5 Dividend Stocks With Reliable Income in a Bearish Market

Canadian investors sweating out a potential bear market may want to target dividend stocks like Capital Power Corp. (TSX:CPX) and others.

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The S&P/TSX Composite Index plunged 252 points on Tuesday, December 6. This was the second straight triple-digit loss to open the first full trading week of this month. Canadian stocks have looked shaky to start December after putting together a strong run since the middle of October. Today, I want to look at five dividend stocks that offer consistent income. These could offer stability in a bear market. Let’s jump in.

This energy infrastructure giant is worth trusting in a bear market

Enbridge (TSX:ENB) is the largest energy infrastructure company in North America. Shares of this Calgary-based energy stock have dropped 3.5% week over week as of close on December 6. The stock is still up 8.5% in 2022.

This company released its third-quarter (Q3) fiscal 2022 earnings on November 4. Enbridge posted adjusted earnings of $1.4 billion, or $0.67 per common share — up from $1.2 billion, or $0.59 per common share, in the third quarter of fiscal 2021. Shares of this dividend stock currently possess a favourable price-to-earnings (P/E) ratio of 19. Moreover, it offers a quarterly distribution of $0.887 per share. That represents a tasty 6.6% yield.

Here’s a dividend stock that offers very strong monthly income

Keyera (TSX:KEY) is a Calgary-based company that is also engaged in the energy infrastructure business. This dividend stock is up 8.5% in the year-to-date period. That has pushed its shares into the black year over year. Investors hungry for peace of mind in a bear market may want to seek out monthly income.

In Q3 2022, Keyera posted funds from operations (FFO) of $218 million compared to $168 million in the third quarter of 2021. EBITDA stands for earnings before interest, taxes, depreciation, and amortization. This stock last had an attractive P/E ratio of 13. Better yet, Keyera offers a monthly dividend of $0.16 per share, which represents an excellent 6.1% yield.

Don’t sleep on this dividend stock in the green energy space

Capital Power (TSX:CPX) is an Edmonton-based company that develops, acquires, owns, and operates renewable and thermal power-generation facilities in Canada and the United States. Its shares have shot up 11% month over month as of close on December 6. The stock has climbed 21% so far in 2022. Canadian investors can scoop up a red-hot dividend stock and gain exposure to the green energy space.

The company unveiled its Q3 fiscal 2022 results on October 31. Capital Power achieved total revenues of $786 million — up from $377 million in the previous year. Meanwhile, adjusted EBITDA rose to $1.05 billion in the first nine months of fiscal 2022. That was up from $830 million in the previous year.

Shares of this dividend stock are trading in favourable territory compared to its industry peers. Capital Power offers a quarterly dividend of $0.58 per share, representing a very solid 4.8% yield.

Worried about a bear market? Target this highly diversified stock with a high yield

Power Corporation (TSX:POW) operates as an international management and holding company that services North America, Europe, and Asia. Shares of this dividend stock have dropped 19% in the year-to-date period.

This dividend stock possesses a very favourable P/E ratio of 11. Moreover, it offers a quarterly dividend of $0.495. That represents a very strong 5.8% yield.

One more super dividend stock to target today

Bridgemarq Real Estate (TSX:BRE) is the fifth and final dividend stock I’d look to target in a bear market. Canada housing has been hit hard by interest rate hikes in 2022. However, I’m still looking to target this realtor company for the long term. Its shares have dropped 21% in 2022.

Shares of this dividend stock last had an attractive P/E ratio of 9.6. Bridgemarq offers a monthly distribution of $0.113 per share, which represents a monster 10% 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 Enbridge and Keyera. The Motley Fool has a disclosure policy.

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