‘Why am I Doing This?' These Investors Are Locking in Stock Gains While They Can.
Some investors are moving into cash or international stocks to spare themselves the anxiety that comes when markets turn volatile.
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How to Use $10,000 to Transform a TFSA Into a Cash Machine
Written by Amy Legate-Wolfe at The Motley Fool Canada With Canadians facing rising costs and tighter budgets, many are rethinking how to grow their savings. That makes the idea of building a cash-pumping Tax-Free Savings Account (TFSA) more appealing than ever. If I had $10,000 to work with today, I'd aim to build a portfolio that offers regular, reliable income without a lot of upkeep. That's why I'd split the investment between Freehold Royalties (TSX:FRU) and SmartCentres REIT (TSX: Freehold Royalties is a Canadian energy company that owns land and collects royalties from oil and gas operations on that land. It doesn't drill or operate wells, which keeps costs low. Instead, it earns income based on the production happening on its properties. That structure means Freehold still benefits from higher energy prices but avoids many of the risks that come with operating in the field. As of its latest earnings report, Freehold reported revenue of $86.6 million and net income of $56.3 million. Earnings per share (EPS) came in at $0.23, matching results from the same quarter last year. It currently trades around $12.75 per share and offers a monthly dividend of $0.09. If I invested $5,000 into Freehold today, I'd earn roughly $421 in annual income, all tax-free inside a TFSA. SmartCentres REIT offers another way to collect consistent income. It owns and manages shopping centres across Canada, many of which are anchored by grocery stores, pharmacies, and big-box retailers like Walmart. These tenants help create stable, long-term cash flow. In uncertain economic conditions, properties like this tend to hold their value and provide steady rent. In the first quarter of 2025, SmartCentres reported revenue of $228.6 million and net income of $7.9 million, reversing a loss from the same period in 2024. The real estate investment trust pays a monthly distribution of $0.15417 per unit, translating to about $1.85 annually, with a recent share price at $25.50. A $5,000 investment here would bring in just over $360 per year in tax-free income. What I like about this mix is the balance between sectors. Freehold is exposed to energy markets, which can be volatile, but the royalty structure provides downside protection. SmartCentres is tied to retail, but with its essential-service tenants, it's more resilient than many other commercial real estate plays. Together, they smooth out the bumps and keep cash flowing. With $10,000 split evenly between the two, I could generate about $780 in annual tax-free income. That's more than $65 a month! With plenty of potential for those payouts to grow over time. Both companies have histories of adjusting their payouts as conditions improve. So, if commodity prices rise or rental income increases, the dividend cheques could grow, too. COMPANY RECENT PRICE NUMBER OF SHARES DIVIDEND TOTAL PAYOUT FREQUENCY INVESTMENT TOTAL FRU $12.79 390 $1.08 $421.20 Monthly $4,990.20 $25.59 195 $1.85 $360.75 Monthly $4,993.05 What makes this even more appealing is that the income arrives monthly. That's helpful for budgeting or reinvesting. In a TFSA, reinvested income can help compound returns faster since none of it gets eaten up by taxes. Over time, the portfolio could grow not just from dividends but also from capital appreciation if the share prices rebound. Of course, no investment is without risk. Energy markets fluctuate, and retail real estate can be sensitive to economic shifts. But both Freehold and SmartCentres have proven they can manage through different conditions. Each stayed profitable, paid distributions, and kept investors in the game. For Canadians looking to stretch every dollar and build a financial cushion, this approach makes sense. It's simple, stable, and focused on regular income. With mortgage payments on the rise and the cost of living climbing, having monthly income from solid Canadian stocks can offer some real peace of mind. If I had $10,000 to invest today, I wouldn't chase risky growth. I'd look to Freehold and SmartCentres to build a TFSA that works as hard as I do. With consistent payouts and room to grow, this duo could turn a modest sum into a powerful cash machine for years to come. The post How to Use $10,000 to Transform a TFSA Into a Cash Machine appeared first on The Motley Fool Canada. More reading Made in Canada: 5 Homegrown Stocks Ready for the 'Buy Local' Revolution [PREMIUM PICKS] Market Volatility Toolkit Best Canadian Stocks to Buy in 2025 Beginner Investors: 4 Top Canadian Stocks to Buy for 2025 5 Years From Now, You'll Probably Wish You Grabbed These Stocks Subscribe to Motley Fool Canada on YouTube Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Freehold Royalties and SmartCentres Real Estate Investment Trust. The Motley Fool has a disclosure policy. 2025 Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
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Top Research Reports for Meta Platforms, Palantir & Abbott
Friday, June 20, 2025The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Meta Platforms, Inc. (META), Palantir Technologies Inc. (PLTR) and Abbott Laboratories (ABT), as well as two micro-cap stocks SandRidge Energy, Inc. (SD) and CompX International Inc. (CIX). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the research reports have been hand-picked from the roughly 70 reports published by our analyst team can see all of today's research reports here >>>Ahead of Wall StreetThe daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens and attempts to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each can read today's AWS here >>> Pre-Markets Climb on Rate Cut VisibilityToday's Featured Research ReportsMeta Platforms' shares have outperformed the Zacks Internet - Software industry over the past year (+39.2% vs. +37.1%). The company is benefiting from steady user growth across all regions, particularly Asia Pacific. Increased engagement for its offerings like Instagram, WhatsApp, Messenger and Facebook has been a major growth driver. META has been leveraging AI to improve the potency of its offerings. These services currently reach more than 3.43 billion people daily. Meta Platforms' growing footprint among young adults, driven by improving recommendations, boosts its competitive prowess. AI usage is making it a popular name among advertisers. This is expected to drive top-line growth. Meta Platforms now expects to invest significantly more over the next few years in developing more advanced models and the largest AI services in the world. However, monetization of these AI services will take considerable time, which is a concern.(You can read the full research report on Meta Platforms here >>>)Shares of Palantir have outperformed the Zacks Internet - Software industry over the year-to-date period (+85% vs. +13%). The company's AI strategy, driven by Foundry, Gotham and AIP platforms, targets government and commercial sectors, enabling real-time insights and operational efficiency. Notable defense projects like Open DAGIR, and AIP boot camps for commercial clients boost customer acquisition. With $5.2 billion in cash, no debt and S&P 500 inclusion, Palantir enjoys strong liquidity, growing revenues and increased investor visibility. However, PLTR's reluctance to pay quarterly dividends is a minus for dividend-seeking investors. Intense competition from tech giants and rising costs amidst a rapidly evolving AI landscape and an elevated valuation also challenge its appeal. (You can read the full research report on Palantir here >>>)Abbott's shares have outperformed the Zacks Medical - Products industry over the past year (+27.8% vs. +8.9%). The company's pipeline is unlocking new growth opportunities, supporting the company's positive momentum and strong growth outlook for 2025. Freestyle Libre, Lingo and Libre Rio CGM devices are on a great the company's next-generation suite of systems, is a key driver in the core lab diagnostics business. Abbott is optimistic about its latest progress with biosimilars and expects this to significantly boost EPD sales, beginning 2025. Within Nutrition, despite softness in international pediatric arm, Abbott is regaining market share banking on strong Adult Nutrition business. Yet, the significant runoff of COVID-19 testing-related sales is hurting Abbott's Diagnostics growth. Headwinds such as tough macro conditions and foreign exchange also adds to the worry. (You can read the full research report on Abbott here >>>)Shares of SandRidge Energy have outperformed the Zacks Oil and Gas - Integrated - U.S. industry over the year-to-date period (+5.3% vs. -1.6%). This microcap company with a market capitalization of $443.18 million has a debt-free balance sheet and $101.1 million cash position back strong self-funding capacity, and $13.6 million in free cash flow in Q1 2025. Adjusted EBITDA jumped 73% to $25.5 million on higher volumes and better gas prices, with gas now 49% of production. Since 2023, $158 million has been returned to shareholders via dividends and buybacks, with $70 million repurchase capacity remaining. Cherokee drilling supports reserve growth, but capital intensity and WTI/gas price volatility pose risks. Heavy back-half completions, cost inflation, and natural gas legacy underutilization limit efficiency. Large NOLs support tax sheltering but rely on consistent profits; Section 382 limits apply. Reserve quality hinges on Cherokee execution as legacy reserves decline. Commodity swings and execution missteps could pressure cash flow and returns despite strong capital discipline.(You can read the full research report on SandRidge Energy here >>>)CompX International's shares have outperformed the Zacks Office Supplies industry over the past year (+18.8% vs. -38%). This microcap company with a market capitalization of $293.43 million has first-quarter 2025 results highlight resilient core operations and expanding profitability. Security Products maintained a stable gross margin (29.8%) despite OEM softness, supported by gains in government and healthcare markets. Marine Components delivered a 24% year-over-year sales increase and a structural margin uplift to 22.3%, driven by fixed cost leverage and a favorable product mix. The company-wide gross margin rose to 30.2%, fueling a 58% surge in operating income. Cash remained strong at $56.1 million, with no debt and improved inventory efficiency. However, risks include negative operating cash flow due to rising receivables, a 29% drop in interest income and tariff-driven raw material inflation. Continued OEM channel weakness and DSO expansion raise caution, but internal execution and margin tailwinds position CompX for an upside in 2025.(You can read the full research report on CompX International here >>>)Other noteworthy reports we are featuring today include Intuit Inc. (INTU), Illinois Tool Works Inc. (ITW) and Veeva Systems Inc. (VEEV).Mark VickerySenior EditorNote: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Expanding AI Usage Drives Meta Platforms' (META) Prospects Modular Sales Tactic Aids Palantir (PLTR), Competition High Solid EPD Prospects, CGM Leadership Boosts Abbott (ABT) Featured Reports Food Equipment Unit Aids Illinois Tool (ITW) Amid Forex WoesPer the Zacks analyst, Illinois Tool is benefitting from its Food Equipment unit, driven by strength in the institutional end markets in North America. However, forex woes are an added concern. Ross' (ROST) Strong Demand Trends Aid Sales, Tariff Woes HurtPer the Zacks analyst, Ross Stores' sales benefits from ongoing strength in consumer demand. But ongoing macroeconomic and geopolitical uncertainty, including tariff woes, raise investor concerns. Investments Aids PG&E Corporation (PCG) Amid Poor SolvencyPer the Zacks analyst, PG&E makes systematic investments to maintain and upgrade the reliability of its infrastructure. Yet its poor financial ratios indicate weak solvency position. Woodward (WWD) Boosted by Aerospace & Industrial StrengthPer the Zacks analyst, Woodward's strong Aerospace and Core Industrial units are driving growth, amid challenges from China's on-highway natural-gas truck market and Aerospace supply-chain issues. Season Pass Aids Vail Resorts (MTN) Amid Weak VisitationPer the Zacks analyst, Vail Resorts benefits from a stable season pass program and offerings such as the Epic Pass, Epic Day Pass, and Epic Australia Pass. However, weak visitation is a concern. AUM Growth Aids Main Street (MAIN), Rising Costs a DragPer the Zacks analyst, Main Street's robust asset under management (AUM) and strong liquidity back growth. However, increased expenses due to expansion may hurt profitability. Immunovant Bets on IMVT-1402 Amid Intense CompetitionPer the Zacks Analyst, IMVT-1402 could become a best-in-class medication for several autoimmune indications. However, significant competition in the market remains a worry. New Upgrades Intuit (INTU) Rides on Product Refresh, Higher SubscriptionsPer the Zacks analyst, Intuit is benefiting from frequent product refreshes, which help it to gain customers. Moreover, increase in subscriptions is driving stable revenue growth for the company. Veeva Systems (VEEV) Gains on Solid R&D, Strategic AlliancesPer the Zacks analyst, Veeva Systems is gaining from strong customer adoption and strategic alliances. Innovation, a solid product portfolio, and a debt-free balance sheet are also fueling growth. Increase in New Insurance Written Aid MGIC Investment (MTG)Per the Zacks analyst, MGIC Investment is poised to grow on higher insurance in force, improved direct premium yield, higher annual persistency, lower claims and a strong capital position. New Downgrades Helmerich & Payne (HP) Risks from Falling U.S. Rig DemandThe Zacks analyst believes that Helmerich & Payne's strong dependence on U.S. drilling puts it at risk of lower rig demand and weaker margins if oil prices continue falling. Campbell's (CPB) Appears Troubled by Elevated Cost InflationPer the Zacks analyst, cost inflation hurt Campbell's gross margin. In Q3 adjusted gross profit margin fell 110 basis points to 30.1%, impacted by cost inflation and supply-chain costs among others. Soft Industrial Demand, Repositioning Ail Ingevity (NGVT)According to the Zacks analyst, Ingevity faces headwinds from weaker industrial demand. Its repositioning measures will also hurt sales in the industrial specialties product line. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Illinois Tool Works Inc. (ITW) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report SandRidge Energy, Inc. (SD) : Free Stock Analysis Report CompX International Inc. (CIX) : Free Stock Analysis Report Veeva Systems Inc. (VEEV) : Free Stock Analysis Report Palantir Technologies Inc. (PLTR) : Free Stock Analysis Report Meta Platforms, Inc. (META) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
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38 minutes ago
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Building a $28,000 TFSA Portfolio One Contribution at a Time
Written by Adam Othman at The Motley Fool Canada Ever since central banks in the US and Canada started cutting key interest rates, economic activity has picked up pace in both countries. While the rate cuts are currently paused amid trade and geopolitical tensions, analysts predict two more rate cuts of 25 basis points as inflation and tariff-related headwinds ease. Lower interest rates also mean you cannot generate too much interest income from cash held in high-interest savings accounts. If you have $28,000 of contribution room available in a Tax-Free Savings Account (TFSA), I can tell you a much better way of generating good monthly returns. The TSX has no shortage of monthly dividend-paying stocks. Building a portfolio of high-quality TSX stocks paying monthly distributions to shareholders can be a great way to generate extra monthly income. Here's a table giving you a quick look at how a hypothetical amount of around $28,000 across three such TSX stocks can deliver $144 in monthly dividends in a TFSA without incurring taxes. After that, you can read a bit about each. Ticker Recent Price Number of Shares Amount Invested Monthly Dividends Per Share Total Monthly Payout Per Stock PZA $14.91 625 $9,318.75 $0.0775 $48.44 SIA $18.52 503 $9,315.56 $0.078 $39.23 $25.37 368 $9,336.16 $0.1542 $56.75 Total Monthly Payout $144.42 Pizza Pizza Royalty Corp. (TSX:PZA) is a $497.3 million market-cap company that owns and franchises quick-service restaurants under several brands, boasting almost 800 restaurants from one coast to the other. The monthly dividend-paying stock generates revenue by collecting royalties from its franchisees based on how much they sell, making its cash flows less vulnerable to wage increases or commodity price fluctuations, which weigh on many businesses in the industry. The brands under the company's banner consistently keep adding value to end consumers by updating menus and using creative brand messaging. The company is also planning to continue to increase its locations. I believe this stock can be a good investment for earning relatively safe monthly dividends. Sienna Senior Living Inc. (TSX:SIA) is a $1.7 billion market-cap giant in the senior living space. It is among the largest owners of senior housing facilities in Ontario, servicing the aging population. Occupancy rates are getting higher and higher, and it generates revenue from several business segments catering to different markets within Canada. As long as the growth in the senior population continues, so will the demand for the services that SIA stock offers. The company ended the first quarter of fiscal 2025 with $445 million in liquidity, indicating that it has more than enough capital to fund monthly dividends and acquire more facilities under its banner. It can be another solid investment to consider for monthly dividends. SmartCentres REIT (TSX: is a Real Estate Investment Trust (REIT) that can help you earn monthly income like a lazy landlord. If you have the cash outlay for stock market investing, you have the ability to invest in the real estate sector, all without the hassle of being an actual landlord. has a portfolio of almost 200 properties in key locations across the country, with over 95% of its tenants having a regional or national presence. Most of its revenue comes from commercial tenants offering essential services, giving it solid cash-generating opportunities. Boasting an impressive 98.4% occupancy rate, it can be a solid investment. I feel that you should take any opportunity you can to make more money, and the TFSA gives you the perfect chance to do that. The tax-sheltered nature of the account means you can enjoy the returns from your investments in the account without incurring taxes. The table at the start paints a picture of what the monthly income might look like with a hypothetical $28,000 across three monthly dividend stocks. Add capital gains in the long term into the mix and your total returns over a few years can be much higher. The post Building a $28,000 TFSA Portfolio One Contribution at a Time appeared first on The Motley Fool Canada. More reading Made in Canada: 5 Homegrown Stocks Ready for the 'Buy Local' Revolution [PREMIUM PICKS] Market Volatility Toolkit Best Canadian Stocks to Buy in 2025 Beginner Investors: 4 Top Canadian Stocks to Buy for 2025 5 Years From Now, You'll Probably Wish You Grabbed These Stocks Subscribe to Motley Fool Canada on YouTube Fool contributor Adam Othman has no position in any of the stocks mentioned. The Motley Fool recommends SmartCentres Real Estate Investment Trust. The Motley Fool has a disclosure policy. 2025
