Tuesday, January 31, 2023
  • Home
  • News
  • Privacy Policy
  • Terms of Use
  • Cookie Policy
  • Disclaimer
  • DMCA Notice
  • Contact
No Result
View All Result
No Result
View All Result
Home News

2 Cheap Dividend Stocks to Buy in November for Passive Income

by Editor
November 15, 2021
in News
2 Cheap Dividend Stocks to Buy in November for Passive Income

Image source: Getty Images

Dividend investors have an opportunity to get high yields from some of Canada’s tops stocks for passive income.

Algonquin Power

Algonquin Power (TSX:AQN)(NYSE:AQN) just reported solid Q3 2021 results, yet the stock trades near its 2021 low and now offers a 4.95% dividend yield.

The company generated a 40% increase in revenue in the quarter compared to the same period last year. Adjusted net earnings rose 11% to US$97.6 million and were unchanged on a per-share basis at US$0.15.

The recent drop in the share price is connected to Algonquin Power’s new US$2.846 billion deal to buy Kentucky Power. Algonquin Power raised $800 million through a bought-deal stock sale at $18.15 per share. The source of the rest of the funding is still unknown, and that might be why the market is nervous.

At the time of writing, the stock trades near $17.50 per share, so the banks are underwater on the bought-deal sale right now. The shares traded for close to $22.50 earlier this year.

Management says the remaining financials for the acquisition will come from a possible combination of hybrid debt, equity, and/or the sale of non-regulated assets.

Near-term volatility might continue, but the stock appears oversold at this level. Algonquin Power has a strong track record of making strategic acquisitions to drive growth. The company has raised the dividend by 10% per year for a decade and more increases should be on the way.

TransAlta Renewables

TransAlta Renewables trades for $19 per share and offers a 4.9% dividend yield. The stock was as high as $24 in January, so investors have a chance to buy the renewable energy provider on a decent pullback.

The company grows through a combination of acquisitions internal projects. Earlier this month, TransaAlta Renewables bought a 122 MW portfolio of 20 solar facilities in North Carolina.

The company is also building a solar power and battery storage site in Australia.

TransAlta Renewables ran into some operational challenges in the past few months that have impacted revenue. The company saw lower wind power generation than expected across a number of its wind farms. An unplanned outage at a gas-fired power plant also hit cash flow. In addition, the collapse of a wind tower at its Kent Hills site in New Brunswick has led to the shutdown of the entire facility.

The 50 turbines at the site are offline, and the company says cracks in the foundation of several turbines have been identified and that a significant number of the turbines will need to have their foundations replaced. That will cost up to $2 million per foundation. Revenue loss is expected to be $3.4 million per month while the facility is out of operation.

This is bad news, but the issues will get resolved, and the selloff in the stock price appears to be overdone. The dip should be a good opportunity to add a quality ESG stock to your income portfolio.

The bottom line on cheap income stocks

Algonquin Power and TransAlta Renewables trade at cheap prices today and offer attractive dividends with above-average yields. If you have some cash to put to work in a portfolio focused on passive income, these stocks deserve to be on your radar.

ShareTweetShare

Related Posts

2 Growth Stocks to Buy and Hold Forever
News

3 Canadian Stocks to Buy That Could be Massive Long-Term Winners

October 13, 2022
Can You Retire a Millionaire by Just Investing in the S&P 500?
News

Can You Retire a Millionaire by Just Investing in the S&P 500?

March 27, 2022
Yes, Canada Has a Housing Affordability Crisis. Is It the Federal Government’s Fault?
News

Yes, Canada Has a Housing Affordability Crisis. Is It the Federal Government’s Fault?

March 27, 2022
21 Toronto Condo Launches You Need to Know About This Spring
News

21 Toronto Condo Launches You Need to Know About This Spring

March 27, 2022
“Slightly More Balanced Market” On the Way For the GTA This Spring
News

“Slightly More Balanced Market” On the Way For the GTA This Spring

March 27, 2022
New Ontario Data Standard Will “Even the Playing Field” For Housing Development Approvals
News

New Ontario Data Standard Will “Even the Playing Field” For Housing Development Approvals

March 26, 2022

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Most Read

Housing Market Created Good Alternative for Buyers with A number of Properties

Nearly $30 Billion in GTA Housing Linked to Money Laundering

November 18, 2021
How  Canadians can Protect their Money From Inflation

How Canadians can Protect their Money From Inflation

November 30, 2021
That is How A lot it Prices for a Household of 4 to ‘Thrive’ within the GTA

Are Investors the Cause, or Just the Blame, Behind Ontario’s Outrageous Housing Market?

November 26, 2021
A Transformation is on the Horizon for Toronto’s Jane and Finch Neighbourhood

A Transformation is on the Horizon for Toronto’s Jane and Finch Neighbourhood

November 12, 2021
Today’s Housing Market Looks a Lot Like 2017’s… That Should Worry Everyone

Today’s Housing Market Looks a Lot Like 2017’s… That Should Worry Everyone

February 16, 2022
Canadian Start-Up Aims to Deliver Flexible Payment Options for Renters

Canadian Start-Up Aims to Deliver Flexible Payment Options for Renters

January 22, 2022
  • Home
  • News
  • Privacy Policy
  • Terms of Use
  • Cookie Policy
  • Disclaimer
  • DMCA Notice
  • Contact

Copyright © 2021 The Canadian Investor | All Rights Reserved

No Result
View All Result
  • Home
  • News
  • Privacy Policy
  • Terms of Use
  • Cookie Policy
  • Disclaimer
  • DMCA Notice
  • Contact

Copyright © 2021 The Canadian Investor | All Rights Reserved