From The Dividend Pig:
Many investors don't think of mining stocks as dividend-growth companies because of their lower dividend yields. The sector has largely been overlooked by the Canadian dividend investing crowd.
Yet these are "dividend growth" companies with strong balance sheets. They have recently raised their dividends, and have more potential for share price increase.
Take Potash (POT) as an example, which recently raised its dividend by a whopping 33%. By avoiding the lower-yield mining companies, many investors may be giving up a "golden" opportunity for future growth, when the resource sector rebounds.
The Canadian mining sector also has companies which are trading at two and three year lows. In a rising market where many stalwart blue-chips are trading at their 52-week highs, there may indeed be opportunity in this beaten-up sector.
This is a sector that has been on my watch list for a few months, and I am ready to make a move. These aren't penny-stocks, or junior-mining companies, but giant multibillion-dollar companies with global reach. The majority of these Canadian mining companies are also "interlisted" on the NYSE as well as the TSX.
Three Canadian mining companies are now on my watch list: Goldcorp (G), Teck Resources (TCK), and...
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