Boost Your 2025 Returns: 4 High-Yield Canadian Dividend Champions

These high-yield dividend stocks have reliable operations and generate significant passive income, making them four of the best to buy now.

Daniel Da Costa

Author Bio Daniel joined The Motley Fool Canada in 2019 and brings experience in banking, investing, and financial analysis. Growing up as the son of a proprietary stock trader and educator, he developed an early interest in financial markets and a passion for helping Canadians improve their financial well-being. His work spans investment research, economic analysis, and econometric modelling, with a focus on understanding the broader forces that influence businesses, markets, and the economy. As an investor, Daniel looks for high-quality businesses with long-term growth potential, reliable income, and attractive valuations. Outside of finance, Daniel enjoys spending time with his family, playing hockey, running, and sailing. Areas of Expertise Investment research, economic analysis, econometric modelling, banking, financial analysis, business fundamentals, long-term investing, dividend investing, and company valuation. Favorite Investment Quote "It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price." — Warren Buffett

Published April 16, 2025 9:00 pm EDT

If you’re building a portfolio that you want to lean on for passive income in 2025, high-yield dividend stocks can play a crucial role. A healthy yield not only helps your portfolio generate consistent cash flow, but it also gives you the opportunity to reinvest that income and accelerate your compound returns.

Of course, not all high-yield dividend stocks are worth buying. In fact, it’s not uncommon for a high yield to signal that the business is struggling or that the dividend is at risk of being cut.

That’s why it’s essential to find stocks with reliable operations and payouts that are both attractive and sustainable.

So, if you’re looking to increase the amount of passive income your portfolio generates, here are four high-yield dividend stocks to consider buying in 2025.

dividend growth for passive income — Source: Getty Images

Two of the best high-yield dividend stocks in Canada

If you’re looking for high-quality dividend stocks that have both reliable operations and return significant cash to investors, two of the very best are Enbridge (TSX: ENB) and Telus (TSX: T).

Enbridge has long been a favourite for Canadian dividend investors and for good reason. The energy infrastructure company owns and operates the largest pipeline network in North America, and it generates highly predictable cash flow backed by long-term contracts.

Plus, in addition to its essential operations, the stock is currently yielding roughly 6.1%, making it one of the best high-yield dividend stocks in Canada.

Furthermore, in addition to the high yield it offers, Enbridge has also increased its dividend every single year for three straight decades now.

So, if you’re looking for a reliable investment to boost your passive income, it’s easily one of the best stocks in Canada.

Meanwhile, Telus is another solid income-generating investment, offering a dividend yield of roughly 7.9% today.

And while the telecom sector has faced some short-term headwinds, including rising interest rates and elevated capital expenditures, Telus continues to be one of the best long-term investments you can make.

Like Enbridge, it’s not just a high-yield dividend stock. It’s also one of the best dividend growth stocks that Canadian investors can buy.

So, if you’re looking to boost the passive income your portfolio generates, Telus is certainly one of the best stocks to consider buying.

A top green energy stock

If you’re looking for an investment that can both generate attractive passive income today and also offers plenty of growth potential over the long haul, Brookfield Renewable Partners (TSX: BEP.UN) is one of the best to consider.

Brookfield Renewable is one of the top stocks to own for investors seeking exposure to clean energy and a strong dividend. The company owns and operates one of the largest portfolios of renewable power assets in the world, including hydroelectric, wind, solar, and storage facilities.

Like Enbridge and Telus, it is also constantly increasing the distribution it pays to investors. And right now, with the stock trading near the bottom of its 52-week range, that yield has increased to roughly 7.2%.

Furthermore, as interest rates begin to decline and capital becomes cheaper again, Brookfield could see a significant recovery in its share price. So, if you’re looking for a top high-yield dividend stock to buy now, Brookfield is certainly one of the best.

A stock made for dividend investors

Finally, if you’re looking for a pure income play with a significant yield, Pizza Pizza Royalty (TSX: PZA) is an ideal choice. The company owns the Pizza Pizza and Pizza 73 brands and collects royalties from sales at franchised locations across Canada.

Because it’s a royalty company, it doesn’t bear the same costs that traditional restaurants do. Instead, it simply collects a fixed percentage of top-line sales, which gives it a consistent and highly predictable income stream. As a result, the stock currently pays a monthly dividend that yields roughly 6.8%.

Furthermore, as one of the best-known brands among quick service restaurants and a company known for its low-cost and convenient offerings, Pizza Pizza has shown time and again it can weather economic slowdowns better than almost all of its restaurant stock peers.

And while it’s certainly not a high-growth name, if you’re looking for reliable monthly income from a high-yield dividend stock, Pizza Pizza is easily one of the best options in Canada.