3 TSX Stocks That Are Great Long-Term Picks

Canadians on the hunt for long-term picks should target dependable TSX stocks like Bank of Nova Scotia (TSX:BNS)(NYSE:BNS) and others today.


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The S&P/TSX Composite Index was down 126 points in early afternoon trading on September 22. If it holds, this will be the third triple-digit point decline in four days this week on the TSX. Many investors may be desperate for refuge in this choppy market. Today, I want to look at three TSX stocks that Canadians can trust for the long term. Let’s jump in.

This top TSX stock offers great balance and nice value

Scotiabank (TSX:BNS)(NYSE:BNS) is the first TSX stock I’d look to snatch up in the beginning of the fall season. Shares of this bank stock were down a half point at the time of this writing on September 22. The stock has dropped 9.4% in the year-to-date period.

Like its peers, this top Canadian bank unveiled its third-quarter (Q3) fiscal 2022 earnings on August 23. It delivered adjusted net income of $2.61 billion, or $2.10 per diluted share — up from $2.56 billion, or $2.01 per diluted share, in the second quarter of fiscal 2021. Adjusted net income in its Canadian Banking segment increased 12% year over year to $1.21 billion. Meanwhile, adjusted net income in International Banking rose to $631 million over $493 million in the third quarter of fiscal 2021.

Shares of this bank stock currently possess a favourable price-to-earnings (P/E) ratio of 8.3. Meanwhile, Scotiabank offers a quarterly dividend of $1.03 per share. That represents a very strong 5.9% yield.

Here’s a dependable REIT that is also discounted right now

Northwest Healthcare REIT (TSX:NWH.UN) is one of my favourite real estate investment trusts (REITs) to hold for the long haul. This Toronto-based REIT owns and operates a global portfolio of high-quality healthcare real estate. Shares of Northwest have dropped 15% so far in 2022. Investors should be inspired to snatch up this REIT on the dip to kick off the autumn.

This REIT released its second-quarter fiscal 2022 results on August 11. Northwest posted revenue growth of 24% in Q2 2022 compared to the prior year, rising to $111 million. Meanwhile, it delivered same-property net operating income growth of 3.6% compared to the previous year. Moreover, total assets under management jumped 22% to $10.2 billion.

Northwest last had a very attractive P/E ratio of 6.1. The stock offers a monthly dividend of $0.067 per share, which represents a tasty 6.9% yield.

One more top TSX stock you can trust for the long haul

Enbridge (TSX:ENB)(NYSE:ENB) is the third TSX stock I’d look to snatch up for the long haul. This super energy infrastructure stock has achieved over a quarter century of dividend growth. Shares of this energy stock have increased 9.4% so far in 2022. That has pushed the stock into positive territory in the year-over-year period.

In Q2 2022, adjusted earnings remained flat at $1.4 billion, or $0.67 per common share. Investors should be pleased that it reaffirmed its full-year guidance of adjusted earnings before interest, taxes, depreciation, and amortization between $15.0 billion and $15.6 billion and distributable cash flow per share between $5.20 and $5.50.

Shares of this top TSX stock possess a solid P/E ratio of 22. Meanwhile, Enbridge offers a quarterly dividend of $0.86 per share, representing a very nice 6.2% yield.

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 BANK OF NOVA SCOTIA, Enbridge, and NORTHWEST HEALTHCARE PPTYS REIT UNITS. The Motley Fool has a disclosure policy.

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