Interested in Building a Source of Passive Income? Buy These 3 TSX Stocks Today

Many investors dream of being able to build a source of passive income. Doing so would allow you to supplement or even replace, your primary source of income. Fortunately, it’s possible to do this by investing in dividend stocks. By continuing to add shares of solid dividend stocks to your portfolio, you’d be able to snowball your source of passive income much faster than you realize.

In this article, I’ll discuss three TSX stocks investors should buy today if they want to build a source of passive income.

This Canadian behemoth is a top dividend stock

The first TSX dividend stock that investors should buy today is Canadian National Railway (TSX: CNR)(NYSE: CNI). With nearly 33,000 km of track, this company operates the largest railway network in Canada. Canadian National runs lines that stretch from British Columbia to Nova Scotia and as far south as Louisiana. Over its history, Canadian National has attracted many famous investors. This includes Bill Gates, whose foundation remains one of the largest shareholders in the company.

One of the top dividend stocks in the country, Canadian National has managed to increase its dividend in each of the past 25 years. That makes it one of only 11 TSX-listed companies to currently hold a dividend-growth streak of a quarter century or longer. Over the past five years, Canadian National has managed to raise its dividend at a compound annual growth rate (CAGR) of about 12.2%.

Invest in this underappreciated stock

Investors should also consider buying shares of Alimentation Couche-Tard (TSX: ATD). What’s interesting about this company is that it has such a large presence in the retail industry, yet it mostly flies under the radar. Alimentation Couche-Tard operates more than 14,000 convenience stores across 24 countries and territories. The company estimates that it serves about nine million customers per day across all its locations.

Alimentation Couche-Tard is another Canadian Dividend Aristocrat. It has managed to increase its dividend in each of the past 11 years. Over the past five years, Alimentation Couche-Tard has raised its dividend at a CAGR of 19.6%. Despite that amazing growth rate, Alimentation Couche-Tard’s payout ratio remains very low (12.4%). This suggests that the company could continue to raise its dividend at a high rate over the coming years.

This stock has an amazing dividend-growth rate

Finally, when it comes to outstanding dividends, I believe goeasy (TSX: GSY) should always be up for consideration. For those that are unfamiliar, this company operates two distinct business lines. Its first business segment is easyfinancial, which provides high-interest loans to subprime borrowers. Second, it operates easyhome, which sells furniture and other home goods on a rent-to-own basis. Due to the nature of its business, goeasy has seen record revenues over the past couple of years.

goeasy has managed to increase its dividend in each of the past eight years. Over that period, its dividend has grown at a CAGR of 34.5%. Investors holding shares of goeasy over that period have seen their sources of passive income outpace the inflation rate by a wide margin. If you’re interested in building a solid source of passive income, then goeasy should be included in your portfolio.