The Tax-Free Savings Account (TFSA) is one of the most powerful tools available to Canadian investors. But to make the most of it, you need more than just a few random picks. You need companies with strong fundamentals, long-term staying power, and a history of rewarding shareholders.
In this article, let’s look at four Canadian dividend-paying stocks that are built for the long term and belong in a TFSA-focused portfolio.
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Power Corporation of Canada stock
So, let’s kick things off with a Canadian financial giant, Power Corporation of Canada (TSX: POW) — a stock that fits perfectly into any long-term TFSA strategy. This Montréal-based holding company owns a mix of insurance, wealth management, and investment businesses across North America, Europe, and Asia.
Currently, POW stock trades at $51.13 per share with a market cap of $30.1 billion and offers an attractive annual dividend yield of 4.8%, paid quarterly.
In the fourth quarter of 2024, Power Corporation’s adjusted net profit jumped 43.2% YoY (year over year) to $829 million with the help of strong contributions from Lifeco and IGM. With these strong results, the company also hiked its dividend by 9%, showing a clear commitment to rewarding shareholders. With rising earnings, a growing portfolio, and reliable payouts, Power Corporation looks like a solid long-term pick to hold and forget.
Suncor Energy stock
Another solid long-term TFSA pick to consider is Suncor Energy (TSX: SU), a dependable giant in Canada’s oil and gas industry. It handles everything from oil sands and offshore production to refining and retail through its Petro-Canada stations.
SU stock currently trades at $55.29 per share with a market cap of $68.6 billion and a 4.1% dividend yield.
In the latest quarter, Suncor reported an adjusted net profit of $1.6 billion, driven by record upstream production and strong refining performance. The company is now focused on boosting free cash flow and returning more capital to shareholders through buybacks and growing dividends, making it an ideal stock for income investors.
Enbridge stock
The third stock in my list of top Canadian stocks for TFSA investors is Enbridge (TSX: ENB). This Calgary-based company moves oil and gas through pipelines and also operates utilities and renewable power assets.
ENB stock trades at $63.50 with a market cap of $138.4 billion and has a solid 5.9% annual dividend yield.
In the fourth quarter, it posted a 43.5% YoY increase in revenue and a 20.3% rise in profit, driven by strong performance across its segments. With steady growth, a history of raising dividends for 30 consecutive years, and a solid financial base, Enbridge fits well in any TFSA-focused income strategy.
Nutrien stock
And finally, if you’re after a dependable dividend stock that fits nicely in a TFSA, Nutrien (TSX: NTR) could be a solid option. It’s a global supplier of crop inputs and services, helping over 500,000 growers worldwide.
NTR stock currently trades at $72.81 with a market cap of $35.7 billion and pays a quarterly dividend that works out to a 4.3% annual yield.
In the December 2024 quarter, Nutrien posted $4.86 billion in revenue and $150 million in adjusted profit, down from last year due to weaker prices.
Despite the ongoing industrywide challenges, the company remains focused on efficiency, cutting costs, and boosting fertilizer volumes in 2025. Moreover, the strong long-term growth outlook for global agriculture and food demand could improve Nutrien’s financial growth in the years to come, making it appealing for long-term TFSA investors.
