The S&P/TSX Composite Index was up 129 points in late-morning trading on Thursday, September 8. This volatile market means investors need to be choosy with their picks going forward. Today, I want to look at four dependable dividend stocks that can be trusted in a retirement portfolio in the near and long term. Let’s jump in.
This future Dividend King is perfect for a retirement portfolio
Fortis (TSX: FTS)(NYSE: FTS) is still one of my favourite dividend stocks to target in a retirement portfolio. This St. John’s-based utility holding company has delivered dividend growth for 47 consecutive years. It is on track to become a Dividend King by the middle of this decade. A Dividend King is a stock that has achieved at least 50 straight years of annual dividend increases.
Shares of this dividend stock currently possess a price-to-earnings (P/E) ratio of 22. That puts Fortis in solid value territory compared to its industry peers. It offers a quarterly dividend of $0.535 per share, which represents a 3.6% yield.
Here’s an energy stock that will generate strong profits for decades to come
Suncor (TSX: SU)(NYSE: SU) is a Calgary-based integrated energy company. Last decade, former chief executive officer Steve Williams boasted that the company’s oil sands business had the potential to stand for a century. Shares of this dividend stock have climbed 20% in 2022 as of early afternoon trading on September 8. The stock is up 72% from the prior year.
The company released its second-quarter fiscal 2022 earnings on August 4. It delivered adjusted funds from operations (AFFO) of $5.34 billion, or $3.80 per common share — up from $2.36 billion, or $1.57 per common share, in the second quarter of fiscal 2021. Shares of Suncor currently possess a very favourable P/E ratio of 6.1. It offers a quarterly dividend of $0.47 per share. That represents a solid 4.6% yield.
Don’t sleep on this highly dependable telecommunications stock
Telus (TSX: T)(NYSE: TU) has been one of the best-performing telecommunications companies in Canada in recent years. This dividend stock has dropped 2.9% in the year-to-date period. Its shares are down 3.6% year over year. Telus is another stock that is a perfect target for a retirement portfolio in late 2022.
In Q2 2022, the company delivered operating revenue growth of 6.4% to $4.37 billion. Meanwhile, it reported adjusted net income of $422 million and $0.32 per diluted share — up 21% or 23%, respectively, from the previous year. This dividend stock last had a solid P/E ratio of 21. It offers a quarterly distribution of $0.339 per share, which represents a 4.7% yield.
One more reliable utility to won in your retirement portfolio
Hydro One (TSX: H) is a great way to round out our retirement portfolio in the beginning of September. This utility boasts a monopoly in the province of Ontario. Its shares are up 8.4% in the year-to-date period. The dividend stock is up 12% from the same time in 2021.
This company reported basic earnings per share of $0.43 in Q2 2022 — up 7.5% from the prior year. It reported total revenue of $3.88 billion in the year-to-date period compared to $3.53 billion in the first six months of 2021. Hydro One has delivered dividend growth in every year since its inception. It currently possesses a favourable P/E ratio of 20. It offers a quarterly dividend of $0.28 per share, representing a 3.1% yield.
