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).

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 July 26, 2022 3:30 pm EDT

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.

money while you sleep — Image source: Getty Images

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.