People who have accumulated enough savings can transition easily into retirement. Still, many seniors realize that investing for retirement is just one phase of the journey. Investing during retirement might be necessary to keep pace with rising inflation and living expenses.
You don’t want to deplete or outlive your retirement savings, especially when factoring in longevity risk. Furthermore, you can’t fully rely on the Canada Pension Plan (CPP) and Old Age Security (OAS). Both benefits are only partial replacements for pre-retirement income.
Sienna Senior Living (TSX: SIA) and Savaria (TSX: SIS) are sound investment options to boost retirement income or augment pensions. As dividend payers, their businesses are also particularly relatable to retirees.
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Needs-driven
Sienna Senior Living has been providing senior care for 53 years and counting. Today, the $1.8 billion company owns and operates senior living residences. The property portfolio consists of 43 retirement residences, 46 long-term care (LTC) communities, and 12 managed residences for third parties.
SIA is a reliable income provider for several compelling reasons. The business is needs-driven due to the limited supply of retirement residences. Canada’s aging population also drives demand. It is forecasted to rise significantly over the next decade. At $19.41 per share, you can partake in the 4.9% dividend.
Sienna is addressing the ever-increasing demand with a growing platform and redevelopment projects. The use of pensions by retirees to cover assisted living services creates stable revenue streams. Moreover, the government extends financial assistance to help the sector weather crises such as the 2020 global pandemic.
In the first half of 2025, revenue and net operating income (NOI) increased 14.7% and 14.9% year-over-year to $495.5 million and $94.7 million, respectively. Because of occupancy growth and rate increases, Sienna expects the retirement portfolio’s same-property NOI growth in 2025 to exceed 10% versus 2024.
Solid global footprint
Savaria boasts healthy growth prospects like Sienna Senior Living due to the aging population. But instead of senior living residences, the $1.5 billion company provides accessibility products and equipment for the elderly, disabled, and people with special needs. The products in high demand include home elevators, stairlifts, and adapted vehicles.
At $21.50 per share, the industrial stock pays a decent 2.6% dividend. The global leader in accessibility is also a dividend grower, owing to 10 consecutive years of dividend increases. Its dividend track record is 13 years and counting. Income investors welcome the monthly payout frequency.
The extensive worldwide dealer network helps Savaria maintain its solid footprint in the aging-in-place market. Two core business segments, Accessibility and Patient Care, are the income generators. In the first half of 2025, total revenue increased 3.8% year-over-year to $447 million, while net earnings climbed 25% to $28.8 million from a year ago.
For this year, Savaria projects a top line of approximately $925 million. Revenue growth is driven by volume and price increases, not to mention new product launches and favourable foreign exchange effects in both business segments. Expect the Laval-based company to capitalize on market trends or even initiate an industry consolidation.
Smart picks
Sienna Senior Living and Savaria are smart stock picks for retirees. Both companies have several tailwinds that assure continued business growth and sustained profitability for years to come.
