As intelligent investors know, dividend-paying stocks far outperform their non-dividend-paying counterparts over the long term. It is for this reason that all long-term investors should own at least one dividend-paying stocks, and depending on your age, investment goals, and risk tolerance, maybe even a diversified portfolio full of them. With this in mind, let’s take a look at three dividend-paying stocks from three different industries that you could buy right now.
1. Bird Construction Inc.: 6.9% yield
Bird Construction Inc. (TSX:BDT) is one of the largest general contractors in Canada. It pays a monthly dividend of $0.0633 per share, or $0.7596 per share annually, giving its stock a 6.9% yield at today’s levels. The company has also increased its annual dividend payment each of the last three years, and its strong operational performance, including an 11.5% year-over-year increase in revenue to $306.16 million and a 416.6% year-over-year increase in net income to $4.73 million in the first quarter of fiscal 2015, could allow this streak to continue for the next several years.
2. Acadian Timber Corp.: 4.8% yield
Acadian Timber Corp. (TSX:ADN) is the second-largest operator of timberlands in New Brunswick and Maine. It pays a quarterly dividend of $0.225 per share, or $0.90 per share annually, giving its stock a 4.8% yield at current levels. It is also important to note that the company increased its dividend by 9.1% earlier this year as a result of “surplus cash,” and I think this could become an ongoing theme over the next several years.
3. First Capital Realty Inc.: 4.75% yield
First Capital Realty Inc. (TSX:FCR) is one of Canada’s largest owners, developers, and managers of grocery-anchored urban properties. It pays a quarterly dividend of $0.215 per share, or $0.86 per share annually, giving its stock a 4.75% yield at today’s levels. It is also worth noting that the company has increased its dividend twice since 2012, and its increased amount of funds from operations, including 5.7% year-over-year growth to $55.1 million in the first quarter of fiscal 2015, could allow for another increase in the second half of the year.
Should you add a dividend stock to your portfolio?
Bird Construction, Acadian Timber, and First Capital Realty are three under-followed stocks that deserve your attention because of their very high dividend yields. If your portfolio could use dividend income, take a closer look and strongly consider buying one or more of these stocks today.
