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4 Dividend Stocks to Stash in Your TFSA This Summer

The first weeks of June have been eventful in Canada. There was a dramatic change of leadership in our most populous province, the senate finally pushed through Bill C-45, which paves the way for recreational cannabis later this year, and the G7 meeting in Quebec sparked a bitter war of words between U.S. and Canadian leadership.

The S&P/TSX Composite Index has historically performed well in the latter half of the year. With that in mind, let’s look at four dividend stocks to target as the weather heats up.

Toromont Industries Ltd. (TSX:TIH)

Toromont Industries is an industrial company that operates through its Equipment Group segment and CIMCO segment. Equipment Group boasts a partnership with the construction giant Caterpillar Inc., while CIMCO is the largest supplier of industrial and recreational compression equipment in North America.

Toromont stock was up 7.1% in 2018 as of close on June 13, and shares have surged 28% year over year. The company released its first-quarter results on April 25. Revenue surged 64% from Q1 2017 to $676.8 million, and net earnings rose 14% to $30.8 million. The company also announced a quarterly dividend of $0.23 per share, representing a solid 1.3% dividend yield.

Goeasy Ltd. (TSX:GSY)

Goeasy is a Mississauga-based company that provides alternative financial services to its client base. Shares of Goeasy were up 9.2% in 2018 as of close on June 13, and the stock had jumped 33% year over year. However, shares have dipped marginally after reaching an all-time high of $43.75 in late May.

The stock gained momentum after Goeasy released its first-quarter results. This was more than warranted after the company reported record loan originations and loan book growth. Revenue rose 34.9% at easyfinancial to $80.4 million, and overall revenue was up 21.8% to $114.8 million. Goeasy also offers a dividend of $0.225 per share, representing a 1.9% dividend yield.

Cervus Equipment Corp. (TSX:CERV)

Cervus is a Calgary-based equipment dealer with interest in dealerships located in Canada, Australia, and New Zealand. Its stock had dipped 6.9% in 2018 as of close on June 13, but shares were still up 18% year over year. The company released its first-quarter results on May 9.

Cervus posted an adjusted loss of $0.3 million compared to $1.8 million in the prior year and also achieved record first-quarter new equipment sales in its Agriculture segment. Its Transportation segment reported a $1.6 million increase in net income. Cervus also offers a dividend of $0.10 per share, representing a 2.2% dividend yield.

WestJet Airlines Ltd. (TSX:WJA)

WestJet Airlines stock was down 28.5% in 2018 as of close on June 13. The airline suffered in the midst of negotiations with its pilots union, but a strike was ultimately averted in late May. WestJet will now be in a more secure position as it launches its Swoop regional airlines this month. The company also reported operational challenges in the winter of 2018, which dragged down net earnings 20.4% year over year in the first quarter.

Total revenue was still up 6.9% to $1.19 billion, and segment guests rose 7.1% to 6.08 million passengers. WestJet declared a cash dividend of $0.14 per share, representing a 2.9% dividend yield.

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

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