New Stock Purchase: Bank of Montreal (BMO.TO)

Hey guys! I purchased a new stock today. About a year ago, I mentioned  about my plans to invest more money in Canadian banks. Since then I bought Laurentian Bank, TD, RBC, and CIBC. So now it’s the turn to buy the Bank of Montreal (BMO.TO). Since I live in Montreal, I got to have some shares of BMO.

Just kidding. Just because I live in Montreal, doesn’t mean I need to own BMO. My decision was based on compelling valuation. At the moment, I believe that BMO is the best buy among its peers. BMO trades at 10.25 price-to-earnings ratio, pays 4.25% dividend yield and the payout ratio is in low 40’s. The Bank of Montreal has paid the dividend for 190 consecutive years! They usually raise the dividend twice a year and I believe they will continue to raise that dividend going forward.

I had enough money to buy 11 shares of BMO at $96.79 per share. Not too low, but not to high either. The one-year price range for BMO is between $86 and $106. So at $96, I’m right in the middle of the range. Eleven shares is a small lot, therefore I may continue to add BMO shares on weakness until I hit a full position. I would like to own around 50 shares.

At the moment, BMO pays a quarterly dividend of $1.03 per share. This purchase will add $11.33 per quarter or $45.32 per year.

Let me know what you think about this purchase and about BMO in general. Do you own BMO?

TSX Market News - ALA, CAR.UN, CU

The first week of October is over. The first three days were brutal. We went through some big sell-offs. The last two days markets stabilized and recovered a bit. I think banks sold off the most. This could be a good buying opportunity. My exposure to Canadian banks is still very low. So I might buy some banks of the dip. Here's the weekly roundup of the stocks I own.

Canadian Dividend Stocks With October EX-Dividend Date

If you want to buy Canadian dividend stocks with the October Ex-dividend date, then check out the list of dividend stocks below. These are not my recommendations and you should always do your research before investing any of your money. Having said that, I believe the stocks mentioned below are reputable names with sustainable dividends. The stocks are arranged in ascending order of the ex-dividend date.

Portfolio Value Update - September 2019

Hello everybody. Welcome back to my blog. We’re now in October and it’s time to report my September results. The markets have been pretty crazy lately. Lots of upside. The bank stocks did very well, increasing 7-10% on average in one month. This resulted my portfolio to reach new highs, in fact, New Milestone!! But, I don’t want to get too excited about that. We might experience the opposite move in October. The stock market is a roller coaster, the stocks go up and down, but the long-term trend is up. As long as we pick up solid companies that can sustain economic downturns, we should do fine. Without further ado, let’s look at my portfolio value, dividend income and YouTube earnings.