The 3 Smartest TSX Stocks to Buy With $1,000

Investors on the hunt for value, income, and stability should look to TSX stocks like Saputo Inc. (TSX:SAP) and others today.

Ambrose O'Callaghan

Ambrose O'Callaghan graduated with a BA in Political Science from McMaster University. After that, he jumped into the banking world. He worked from the front line to an investment associate role. After that, he found a way to marry his experience and knowledge in the world of banking and finance to his love and passion for writing. Ambrose is a passionate believer in Warren Buffett's value investing model.

Published September 14, 2021 2:00 pm EDT

The S&P/TSX Composite Index rose 33 points to open the trading week on September 13. Energy stocks were red hot while the rest of the Canadian market suffered a marginal retreat. Today, I want to look at some of my favourite TSX stocks to snag for investors with some extra cash on hand. These equities offer a nice combination of value, income, and stability.

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Here’s a dividend stock that just sent off a buy signal

Rogers Communications (TSX: RCI.B)(NYSE: RCI) is the first TSX stock I’d suggest investors snatch up in the middle of September. This Toronto-based company is one of the largest telecommunications firms in the country. Its shares have dropped marginally in the year-to-date period as of close on September 13.

The company unveiled its second-quarter 2021 results on July 21. It delivered Wireless service revenue growth of 2%, and adjusted EBITDA increased 10% from the previous year. Moreover, its Media revenue surged 84% on the back of a big recovery in television advertising. Rogers has seen a big boost due to the return of live professional sports programming.

Shares of this TSX stock possess a favourable price-to-earnings (P/E) ratio of 18. Rogers stock last had an RSI of 23, putting it well into technically oversold territory. It also offers a quarterly distribution of $0.50 per share, which represents a 3.3% yield. Now is a great time to snatch up this top telecom on the dip.

This is a TSX stock that you can trust in your portfolio forever

Saputo (TSX: SAP) is a Montreal-based company that is one of the largest dairy processors in the world. I’d suggested Saputo as a solid defensive TSX stock for retirees earlier in the summer. Shares of Saputo have dropped 2.9% in 2021. The stock is still up 7.2% from the prior year.

Investors got a look at Saputo’s first-quarter fiscal 2022 results on August 5. Revenues rose 2.9% year over year to $3.48 billion. Meanwhile, adjusted EBITDA plunged 21% to $290 million. Saputo took a hit due to disruptions caused by the COVID-19 pandemic. However, the company is optimistic that its global strategy can bolster earnings in the quarters ahead. Moreover, it hopes to increase profitability on the back of three recent acquisitions.

This TSX stock last had a P/E ratio of 26, which puts it in solid value territory relative to its industry peers. Moreover, its shares dipped into oversold levels to kick off this week. It offers a quarterly dividend of $0.18 per share. That represents a 2% yield.

One more TSX stock to snag with some extra cash

Sienna Senior Living (TSX: SIA) is the third and final TSX stock I’m excited about picking up in the middle of September. Back in March, I’d looked at stocks that were poised to gain on the back of Canada’s aging demographics. This company provides senior living and long-term-care (LTC) services in Canada. Its shares have climbed 10% in 2021. However, the TSX stock has dropped 3.3% month over month.

Revenue was largely stable in Q2 2021 at $162 million. Net income jumped $8.1 million from the prior year. Moreover, Sienna finished the quarter with high liquidity of $235 million. This TSX stock currently offers a monthly distribution of $0.078 per share, representing a strong 6.1% yield. It possesses an RSI of 27, putting it in technically oversold territory. Now is a great time to add this cheap monthly dividend stock.