Top 3 TSX Dividend Stocks To Consider

As October closed with markets near record highs, investors have been navigating a landscape shaped by central banks' cautious rate cuts and easing trade tensions between the U.S. and China. In this environment of resilient corporate earnings and shifting monetary policies, dividend stocks on the Toronto Stock Exchange (TSX) can offer stability and income potential for those looking to balance growth with reliable returns.

Top 10 Dividend Stocks In Canada

Click here to see the full list of 19 stocks from our Top TSX Dividend Stocks screener.

Below we spotlight a couple of our favorites from our exclusive screener.

Evertz Technologies (TSX:ET)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Evertz Technologies Limited designs, manufactures, and distributes video and audio infrastructure solutions for production, post-production, broadcast, and telecommunications markets globally, with a market cap of CA$955.47 million.

Operations: Evertz Technologies generates revenue from its Television Broadcast Equipment Market segment, which amounts to CA$502.13 million.

Dividend Yield: 6.3%

Evertz Technologies recently affirmed a quarterly dividend of C$0.20 per share, continuing its pattern of increasing dividends over the past five years. However, despite a high yield in the top 25% of Canadian payers, its payout ratio is concerningly high at 98.6%, indicating dividends are not well covered by earnings. The company shows potential for growth through acquisitions and trades below estimated fair value, but dividend reliability remains an issue due to past volatility.

• Click here and access our complete dividend analysis report to understand the dynamics of Evertz Technologies.
• Our comprehensive valuation report raises the possibility that Evertz Technologies is priced lower than what may be justified by its financials.

High Liner Foods (TSX:HLF)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: High Liner Foods Incorporated processes and markets prepared and packaged frozen seafood products in North America, with a market cap of CA$489.73 million.

Operations: High Liner Foods generates revenue of $971.97 million from its manufacturing and marketing of prepared and packaged frozen seafood segment.

Dividend Yield: 4%

High Liner Foods maintains a quarterly dividend of C$0.17 per share, with payments covered by earnings (payout ratio: 28.9%) and cash flows, though past volatility raises concerns about reliability. Recent executive changes may impact strategic direction, as Kimberly Stephens steps in as CFO. Despite a lower yield compared to top Canadian payers and an unstable dividend track record, the company trades at good value relative to peers and has completed significant share repurchases totaling C$20.3 million.

• Unlock comprehensive insights into our analysis of High Liner Foods stock in this dividend report.
• Our valuation report unveils the possibility High Liner Foods' shares may be trading at a discount.

Wajax (TSX:WJX)

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Wajax Corporation is a Canadian company that supplies industrial products and services, with a market capitalization of CA$536.47 million.

Operations: Wajax Corporation's revenue segments include industrial products and services in Canada, contributing to its market presence.

Dividend Yield: 5.6%

Wajax offers a stable dividend yield of 5.59%, supported by a payout ratio of 65.7% and low cash payout ratio of 16.9%, indicating strong coverage by earnings and cash flows. The company has maintained reliable dividends over the past decade, with consistent growth in payments. Despite its high debt level, Wajax's recent earnings report showed improved net income, reinforcing its ability to sustain dividends, as affirmed with a quarterly CAD 0.35 per share payment announcement.

• Take a closer look at Wajax's potential here in our dividend report.
• The analysis detailed in our Wajax valuation report hints at an inflated share price compared to its estimated value.

Next Steps

• Navigate through the entire inventory of 19 Top TSX Dividend Stocks here.
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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.

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