Stop Working and Start Earning With These 3 Stocks

These stocks aren’t just doing well now; they’ve been doing well for a decade! And that may only be the tip of this lucrative iceberg.

Amy Legate-Wolfe

Author Bio Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Her work can also be found at Canada's National Observer, where she writes on the business side of climate action. Before joining Motley Fool Canada, Amy wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Social Media Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published October 27, 2023 9:15 pm EDT

Early retirement seems like a dream, doesn’t it? One that couldn’t possibly come true. Yet many Canadians can still achieve this dream and make it a reality. By preparing properly and setting yourself up for long-term success, you can certainly achieve early retirement and stock work for good.

How? By creating a solid passive-income portfolio. And I do mean passive income — not just dividends. Investors tend to forget that returns count as passive income, too! This is why today we’re going to focus on three dividend stocks that can set you up for long-term gains, both in returns and dividend passive income.

woman retiree on computer — Image source: Getty Images

Constellation Software

Constellation Software (TSX: CSU) has become a master at acquiring software companies. These companies are those that provide essential services to our everyday lives but perhaps need a jolt to get them into everyone’s hands.

This is where Constellation stock comes in, buying up these companies and giving them what they need to thrive and expand. And, of course, the stock gets a huge piece of the action. It’s been successful for decades, allowing for even more decades of growth in the future.

In fact, Constellation stock has increased 40% in the last year and a whopping 1,352% in the last decade. While that’s likely to slow in the next decade, you can still look forward to immense and stable growth. As well as a dividend of $5.43 per share on an annual basis.

Dollarama

A great choice if you want to protect your cash during a downturn, Dollarama (TSX: DOL) is another stock to consider. Dollarama stock tends to be one of the last retail companies hit by inflation, using this to allow consumers to come to their stores as much as possible before raising prices.

The revenue made allows Dollarama stock to open in even more locations across the country. And it’s done this for years! Now, it’s looking beyond its borders, investing in Dollar City in Latin America. This allows investors to look forward to yet even more growth from the retail stock.

While the dividend of $0.27 per share annually isn’t all that high, returns sure are. Shares of Dollarama stock are up 540% in the last decade alone. And that certainly looks like it will continue.

WSP Global

Finally, WSP Global (TSX: WSP) is the last of the stable stocks that could bring you to early retirement. That’s because the stock is in the essential business of essential infrastructure. The consulting firm focuses on providing services to build rails, bridges, roads, you name it — all essential, all long-term contracts.

So, it’s no wonder that the stock has risen so far in the last few decades. And it looks like that should continue, thanks to even more solid contracts coming the company’s way. In fact, during its last earnings report, the company beat its expectations and increased its annual outlook!

Because of this, third-quarter results around the corner should see another jump in share price. That’s on top of the growth it’s seen in the last decade. Shares of WSP stock are now up 394% in the last 10 years, and again, this could only be the beginning. Plus, you can bring in a solid dividend of $1.50 per share annually as of writing.