Tech Dividends, Part 1
Want to share your content on R-bloggers? click here if you have a blog, or here if you don't.
In a previous post, we explored the dividend history of stocks included in the SP500. Today, we’ll extend that analysis to cover the Nasdaq because, well, because in the previous post I said I would do that. We’ll also explore a different source for dividend data, do some string cleaning and check out ways to customize a tooltip in plotly. Bonus feature: we’ll get into some animation too. We have a lot to cover, so let’s get to it.
We need to load up our packages for the day.
library(tidyverse) library(tidyquant) library(janitor) library(plotly)
First, we need all the companies listed on the Nasdaq. Not so long ago, it wasn’t easy to import that information into R. Now we can use tq_exchange("NASDAQ") from the tidyquant package.
nasdaq <-
tq_exchange("NASDAQ")
nasdaq %>%
head()
# A tibble: 6 x 7
symbol company last.sale.price market.cap ipo.year sector industry
<chr> <chr> <dbl> <chr> <dbl> <chr> <chr>
1 YI 111, Inc. 3.5 $285.81M 2018 Health… Medical/N…
2 PIH 1347 Prope… 5.02 $30.18M 2014 Finance Property-…
3 PIHPP 1347 Prope… 25.6 $17.93M NA Finance Property-…
4 TURN 180 Degree… 1.95 $60.56M NA Finance Finance/I…
5 FLWS 1-800 FLOW… 19.1 $1.23B 1999 Consum… Other Spe…
6 BCOW 1895 Banco… 9.46 $46.13M 2019 Finance Banks
Notice how the market.cap column is of type character? Let’s coerce it to a dbl with as.numeric and while we’re at it, let’s remove the periods in all the column names with clean_names from the janitor package.
nasdaq %>% clean_names() %>% mutate(market_cap = as.numeric(market_cap)) %>% select(symbol, market_cap) %>% head() # A tibble: 6 x 2 symbol market_cap <chr> <dbl> 1 YI NA 2 PIH NA 3 PIHPP NA 4 TURN NA 5 FLWS NA 6 BCOW NA
Not exactly what we had in mind. The presence of those M, B and $ characters are causing as.numeric() to coerce the column to NAs. If we want to do any sorting by market cap, we’ll need to clean that up and it’s a great chance to explore some stringr. Let’s start with str_remove_all and remove those non-numeric characters. The call is market_cap %>% str_remove_all("\\$|M|B"), and then an arrange(desc(market_cap)) so that the largest cap company is first.
nasdaq %>%
clean_names() %>%
mutate(market_cap = market_cap %>% str_remove_all("\\$|M|B") %>% as.numeric()) %>%
arrange(desc(market_cap)) %>%
head()
# A tibble: 6 x 7
symbol company last_sale_price market_cap ipo_year sector industry
<chr> <chr> <dbl> <dbl> <dbl> <chr> <chr>
1 CIVBP Civista B… 69 698280 NA Finance Major Banks
2 ASRVP AmeriServ… 28.9 606900 NA Finance Major Banks
3 ESGRP Enstar Gr… 26.7 427040 NA Finance Property-C…
4 AGNCN AGNC Inve… 25.9 336700 NA Consum… Real Estat…
5 SBFGP SB Financ… 16.2 243669. NA Finance Major Banks
6 ESGRO Enstar Gr… 26.5 116644 NA Finance Property-C…
Well, that wasn’t too bad!
Wait, that looks weird, where’s AMZN and MSFT shouldn’t they be at the top of the market cap? Look closely at market_cap and notice it’s been coerced to a numeric value as we intended but we didn’t account for the fact that those M and B letters were abbreviating values and standing place for a whole bunch of zeroes. The first symbol above, CIVBP, didn’t have an M or B because it’s market cap is low, so it didn’t have any zeroes lopped off of it. We need a way to remove the M and the B account for those zeroes that got removed. Here’s how I chose to tackle this:
Find all the cells that do not have an
Mor aB, remove the$sign, convert to numeric and divide by 1000. We do that withif_else(str_detect(market_cap, "M|B", negate = TRUE), str_remove_all(market_cap, "\\$") %>% as.numeric() %>%/(1000).Find all the cells that have a
B, remove theBand the$sign, convert to numeric and multiply by 1000. We do that withif_else(str_detect(market_cap, "B"), str_remove_all(market_cap, "\\$|B") %>% as.numeric() %>%*(1000).Find all the cells that have an
M, remove theMand the$sign, convert to numeric and don’t multiply or divide. We do that withstr_remove_all(market_cap, "\\$|M") %>% as.numeric())).
Here’s the full call:
nasdaq %>%
clean_names() %>%
mutate(market_cap =
if_else(str_detect(market_cap, "M|B", negate = TRUE),
str_remove_all(market_cap, "\\$") %>% as.numeric() %>% `/`(1000),
if_else(str_detect(market_cap, "B"),
str_remove_all(market_cap, "\\$|B") %>% as.numeric() %>% `*`(1000),
str_remove_all(market_cap, "\\$|M") %>% as.numeric()))) %>%
arrange(desc(market_cap))
# A tibble: 3,507 x 7
symbol company last_sale_price market_cap ipo_year sector industry
<chr> <chr> <dbl> <dbl> <dbl> <chr> <chr>
1 MSFT Microsof… 135. 1028410. 1986 Techno… Computer S…
2 AAPL Apple In… 197 890280 1980 Techno… Computer M…
3 AMZN Amazon.c… 1788. 884360 1997 Consum… Catalog/Sp…
4 GOOGL Alphabet… 1171. 812020 NA Techno… Computer S…
5 GOOG Alphabet… 1170. 811240 2004 Techno… Computer S…
6 FB Facebook… 185. 526400 2012 Techno… Computer S…
7 CSCO Cisco Sy… 52.6 225170 1990 Techno… Computer C…
8 INTC Intel Co… 47.0 208030 NA Techno… Semiconduc…
9 CMCSA Comcast … 42.1 191210 NA Consum… Television…
10 PEP Pepsico,… 126. 176800 NA Consum… Beverages …
# … with 3,497 more rows
That finally looks how we were expecting, the top five by market cap are MSFT, AMZN, GOOG, FB and CSCO. Let’s save that as an object called nasdaq_wrangled.
nasdaq_wrangled <-
nasdaq %>%
clean_names() %>%
mutate(market_cap =
if_else(str_detect(market_cap, "M|B", negate = TRUE),
str_remove_all(market_cap, "\\$") %>% as.numeric() %>% `/`(1000),
if_else(str_detect(market_cap, "B"),
str_remove_all(market_cap, "\\$|B") %>% as.numeric() %>% `*`(1000),
str_remove_all(market_cap, "\\$|M") %>% as.numeric()))) %>%
arrange(desc(market_cap))
Now, let’s dig in to the dividends paid by these Nasdaq-listed companies that have IPO’d in the last ten years. It’s a bit anticlimactic because most haven’t paid any dividends but here we go. First, let’s pull just the tickers for companies that IPO’d after 2007, by setting filter(ipo_year > 2007).
nasdaq_tickers <- nasdaq_wrangled %>% filter(ipo_year > 2007) %>% pull(symbol) nasdaq_tickers %>% head() [1] "FB" "AVGO" "TSLA" "JD" "TEAM" "NXPI"
We will import the dividend data using tq_get(source = 'dividends'), which is a wrapper for quantmod::getDividends() and sources dividend data from Yahoo! Finance.
We are passing 1120 symbols to this function but only those that pay a dividend will come back to us. It takes a while to run this because we still have to check on all 1120.
nasdaq_dividends <- nasdaq_tickers %>% tq_get(get = 'dividends') %>% select(-value)
After a huge data import task like that, I like to use slice(1) to grab the first observation from each group, which in this case will be each symbol. We can count the number symbols for which we have a dividend and it’s 130.
nasdaq_dividends %>% group_by(symbol) %>% slice(1) %>% glimpse() Observations: 130 Variables: 3 Groups: symbol [130] $ symbol <chr> "AGNC", "AMAL", "ATAI", "AVGO", "AY", "BKEP", "BLMN", … $ date <date> 2009-03-31, 2018-11-15, 2011-06-28, 2010-12-13, 2014-… $ dividends <dbl> 0.850, 0.060, 0.430, 0.070, 0.037, 0.110, 0.060, 0.003…
We could also get a sense for how these first dividend payments cluster into years by using count(year). Note we need to ungroup() first.
nasdaq_dividends %>%
group_by(symbol) %>%
slice(1) %>%
mutate(year = year(date)) %>%
ungroup() %>%
count(year)
# A tibble: 11 x 2
year n
<dbl> <int>
1 2009 3
2 2010 8
3 2011 6
4 2012 9
5 2013 14
6 2014 12
7 2015 15
8 2016 12
9 2017 12
10 2018 28
11 2019 11
And a chart will help to communicate these yearly frequencies.
nasdaq_dividends %>% group_by(symbol) %>% slice(1) %>% mutate(year = year(date)) %>% ungroup() %>% count(year) %>% ggplot(aes(year, n)) + geom_col(fill = "cornflowerblue", width = .5) + scale_x_continuous(breaks = 2008:2019) + scale_y_continuous(breaks = scales::pretty_breaks(n = 15)) + labs(y = "number of first dividends by year", x = "")
Hmmm, interesting. I expected the numbers to steadily increase year by year as companies became more mature and cash flow positive, but that is not the pattern we see in that plot
Now, let’s create a quick chart of the last dividend paid by each of these 130 companies, using slice(n()). This time we’ll plot a dot with geom_point().
nasdaq_dividends %>%
group_by(symbol) %>%
slice(n()) %>%
mutate(year = year(date)) %>%
ggplot(aes(x = year, y = dividends, color = symbol)) +
geom_point() +
scale_y_continuous(labels = scales::dollar) +
scale_x_continuous(breaks = 2008:2019) +
labs(x = "", y = "div/share", title = "Nasdaq dividends") +
theme(legend.position = "none",
plot.title = element_text(hjust = 0.5))
Not quite as useful as a lot of the dots are right on top of each other. We do see a couple of massive outliers. Let’s add the label for each symbol with geom_label(aes(label = symbol)).
nasdaq_dividends %>%
group_by(symbol) %>%
slice(n()) %>%
ggplot(aes(x = date, y = dividends, color = symbol)) +
geom_point() +
geom_label(aes(label = symbol)) +
scale_y_continuous(labels = scales::dollar) +
scale_x_date(breaks = scales::pretty_breaks(n = 10)) +
labs(x = "", y = "div/share", title = "Nasdaq dividends") +
theme(legend.position = "none",
plot.title = element_text(hjust = 0.5))
MACK and FWP paid some huge dividends. Let’s investigate.
nasdaq_dividends %>% filter(symbol == "MACK" | symbol == "FWP") # A tibble: 2 x 3 symbol date dividends <chr> <date> <dbl> 1 MACK 2017-05-30 106. 2 FWP 2017-09-12 23.1
These were most likely special dividends of some sort and that might be worth investigating but it’s not our project today so let’s filter those two out of the data and then recreate the plot. Let’s remove the geom_label so we see just the dots again, this time by date instead of year.
nasdaq_dividends %>%
filter(symbol != "MACK" & symbol != "FWP") %>%
group_by(symbol) %>%
slice(n()) %>%
ggplot(aes(x = date, y = dividends, color = symbol)) +
geom_point() +
# geom_label(aes(label = symbol)) +
scale_y_continuous(labels = scales::dollar) +
scale_x_date(breaks = scales::pretty_breaks(n = 10)) +
labs(x = "", y = "div/share", title = "Nasdaq dividends") +
theme(legend.position = "none",
plot.title = element_text(hjust = 0.5))
That’s a snapshot of the last dividend paid by each company and we can see the clustering a bit better. Quite a few companies paid their last dividend before 2019, which might indicate it’s not a regular dividend. Let’s check out the entire history of each company by removing slice(n()).
nasdaq_dividends %>%
filter(symbol != "MACK" & symbol != "FWP") %>%
group_by(symbol) %>%
ggplot(aes(x = date, y = dividends, color = symbol)) +
geom_point() +
# geom_label(aes(label = symbol)) +
scale_y_continuous(labels = scales::dollar) +
scale_x_date(breaks = scales::pretty_breaks(n = 10)) +
labs(x = "", y = "div/share", title = "Nasdaq dividends") +
theme(legend.position = "none",
plot.title = element_text(hjust = 0.5))
If you’re like me, you’re just itching to hover on, say, that reddish dot between $5 and $7 and see which company it is, maybe even click the dot and isolate it. Good news, we can wrap that chart in a call to ggplotly() and get part of that functionality out of the box. We will need to add the legend back to the plot by removing legend.position = "none".
library(plotly) ggplotly( nasdaq_dividends %>% filter(symbol != "MACK" & symbol != "FWP") %>% group_by(symbol) %>% ggplot(aes(x = date, y = dividends, color = symbol)) + geom_point() + scale_y_continuous(labels = scales::dollar) + scale_x_date(breaks = scales::pretty_breaks(n = 10)) + labs(x = "", y = "div/share", title = "Nasdaq dividends") + theme(plot.title = element_text(hjust = 0.5)) )
R-bloggers.com offers daily e-mail updates about R news and tutorials about learning R and many other topics. Click here if you're looking to post or find an R/data-science job.
Want to share your content on R-bloggers? click here if you have a blog, or here if you don't.