2 TSX Stocks You Can Hold for the Next 3 Decades

These three top TSX stocks are all high-quality, blue-chip names long-term investors gearing up for retirement may want to consider.

| More on:
data analytics, chart and graph icons with female hands typing on laptop in background

Image source: Getty Images

A comfortable retirement is definitely a dream of many people around the world. For most investors looking for TSX stocks to hold for the next three decades, retirement savings is the goal. Of course, creating the kind of retirement one dreams about is easier said than done.

However, there are some great companies out there that fit a long-term investor’s retirement plans well. Among the companies providing both dividend yield and capital-appreciation upside I like right now are Restaurant Brands (TSX:QSR)(NYSE:QSR) and Alimentation Couche-Tard (TSX:ATD). Here’s why these companies are among the top TSX stocks to consider adding to an Registered Retirement Savings Plan (RRSP) right now.

Top TSX stocks to buy: Restaurant Brands

Restaurant Brands remains one of my top picks for long-term investors. Much of this has to do with the company’s rock-solid business model and long-term cash flow growth prospects.

A leading purveyor of quick-service restaurant banners including Tim Hortons, Burger King, Popeyes Louisiana Kitchen and Firehouse Subs, Restaurant Brands has grown into a global fast-food behemoth. With quarterly revenues of around $1.6 billion, Restaurant Brands actually provided 14% year-over-year growth this past quarter. Along with organic system-wide sales growth, much of this growth has to do with continued global expansion plans.

Over time, I think QSR stock has the potential to outperform the market. Along with strong growth prospects, this company’s 3.6% dividend yield is attractive to long-term investors, as this distribution should grow over time as well.

Alimentation Couche-Tard

Laval-based Alimentation Couche-Tard has operations in 24 nations and territories, with over 14,000 stores, out of which roughly 10,700 provide road transportation fuel. This convenience store and gas station behemoth operates in what many consider to be perhaps the most boring sector around.

That said, the company’s recent results have proven otherwise. Record-breaking results attributed to the company’s unique scale, operating resilience, and geographic diversification haven’t gone unnoticed. 

In all core markets, Couche-Tard saw growth. That said, Couche-Tard is actually growing fastest in its European market, which saw growth of 6.2% year over year this past quarter. Over time, as more of the company’s acquisitions are fully integrated and streamlined, I expect these numbers to improve across the board.

Now, rising gasoline prices may provide a near-term headwind from here. Accordingly, perhaps investors will be able to attain a better entry point in the future. However, for those looking to hold ATD for the long term, this is a stock I think is attractive at current levels (around $60 per share).

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 Chris MacDonald has positions in Restaurant Brands International Inc. The Motley Fool has positions in and recommends Alimentation Couche-Tard Inc. The Motley Fool recommends FORTIS INC and Restaurant Brands International Inc.

More on Dividend Stocks

A worker drinks out of a mug in an office.
Dividend Stocks

1 Dividend Stock to Buy if the Bank of Canada Keeps Cutting Rates 

This dividend stock is sure to benefit from ongoing cuts in the key interest rate and is already seeing some…

Read more »

A close up image of Canadian $20 Dollar bills
Dividend Stocks

How Much Cash Do You Need to Quit Work and Live Off Dividend Income

Toronto-Dominion Bank (TSX:TD) pays a lot of dividend income. Can you live off of it in retirement?

Read more »

An analyst uses a computer and dashboard for data business analysis and Data Management System with KPI and metrics connected to the database for technology finance, operations, sales, marketing, and artificial intelligence.
Dividend Stocks

Invest $10,000 in This Dividend Stock for $1,398.40 in Passive Income 

This dividend stock offers a whopping 11.9% dividend yield right now, with returns that should fly high for this cyclical…

Read more »

Person holds banknotes of Canadian dollars
Dividend Stocks

This 6.1 Percent Dividend Stock Is My Pick for Instant Income

Here’s what makes Transcontinental one of my top dividend stock picks right now for instant income.

Read more »

Pile of Canadian dollar bills in various denominations
Dividend Stocks

For a Shot at $5,000/Year in Passive Income, Buy 1,000 Shares of This TSX Stock

Do you know you can build passive income with TSX stocks? A $22,000 investment can give you a shot at…

Read more »

Paper Canadian currency of various denominations
Dividend Stocks

Beat the TSX With This Cash-Gushing Dividend Stock

A new Canoe EIT Income Fund (TSX:EIT.UN) investment could earn almost 9% yield annually, and the monthly dividend stock has…

Read more »

RRSP (Registered Retirement Savings Plan) on wooden blocks and Canadian one hundred dollar bills.
Dividend Stocks

RRSP Wealth: 2 Great Dividend Stocks to Own for Total Returns

Dividend stocks like Fortis Inc (TSX:FTS) can be great additions to a well-diversified portfolio.

Read more »

edit Sale sign, value, discount
Dividend Stocks

3 Cheap Stocks to Add to Your TFSA Before They Get Expensive

The stock market has some lucrative TFSA stocks trading at multi-year lows. Now is a good time to buy these…

Read more »