Canadian Natural Resources (CNQ)

Recent Purchase: Canadian Natural Resources (TSE: CNQ)

Purchases

On June 8th, I initiated a position in Canadian Natural Resources (TSE: CNQ). I bought 40 shares at $36.53, totaling an investment of $1461.20, plus a commision of $6.95 with CIBC Investor’s Edge.

When compared to other energy stocks on the Toronto Stock Exchange, I chose this company for a variety of reasons which you can read in my full analysis of CNQ I published last week; informing all of how CNQ appears to be a dividend growth investor’s dream.

On June 8th, CNQ closed at $36.56, trading at a P/E (TTM) of 13.5. The yield on cost also pays out a dividend of 2.52%, more than double the 5-year yield average of 1.05% (pay LESS get MORE), and still at a very nice, low payout ratio of 32.34%.

CNQ pays an annual dividend of $0.92 per share. Thus, my investment of 40 shares will increase my 12-month forward dividend income by $36.80. The ex-dividend date on CNQ is June 10th, so I bought just in time to receive the upcoming quarterly dividend of  $9.20.

CNQ is an incredible dividend grower, boasting a 10-year dividend growth rate of 24.57%. If CNQ kept up this growth rate, a 10-year yield on cost would amount to  21.86%! This means you’d receive a little more than 1 / 5 of your initial investment per year in dividends on your 10th year of holding shares. 

 

Dividend Beginner

A 22 year old Canadian dividend growth investor striving for early financial independence; building as many passive income streams as early as possible.
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My publishings on dividendbeginner.com references an opinion and is for information or entertainment purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice. I am not responsible for any decisions you make concerning finances, taxes, or investments. You must perform your own research and always take caution when extending capital.