What Canadian stocks to buy that pay dividends?
Royal Bank of Canada stock
The largest Canadian bank, Royal Bank of Canada (TSX:RY), is also one of the best dividend stocks in Canada. After ending 2023 with 5.3% gains, RY stock hasn't seen any notable change in 2024 so far, as it currently trades at $134.72 per share with a market cap of $189.8 billion.
| Name | Price | Analyst Price Target |
|---|---|---|
| ENB Enbridge | C$45.89 | C$51.22 (11.61% Upside) |
| CM Canadian Bank of Commerce | C$64.80 | C$70.90 (9.42% Upside) |
| KEY Keyera Corp. | C$34.70 | C$36.70 (5.76% Upside) |
| CPX Capital Power | C$35.87 | C$42.80 (19.32% Upside) |
| Rankings | Symbol | Company |
|---|---|---|
| 1 | CUEH | CIBC U.S. Equity Index ETF (CAD-Hedged) |
| 2 | ZUM | ZoomerMedia Limited |
| 3 | CBLT | CBLT Inc. |
| 4 | CIEH | CIBC International Equity Index ETF (CAD-Hedged) |
- Shopify (TSX:SHOP) stock has gained about 54% over the past year. ...
- Celestica (TSX:CLS) stock is up about 257% in one year. ...
- goeasy (TSX:GSY) stock has consistently outperformed the broader markets and delivered significant gains over the past decade.
| Name | Ticker | Dividend Yield |
|---|---|---|
| S&P/TSX Canadian Dividend Aristocrats Index Fund | CDZ | 4.11% |
| iShares Canadian Select Dividend Index ETF | XDV | 5.02% |
| FTSE Canadian High Dividend Yield Index ETF | VDY | 4.79% |
| BMO Canadian Dividend ETF | ZDV | 4.37% |
Royal Bank of Canada stock
The largest Canadian bank, Royal Bank of Canada (TSX:RY), is also one of the best dividend stocks in Canada. After ending 2023 with 5.3% gains, RY stock hasn't seen any notable change in 2024 so far, as it currently trades at $134.72 per share with a market cap of $189.8 billion.
- Canadian Utilities. ...
- Fortis. ...
- Enbridge. ...
- Canadian Natural Resources. ...
- Bank of Montreal.
- Verizon Communications VZ.
- Johnson & Johnson JNJ.
- Philip Morris International PM.
- Altria Group MO.
- Comcast CMCSA.
- Medtronic MDT.
- Pioneer Natural Resources PXD.
- Duke Energy DUK.
The Top 10 list of companies that have paid monthly dividends in 2022 includes ARMOUR Residential REIT, Inc., Orchid Island Capital, Inc., AGNC Investment Corp., Oxford Square Capital Corp., Ellington Residential Mortgage REIT, SLR Investment Corp., PennantPark Floating Rate Capital Ltd., Main Street Capital ...
National Bank stock
While the shares of most large banks trended downward last year, National Bank of Canada (TSX:NA) inched up by nearly 11%. Similarly, it continues to be the top-performing Canadian bank stock in 2024 with its 9.1% year-to-date gains.
Which investments have the best returns in Canada?
- • Stocks. If you want the highest possible returns with more volatility, stocks may be for you. ...
- Exchange-traded funds (ETFs) and mutual funds. ...
- Government and Corporate Bonds. ...
- Real Estate.
- Stocks: Equities, as they're also known, get you an ownership stake — or shares — in the company that issued them. ...
- Mutual funds and ETFs: There are other ways to add equity exposure to your portfolio. ...
- Fixed income: ...
- GICs: ...
- Cash: ...
- Commodities: ...
- Real estate:
| Rank | Month of Year | Frequency of Growth (%) |
|---|---|---|
| #1 | December | 79.0% |
| #2 | April | 74.3% |
| #3 | October | 68.6% |
| #4 | July | 61.7% |
- RioCan Real Estate Investment Trust. RioCan (TSX:REI. ...
- Whitecap Resources. Whitecap Resources (TSX:WCP), a significant player in the energy sector, particularly in oil and gas production, holds a notable position in the Canadian energy industry. ...
- Slate Grocery REIT.
In Canada, capital gains are taxed at a lower rate than interest—and dividends. (Note: that doesn't reduce the importance of a dividend stock strategy to achieving your investment goals.) You have to pay capital gains tax on profit you make from the sale of an asset.
- Universal Corporation (UVV)
- Northwest Natural Holding Company (NWN)
- 3M Co (MMM)
- Leggett & Platt, Incorporated (LEG)
- Altria Group (MO)
Within the banking space, Bank of Montreal (TSX:BMO) stands out for its stellar dividend payment history. The financial services giant has been paying dividends for 195 years, the longest by any Canadian company. Also, its dividends have grown at a compound annual growth rate (CAGR) of 5% in the last 15 years.
Enbridge's high yield, solid dividend payment and growth history, and growing DCF make it an attractive passive income investment. Further, based on its current dividend yield of 7.9%, investors can make $1,975 per year on an investment of $25,000.
- Loblaw. Investors looking for safe stocks could consider investing in Loblaw (TSX:L). ...
- Fortis. Like Loblaw, Fortis (TSX:FTS) is also a low-risk stock offering stability to your portfolio in all market conditions. ...
- Dollarama. The final stock on this list is Dollarama (TSX:DOL).
| Stock | Dividend yield | Dividend growth streak |
|---|---|---|
| Procter & Gamble Co. (PG) | 2.4% | 68 years |
| 3M Co. (MMM) | 6.5% | 65 years |
| Coca-Cola Co. (KO) | 3.3% | 61 years |
| Johnson & Johnson (JNJ) | 3.2% | 61 years |
Where do you hold Canadian dividend stocks?
In summary, from a tax perspective, it may be worthwhile to focus on holding equity investments such as Canadian dividend-paying stocks in your non- registered account to benefit from the preferred tax treatment of capital gains and dividends.
- Exchange Traded Funds (ETFs) ETFs have grown to become one of the most popular investments. ...
- Dividend Stocks. Dividend stocks are among the best stocks to buy now. ...
- Short-term Bonds. ...
- Real Estate. ...
- Alternative Assets.
| Stock | Dividend yield |
|---|---|
| United Micro Electronics (UMC) | 7.0% |
| Enbridge Inc. (ENB) | 7.6% |
| Ecopetrol SA (EC) | 14.6% |
| United Parcel Service Inc. (UPS) | 4.2% |
| Name | Price | Analyst Price Target |
|---|---|---|
| CVX Chevron | $156.71 | $183.60 (17.16% Upside) |
| EOG EOG Resources | $132.59 | $146.71 (10.65% Upside) |
| ET Energy Transfer | $15.21 | $18.33 (20.51% Upside) |
| HESM Hess Midstream Partners | $34.74 | $37.50 (7.94% Upside) |
Safest Dividend Stock #1: Globe Life Inc. (
Founded in 1979, the company has raised its dividend every year for the past 18 years. Globe Life reported Q4 and full year 2023 earnings on February 7th, 2024. For the quarter, earnings-per-share were $2.88, above the $2.46 the company reported in the same quarter of 2022.
