BCE Inc. (BCE.TO)

Well-run company. Have a legacy wireline business that is declining but meanwhile they have the wireless and have offered their TV to offset their declines. Has been a yield play for income investors. Yield is over 5%. Generating a lot of cash flow to fund the dividend. Doesn’t see a lot of capital upside left on this but if you want yield, it is a fairly safe name to own.

Good looking chart. The trend has been up for several years, great dividend and great stock. It is like a lot that have moved a lot lately and has arced off its trend line. He calls it a parabolic move and thinks it will move back down to the trend line around $45, so he would wait and let the market correct a little bit. Buy where it intersects the trend line.

Likes the telco business. This one is gaining market share in the wireless business, which is a place you want to be. Expect they will continue to raise their dividends on a regular basis.

(Top Pick Jan 3/13, Up 9.14%) If you get a chance to buy some on sale, why not.

Market performer from here. Can participate in broadband and the use of personal technology. They are a large company and it is hard to move the ground underneath them. A suitable stock for a portfolio but not his preferred.

Bid up because people need dividends. Not a lot of movement left. Prefers Shaw over BCE-T

Everyone is using their cell phones, bills are going higher and demand for the products is growing. Telcos have had a very nice run but he continues to be attracted to them. Valuations are much cheaper than the pipelines and utilities. Dividend growth is still strong. Earnings growth will not be gangbusters but still growing.

Have held this for a long time with good gains. Should I consider selling some and buying back at a lower price? If you are a long-term investor, especially if you have bought this at much lower levels, not sure how clever it is to sell some as you pay a capital gains and you have to try and replace the yield.

(Market Call Minute.) You could add in this environment. There will probably be a little bit of slowing growth but good solid dividend and dividend increases.

Very expensive. His model price is $32.39 versus the current price of $44.45, a negative 27%. If it got up to $47.57, he would Sell all shares. People like the 5.25% yield.

For this company and most telco operators, you should fixate on capital intensity ratio, which for most Canadian telcos are reasonable. This is a very good company and you are probably going to get a lot more dividend growth out of it. His concern is with long-term growth challenges as there continues to be a secular decline in the wireline business. Trading at 7X EBITDA and you can get global telecoms trading at a sizable discount with much higher yield and more capital appreciation potential.

A core holding for him. Tries to add to it on weakness but there hasn’t been too much weakness lately. Likes its propensity to increase its dividend.

Low risk. Great dividend of 5.3% and this will be a growing dividend. You won’t get tremendous growth from a stock like this but will probably get single digit growth over the long-term.

Has been in his portfolio forever. Dividend of 5.4%. Feels they are getting more competitive with Telus (T-T) and Rogers (RCI.B-T). Over time the stock should do pretty well and will increase their dividends.

Likes telecom sector because of its predictable cash flows and not a lot of risk to the economic cycle. If he had to choose between Bell and Telus (T-T) he would probably choose Telus, which has been more predictable from a dividend standpoint. Bell gives you a 5% yield.