When you’re investing your hard-earned savings in the stock market to build long-term wealth, it’s essential to include a few rock-solid dividend payers in your portfolio. These stocks offer predictable income, reduce portfolio volatility, and often come from companies with dependable business models and strong cash flows. While they may not be as exciting as high-growth tech stocks, these safe dividend stocks could continue to generate solid free cash flow, pay reliable dividends, and hold up well across different economic conditions.
In this article, I’ll explain why I’d invest $7,000 in this unshakeable dividend payer today and how it can serve as a dependable anchor for any long-term investment strategy.
A proven dividend player with reliable cash flows
That brings us to Capital Power (TSX:CPX), the Canadian stock I’d confidently put my $7,000 into today. This Edmonton-based power producer is known for delivering dependable cash flows through its renewable and thermal power assets spread across North America.
After surging by 46% over the last year, CPX stock currently trades at $55.50 per share with a market cap of $8.6 billion. The stock rewards its investors with an attractive quarterly dividend that translates into a strong annualized yield of 4.7%.
Strong financials driven by smart moves
Capital Power’s business model is already built on stable energy assets, and it recently added more fuel to its growth story. In the first quarter of 2025, its net profit was slightly lower than a year ago, but the company’s adjusted funds from operations climbed by 87% year over year to $1.57 per share, reflecting how efficiently it’s running operations.
Last quarter, Capital Power’s revenue also rose sequentially by 10% to $988 million. These results were mainly boosted by the company’s continued focus on portfolio diversification and strong asset utilization, especially in the U.S. market.
Growth strategy anchored in future demand
Another key factor that gives Capital Power its unshakeable appeal is how it’s continuing to invest in the future. It recently announced a $3 billion deal to acquire two major natural gas-fired facilities in the U.S., adding over 2.1 gigawatts of flexible generation capacity.
These assets serve high-demand markets and are expected to be fully accretive as they’ll start adding to Capital Power’s earnings right away. This move also strengthens the company’s presence in a key U.S. power region, where electricity demand continues to rise due to rapid growth in data centres and industrial development.
A long-term dividend pick you can count on
Beyond acquisitions, Capital Power is also developing multiple battery storage and wind projects across Ontario and Alberta, expected to add another 350 megawatts of contracted capacity. Moreover, it has wrapped up coal repowering work at its Genesee facility, setting the stage for cleaner and more efficient output going forward. With strong dividend visibility, expansion into key U.S. markets, and a well-funded pipeline of growth projects, Capital Power fits perfectly into any list of safe dividend stocks to buy today. For long-term investors seeking stable income and growth, this company could be the anchor your portfolio needs right now.
