Shaw Communications (SJR)
Market Cap: $10.9 billion
Dividend Yield: 4.1%
Shaw Communications (SJR) is one of the largest telecom companies in Canada, providing triple-play (telephone, Internet and TV) services, as well as direct broadcast satellite operations.
While traditional telecom stocks are not growth plays in the U.S., niche opportunities remain in Canada. SJR stock benefits from the company’s particular focus on Western Canada. In fact, it’s kind of a gift with purchase for this dividend stock, because services growth in Alberta is likely to outpace that in other Canadian provinces.
Even so, SJR stock has a beta of only 0.45, and while a P/E of 15.6 is not aggressively lower than its five-year average P/E of 16, lower is still lower. And when you compare SJR stock’s P/E to the S&P 500’s 17 — or the industry average of 23.5 — SJR stock still comes out smelling like a rose.