3 Passive-Income Stocks That Are Perfect for Retirees

Retirees can improve their lot by targeting top passive-income stocks like Bridgemarq Real Estate Services Inc. (TSX:BRE) in October.

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This week, I’d discussed why retirees should be hungry to snatch up dividend stocks in a choppy environment. Many Canadians are pushing back their retirement plans, especially in the face of the devastating COVID-19 pandemic. However, the right amount of passive income can accelerate those plans and secure a comfortable retirement. Today, I want to look at three passive-income stocks that retirees should consider right now.

Retirees can rely on this REIT for its high yield and as a defensive play

Northwest Healthcare REIT (TSX:NWH.UN) is a real estate investment trust (REIT) that provides exposure to a global portfolio of high-quality healthcare real estate. This REIT has proven to be a strong defensive hold, as the pandemic has heightened the need for healthcare facilities around the world. Its shares have climbed 8.4% in 2021 as of close on October 21.

In Q2 2021, the REIT reported revenue of $90.1 million. This was mostly stable compared to the previous year. Meanwhile, adjusted funds from operations (AFFO) climbed 7.8% to $0.22. Northwest has remained aggressive during this crisis. Total assets under management (AUM) rose 20% to $8.3 billion.

This passive-income stock possesses a favourable price-to-earnings (P/E) ratio of 9.3. Retirees can count on its monthly distribution of $0.067 per share. That represents a strong 5.9% yield.

Canada’s hot housing sector makes this passive-income stock a favourable hold

On the topic of real estate, retirees can’t go wrong with exposure to Canada’s red-hot housing sector. Sales enjoyed an uptick in September, which broke a losing streak dating back to the spring. The fundamentals are on the side of Canada’s housing sector right now. That should pique the interest of retirees.

Bridgemarq Real Estate (TSX:BRE) is a passive-income stock worth targeting during this housing bull market. This Ontario-based company provides various services to residential real estate brokers and REALTORS across the country. Shares of Bridgemarq have climbed 17% in the year-to-date period. The stock has surged 3.2% week over week.

The company unveiled its second-quarter 2021 results on August 10. It posted revenue growth of 22% to $14.0 million. Meanwhile, distributable cash flow (DCF) increased 73% to $6.4 million. Retirees can gobble up a monthly dividend of $0.113 per share, granting this passive-income stock a monster 7.7% yield.

One more passive-income stock that retirees should target as oil and gas prices climb

Oil and gas prices have surged in the early fall. The former has built momentum due to tightening supply and improved global demand. Keyera (TSX:KEY) is a Calgary-based company engaged in the domestic energy infrastructure business. The stock has climbed 40% in 2021 at the time of this writing.

In Q2 2021, Keyera reported adjusted EBITDA of $224 million over $182 million in the second quarter of 2020. Moreover, net earnings rose to $79 million compared to $18 million in the prior year. This energy stock is trading in solid value territory compared to its industry peers. Retirees on the hunt for a passive-income stock should be happy with its monthly distribution of $0.16 per share, which represents a tasty 6% yield.

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. The Motley Fool recommends KEYERA CORP and NORTHWEST HEALTHCARE PPTYS REIT UNITS.

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