4 Safer Canadian Stocks to Buy Now With $1,000

These four safer Canadian stocks to add to your portfolio will provide a healthy income and long-term growth lasting decades.

| More on:
pig shows concept of sustainable investing

Source: Getty Images

Key Points

  • Fortis, a leading Canadian utility stock, offers a stable dividend yield of 3.64% backed by long-term regulated contracts, providing a safe investment with defensive appeal.
  • Bank of Nova Scotia, Loblaw Companies, and Enbridge complement a diversified portfolio, yielding between 1.04% and 5.58%, with growth potential in international markets, essential services, and energy infrastructure.
  • 5 stocks our experts like better than Loblaw Companies

Is your portfolio diversified? There’s no shortage of great stocks to consider right now that can offer growth and income-earning potential wrapped in a defensive shell. That includes some of the safer Canadian stocks to buy right now.

Here’s a look at four top options for any portfolio.

Consider this top-defensive utility stock

Fortis (TSX:FTS) is one of the safer Canadian stocks to buy. For those unfamiliar with the stock, Fortis is one of the largest utility stocks on the market.

Utility stocks, such as Fortis, are excellent options for those seeking safer Canadian stocks. Part of the reason for this is the defensive appeal that utilities offer, thanks to the sheer necessity of the service they provide.

That service is backed by long-term, regulated contracts that span decades. That recurring revenue stream leaves room for growth and a very appetizing quarterly dividend.

As of the time of writing, that dividend works out to a yield of 3.64%. Prospective investors should note that Fortis has provided an annual uptick to that dividend for over 50 consecutive years without fail.

Load up on this international-focused bank stock

Canada’s big bank stocks are impressive long-term picks that offer reliable results, stellar growth and juicy dividends. Among those big banks is Bank of Nova Scotia (TSX:BNS).

Scotiabank isn’t the largest of the big banks, but it is the most international of the banks. That international segment provides a healthy, growing bump to Scotiabank’s revenue stream. Scotiabank is also refocusing its growth efforts outside of more volatile Latin American markets to more mature North American markets.

Not only does Scotiabank offer growth appeal to investors seeking safer Canadian stocks, but it also pays out a very handsome quarterly dividend. And like Fortis, Scotiabank provides investors with an annual bump to that dividend.

Scotiabank’s quarterly dividend currently pays out an appetizing 4.94% yield.

Have you considered a grocer?

Another one of the safer Canadian stocks to buy is a grocer, like Loblaw Companies (TSX:L).

Loblaw is the largest Canadian grocer and pharmacy retailer. This puts the company in a sweet spot of offering necessities to its customers across the country, irrespective of how the market fares.

The dual nature of the pharmacy and grocery business also allows Loblaw to capitalize on cross-selling and appealing to different types of customers. It handily makes Loblaw one of the great defensive picks on the market.

Loblaw also offers investors a tasty quarterly dividend. As of the time of writing, the yield works out to 1.04%. That’s not the highest yield on the market, but it is well-covered, defensive and continues to grow.

The result is a diversified, revenue-generating pick that is one of the safer Canadian stocks to buy right now.

Finish with a high-energy diversified pick

The last of the safer Canadian stocks to buy right now is Enbridge (TSX:ENB). Enbridge is the largest energy infrastructure company in Canada, and operates the largest and most complex pipeline system on the planet.

That pipeline network, which contains both crude oil and natural gas parts, comprises the bulk of Enbridge’s healthy revenue stream. More importantly, the segment hauls massive amounts of gas and crude.

In fact, Enbridge hauls so much North American natural gas and crude that it makes the company one of the most defensive options on the market.

And that’s just one segment. The company also boasts a renewable energy business and a growing natural gas utility.

Collectively, those segments generate ample revenue for Enbridge to invest in growth initiatives and pay out a very handsome quarterly dividend.

As of the time of writing, Enbridge offers a juicy 5.58% yield. Adding to that appeal is Enbridge’s storied history of providing annual upticks to that dividend going back three decades without fail.

That fact alone makes this one of the safer Canadian stocks to own in any portfolio.

What are your safer Canadian stocks?

All stocks, even the highly defensive options above, carry some risk. That’s why the importance of diversifying cannot be overstated enough.

Fortunately, the four stocks mentioned above provide ample growth and income-earning capabilities for investors.

They also boast long-term appeal, making them ideal entry points for any investor, even with just $1,000 to start.

Fool contributor Demetris Afxentiou has positions in Bank Of Nova Scotia, Enbridge, and Fortis. The Motley Fool recommends Bank Of Nova Scotia, Enbridge, and Fortis. The Motley Fool has a disclosure policy.

More on Investing

Piggy bank on a flying rocket
Dividend Stocks

2 Dividend Stocks to Create Long-Lasting Family Wealth

Two simple moves can help your family build wealth that lasts: a quiet compounder and a quality dividend ETF you…

Read more »

customer uses bank ATM
Bank Stocks

A Market-Proof Dividend Stock for Lasting TFSA Income

Here’s why this proven Canadian bank stock could be a lasting source of tax-free income and growth inside your TFSA.

Read more »

woman checks off all the boxes
Dividend Stocks

5 Reasons to Buy and Hold This Canadian Stock Forever

Brookfield Corp (TSX:BN) is a Canadian stock that merits a long holding period.

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Investing

Tax-Free Gains: Top TFSA Stocks to Own in 2026

Learn the best strategies for your TFSA in 2026. Check out these three quality Canadian stocks for big potential tax-free…

Read more »

hand stacking money coins
Dividend Stocks

The 7.3% Dividend Stock You Can Depend On

Despite risks, this key Canadian dividend stock could continue to deliver sky-high yields for a very long time -- a…

Read more »

Canadian Dollars bills
Metals and Mining Stocks

Top Canadian Stocks to Buy Immediately With Just $1,000

Here are two top Canadian stocks that are poised to deliver market-beating returns to shareholders over the next few years.

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Tuesday, December 9

With the index still hovering close to record highs, TSX stocks may remain range-bound today ahead of key U.S. labor…

Read more »

senior relaxes in hammock with e-book
Dividend Stocks

Top Picks: 3 Canadian Dividend Stocks for Stress-Free Passive Income

For investors looking to pick up reasonable dividend income, but also want to sleep well at night, here are three…

Read more »