When it comes to building a reliable retirement portfolio, it’s just as important to find top Canadian dividend stocks that can generate significant passive income as it is to find reliable businesses that you can own with confidence.
It’s certainly crucial to find stocks that generate significant and consistent income. However, it’s also paramount to ensure your hard-earned money is protected, regardless of how uncertain the economic and market conditions may be.
That’s why some of the best stocks for a retirement portfolio are high-quality dividend stocks with strong cash flow, stable business models, and a history of growing payouts.
So, if you’re looking to boost the passive income your portfolio generates with reliable, high-quality dividend stocks, here are three of the top Canadian companies to consider today.
A top Canadian dividend stock with a yield of 4.9%
It’s no secret that utility stocks are some of the top Canadian dividend stocks you can own. And while there are several high-quality utilities on the TSX, Emera (TSX:EMA) is one of the very best.
Because of the essential operations it provides, the fact that its operations are regulated by governments and the fact that it supplies electricity and natural gas to over 2.5 million customers across Canada, the U.S., and the Caribbean, Emera generates steady and predictable revenue.
The demand for electricity and natural gas remains stable no matter what’s happening in the economy, making Emera one of the top Canadian dividend stocks to buy for both the passive income it generates and its reliability.
Furthermore, in addition to an attractive dividend yield that it currently offers, which is just shy of 5%, Emera also has an impressive dividend growth streak that’s lasted for 18 consecutive years.
This goes to show just how reliable its operations are. For nearly two decades no matter how the economy has performed, Emera has consistently expanded its operations and grown its earnings and cash flow in order to continue increasing its dividend.
So, if you’re looking for top Canadian stocks to buy now to help boost the passive income your portfolio generates, there’s no question that Emera is one of the best.
One of the best defensive growth stocks to buy today and hold for decades
In addition to Emera, another top Canadian dividend stock that has stable and reliable operations but also offers even more long-term growth potential is Brookfield Infrastructure Partners (TSX:BIP.UN).
Brookfield Infrastructure is a stock you can buy today and have confidence owning for decades because it owns critical infrastructure assets all across the world.
These assets include utilities, ports, railroads, data centres, telecom towers, pipelines and more. And because all of these assets are essential in their economies, much of the revenue that Brookfield generates is predictable, regardless of economic conditions.
However, what really makes Brookfield one of the best Canadian dividend stocks to buy and hold for years is that it doesn’t just focus on stability; it’s also constantly looking to expand its operations.
For example, the stock is constantly looking to acquire undervalued assets that it can improve and increase profitability to either grow the cash flow it generates or sell them at a premium.
Therefore, when you consider the reliability of its portfolio, its long-term growth potential and the fact that it offers a yield of more than 5.7% today, it’s clear that Brookfield is one of the top Canadian dividend stocks to buy and hold for the long haul.
A top TSX telecom stock
In addition to utilities and other infrastructure assets, the telecom sector is also one of the most stable and recession-resistant industries, which is why Telus (TSX:T) is one of the best Canadian dividend stocks to buy now.
Having access to reliable communication is crucial these days and only continues to become more essential as technology improves. Therefore, Telus is consistently generating recurring revenue, making it one of the most defensive businesses in Canada.
This recurring revenue, combined with the long-life assets that Telus owns, allows it to generate substantial cash flow, which it can return to investors.
So, it’s no surprise that in addition to the 7.8% dividend yield it offers, Telus also has a dividend growth streak that’s lasted for two decades.
