Market corrections tend to make investors nervous, but for those with a long-term mindset, they can actually be a gift. Prices drop. Fear rises. But for steady dividend stocks, the value doesn’t just vanish. Instead, it might be hiding under a temporarily lower share price. Right now, several well-established Canadian dividend stocks are off their highs and trading at more attractive valuations. For investors hunting for yield, quality, and growth, this could be a perfect time to pounce.
Utilities
Let’s start with Fortis (TSX: FTS). Fortis is a name synonymous with stability. It provides regulated gas and electric utilities to customers across North America, and that steady business keeps the cash flowing even during rocky economic times. In the first quarter of 2025, Fortis reported net earnings of $499 million, or $1.00 per share. That’s up from $459 million, or $0.93 per share, in the same quarter last year.
Fortis also reaffirmed its five-year capital plan worth $26 billion. The aim is to grow its rate base from $39 billion in 2024 to $53 billion by 2029, a compound annual growth rate of 6.5%. Investors can take comfort knowing this capital plan is tied to regulated, long-duration assets. Plus, Fortis recently reconfirmed its guidance for 4% to 6% annual dividend growth through 2029. The current dividend yield is around 3.6%, and with the stock trading around $67, this is a proven dividend grower that’s now on sale.
Then there’s Canadian Utilities (TSX: CU), which may not be exciting, but that’s kind of the point. When volatility rises, boring is beautiful. Canadian Utilities provides essential services like electricity and natural gas transmission, and its customer base spans Alberta, Australia, and other parts of the world. In the first quarter of 2025, revenue held steady at $1.1 billion. Earnings came in at $206 million, or $0.75 per share, up slightly from last year. What stands out most is the dividend track record. Canadian Utilities has raised its dividend every year for 52 years. That’s the longest streak of annual increases among any publicly traded Canadian company. The current yield is around 4.9%, and with the stock trading around $37, this is a reliable income generator for any long-term portfolio.
Insurance
Next is iA Financial Corporation (TSX: IAG). iA Financial flies under the radar compared to bigger insurers, but it has been quietly building momentum. In the first quarter of 2025, iA posted core diluted earnings per share (EPS) of $2.91, up 19% year over year. That’s no small feat in a choppy market. What’s more, the insurer has been seeing strong inflows into its wealth management segment, while continuing to expand its individual insurance operations. The dividend stock also raised its dividend by 6.7% earlier this year, showing its commitment to returning capital to shareholders. At around $133 per share, the stock is down from a 52-week high above $141, giving long-term investors a better entry point to a well-managed, growing dividend player with a yield at 2.7%.
Finally, there’s Manulife Financial (TSX: MFC), one of Canada’s largest insurance and financial services firms. Manulife had a slightly mixed first quarter in 2025, with core earnings of $1.8 billion, down 1% from a year ago. Still, it saw strength in its Canadian business, with earnings rising 3% to $374 million. The dividend stock also has significant exposure to Asia, which offers long-term growth potential. Manulife’s dividend yield is very attractive right now at 4.1%, and the payout ratio remains reasonable. With the dividend stock hovering around $43, investors are getting a globally diversified insurer at a discount. Manulife’s share buyback activity and improving profitability in its Canadian and U.S. segments suggest a strong foundation for future returns.
Bottom line
These four dividend stocks each offer something a little different, but all share one thing in common: they are built to last. When markets correct, the instinct is to flee. But long-term investors know that’s when the best opportunities arise. Buying these dependable dividend payers now could mean locking in higher yields and enjoying steady growth for decades to come. Just as importantly, it means letting fear create opportunity, and that’s something the market always rewards.
