3 Canadian Income Stocks on Sale in November 2021

These three income stocks remain solid buys, with long-term income and growth expected for decades to come for Motley Fool investors.

| More on:
Where to Invest?

Image source: Getty Images

If you’re a Motley Fool investor seeking passive income stocks, it can be hard to find them on sale these days. The S&P/TSX Composite Index continues to trade higher, up around 20% year to date as of writing. After a slew of positive earnings reports, from passive income stocks as well, it’s hard to find a cheap one in the bunch.

However, they do exist, even with some providing strong earnings reports. So if you’re a long-term Motley Fool investors looking for income stocks on the TSX today, here are three I would consider.

Brookfield Renewable

Brookfield Renewable Partners (TSX:BEP.UN)(NYSE:BEP) is a solid income stock for those looking for a cheap share price. Brookfield soared at the beginning of the year with announcements from the White House that renewable energy investment was coming. However, it didn’t come quickly enough, sending shares back to 2020 levels.

Yet that’s what makes this income stock so cheap today. Brookfield has a solid long-term outlook, with a double-digit compound annual growth rate (CAGR) over the last two decades! Furthermore, it continues to acquire new renewable energy assets, creating a diverse portfolio for investors to hop onto.

Right now you can pick up the income stock with a dividend yield of 3.09%. Furthermore, it’s cheap at an EV/EBITDA of just 16.04 as of writing.


Another cheap income stock every Motley Fool investor should consider is Fortis (TSX:FTS)(NYSE:FTS). Fortis stock is just shy of becoming the first Canadian Dividend King on the TSX today. That means 50 years of consecutive dividend growth!

If that’s not enough to convince you, the income stock has been growing steadily through organic and acquisition growth. It uses its cash to acquire more utility companies, expanding further and further to bring more cash to investors.

Today, you can pick up the income stock with a dividend yield of 3.81%. Furthermore, it’s cheap with a P/E ratio of 21.56 and an EV/EBITDA of 13.52.


Finally, the Canadian Imperial Bank of Commerce (TSX:CM)(NYSE:CM) may be trading near all-time highs, but it still remains a cheap income stock. It offers Motley Fool investors the highest dividend among the Big Six banks at 3.93% or $5.84 per share per year. It’s also been updating its branding, providing better customer service, and expanding into new markets.

Yet despite solid good news in the face of a pandemic and hitting all-time highs, it remains incredibly cheap relative to its earnings. CIBC currently boasts a P/E ratio of just 11.4, and it also is likely to increase that substantial dividend in the near future. With earnings around the corner on December 2, this is definitely one of the top stocks to watch on the TSX today.

Foolish takeaway

All three of these income stocks are solid investments for a Motley Fool portfolio. They offer high yields, but at prices that put them on sale for investors. But it’s not likely to last long. Buying up these companies and holding them long-term is likely to see incredible gains in the years, and even decades, to come.

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 Amy Legate-Wolfe owns shares of Brookfield Renewable Partners. The Motley Fool recommends FORTIS INC.

More on Dividend Stocks

Dividend Stocks

Enbridge Is a High-Yielding Canadian Dividend Stock to Buy Now and Own Forever

Are you looking for a high-yielding Canadian dividend stock to buy? Enbridge (TSX:ENB) has plenty to offer investors.

Read more »

Retirees sip their morning coffee outside.
Dividend Stocks

Why I’d Buy These 2 Healthcare Stocks Today (Besides the Cheap $10 Price)

Two small-cap stocks trading under $10 worth buying right now as promising healthcare plays in 2023.

Read more »

Silver coins fall into a piggy bank.
Dividend Stocks

3 Dividend Stocks to Build Wealth in the New Year

These dividend stocks have proven they're set up for a strong future and have dividends you'll want to lock up…

Read more »

protect, safe, trust
Dividend Stocks

Retirees: These Dividend Stocks Come With Recession Protection

Retirees may be freaking out right now, but don't! Consider these high yielding dividend stocks for passive income while the…

Read more »

Dad and son having fun outdoor. Healthy living concept
Dividend Stocks

Parents: Max Out Your RESP Before the Dec. 31 Deadline!

Parents, make sure you're maxing out the RESP to get in on a government grant! Now is the time to…

Read more »

Gold bullion on a chart
Dividend Stocks

TFSA Investors: Why You Should Invest Your Room ASAP With These 3 Stocks

Choosing the right TFSA stocks for your portfolio might take some time. But with the right choices, you can stick…

Read more »

Target. Stand out from the crowd
Dividend Stocks

Here’s the Next TSX Stock I’m Going to Buy

Innergex is a TSX stock that is growing its revenue and earnings at an enviable pace. It also pays investors…

Read more »

A worker uses a laptop inside a restaurant.
Dividend Stocks

Got $500? 2 Stocks to Buy and Hold for at Least 5 Years

Given their multi-year growth potential and attractive valuations, I am bullish on these two TSX stocks.

Read more »