas Newsletter holding Dollar General Corporation (DG) jumped up after posting great performance during the second quarter of its fiscal 2019 on August 29. The company has trounced the market return since it was added to the Best Ideas Newsletter in April 2017. We are letting this winner run higher. By Callum Turcan On August 29, our favorite discount retailer Dollar General (DG) posted second quarter FY2019 earnings (ended August 2) that saw shares of this Best Ideas Newsletter portfolio holding fly higher after the report. GAAP net sales rose by 8.4% year-over-year and same-store sales were up 4.0% during the quarter, which we strongly appreciate, as Dollar General continues to showcase why flexibility and convenience are
A Tale of Two Package Delivery Companies
September 4, 2019
Image Shown: Shares of both FedEx Corporation (FDX) (indicated by the orange line above) and United Parcel Service Inc (UPS) (indicated by the blue line above) have come under a tremendous amount of pressure over the past year as the industry navigates the fallout from the US-China trade war. Both companies are investing heavily to improve their offerings to stay ahead of the game as large tech companies increasingly encroach on the shipping industry’s traditional turf. The S&P 500 index is indicted by the purple line above. By Callum Turcan The past year has not been kind to the air freight and logistics industry. The price of shares of FedEx Corp (FDX) have fallen by more than a third during
Triple-A Rated J&J’s Opioid Liabilities Likely More Than Priced In
September 3, 2019
Image Source: J&J Shares of J&J have settled into the high-$120s at the time of this writing, well below our ~$150 fair value estimate. We’re going to stick with J&J in both the Dividend Growth Newsletter portfolio and Best Ideas Newsletter portfolio at this time. By Callum Turcan and Brian Nelson, CFA On August 26, an Oklahoma judge ruled that Johnson & Johnson (JNJ) had to pay $572 million to the state over its role in the opioid crisis in America. In particular, District Judge Thad Balkman noted that “Johnson & Johnson’s misleading marketing and promotion of opioids created a nuisance” that compromised the health of thousands in Oklahoma. Johnson & Johnson and its Janssen subsidiary will contest the
Happy Labor Day! Updated September Newsletter Release Dates
August 30, 2019
Image Source: Trending Topics 2019 — Happy Labor Day! Updated September Newsletter Release Dates — Hi everyone, — On behalf of the Valuentum team, I wanted to wish you a happy and safe Labor Day weekend. — If you are taking the day off, I hope that you enjoy a break from all the hard work you do. If you are not taking the day off, I wanted to let you know that we’ll be out of the office this weekend and Monday, September 2. — We’ll be right back at work on Tuesday, September 3, and you should expect both the Dividend Growth Newsletter and High Yield Dividend Newsletter that day. The Exclusive is scheduled for release Saturday, September 7.
Dividend Increases/Decreases for the Week Ending August 30
August 30, 2019
Below we provide a list of firms that raised their dividends during the week ending August 30. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Atlantica Yield (AY): now $0.40 per share quarterly dividend, was $0.39. Bank of Nova Scotia (BNS): now CAD 0.90 per share quarterly dividend, was CAD 0.87. bebe stores (BEBE): now $0.17 per share quarterly dividend, was $0.125. Canadian Western Bank (CBWBF): now $0.28 per share quarterly dividend, was $0.27. Capital City Bank (CCBG): now $0.13 per share quarterly dividend, was $0.11. Eastgroup Properties (EGP): now $0.75
Smucker Cuts Guidance with Weakness Widespread
August 28, 2019
Image Source: J. M. Smucker Company – IR Presentation By Callum Turcan J. M. Smucker Company (SJM) is known for its peanut butter (sold under such brands as Jif and Adams), jams (including its namesake Smucker’s offering and Knott’s Berry Farm products), coffees (such as Folgers and Café Bustelo), pet products (including Nature’s Recipe and Meow Mix), and more. The firm posted first quarter earnings for FY2020 (quarter ended July 31) on August 27 that upset the market and sent shares down more than 8% that day. Smucker’s revenue and earnings both missed estimates while management lowered the firm’s full year guidance for fiscal 2020. Smucker now expects its FY2020 EPS to come in at $8.35-$8.55/share, down from $8.45-$8.65/share previously.
Our Reports on Stocks in the Air Freight & Logistics Industry
August 28, 2019
Structure of the Air Freight & Logistics Industry The highly competitive air freight and logistics industry is heavily tied to cyclical domestic economic expansion (primarily from retail good shipments). The international freight market remains a critical growth engine for air cargo providers, while all constituents deal with the cost of rising fuel (diesel) prices and potentially price-sensitive demand during periods of economic weakness. Firms with freight-forwarding, asset-light operations and/or large difficult-to-replicate shipping networks can carve out sustainable competitive advantages while generating high returns on investment. We generally like the group. We’ve optimized our industrials coverage. Our reports can be found here.
BP Says Goodbye to Alaska After 60 Years
August 28, 2019
Image Source: BP plc – IR Presentation By Callum Turcan On August 27, BP plc (BP) announced it was selling its entire Alaskan operations to privately held Hilcorp Alaska (an affiliate of Hilcorp Energy Company) for $5.6 billion. BP sold Hilcorp some of its Alaskan assets five years ago and both companies have had a working relationship since then. This truly marks the end of an era as BP was long a staple of Alaska’s oil & gas industry. BP operates the Prudhoe Bay oil field, one of the largest in the world, which was responsible for over half of Alaska’s oil production in 2018. Additionally, BP is a major shareholder in the company that owns the 800-mile long Trans
