Stuart Olson Inc. Builds Good

Every New York stock exchange trading day I'm posting a daily dividend stock or fund review. I'll share the three chief qualities of just one equity or fund that could be selected for a dividend stock portfolio I've named the Safari to Sweet Success.

This week's slot in the Safari portfolio is reserved for the Industrials sector.

That sector includes twenty-three industries all related to designing, fabricating and servicing stuff we want and use. The industrials industries range from aerospace and defense to waste management with all the transportation, business services, and equipment required in between.

Today I'm reviewing an engineering and construction firm named Stuart Olson Inc. Its trading ticker symbol is CUUHF.

Stuart Olson Inc. operates through three divisions, Building, Commercial Systems, and Industrial Services, to design, build, maintain, and monitor new and existing buildings in Canada

The company was formerly known as The Churchill Corporation and changed its name to Stuart Olson Inc. in 2014. 

The firm was founded in 1981 and is headquartered in Calgary, Canada.

I use three primary keys to measure dividend equities or funds like Stuart Olson Inc.: 

(1) Price

(2) Dividends

(3) Returns

Besides those three main keys, I'll use four more to finally unlock an equity or fund in which to invest.

These first three keys best test whether the company has made is making, and will continue to make money.

CUUHF Price

Stuart Olson Inc.'s price at Friday's market close was $6.24 per share. The company has positive price momentum. Just a year ago its price was $4.05. So it's gained $2.19 per share in the past year. Can CHUUF do as well in the coming year?  If it does, its price will increase from $6.24 to $8.43 per share or about 35 %.

CUUHF Dividends

Stuart Olson Inc.'s most recent variable quarterly paid dividend was $0.0949 declared in November 2017, and payable today January 16th.  

The company paid an annual dividend in 2012 and quarterly dividends since 2013.

The consensus forward-looking annual dividend for 2018 is $0.38 payable quarterly at $0.095.

The yield from a $0.38 dividend at Friday's $6.24 price is 6%

Are Gains Ahead For CUUHF?

Adding the $0.38 dividend to the $2.19 estimated price gain (to repeat last year's) shows a possible $2.57 gross gain.  

But there are costs for the Stuart Olson Inc. shares bought. A  $1,000.00 budget for shares at Friday's $6.24 closing price would let us purchase 160 shares. 

Those 160 shares will be hit with a broker fee of $5 at purchase and another $5 at sale (for a total of $10 to get the gains). Each share then has a brokerage cost of about $0.0625

Subtracting that $0.0625 brokerage cost from the estimated $2.57 gross gain shows a net gain to 2019 of $2.5075

X 160 shares 

= $401.20

or about a 40% net gain on our $998.40 investment.

Therefore, Stuart Olson Inc. shows a possible 40% gain by my simple year over year calculation with a 6% dividend baked in. There is no analyst coverage on this stock but stock price since 2011 has shown a fairly steady decline until 2017 when it began to climb back in Autumn.

These forward-looking numbers are conjecture based on past year performance. The actual results remain to be seen. They could turn out to move lower. More study is required for you to determine if Stuart Olson Inc. is worth your time and money.

Disclaimer:  For more information and to get a two-week free sample of my stock portfolios just click on this link. ...

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