There’s no shortage of great Canadian stocks to buy on the market right now. In fact, new and existing investors with just $7,000 can kick off a stellar portfolio that can provide growth and income-earning potential for decades.
Curious? Here’s a look at some of the best Canadian stocks to buy right now.
Canada’s big banks are good options to buy and hold
Investing in Canada’s big bank stocks is always a great option to consider. TD Bank (TSX: TD) is one of those big banks that should be on every investor’s radar.
TD operates both a solid, mature domestic operation in Canada, as well as a growing presence in the U.S. market. That U.S. market presence came to fruition in the years following the Great Recession when TD acquired several smaller banks and stitched them together into one massive network.
Today that U.S. network has more branches than its Canadian sibling, and boasts a presence from Maine to Florida along the east coast.
In recent years, that growth has stalled as the bank has come under investigation by U.S. regulators relating to systems around money laundering.
The bank has set aside a whopping $3 billion to cover penalties stemming from the investigation. This has led to the stock price dipping, and therefore an opportunity for long-term investors.
While the stock is still down from its high point in 2022, it does continue to grow. And while investors wait for that recovery to continue, they can take solace in the juicy 4.8% yield the bank offers right now.
That fact alone makes TD one of the Canadian stocks to buy right now and hold for long-term gains.
Utilities are amazing options for any portfolio
Another underrated and often regarded as boring investment sector is utilities. Utilities generate a stable revenue stream that is backed by long-term regulated contracts.
In short, utilities provide a service and get paid for it. Nothing fancy or flashy. Just a simple business model that offers defensive appeal, stability, and a decent dividend. That reliable revenue stream also leaves room for investing in growth.
The utility for investors to consider right now is Canadian Utilities (TSX: CU). As of the time of writing, Canadian Utilities pays out a very appetizing 5% yield. Canadian Utilities is also a Dividend King, boasting an incredible 52 years of annual increases to that dividend.
That fact makes Canadian Utilities one of the best Canadian stocks to buy right now and hold for decades.
This stock can power your portfolio to new levels
One additional Canadian stock for investors to consider buying right now is Enbridge (TSX: ENB). Enbridge is best known for its pipeline business, which generates the bulk of its revenue.
Apart from that segment, the company also operates a growing renewable energy business, as well as owning the largest natural gas utility in North America.
Collectively, those segments (which are also incredibly defensive) provide ample revenue for the company to invest in growth and payout one of the best dividends on the market.
As of the time of writing, Enbridge offers investors a tasty quarterly dividend with a yield of 6.6%. And like TD Bank and Canadian Utilities, Enbridge has a history of providing investors with annual increases to that dividend.
In fact, Enbridge has provided an annual uptick to that dividend for three decades without fail. That makes the stock handily one of the best Canadian stocks to buy now.
What are the best Canadian stocks to buy?
Enbridge, TD Bank, and Canadian Utilities offer investors solid growth, ample dividends, and significant defensive appeal. Investors who are looking to buy into any of the three can quickly amass a decent portfolio to work with, even with just $7,000.
In my opinion, one or all of the above are some of the best Canadian stocks to buy and should be core holdings in any well-diversified portfolio.
