Passive-Income Power: How to Make Over $100/Week in Your Sleep!

Canadians battling a rough market may want to build a passive-income portfolio with stocks like Northwest Healthcare REIT (TSX:NWH.UN).

| More on:
money while you sleep

Image source: Getty Images

The S&P/TSX Composite Index was down 84 points in late-morning trading on July 26. Canadian investors are still battling volatility in the final week of this month. That may drive investors to consider pursuing a passive-income strategy in the months ahead. Today, I want to discuss how you can look to make over $100 a week in your sleep. In this hypothetical, we’ll use a Tax-Free Savings Account (TFSA) and use its entire cumulative contribution room of $81,500.

This dividend stock still offers a monster yield

Chemtrade Logistics (TSX:CHE.UN) is a Toronto-based income fund that offers industrial chemicals and services in North and South America. Shares of Chemtrade have climbed 10% in 2022 at the time of this writing. The stock is up 22% in the year-over-year period.

Investors can expect to see the company’s second-quarter 2022 earnings in early August. In Q1 2022, total revenue increased $77.9 million in the year-over-year period to $390 million. Meanwhile, cash flows from operating activities jumped $44.2 million to a total of $37.8 million. Overall, it was a strong start to the fiscal year for this industrial company.

This dividend stock closed at $8.24 per share on July 25. In our hypothetical, we’ll snag 3,300 shares for a total purchase price of $27,192. It offers a monthly dividend of $0.05 per share, which represents a monster 7.2% yield. That means we can generate weekly passive income of $38.07 going forward.

Here’s a top REIT that can bolster your passive-income portfolio

Northwest Healthcare REIT (TSX:NWH.UN) is a real estate investment trust (REIT). It is focused on owning and operating a portfolio of high-quality health care real estate around the world. Shares of Northwest have dropped 6% in the year-to-date period.

In Q1 2022, this REIT posted revenue growth of 10% to $102 million. Meanwhile, it delivered impressive portfolio occupancy of 97%. The REIT closed at $12.87 per share on July 25. We can snatch up 2,110 shares of Northwest for a total price of $27,155. This REIT last paid out a monthly distribution of $0.067 per share. That represents a tasty 6.2% yield. It can now generate weekly passive income of $32.62 in our TFSA.

One more stock that can deliver big passive income going forward

Keyera (TSX:KEY) is the third dividend stock I’d look to snatch up to bolster our passive-income portfolio today. This Calgary-based company is engaged in the domestic energy infrastructure business. Its shares have increased 10% so far in 2022.

The company released its first-quarter 2022 earnings on May 10. It posted cash flow from operating activities of $457 million, which was nearly double from the $268 million Keyera delivered in the previous year.

This energy stock closed at $31.67 per share on July 25. For our final purchase, we’ll snag 855 shares of Keyera for a total price of $27,077. The stock last paid out a monthly dividend of $0.16 per share. That represents a 6% yield. The shares we purchased will allow us to make passive income of $31.56/week in 2022.

Conclusion

These investments in our TFSA will allow us to generate passive income of $102.25 per week. That is a nice payout in a choppy market.

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.

More on Investing

ETF stands for Exchange Traded Fund
Investing

2 High-Yield Dividend ETFs to Buy to Generate Passive Income

Both of these Hamilton ETFs sport double-digit yields with monthly payouts.

Read more »

engineer at wind farm
Energy Stocks

1 Canadian Utility Stock to Buy for Big Total Returns

Let's dive into why Fortis (TSX:FTS) remains a top utility stock long-term investors may want to consider right now.

Read more »

man in suit looks at a computer with an anxious expression
Tech Stocks

Short-Selling on the TSX: The Stocks Investors Are Betting Against

High-risk investors engage in short-selling, betting against some TSX stocks for bigger profits.

Read more »

woman retiree on computer
Dividend Stocks

1 Reliable Dividend Stock for the Ultimate Retirement Income Stream

This TSX stock has given investors a dividend increase every year for decades.

Read more »

A glass jar resting on its side with Canadian banknotes and change inside.
Stocks for Beginners

How to Grow Your TFSA Well Past the Average

Need to catch up quick with your TFSA? Consider some regular contributions to this top bank stock, as well as…

Read more »

dividend growth for passive income
Investing

Key Canadian Stocks for a Wealth-Building 2025

These three Canadian stocks could outperform next year, given their solid underlying businesses and healthy growth prospects.

Read more »

Tractor spraying a field of wheat
Metals and Mining Stocks

Where Will Nutrien Stock Be in 1 Year?

Nutrien stock has had a rough few years, and this next year may not be easy. But long-term investors may…

Read more »

Canadian dollars in a magnifying glass
Energy Stocks

The Smartest Energy Stocks to Buy With $200 Right Now

The market is full of great growth and income stocks. Here's a look at two of the smartest energy stocks…

Read more »