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In the realm of income investing, few things tem stanley cup pt like a hefty dividend yield. And with its 7.8% dividend yield following a recent 3.1% dividend raise, BCE TSX:BCE stock might seem like stanley mugs the holy grail for income-hungry investors. After all, the blue-chip stock boasts the highest dividend yield in the Canadian telecom industry, offering a seemingly effortless stream of passive income.But hold on before you load up on BCE stock for its juicy dividend stanley flask . The $46.3 billion telecoms and media giant dividend is increasingly risky. While the allure of a 7.8% payout is undeniable, the reality behind BCE generosity paints a slightly concerning picture that coincided with the stock pullback over the past five years.An analysis of BCE dividend and its power to generate immense returns in your portfolio unveils the lurking dangers masked by its sweetness, and ultimately answers the burning question: Is BCE truly the best high-yield dividend stock for you The allure of BCE Axse Stock Market Cheat Codes: Use These to Beat the Market
When looking at the one-year return of these two banks, we see a pretty similar picture. Both have performed extremely well, with Toronto-Dominion Bank TSX: TD NYSE: TD returning 26.8% and Canadian Imperial Bank of Commerce TSX: CM NYSE: CM returning 22.3%. A comparison of the most highly valued bank in terms of P/E聽 i.e., botella stanley TD versus the least expensive bank in terms of P/E i.e., CIBC reveals some key reasons why investors should favour CIBC.EPS growth and ROEThe rate of earnings p stanley thermobecher er share growth over at TD is expected to decline over the next few years. For example, EPS at TD is expected to increase 16.4% this year, but this growth rate will taper off to an EPS growth rate of 8.5% stanley thermoskannen in 2016. Over at CIBC, while EPS is expected to increase a mere 1.9% in 2014, EPS is expected to increase a much better 6.8% in 2016. The key is direction and improvement. CIBC s earnings growth rate is expected to improve and is on the way up, while TD s earnings will be growing at a slower pace. Fu |
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