5 Stocks With Over 20 Years of Dividend Growth

Want dividend growth? If so, consider investing in ATCO Ltd. (TSX:ACO.X), Empire Company Limited (TSX:EMP.A), Imperial Oil Limited (TSX:IMO)(NYSE:IMO), Thomson Reuters Corp. (TSX:TRI)(NYSE:TRI), or Canadian Western Bank (TSX:CWB).

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The best dividend stocks to buy are those that have safe yields and the potential for dividend growth. Let’s take a closer look at five stocks with safe yields and over 20 years of dividend growth, so you can determine if you should buy one or more of them today.

ATCO Ltd. (TSX:ACO.X)

ATCO is a diversified global corporation with operations in the structures and logistics, electricity, pipelines and liquids, and retail energy industries, and Canadian Utilities Limited is one of its principal subsidiaries.

ATCO currently pays a quarterly dividend of $0.3275 per share, representing $1.31 per share annually, giving it a 2.9% yield today. In terms of dividend growth, 2017 marks the 24th consecutive year in which it has raised its annual dividend payment, and I think its strong financial performance and growing asset base will allow it to extend this streak in 2018 by announcing a hike next month.

Empire Company Limited (TSX:EMP.A)

Empire is one of Canada’s largest owners and operators of grocery stores with over 1,500 locations across every province under its many banners. It also holds a 41.5% ownership stake in Crombie Real Estate Investment Trust, one of Canada’s largest commercial REITs.

Empire currently pays a quarterly dividend of $0.105 per share, representing $0.42 per share annually, which gives it a 1.7% yield. A yield under 2% may not tempt you at first, but it’s very important to note that the company’s 2.4% dividend hike in June has it positioned for fiscal 2018 to mark the 23rd consecutive year in which it has raised its annual dividend payment, making it one of the top dividend-growth stocks in the retail industry.

Imperial Oil Limited (TSX:IMO)(NYSE:IMO)

Imperial is one of the world’s largest integrated oil and gas companies, and it’s Canada’s largest petroleum refiner.

It currently pays a quarterly dividend of $0.16 per share, representing $0.64 per share annually, giving it a 1.7% yield. Imperial has a low yield, like Empire, but it too makes up for this with a long history of dividend growth; 2017 marks the 23rd consecutive year in which it has raised its annual dividend payment, and its 6.7% hike in April has it on track for 2018 to mark the 24th consecutive year with an increase.

Thomson Reuters Corp. (TSX:TRI)(NYSE:TRI)

Thomson Reuters is the world’s leading source of news and information for professional markets. It provides its customers with the intelligence, human expertise, and innovative technology they need to make better decisions faster.

Thomson Reuters currently pays a quarterly dividend of US$0.345 per share, representing US$1.38 per share annually, giving it a 3.15% yield. In addition to having a high yield, 2017 marks the 24th consecutive year in which the tech giant has raised its annual dividend payment, and I think its strong cash flow-generating ability and consistent earnings growth will allow this streak to continue in 2018 by announcing a hike when it reports its fourth-quarter earnings results in February.

Canadian Western Bank (TSX:CWB)

Canadian Western Bank is one of the largest diversified financial services organizations in Canada’s four western provinces with $26.45 billion in assets as of October 31.

It currently pays a quarterly dividend of $0.24 per share, representing $0.96 per share annually, and this gives it a 2.5% yield. When it comes to dividend growth, Canadian Western Bank has the longest active streak of the companies named in this article; fiscal 2017 marked the 25th consecutive year in which it has raised its annual dividend payment, and its 4.3% hike in August has it on track for fiscal 2018 to mark the 26th consecutive year with an increase.

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.

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