3 Dividend-Growth Aristocrats to Buy Now

ATCO Ltd. (TSX:ACO.X), Finning International Inc. (TSX:FTT), and Telus Corporation (TSX:T)(NYSE:TU) have high yields and active streaks of annual increases, making them ideal investments. Which should you buy?

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The Motley Fool

If you’re looking to buy a stock that has a high dividend yield and an extensive track record of increasing its annual rate, then look no further. I’ve scoured the market and selected three top stocks from different industries that meet these criteria perfectly, so let’s take a closer look at each to determine which would be the best fit for your portfolio.

1. ATCO Ltd.

ATCO Ltd. (TSX:ACO.X) is a diversified global corporation with operations in the utilities, energy, structures, and logistics industries. It currently pays a dividend of $0.285 per share quarterly, or $1.14 per share annually, which gives its stock a 3.1% yield at today’s levels.

Investors must also note that ATCO has raised its annual dividend payment for 22 consecutive years, tying it with Thomson Reuters Corp. for the fourth-longest active streak for a public corporation in Canada. Its 15.2% increase on January 7 puts it on pace for 2016 to mark the 23rd consecutive year with an increase.

2. Finning International Inc.

Finning International Inc. (TSX:FTT) is the largest dealer of Caterpillar equipment, parts, and services in the world. It currently pays a dividend of $0.1825 per share quarterly, or $0.73 per share annually, which gives its stock a 4% yield at today’s levels.

Investors must also note that Finning has raised its annual dividend payment for 14 consecutive years, and its recent increases, including its 2.8% increase in May 2015, puts it on pace for 2016 to mark the 15th consecutive year with an increase.

3. Telus Corporation

Telus Corporation (TSX:T)(NYSE:TU) is one of Canada’s largest telecommunication companies with over 14 million customer connections. It currently pays a dividend of $0.44 per share quarterly, or $1.76 per share annually, which gives its stock a 4.7% yield at today’s levels.

It is also very important for investors to make two notes.

First, Telus has increased its annual dividend payment for 12 consecutive years, and its recent increases, including its 4.8% increase in November 2015, puts it on pace for 2016 to mark the 13th consecutive year with an increase.

Second, the company has a program in place to raise its dividend by another 10% in 2016, which would put it on pace for 2017 to mark the 14th consecutive year with an increase, and I think Telus will extend this program or announce a new one before the end of the year.

Should you buy one or more of these dividend all-stars today?

ATCO, Finning International, and Telus are three of the top dividend-paying investment options in the market today. All Foolish investors should take a closer look and strongly consider making at least one of them a core holding.

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. Finning International is a recommendation of Stock Advisor Canada.

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