Canadian All-Star Stocks: Dividend Increases - Week Of May 11

Canadian Dividend All-Stars are companies that have raised dividends for at least five consecutive years.
Last week, 3 All-Stars cut the dividend and 3 came through with a raise.
Only 1 All-Star is expected to raise dividends this coming week.
We are in the heart of earnings season and it has been a very busy few weeks. Although there are a slew of earnings upcoming, there is only one Canadian Dividend All-Star on tap to announce a dividend raise.
As discussed over the past few weeks, investors need to keep their expectations in check. Since the last update, an additional 10 TSX-listed companies have either cut or suspended the dividend.
Of those, three were Canadian Dividend All-Stars bringing the total to 10 thus far.
Given the continued uncertainty, it is likely that many companies will opt to keep the dividend steady if COVID-19 mitigation efforts are having a material impact on operations.
These weekly write-ups are starting to shift focus from dividend growth, to warning of potential dividend cuts and suspensions.
Of note, all figures are in Canadian dollars unless otherwise noted.
Last week’s results
It was one of the busiest weeks of the year and it delivered a little bit of everything.
First, the bad news.
Suncor (SU)[TSX:SU], Domtar (UFS)[TSX:UFS] and Sleep Country Canada (OTC:SCCAF)[TSX:ZZZ] became the latest All-Stars to cut dividends. Although disappointing, it wasn’t a huge surprise.
In my write-ups from last week I explained how both Sleep Country and Domtar were likely to cut or suspend the dividend. Sleep Country suspended the dividend and it loses All Star status after a only few brief months on the list. Domtar’s streak ends after a decade.
For its part, Suncor wasn’t expected to raise dividends but all eyes were on the company. In the end, the oil major slashed the dividend by 55% effectively ending the company’s 17-year dividend growth streak.
An unfortunate turn of events... Read more