4 TSX Stocks Raising Dividends for 20-Plus Years in a Row

If you are looking for a reliable dividend income, consider buying these Dividend Aristocrats that have increased their dividends for 20-plus years.

money cash dividends

Image source: Getty Images

Several TSX-listed stocks have consistently raised their dividends for a very long period. So if you are looking for a reliable dividend income, consider buying these four Dividend Aristocrats that have increased their dividends for 20-plus years in a row. Further, their resilient cash flows and high-quality earnings base suggest that these companies could continue to grow their dividends at a decent rate in the coming years. 

TC Energy

TC Energy (TSX:TRP)(NYSE:TRP) has raised its dividends for 21 consecutive years. Meanwhile, TC Energy’s dividends have grown at a compound annual growth rate (CAGR) of 7% during that period. Its high-quality regulated and contracted assets generate resilient cash flows that support higher dividend payments. Notably, the company generates nearly 95% of its adjusted EBITDA from low-risk assets, implying that its high yield 5.7%. 

I believe its strong development pipeline and the $20 billion secured capital program are likely to drive its earnings, in turn, its future dividend payments. Furthermore, its diversified assets and strong financial position suggest that its dividends could continue to increase at a healthy rate. TC Energy forecasts 5-7% annual growth in the dividends in the coming years. 

Enbridge

Enbridge (TSX:ENB)(NYSE:ENB) raised its dividends for 26 years in a row. Furthermore, its dividends increased by a CAGR of 10% during the same period. The energy infrastructure company offers a high yield of 7.1% and remains on track to increase its dividends in the coming years on the back of its highly diversified cash flow streams and contractual arrangements. 

The company expects its distributable cash flow per share to increase by 5-7% annually in the future years, suggesting that its dividends could grow in line with the DCF per share. Meanwhile, recovery in its mainline volumes, momentum in the core business, secured capital program, and expense management are expected to boost its high-quality earnings significantly and support higher dividend payments. 

Fortis

Fortis (TSX:FTS)(NYSE:FTS) is one of the top income stocks listed on the TSX. The company raised its dividends for 47 consecutive years and expects a 6% annual growth in its dividends over the next five years. Its regulated utility assets generate stellar cash flows that remain immune to the economic cycles and drive dividend payments. 

Fortis offers a decent yield of 3.7%, and its strong cash flow generating capabilities suggest that investors can rely on its dividends. Its low-risk business, diversified assets, growth opportunities in renewable power segments, and increasing rate base suggest that Fortis could consistently boost its shareholders’ returns through higher dividends over the next decade.

Canadian Utilities 

Canadian Utilities (TSX:CU) increased its dividends for 49 years in a row, the longest by any publicly listed Canadian company. The company’s robust dividends are backed by the continued growth in its high-quality earnings base. The utility company earns all of its earnings from the regulated and contracted assets that generate predictable cash flows. 

Canadian Utilities offers a solid yield of 5.1% and continues to invest in the regulated and contracted assets, which is likely to drive its high-quality earnings base. Further, cost efficiencies are likely to cushion its earnings, in turn, its dividends. 

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.

More on Dividend Stocks

Businessman holding tablet and showing a growing virtual hologram of statistics, graph and chart with arrow up on dark background. Stock market. Business growth, planning and strategy concept
Dividend Stocks

TFSA Magic: Earn Enormous Passive Income That the CRA Can’t Touch

If you're seeking out passive income, with zero taxes involved, then get on board with a TFSA and this portfolio…

Read more »

Man with no money. Businessman holding empty wallet
Dividend Stocks

2 Stocks Under $50 New Investors Can Confidently Buy

There are some great stocks under $50 that every investor needs to know about. Here’s a look at two great…

Read more »

think thought consider
Dividend Stocks

Down 10.88%: Is ATD Stock a Good Buy After Earnings?

Alimentation Couche-Tard (TSX:ATD) stock might not be the easy buy-case it once was. Here’s a look at what happened.

Read more »

money cash dividends
Dividend Stocks

TFSA Dividend Stocks: Earn $1,200/Year Tax-Free

Canadian stocks like Fortis are a must-have in your portfolio to earn tax-free yields for decades.

Read more »

sale discount best price
Dividend Stocks

1 Dividend Stock Down 11 Percent to Buy Right Now

Do you want a great dividend stock down 11% that can provide years of growth potential? Here's one heavily discounted…

Read more »

Growth from coins
Dividend Stocks

1 Grade A Dividend Stock Down 11% to Buy and Hold Forever 

If you're looking for the right dividend stock at the right price, you're going to want to consider this insurance…

Read more »

Target. Stand out from the crowd
Dividend Stocks

2 Dividend Stocks to Double Up on Right Now

Are you looking for dividend stocks to buy right now? Here are two top picks!

Read more »

edit Taxes CRA
Dividend Stocks

Tax Time: How to Keep More of Your Money

Nearly everyone hates paying taxes, although Canadians can lessen the financial pain with the right tax strategies.

Read more »