4 Stocks That Boast at Least a Decade of Dividend Growth

With volatility returning, investors may want to look to stocks like Laurentian Bank of Canada (TSX:LB) to shore up income in their portfolios.

| More on:

Rumbles in the global economy have caused anxiety for investors. The S&P/TSX Composite Index remains in negative territory for 2018, but many investors are still not keen to bet on growth in the second half with so much uncertainty.

For those who are keen on generating income during this period, there are still a number of great options available on the TSX. Let’s take a look at four of my top stocks boasting at least a decade of dividend growth.

Laurentian Bank of Canada (TSX:LB)

Laurentian Bank fell 2.65% on June 4, and shares are down 19.9% in 2018. The bank has wrestled with a controversy surrounding its mortgage underwriting since late 2017. However, in its second-quarter report, leadership announced that the issue would be resolved by the end of the fiscal year.

The bank released strong second-quarter results. Adjusted net income rose 25% year over year to $64.6 million, and loans to business customers were up 19% from Q2 2017. Residential mortgage loans through independent brokers, and advisors were up 11% year over year.

The bank also raised its quarterly dividend to $0.64 per share, representing a 5.5% dividend yield. Laurentian Bank has now delivered 11 consecutive years of dividend growth.

Andrew Peller Ltd. (TSX:ADW.A)

Andrew Peller is set to release its fiscal 2018 fourth-quarter and full-year results on June 6. Shares of Andrew Peller have climbed 16.9% in 2018 so far. In the third quarter of fiscal 2018, sales were up 10.1% year over year, and adjusted EBITDA rose 27.5% from fiscal 2017 Q3.

The stock boasts a dividend of $0.045 per share. The company has delivered 12 consecutive years of dividend growth. Andrew Peller presents a fantastic opportunity for investors to jump in to the broader wine industry, which has seen its market share expand over the past decade.


CAE stock has climbed 17.1% in 2018 as of close on June 4, and shares are up 24% year over year. The company released its fiscal 2018 fourth-quarter and full-year results on May 25. Increased military spending from the U.S. and Canada going forward is good news for CAE, which has won a number of lucrative contracts from both nations in recent years. Revenue rose 6% year over year to $780.7 million, and CAE reported a record $7.8 billion order backlog.

CAE announced a dividend of $0.09 per share, representing a 1.2% dividend yield. The company has delivered dividend growth for 10 consecutive years.

TransCanada Corporation (TSX:TRP)(NYSE:TRP)

TransCanada stock has dropped 11.8% in 2018 so far. Shares are down 14.8% year over year. This is in spite of a strong spring for oil and gas prices. The company reported solid first-quarter earnings of $734 million, or $0.83 per share. Net cash provided by operations was posted at $1.4 billion, and it reported comparable EBITDA of $2.1 billion.

TransCanada declared a quarterly dividend of $0.69 per share, representing a 4.7% dividend yield. The company has delivered 17 consecutive years of dividend growth.

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 Ambrose O'Callaghan has no position in any of the stocks mentioned.

More on Investing