The market has been flat in the last week, but it has risen 13% over the past 12 months with earnings forecast to grow by 16% annually. In this environment, dividend stocks can be a valuable addition to your portfolio, providing steady income and potential for growth.
Top 10 Dividend Stocks In Canada
| Name | Dividend Yield | Dividend Rating |
| Whitecap Resources (TSX:WCP) | 7.02% | ★★★★★★ |
| Secure Energy Services (TSX:SES) | 3.29% | ★★★★★☆ |
| Labrador Iron Ore Royalty (TSX:LIF) | 8.51% | ★★★★★☆ |
| Power Corporation of Canada (TSX:POW) | 5.55% | ★★★★★☆ |
| Enghouse Systems (TSX:ENGH) | 3.59% | ★★★★★☆ |
| Russel Metals (TSX:RUS) | 4.53% | ★★★★★☆ |
| iA Financial (TSX:IAG) | 3.20% | ★★★★★☆ |
| Firm Capital Mortgage Investment (TSX:FC) | 8.62% | ★★★★★☆ |
| Royal Bank of Canada (TSX:RY) | 3.55% | ★★★★★☆ |
| Canadian Natural Resources (TSX:CNQ) | 4.27% | ★★★★★☆ |
Click here to see the full list of 33 stocks from our Top TSX Dividend Stocks screener.
Underneath we present a selection of stocks filtered out by our screen.
iA Financial (TSX:IAG)
Simply Wall St Dividend Rating: ★★★★★☆
Overview: iA Financial Corporation Inc. provides insurance and wealth management services in Canada and the United States, with a market cap of CA$9.58 billion.
Operations: The company's revenue segments include CA$517 million from Investment, CA$1.62 billion from US Operations, CA$3.95 billion from Insurance in Canada, and CA$2.42 billion from Wealth Management.
Dividend Yield: 3.2%
iA Financial's dividends are well-covered by earnings (43% payout ratio) and cash flows (16.9% cash payout ratio), providing reliability and stability over the past 10 years. The recent strategic partnership with IG Wealth Management enhances its market position, while the latest quarterly dividend of $0.82 per share continues its consistent payment history. Despite a modest 3.2% yield, iA Financial trades at a significant discount to estimated fair value, suggesting potential for capital appreciation alongside steady income.
- Click to explore a detailed breakdown of our findings in iA Financial's dividend report.
- The analysis detailed in our iA Financial valuation report hints at an deflated share price compared to its estimated value.
National Bank of Canada (TSX:NA)
Simply Wall St Dividend Rating: ★★★★★☆
Overview: National Bank of Canada provides financial services to individuals, businesses, institutional clients, and governments in Canada and internationally, with a market cap of CA$40.81 billion.
Operations: National Bank of Canada's revenue segments include Wealth Management (CA$2.61 billion), Personal and Commercial (CA$4.33 billion), Financial Markets excluding USSF&I (CA$2.76 billion), and U.S. Specialty Finance and International (USSF&I) (CA$1.16 billion).
Dividend Yield: 3.5%
National Bank of Canada declared a quarterly dividend of $1.10 per common share, payable on November 1, 2024. Despite a slight decline in net interest income to CAD 769 million for Q3 2024, the bank's net income rose to CAD 1.03 billion. With reliable and growing dividends over the past decade and a low payout ratio of 42.5%, National Bank offers a stable dividend investment option, though its yield is modest compared to top-tier Canadian dividend payers.
- Dive into the specifics of National Bank of Canada here with our thorough dividend report.
- The valuation report we've compiled suggests that National Bank of Canada's current price could be quite moderate.
Power Corporation of Canada (TSX:POW)
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Power Corporation of Canada, an international management and holding company with a market cap of CA$25.88 billion, offers financial services in North America, Europe, and Asia.
Operations: Power Corporation of Canada's revenue segments include Lifeco (CA$26.23 billion), Power Financial - IGM (CA$3.65 billion), Holding Company (CA$83 million), and Alternative Asset Investment Platforms and Other (CA$1.69 billion).
Dividend Yield: 5.6%
Power Corporation of Canada reported strong earnings for Q2 2024, with net income rising to CAD 743 million from CAD 514 million a year ago. The company declared a quarterly dividend of 56.25 cents per share, payable November 1, 2024. With a payout ratio of 47.8% and cash payout ratio of 33.4%, dividends are well covered by earnings and cash flows. Trading at good value compared to peers, POW offers stable and growing dividends over the past decade but yields less than top-tier Canadian dividend payers at 5.55%.
- Navigate through the intricacies of Power Corporation of Canada with our comprehensive dividend report here.
- Insights from our recent valuation report point to the potential undervaluation of Power Corporation of Canada shares in the market.
Taking Advantage
- Click here to access our complete index of 33 Top TSX Dividend Stocks.
- Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.
- Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.
Searching for a Fresh Perspective?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
- Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
- Find companies with promising cash flow potential yet trading below their fair value.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Valuation is complex, but we're here to simplify it.
Discover if iA Financial might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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About TSX:IAG
iA Financial
Provides insurance and wealth management services in Canada and the United States.
Established dividend payer and good value.
