3 Dividend Stocks for Long-Term Investors

Looking for a high dividend stock? If so, Vermilion Energy Inc. (TSX:VET)(NYSE:VET), CT Real Estate Investment Trust (TSX:CRT.UN), and AutoCanada Inc. (TSX:ACQ) are great options.

| More on:

Whether you just opened your first brokerage account or have been investing for decades, you must own at least one dividend-paying stock, because they far outperform non-dividend-paying stocks over the long term. With this in mind, let’s take a look at three high-yielding stocks that you could buy today.

1. Vermilion Energy Inc.: 5.4% yield

Vermilion Energy Inc. (TSX:VET)(NYSE:VET) is one of the largest producers of crude oil and natural gas in North America, Europe, and Australia. It pays a monthly dividend of $0.215 per share, or $2.58 per share annually, giving its stock a 5.4% yield at today’s levels.

Investors should also note that Vermilion has increased its dividend for two consecutive years, but its decreased amount of funds from operations, including a 40.6% year-over-year decline to $250.3 million in the first half of fiscal 2015, may cause it to simply maintain its current rate until oil and gas prices recover.

2. CT Real Estate Investment Trust: 5.05% yield

CT Real Estate Investment Trust (TSX:CRT.UN) is one of Canada’s largest owners and operators of commercial real estate. It pays a monthly distribution of $0.05525, or $0.663 per share annually, which gives its stock a 5.05% yield at current levels.

It is also important to note that CT REIT raised its distribution by 2% in December 2014, and its increased amount of funds from operations, including 14.8% year-over-year growth to $74.1 million in the first half of fiscal 2015, could allow for another increase in the very near future.

3. AutoCanada Inc.: 3.2% yield

AutoCanada Inc. (TSX:ACQ) is Canada’s largest automobile dealership group. It pays a quarterly dividend of $0.25 per share, or $1.00 per share annually, giving its stock a 3.2% yield at today’s levels.

Investors should also note that AutoCanada has raised its dividend for four consecutive years, and its increased amount of free cash flow, including a 3.2% year-over-year increase to $51 million in its trailing 12-month period ending on June 30, 2015, could allow this streak to continue in 2015.

Which of these high yielders should you buy?

Vermilion Energy, CT REIT, and AutoCanada are three of the most attractive dividend plays in their respective industries. All Foolish investors should strongly consider initiating positions in one of them today.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Joseph Solitro has no position in any stocks mentioned.

More on Dividend Stocks