4 Attractive Dividend Stocks for Long-Term Investors

Are you a long-term investor looking for a great dividend stock? If so, Whistler Blackcomb Holdings Inc. (TSX:WB), Dream Global REIT (TSX:DRG.UN), SIR Royalty Income Fund (TSX:SRV.UN), and ATCO Ltd. (TSX:ACO.X) are very attractive options.

The Motley Fool

If you’re in search of a great dividend stock to buy and hold for decades, then this article is for you. I’ve scoured the market and selected four stocks from different industries that have high and safe yields up to 8.6%, so let’s take a quick look at each to determine if you should buy one or more of them today.

1. Whistler Blackcomb Holdings Inc.

Whistler Blackcomb Holdings Inc. (TSX:WB) owns a 75% interest in Whistler Blackcomb, the largest and most visited mountain resort in North America.

It pays a quarterly dividend of $0.24375 per share, or $0.975 per share annually, which gives its stock a yield of about 4.1% at today’s levels. It’s also important to note that the company has maintained this annual rate since it went public in 2010, and its very strong growth of free cash flow and its low payout ratio could allow it to continue to do so for the foreseeable future or allow it to announce a hike before the end of the year.

2. Dream Global REIT

Dream Global REIT (TSX:DRG.UN) is one of Europe’s largest owners and operators of commercial real estate. Its portfolio consists of 203 properties, comprising of approximately 13.5 million square feet located across Germany and Austria.

It pays a monthly distribution of $0.06667 per share, or $0.80 per share annually, which gives its stock a yield of about 8.6% at today’s levels. It’s also important to note that the company has maintained this annual rate since it went public in 2011, and its consistent generation of adjusted funds from operations and its sound payout ratio could allow it to continue to do so for many years to come.

3. SIR Royalty Income Fund

SIR Royalty Income Fund (TSX: SRV.UN) owns the trademarks and other intellectual properties related to the SIR Corp. concept restaurant brands, including Jack Astor’s Bar & Grill, Alice Fazooli’s, Canyon Creek Chop House, and Scaddabush Italian Kitchen & Bar, and it licenses these properties to SIR Corp. in exchange for a royalty of 6% of sales. As of March 31, 2016, there are 57 restaurants in its royalty pool.

It pays a monthly distribution of $0.095 per share, or $1.14 per share annually, which gives its stock a yield of about 7.9% at today’s levels. It’s also important to note that the company has maintained this annual rate since 2014, and its strong generation of distributable cash and the continued expansion of its royalty pool could allow it to continue to do so going forward.

4. ATCO Ltd.

ATCO Ltd. (TSX: ACO.X) is a diversified global corporation with operations in the following industries:

  • Structures & Logistics: workforce housing, innovative modular facilities, construction, site support services, and logistics and operations management
  • Electricity: electricity generation, transmission, and distribution
  • Pipelines & Liquids: natural gas transmission, distribution, and infrastructure development, energy storage, and industrial water solutions
  • Retail Energy: electricity and natural gas sales

It pays a quarterly dividend of $0.285 per share, or $1.14 per share annually, which gives its stock a yield of about 2.4% at today’s levels. A 2.4% yield may not seem impressive at first, but it’s very important to note that the company has raised its annual dividend payment for 22 consecutive years, and its 15.2% hike in January has it on pace for 2016 to mark the 23rd consecutive year with an increase.

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

More on Dividend Stocks

Group of people in a line at an ATM waiting to make a cash withdrawal
Dividend Stocks

The TFSA Withdrawal Rule Every Canadian Should Know

The account is a much better place to invest long term than to make frequent trades and withdrawals.

Read more »

man shops at grocery store
Dividend Stocks

The Best Canadian Stocks for Conservative Investors Right Now

These two Canadian stocks combine durable businesses, growing earnings, and shareholder returns.

Read more »

Three children jump on an outdoor trampoline
Dividend Stocks

2 Solid Dividend Stocks Down 20 Percent to Buy Before They Bounce Back

These Canadian companies have been increasing their dividends year after year, while their stocks have pulled back from recent highs.

Read more »

happy woman throws cash
Dividend Stocks

The Ideal TFSA Stock: A 5.9% Yield-Paying Constant Cash

Enbridge’s predictable cash flows, substantial growth pipeline, and long history of dividend increases underpin its long-term investment appeal for TFSA…

Read more »

woman gazes forward out window to future
Dividend Stocks

Dividend Income in Retirement: What Could Go Wrong?

Dividend investing is a proven way to create income in retirement but you must know the risks you need to…

Read more »

The TFSA is a powerful savings vehicle for Canadians who are saving for retirement.
Dividend Stocks

A 5% Monthly Payer I’d Buy for My TFSA: About $100 a Month on $24,000

Canada’s largest residential landlord offers a high yield, reliable monthly income, and a tax-sheltered foundation for TFSA investors.

Read more »

Two seniors walk in the forest
Dividend Stocks

Can Dividends Replace a Paycheque in Retirement?

Can dividends in retirement replace your paycheque? Explore how Scotiabank, RioCan REIT, and Fortis can help build a steady retirement…

Read more »

Sliced pumpkin pie
Dividend Stocks

The Fees That Quietly Eat Into a Small Investment

Many funds charge outrageous fees, but broad market index funds like the iShares S&P/TSX Capped Composite Index ETF (TSX:XIC) usually…

Read more »