Michael Fitzsimmons
Oil & gas, dividend investing, research analyst

Parkland Fuel Corp.: 5.2% Safe Yield Combined With Excellent Growth Prospects

Parkland Fuel Corporation (OTCPK:PKIUF) is Canada's largest independent fuel supplier and reseller. It trades on the OTC, but its home market is on the Toronto Stock Exchange ("TSE") where it trades under the symbol "PKI". The company is relatively small (market cap ~$1.5 billion) and unknown by US investors. Yet Parkland offers investors a sustainable utility-like dividend yield and is a excellent defensive investment as its revenue streams are reliable in both good times and bad. The combination of a current 5.2% dividend yield and an estimated 30% growth in EBITDA over the next two years should lead to relatively low-risk total return of 20% this year and next.

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The company operates in three marketing...

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