4 Dividend Stocks With Yields TFSA Investors Should Lock In Now!

These dividend stocks offer superior long-term returns, but these dividend yields certainly won’t last that long.

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Motley Fool investors have likely already heard the phrase, “It’s not timing the market, but time in the market” by now. And it’s certainly true. This is, by far, the best way to create returns. Whether you’re looking at growth stocks, value stocks, blue-chip companies, or anything, it’s time in the market that creates the largest returns.

That’s why, today, I’ll be looking at four dividend stocks that continue to have yields investors will want to lock in now. Should these four dividend stocks rise to 52-week highs, you’ll create incredible returns while also locking in passive income at these high rates. Let’s get to it.

Nutrien

Nutrien (TSX:NTR) may not have the history behind it, but it certainly has growth ahead of it. The company continues to be a valuable choice after falling from all-time highs due to sanctions on Russian crop nutrients.

Yet now, with shares down 34% from those all-time highs, investors can lock up a 2.64% dividend yield. And should your shares return to 52-week highs, you’ll have locked in high passive income while it trades in value territory at 5.12 times earnings and turned it into sweet returns. Let’s look at how much that could be from a $5,000 investment.

COMPANYRECENT PRICENUMBER OF SHARESDIVIDENDTOTAL PAYOUTFREQUENCY
NTR: Now$9751$2.61$133.11Annually
NTR: Highs$14734$2.61$88.74Annually

Should your 51 shares reach 52-week highs, that would turn your Nutrien stock shares into $7,497 on top of that income!

BCE

Another strong choice among your dividend stocks should be telecom giant BCE (TSX:BCE). BCE stock continues to hold the market share of the telecom industry, and that seems to continue to be stable given its rollout of 5G and 5G+. In fact, it continues to bring in new customers thanks to offering the fastest internet speeds in the country!

Even so, shares are down about 9% in the last year and 19% from 52-week highs. Here, you’ll get a whopping 6.19% dividend yield if you buy today — all while the stock trades at a reasonable 19.35 times earnings. Let’s look at what that $5,000 could get you.

COMPANYRECENT PRICENUMBER OF SHARESDIVIDENDTOTAL PAYOUTFREQUENCY
BCE: Now$6083$3.68$305.44Annually
BCE: Highs$7467$3.68$246.56Annually

Should your 83 shares reach 52-week highs, that would turn your BCE shares into $6,142 on top of that income!

BMO

Next up we have a Big Six bank, but the reason I’m going with Bank of Montreal (TSX:BMO) is its growth prospects. Not only do you get the security it offers through provisions for loan losses, but you also get access to the stellar growth gained from its purchase of Bank of the West in the United States.

While shares trade at just 6.3 times earnings and are down 11% in the last year, I would buy up this stock in bulk — especially while it trades with a dividend yield at 4.66% as of writing. So, let’s see what that $5,000 would buy right now.

COMPANYRECENT PRICENUMBER OF SHARESDIVIDENDTOTAL PAYOUTFREQUENCY
BMO: Now$12639$5.72$223.08Annually
BMO: Highs$15432$5.72$183.04Annually

Should your 39 shares reach 52-week highs, that would turn your BMO stock shares into $6,006 on top of that income!

Canadian Tire

To top off your dividend stocks, I would add Canadian legend Canadian Tire (TSX:CTC.A). The company proved its worth during the pandemic, expanding its e-commerce operations and storing its own products in house to get around supply constraints. And investors haven’t looked back.

Now, you can pick it up trading at just 8.65 times earnings and with a stellar 4.88% dividend yield as well. Even though it trades down 19% in the last year, let’s see what that $5,000 could turn into.

COMPANYRECENT PRICENUMBER OF SHARESDIVIDENDTOTAL PAYOUTFREQUENCY
CTC.A: Now$14634$6.90$234.60Annually
CTC.A: Highs$19625$6.90$172.50Annually

Should your 34 shares reach 52-week highs, that would turn your CTC.A stock shares into $6,664 on top of that income!

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 Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Nutrien. The Motley Fool has a disclosure policy.

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