Recent Purchase VII - March 2016

New Purchase - BNS

It was busy month of March. I was able to add few more stocks to my collection of funds which are now part of my retirement fund. Currently there are 39  amazing companies which will be paying me dividend for the foreseeable future. I plan on growing amount of shares on this companies to the point where they will cover all my expenses one day.

the latest company add to the fund was a company whose been paying dividend probably for longer than anyone on this planet has live.

I talk about adding finance companies to my fund on recent post. it has been a beaten down sector and there are some value here for long term play.

without further ado here is what I was able to add; finally since it has been on my watch list for awhile now.

Bank of Nova Scotia (BNS) or Scotia bank.

March 29, 2016
BNS $120 2.44 Shares @ 47.41

Total purchase will add $5.41 to my dividend and a total of $467.57 forward in dividend income.

BNS is the third largest bank in Canada by deposits and market capitalization. It serves more than 23 million customers in over 55 countries around the world and offers a range of products and services including personal and commercial banking, wealth management, corporate and investment banking. With assets of $856.5 billion.

BNS recent quarter highlights:
  • Net income of $1.8 billion
  • EPS of 1.43 per share
  • ROE of 13.8%
  • Revenue Growth of 9 % of YoY (year over year)
  • Dividend Increased by .02 to .72 Canadian Dollar
Dividend payout is about 50% with room for future growth. Canadian dollar is down some 20% this year compared to the US dollar. I don't see it as a major problem for this bank, a lot of their exposure is in the international which makes it a diversified North American bank in my opinion.

Morningstar rates it a four start out of five. Its Quantitative fair value is at $54.00 a share with a fair value of $58.00 a share. the Street rates fair value at $57.54.

All in all a fair value to start purchasing this moat company.

 What are your thoughts on recent purchases?

What are you buying?

Thanks for reading

Disclaimer: Long on all stocks listed

Disclaimer: I’m not a licensed investment advisor and not an investment professional. This site is only meant for educational or entertainment purposes only. I’m not liable for any losses suffered as a result. Please consult with an investment or tax professional before investing any of your money

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