3 Canadian Stocks That Paid Record Dividends in 2024

Some of the most potent dividend growers in 2024 are also worth considering in 2025, especially for their long-term holding potential.

| More on:
ways to boost income

Source: Getty Images

Consistent dividend growth is one thing you can safely expect from Dividend Aristocrats. That’s one of the reasons most investors are interested in them in the first place and why they are an essential part of the retirement planning of many investors. Consistent and reliable dividend growth is critical to creating an inflation-resistant passive income.

However, in 2024, a few stocks exceeded their usual dividend-growth pattern. This has made their dividends even more attractive and worth considering for 2025, especially as long-term holdings.

A telecom giant

BCE (TSX:BCE) is the largest telecom company in Canada by market cap and a few other metrics. It’s currently the worst-hit stock in the telecom sector due to the onslaught brought on by regulatory challenges. It’s down 54% from its five-year peak, and the current trajectory doesn’t look promising either.

The company’s dividend growth streak has ended after one-and-a-half decades, but it’s not cutting its dividends for now. At its current yield of 11.9%, it’s one of the most generous blue-chip dividend stocks currently trading on the TSX. This put its dividends in a class of its own throughout 2024 when the yield gradually increased and reached its current level.

A banking giant

Canadian Imperial Bank of Commerce (TSX:CM) was one of the best-growing banking stocks in 2024. Its yield has climbed over 43% in the last 12 months, which isn’t conducive to a high yield, but the bank’s yield is still quite attractive at 4.3%, thanks partly to the largest dividend hike in the last three years.

The bank raised its payouts from $0.90 in the third quarter to $0.97 for the fourth quarter of 2024. While the yield is attractive enough if you want to buy the stock right now, its trajectory is shifting from bullish to bearish, and if a correction is coming, it would be prudent to wait for the stock to bottom out and lock in the best possible yield, maximizing the impact of the dividend growth.

An energy giant

Canadian Natural Resources (TSX:CNQ) is the country’s top oil producer, second-largest natural gas producer, and largest energy company by total reserves. It has also been one of the most stable upstream companies in the last decade, recovering from the 2014 slump before the post-pandemic bull market pushed most energy stocks up past the required level.

However, like most energy stocks in Canada, 2024 wasn’t a great year for the company, and the stock gradually slumped. The company still raised its dividends, maintaining its position as a Dividend Aristocrat by a decent margin.

Foolish takeaway

While the three stocks aren’t at or near the top of the companies that paid record dividends in 2024, they are among the most desirable picks from that pool. You can buy BCE now, assuming it has already hit rock bottom and will likely go up in 2025. For the other two, waiting for their current bearish phases to fully manifest might be brilliant.

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 Adam Othman has no position in any of the stocks mentioned. The Motley Fool recommends Canadian Natural Resources. The Motley Fool has a disclosure policy.

More on Dividend Stocks

woman analyze data
Dividend Stocks

The Smartest Dividend Stocks to Buy With $1,000 Right Now

Do you have some cash to invest but want to earn a safe, low-risk dividend return? These dividend stocks are…

Read more »

An investor uses a tablet
Dividend Stocks

5 Canadian Dividend Stocks I Think Everyone Should Own

These Canadian stocks have a solid track record of dividend growth and offer compelling yields near their current market price.

Read more »

calculate and analyze stock
Dividend Stocks

This 4.4% Dividend Stock Pays Cash Every Single Month

This high-quality Canadian dividend stock offers an attractive yield and plenty of long-term growth potential.

Read more »

edit Safe pig, protect money
Dividend Stocks

3 TSX Dividend Aristocrats That Can Weather Any Economic Storm

Market volatility has investors wondering which stocks can withstand an economic storm. Here are three to consider today.

Read more »

people relax on mountain ledge
Dividend Stocks

Top Canadian Stocks to Buy for Passive Income 

Are you building a passive income portfolio that can beat inflation and provide higher purchasing power? You could consider buying…

Read more »

voice-recognition-talking-to-a-smartphone
Dividend Stocks

1 Magnificent Canadian Dividend Stock Down 40 Percent to Buy and Hold Forever

This magnificent Canadian dividend stock trades at a huge discount, offers stellar growth, and pays one of the best yields…

Read more »

A plant grows from coins.
Dividend Stocks

Top Canadian Stocks to Buy for Dividend Growth

Dividend growth stocks can be a good option to build a passive income that beats inflation and improves buying power.

Read more »

Concept of multiple streams of income
Top TSX Stocks

The Best Stocks to Invest $1,000 in Right Now

Here are some of the best stocks that every investor should own today to generate massive income and strong growth…

Read more »