There are plenty of great stocks on the market for investors to buy. Some of these are growth-focused, whereas others are superb income picks. What these have in common is that they are some of my favourite stocks to buy right now.
Here’s a look at five of those favourite stocks to buy and why they belong in your portfolio.
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Pick #1- The defensive titan with a stable income
There are few, if any long-term stocks that can offer stable long-term growth and a reliable income stream like Fortis (TSX: FTS). Fortis is one of the largest utilities in North America with operations across the U.S., Canada, and the Caribbean.
Why is Fortis one of my favourite stocks? There are two key reasons.
First, utilities are incredibly defensive investments thanks to their highly lucrative business model. That model provides a recurring, stable revenue stream that leaves ample room for growth and income.
The second reason comes down to income. Fortis pays out a handsome quarterly dividend with a yield of 4% and has provided annual upticks without fail for over half a century. This makes it a great buy-and-forget pick for any portfolio, and one of my favourite stocks.
Pick #2- The bank with two centuries of dividends
Canada’s big banks are great long-term investments, and Bank of Montreal (TSX: BMO) is a great addition to any portfolio. BMO is the oldest of the big banks and has been paying out juicy dividends for nearly two centuries.
The bank is also a strong growth pick, with acquisitions in the U.S. over the past few years beginning to show significant long-term potential.
Throw in the more conservative, more-regulated nature of Canada’s big banks, and you have a recipe for stable growth, growing dividends and a great fit for any portfolio.
#3- A convenience store as one of my favourite stocks?
Alimentation Couche-Tard (TSX: ATD) is one of the largest convenience store and gas station operators on the planet. The company’s acquisition-focused nature, coupled with its increasingly necessary, yet convenient business model, makes it one of the favourite stocks to own.
In fact, the company has developed a unique knack for identifying long-term value in the M&A space. Couche Tard has used that to not only expand its footprint to new markets but also as a springboard revamp and refresh its line of retail products.
That’s part of the reason why the stock is up nearly 20% over the trailing two years.
#4 – The e-commerce titan for long-term growth
Another superb growth stock to mention is Shopify (TSX: SHOP). Shopify’s market-changing business has provided an avenue for millions of online businesses to quickly setup an online storefront.
Today Shopify is more than an e-commerce storefront. The company has bolted on more functionality over the years, providing everything from fulfillment and support to analytics and social media. In short, it’s a one-stop platform for any business looking to setup or expand its online e-commerce presence.
More importantly, the company is set to continue its incredible growth story, which makes it one of the favourite stocks to buy right now.
#5 – Another high-income pick
Most Canadians know Enbridge (TSX: ENB), but few know just how lucrative the energy infrastructure behemoth is.
Enbridge is best known for its pipeline business, and that segment generates the bulk of Enbridge’s earnings. Beyond that, Enbridge also operates a growing renewable energy operation and one of the largest natural gas utilities on the continent.
Collectively, these defensive segments 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 boasts a tasty 6.4% yield, making it one of the highest yields on the market, and one of my favourite stocks to own.
My favourite stocks are in. Where are yours?
The above stocks are some of the best long-term options on the market. They also provide ample growth and income-earning opportunities for both new and seasoned investors.
In my opinion, one or all of these stocks should be core holdings in any well-diversified portfolio.
