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The S&P/TSX Composite Index climbed 34 points on April 10 but is still down 5.8% in 2018 thus far. Major indexes in the United States were also positive for the day, as Chinese president Xi Jinping extended an olive branch to foreign investors by pledging to open Chinese markets going forward. Trade tensions are still far from being wholly resolved between the two largest world economies, which means investors may need to get used to volatility in the spring and summer months.
With growth hard to come by in a slumping stock market, investors may want to seek out a steady mix of dividend and growth stocks in 2018. Let’s look at four stocks that would be right at home in any TFSA in April.
Exco Technologies Ltd. (TSX:XTC)
Exco Technologies is a Markham-based global designer and manufacturer of dies, moulds, components, and assemblies, as well as consumable equipment for the die-cast, extrusion, and automotive industries. There is reason for optimism in the North American automotive industry, as a NAFTA deal inches closer, according to recent comments from U.S. and Mexican leaders.
Exco stock has dropped 9.2% in 2018 as of close on April 10. In the fiscal 2018 first quarter, Exco raised its quarterly dividend by 6% to $0.085 per share, representing a 3.5% dividend yield. The company continues to boast a strong balance sheet as we look ahead to the second quarter. Operating cash flow totaled $15.1 million in the first quarter.
CAE is a Quebec-based designer, manufacturer, and supplier of simulation equipment for the aerospace and defence industry. CAE stock has climbed 2.4% in 2018 as of close on April 10. Revenue was up 4% year over year to $724.7 million in Q4 2017, and annual revenue rose 8% to $2.7 billion. The stock offers a dividend of $0.08 per share, representing a 1.4% dividend yield.
Andrew Peller Ltd. (TSX:ADW.A)
Andrew Peller is a Grimsby-based wine-producing company. Canadian wine makers have the opportunity to take advantage of the U.S.-China trade war after China officially imposed tariffs on U.S. wine products. China is set to become the second-largest wine market in the world by the next decade.
Andrew Peller stock has climbed 17.8% in 2018 thus far. Sales were up 10.1% in the third quarter of fiscal 2018, and adjusted EBITDA surged 27.5% year to date. Shares of Andrew Peller have soared 63% year over year.
Maple Leaf Foods Inc. (TSX:MFI)
Maple Leaf is a Mississauga-based producer of food products. Maple Leaf also has the opportunity to capitalize off tariffs China placed on U.S. pork products last month. China remains the largest pork market in the world. Shares of Maple Leaf have plunged 13.4% in 2018 thus far.
In 2017, sales rose 5.7% to $3.52 billion, and adjusted earnings per share climbed 25% to $1.54. The company approved a dividend of $0.13 per share, representing a 1.4% dividend yield.
