01-30-2018, 02:37 AM
(01-30-2018, 01:19 AM)Binary Wrote: Time to bring it backto life again
CIBC's (CM) yield is 4.25%, looks like there was no dividend cut since decades, business looks to be stable, P/E is around the long-term average, raises keep coming even within the year, books look very good to me at the first glance... Anybody following, anything suspicious I don't see?
CIBC is, and has been, trading at a discount relative to the others mainly due to the risk related to their larger exposure to the Canadian housing market as well as the o&g sector, the latter having quite a bit of unsecured loans. However they have been working on it, most recently with the private bankcorp buyout which gives them a bit more geographical diversification.
Overall it's a great company to own for us DGI enthusiasts but it might come with a bit more risk than the other options. It is currently one of my largest holdings.