Investors hunting income might want to look north. Canada has
a plethora of thriving companies, many of which pay dividends.
allows income investors to search the Toronto Stock Exchange's
3,800 stocks for Canada's top-yielding companies through its new
According to the screen, Canada's top yielding companies are Data
Group Income Fund (
), Poseidon Concepts Corp. (
), Matrix Asset Management (
), Caldwell Partners International (
) and IBI Group Inc. (
Data Group Income Fund (
Data is a communications company that improves companies'
document processes and manages marketing campaigns, with 5,400
Data has a $50 million market cap and 30.3% dividend yield. It
has paid a $0.163 dividend for the last three quarters, which
cost $3.8 million in the third quarter.
data by GuruFocus.com
The company has decided, however, to reduce its dividend from
$0.6504 annually to $0.30 per share, effective Jan. 1, 2013.
"DATA Group believes the reduction in dividends is prudent to
support the company's strategic plan, to reduce debt to achieve a
healthier and more sustainable balance sheet, to be positioned to
make strategic acquisitions, and to maintain a dividend payout to
DATA Group's shareholders over the longer term," the company said
in its third quarter release.
The growth strategy it speaks of involves building new
e-communication services that will combine with its traditional
print services to produce a single communications management
solution, for which clients can sign multi-year contracts. It
will also selectively expand into the U.S. and continue to reduce
Poseidon Concepts Corp. (
Poseidon provides fluid handling services to oil and natural gas
companies in North America, with a fleet of large frac tanks and
With a $114 million market cap, Poseidon pays a 27.1% dividend
Poseidon pays a $0.09 dividend per month, which it chose in the
third quarter to keep unchanged in November and December.
TSX:PSN data by GuruFocus.com
This company also, however, determined to change its dividend
policy. It announced on Dec. 27 that it would suspend dividend
payments effective Jan. 16, 2013, until a committee delivers a
report to the board. After that, the company is unsure whether it
will continue to pay dividends or if it does, whether they will
be the same rate as historically. It may need to use cash flows
toward more pressing matters, such as reducing debt or capital
"In recent months, exploration and development activity has
slowed considerably due to weakness in commodity prices and
uncertainty in the financial markets," the company said in a
statement. "As a result, some oilfield service companies,
including Poseidon, are seeing reductions in realized pricing and
contraction in earnings margins. In the face of reduced oilfield
demand and increased market competition, all operational and cost
components of Poseidon's business are being reviewed to ensure
the company's profitability."
The company continued that it is confident that the slowdown is
temporary and its products and the potential for growth in the
industry are sound.
Matrix Asset Management (
Matrix Asset Management is an asset and wealth management company
that aims to produce consistent returns through three divisions.
It combines an emphasis on retail, expertise in venture capital,
a broad variety of mutual funds and investment professionals with
over 450 years of combined investment management experience.
With a market cap of $10, MTA has a dividend yield of 21.4%. The
company's dividend has been disintegrating over recent years,
falling down to $0.1 in the second quarter.
TSX:MTA data by GuruFocus.com
On Nov. 13, the dividend was declared to be $0.015 per share for
the third quarter, but would be paid through additional common
shares in the capital of the company. The company remains
hopeful, it said, that it will reinstate a cash dividend as it
meets its goals of growing assets under management and cutting
Assets under management at MTA were $1.1 billion in the third
quarter, compared to $1.1 billion in the second quarter and $1.9
billion in the third quarter of 2011. Growing AUM through sales,
marketing and portfolio performance, is part of the company's
strategy to returning to profitability, in addition to making new
Caldwell Partners International (
Caldwell Partners is North America's fastest-growing executive
search firm, with offices in the U.S. and Canada, and partners in
Europe and China.
The company's market cap is $15 million, and dividend yield is
20%. Historically, it has paid dividends periodically:
TSX:CWL data by GuruFocus.com
In the third quarter, it restarted its quarterly dividend,
starting at $0.015 per common share. The dividend payment was
made possible by a shareholder vote on May 1, 2012, to reduce the
stated capital of common shares by 75%, which added $12,048 to
its contributed surplus.
"While it is the Board of Director's intention to continue
quarterly dividend payments, dividends for future periods will be
declared at the discretion of the Board of Directors and
dependent on the Company's ongoing performance and cash flow
requirements," the company said in its 10-K.
IBI Group (
IBI Group is engaged in urban design and planning, engineering,
building and landscape architecture, real estate analysis,
advanced transportation management and traffic systems,
communications specializations and software development. It has
80 offices globally as the fourth largest architectural firm in
The firm has a $111 million market cap, as well as a 16.5%
dividend yield. After a generous dividend history since 2007,
just after going public in 2004, IBI Group reduced its dividend
to $1.10 in 2011.
TSX:IBG data by GuruFocus.com
On Dec. 12, a further reduction was announced. Its current
dividend of $1.10 annually, paid monthly at $0.092 per share,
would decrease by 50% to $0.55 per share per year, or $0.1375 per
share quarterly, for shareholders of record as of Feb. 28, 2013.
Resetting its dividend will enable the company to save $13
million in cash annually, which it will use to pay debt and
enhance its profitability and balance sheet. Recently the company
has laid off workers due to slower business.
To sort more of Canada's dividend-paying companies, try
GuruFocus' Canadian membership here. Also try the premium
All-in-One screener here.About GuruFocus: GuruFocus.com tracks
the stocks picks and portfolio holdings of the world's best
investors. This value investing site offers stock screeners and
valuation tools. And publishes daily articles tracking the latest
moves of the world's best investors. GuruFocus also provides
promising stock ideas in 3 monthly newsletters sent to