3 “Forever” Stocks That I Don’t Worry About, No Matter What the Market Does

Even if we go through a recession, I’ll be holding onto these dividend stocks for decades into the future from their solid past and future potential.

| More on:
Simple life style relaxation with Asian working business woman healthy lifestyle take it easy resting in comfort hotel or home living room having free time with peace of mind and self health balance

Image source: Getty Images

The TSX is definitely a worrisome place these days. And unfortunately, economists are pretty convinced things will get worse before it gets better. That’s simply what happens when the word recession really starts to be heard all over the place.

However, while I’m certainly worried about some of the stocks in my portfolio, there are dividend stocks I’ve purchased that I know will remain strong. I don’t mean just now but forever.

Today, I’m going to go over the three dividend stocks I’ll be holding in my portfolio no matter what happens in the markets.

CIBC stock

Canadian Imperial Bank of Commerce (TSX:CM) is a strong choice for me because it’s a Big Six bank. That means it has provisions for loan losses. That’s beneficial for time such as, you know, right now. And CIBC stock is my top choice for a few reasons — and one I’ll never sell because of those reasons.

First, it has the highest dividend of the batch. That yield comes in at 6.11% as of writing. Yet it’s also cheap in a number of ways. First, there’s the actual share price, which is far lower thanks to a recent stock split. But it also trades at just 8.28 times earnings!

Finally, now that I’m receiving passive income, I can look back on the company’s strong history of growth and know I’ll continue to see returns. In fact, I could see even more thanks to the recent growth opportunities the company has taken on, including investing in emerging markets.

Shares of CIBC stock are down 22% year to date, so I’ll be buying more before I sell even one of these shares.

NorthWest REIT

Another of the top dividend stocks I’ll be holding no matter what is NorthWest Healthcare Properties REIT (TSX:NWH.UN). Sure, NorthWest stock is new — far newer than CIBC stock or even other real estate investment trusts (REIT). However, it’s invested in the strong sector of healthcare.

It’s not just focused on any healthcare, but healthcare properties. This is a solid investment in my book, as the pandemic has showed us just how much more we need those properties to even survive on a basic level. Meanwhile, NorthWest stock continues to expand its business, now with a global portfolio of properties ranging from office buildings to hospitals.

Yet again, it’s a steal right now. Shares trade at just 8.33 times earnings and under $10 per share! Furthermore, you can lock up a dividend yield of 8.11% right now. That’s a dividend that comes out each month, I might add. And it’s also important to note that while shares are down right now, it’s not due to any poor performance on the company’s part, with growth across the board during its latest earnings report.

Shares of NorthWest stock are down about 27% year to date, and, again, I’ll be buying more to lock in a high yield!


Finally, another stock I won’t sell, no matter what happens in the market, is Cargojet (TSX:CJT). Cargojet stock is actually one of the stocks out there that hasn’t been doing too badly during the last few months. And this comes from the company remaining a necessary part of today’s shipping needs.

Cargojet stock is the only overnight cargo airline in Canada. This has been incredibly beneficial in recent years, especially with the partnerships the company has made through Amazon and DHL. These partnerships have even been renewed, with DHL just renewing its partnership recently and expanding it to add more international destinations.

So, Cargojet stock is on the growth path, despite what might be believed about e-commerce slowing down. Cargojet seems to negate all those fears, with the company showing growth across its metrics during the latest earnings report. In fact, it went from a loss to profit of $83.4 million during the quarter!

While the dividend remains at just 0.92%, I’ll take it, given the growth the stock could provide. Shares are down 27% year to date but should bounce right back once recession fears are over.

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.

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Fool contributor Amy Legate-Wolfe has positions in Canadian Imperial Bank Of Commerce, Cargojet, and NorthWest Healthcare Properties Real Estate Investment Trust. The Motley Fool has positions in and recommends Cargojet. The Motley Fool recommends Amazon.com and NorthWest Healthcare Properties Real Estate Investment Trust. The Motley Fool has a disclosure policy.

More on Dividend Stocks

edit Person using calculator next to charts and graphs
Dividend Stocks

Better Buy: Fortis Stock vs Enbridge

Fortis stock and Enbridge are top dividend stocks on the TSX today. Which stock is better buy for safe dividend…

Read more »

Canadian Dollars
Dividend Stocks

How to Make $1,500 in Passive Income 4 Times a Year

Blue-chip TSX stocks such as Enbridge can enable investors to create game-changing wealth over the long term.

Read more »

Dividend Stocks

TFSA: How to Easily Turn $10,000 Into $500/Year of Passive Income

You don't need to be a stock market expert to turn $10,000 into a $500 of tax-free passive income. Here's…

Read more »

protect, safe, trust
Dividend Stocks

Worried About a Recession? 2 TSX Blue-Chip Stocks to Protect Your Capital

If you fear a recession coming on soon, here are two blue-chip Canadian stocks to add to your portfolio for…

Read more »

Silver coins fall into a piggy bank.
Dividend Stocks

New TFSA Investors: 2 Top TSX Stock to Create a Self-Directed Retirement Fund

Top TSX dividend stocks are now on sale for new TFSA investors.

Read more »

money while you sleep
Dividend Stocks

Worried About the Market? 2 Dividend Stocks That Let You Sleep at Night

Here's why Restaurant Brands (TSX:QSR) and Enbridge (TSX:ENB) are two top dividend stocks to buy in this uncertain market right…

Read more »

money cash dividends
Dividend Stocks

How 1 Absurdly Cheap Stock Can Generate $100 in Monthly Passive Income

You can generate $100 or more in monthly passive income from one high-yield stock trading at an absurdly cheap price…

Read more »

Retirees sip their morning coffee outside.
Dividend Stocks

How I’d Invest $1000 in February to Make Easy Passive Income

Looking to earn some extra passive income in February but don't have much cash? Build an easy portfolio with these…

Read more »