Looking for Income in Retirement? 4 Canadian Dividend Stocks That Deliver

Retirees who are on the hunt for income in 2023 should look to Canadian dividend stocks like Fortis Inc. (TSX:FTS) and others.

Canada is set to see an explosion in its senior population in the years ahead. However, many pre-retirees are not adequately prepared for full retirement. A recent survey by the Healthcare of Ontario Pension Plan revealed that 75% of respondents between 55 and 64 had $100,000 or less in savings. Moreover, more than 40% of respondents had less than $5,000. Today, I want to look at dividend stocks that can help current and future retirees gobble up income in retirement. Let’s dive in.

woman retiree on computer

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This energy infrastructure giant is a Dividend Aristocrat with a terrific yield

Enbridge (TSX: ENB) is a Calgary-based energy infrastructure giant. This Canadian blue-chip dividend stock has delivered over a quarter century of dividend growth. Shares of Enbridge have dropped 2% month over month as of early afternoon trading on July 13. The stock is down 8.2% so far in 2023.

Investors can expect to see the company’s second-quarter (Q2) fiscal 2023 earnings in late July. In the first quarter, Enbridge delivered adjusted earnings of $1.7 billion, or $0.85 per common share, which was mostly flat compared to the previous year. Shares of this dividend stock are trading in solid value territory compared to its industry peers. It offers a quarterly dividend of $0.887 per share. That represents a fantastic 7.2% yield.

Here’s another top dividend stock with an impressive income streak

Fortis (TSX: FTS) is a St. John’s-based utility holding company. This stock has achieved 49 straight years of dividend growth. That means Fortis is on the cusp of becoming Canada’s second Dividend King. Its shares have dropped marginally over the past month. The stock is still up 2.1% in the year-to-date period.

In Q1 2023, Fortis delivered adjusted net earnings per share (EPS) of $0.91 compared to $0.78 in Q1 fiscal 2022. Meanwhile, it confirmed that its $4.3 billion capital plan for the full year remained on track. Fortis last had a solid price-to-earnings (P/E) ratio of 19. It offers a quarterly distribution of $0.565 per share, which represents a solid 4% yield.

Retirees get access to green energy and a monthly dividend with Northland

Northland Power (TSX: NPI) is a Toronto-based independent power producer that develops, builds, owns, and operates clean and green power projects in North America, Europe, and around the world. Shares of this green energy dividend stock have dropped 5.3% over the past month. Northland Power has plunged 28% so far in 2023.

This company is set to release its next batch of earnings in August. Northland saw its earnings take a hit in the first quarter, but they were still in line with analyst expectations. Shares of this dividend stock currently possess an attractive P/E ratio of 9.7. Moreover, it offers a monthly dividend of $0.10, representing a 4.4% yield.

One more dependable dividend stock I’d target today

Canadian National Railway (TSX: CNR) is a Montreal-based company that is engaged in the retail and related transportation business. Its shares have climbed 1.1% over the past month. The dividend stock is still down 4.8% so far in 2023.

Investors can expect to see CNR’s next batch of results on July 25. In Q1 2023, the company delivered revenue growth of 16% to $4.31 billion. Moreover, operating income climbed 35% to $1.66 billion. CNR last had a solid P/E ratio of 19. It offers a quarterly distribution of $0.79 per share. That represents a 2% yield.

Fool contributor Ambrose O'Callaghan has no position in any of the stocks mentioned. The Motley Fool recommends Canadian National Railway, Enbridge, and Fortis. The Motley Fool has a disclosure policy.

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