Recent Buy

As investors in the stock market, we aim to buy stocks that will be around tomorrow and years to come. As an added bonus, it is great to get paid a share of the profits in the form of dividends. Dividends are payments to shareholders as determined by the company's board of directors.

For Canadians, buying a stock on the Canadian stock markets means that dividends paid are eligible dividends. Eligible dividends are taxed at a lower rate than interest from bonds and savings accounts or a job.

THE PURCHASE

With the world population increasing year by year and expected to grow from over 7 billion to 9 billion by 2050, more and more products will be needed. These products are often shipped in boxes that are made of carboard and are sealed with tape.

Intertape Polymer Group Inc. is a recognized leader in the development, manufacture and sale of a variety of paper and film based pressure-sensitive and water-activated tapes, polyethylene and specialized polyolefin films, protective packaging, engineered coated products and complementary packaging systems for industrial and retail use. Headquartered in Montreal, Quebec and Sarasota, Florida, The Company employs approximately 3,500 employees with operations in 30 locations, including 22 manufacturing facilities in North America, three in Asia and one in Europe. (Source: Intertape Polymer Group Investor Relations)

Intertape Polymer Group (ITP.TO) makes products such as double coated tape, duct tape, lumber wrap, masking tape, electrical tape, water-activated tape, and stretch film. These products are used everyday by businesses and consumers.

Intertape Polymer Group's products are used in over 15 different markets including e-commerce, food processing, aerospace, transportation, and construction.

On May 6, I purchased 50 shares of ITP.TO at $18.00 per share for a total cost of $904.95 including commissions. This purchased occurred in my margin account.

ITP.TO currently pays a $0.56 USD per share annually, or $0.14 USD per share quarterly. The dividends received from this company will first be converted to Canadian dollars prior to landing in my brokerage account. At the time of this writing, the equivalent dividend in Canadian dollars is $0.75446894 per share per year. Based on this conversion, the yield on cost is 4.17%.

The purchase adds approximately $37.72 to my annual dividend income.

The ex-dividend date is June 13, which means I will receive the upcoming dividend. 

I will update my investing tab spreadsheet in early June with this purchase.

Disclosure:  Long ITP.TO

DISCLAIMER

I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.

Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.