Altagas Ltd (ALA.TO)

The chart shows it is approaching an old support level it bounced off of in 2015 several times. The chart is not showing too many signs of it wanting to break out. Recent highs have been progressively lower and the lows are progressively lower as well. It could go back down to the mid-$20. He looked at it recently, and it didn't interest him enough to buy it.

Your greatest concern would be how much of their actual earnings/cash flow are they paying out. In this case, on a 4-quarter trailing base, it would be 65%. A year ago, it was a bit higher at 57%. When buying a stock, you should buy it with a payout of less than 75%, so this one qualifies. The overall rank in his dividend strategy is 122, so it appears to be a reasonable bet. Dividend yield of 7.5%.

(A Top Pick Feb 14/17. Down 1%.) This continues to be one of the best price securities in the marketplace. 7.5% dividend yield and a solid management team.

This already has some assets in the US, but they are now looking to buy a big utility. There are a lot of concerns that this makes the company more complicated, but the company has been a good steward of capital for a long period of time. The stock is down 30% over the last 2.5 years, and the dividend is up 30%, and he doesn't know how much better it gets than that for an opportunity. Dividend yield of 7.6%. (Analysts' price target is $33.)

(A Top Pick July 27/16. Down 3.17%.) You are going to get 7% dividend to wait for them to close their deal in the US. A very complicated transaction. You are doubling the size of this company and they are essentially buying the natural gas distribution around Washington DC area. It's a great platform for them to grow their business incrementally and you are going to have to wait.

Doesn't cover this one actively. They did a deal in the US that looks accretive. He prefers Penbina (PPL-T) which has a much better growth rate and a clearer thesis. The payout ratio, it is something like 5% of free cash flow, and he thinks you are going to be fine in terms of the dividend.

He likes the name. There is the uncertainty of the acquisition in the US. They are going through the process of getting state approval. They are down to one district. It will probably come in March or April. Some announced divestitures will probably be a catalyst for the stock.

Alta Gas (ALA-T) or Inter Pipeline (IPL-T)? This has a US acquisition which is expected to close next year that provides an attractive yield. She doesn't have a bias towards one or the other, and you can do either one.

This has done nothing, but it pays a decent dividend of 7.5%. Recently increased the dividend by about 4%. They are making a big acquisition in the US, but the regulatory process is very slow. They are dealing with 3 states and the District of Columbia, and have to go through each one. He thinks it will go through and will be a good deal for them.

(A Top Pick Oct 28/16. Down 7%.) He still likes this. The stock had a bottoming process in Aug/Sept. There is some resistance at around $30 which he would like to get above, which would get this back in the $31 range, and then there is not a lot of room before it can get back up to $35. The numbers are starting to look pretty good. They just raised the dividend, so it should be safe. Still a Buy.

He owns it in income oriented accounts for the yield. They are paying, and recently increased, the dividend. They announced the acquisition of WGL-N and would have to raise capital, which spooked the market. After this they will become a significant player n the US.

He would buy this when it is down. An energy infrastructure company, but doesn’t get credit that a lot of its operating profit is not particularly commodity sensitive. Has great renewable energy contracts, 20-25 years duration, indexed to inflation. On top of that, there is a US acquisition they will be completing next year, which reduces their commodity price exposure even further. Hopefully that causes the stock to get re-rated. Dividend yield of 7.6%.

This has fantastic dividends, and similar companies have increased dividends year after year. They’re working on a lot of projects. Interest rates bumped up a little, which hurts their multiples. With oil prices being depressed, people are not sure if some of their big projects will go forward. There is room in your portfolio for one or 2 of these types of utilities. However, don’t fill your portfolio with all interest rate sensitive stocks. If you are wrong, and interest rates start to move, you don’t want to be caught. Dividend yield of about 7.5%.

Hoping to close a huge US utility acquisition. Chart shows a bit of base at around $27. The recent earnings report was really good. Raised their dividend which laid the concerns about the acquisition being dilutive. Although not a pure energy play, you are getting exposure to gas, you are going to get exposure to other parts of their business. Expects it could reach $35. Dividend yield of 7.5%. (Analysts’ price target is $33.50.)

Technicals are showing a really good risk/reward. Chart is showing it is running at a good level since mid-2015. If something happens below that level, you know you are missing some information that hasn't been released or, if it has been released and the market doesn't like it, you have to get out of the name. Dividend Yield of 7.6%. (Analysts' price target is $33.)