Investors seeking income and total returns are wondering which TSX stocks are still good to buy right now for a self-directed Tax-Free Savings Account (TFSA) or Registered Retirement Savings Plan (RRSP) focused on dividends and capital gains.
In the current market conditions with the TSX near its record high and economic uncertainty on the horizon, it makes sense to consider companies that have long track records of delivering dividend growth through the full economic cycle.
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Fortis
Fortis (TSX:FTS) just raised its dividend by 4.1%. This marks 52 consecutive years of dividend hikes from the Canadian utility company.
Fortis operates power generation, electricity transmission, and natural gas distribution businesses in Canada, the United States, and the Caribbean. The company recently sold some Caribbean assets to strengthen the balance sheet as it pursues a capital program of close to $29 billion over the next five years.
As the new assets are completed and go into service, the rate base is expected to rise from $42 billion in 2025 to $58 billion by 2030. This should drive cash flow growth to support planned annual dividend increases in the 4% to 6% range.
Investors who buy FTS stock at the current price can pick up a dividend yield of 3.6%.
Enbridge
Enbridge (TSX:ENB) trades near $65.50 at the time of writing compared to $70 a few weeks ago. Investors can take advantage of the dip to pick up a dividend yield of 5.8%.
Enbridge continues to expand its asset portfolio through acquisitions and development projects. The company spent US$14 billion in 2024 to purchase three natural gas utilities in the United States. Enbridge is now the largest natural gas utility operator in North America. The new utilities complement the existing natural gas transmission assets at a time when natural gas demand is expected to grow.
On the development side, Enbridge is working on a $32 billion capital program that will help drive additional revenue and cash flow expansion in the next few years to support dividend growth. Enbridge increased the dividend in each of the past 30 years.
Canadian Natural Resources
Canadian Natural Resources (TSX:CNQ) is a contrarian pick right now. Oil prices are down over the past year due to rising supply from non-OPEC members like Canada and the United States. Demand headwinds are also a factor, as China’s economy continues to struggle with the impacts of the property crisis and U.S. tariffs.
Looking ahead, analysts widely expect oil prices to remain under pressure through at least the first half of 2026, so investors will need to be patient. That being said, CNRL remains very profitable at current oil prices and continues to raise output to help offset the margin squeeze. Any news of a trade deal between the U.S. and China could send oil stocks higher.
New pipeline capacity could be on the way in Canada as the government looks for ways to boost exports to overseas buyers. This would benefit CNRL. In the meantime, investors can get a 5.3% dividend yield from CNQ. The board has increased the dividend in each of the past 25 years.
The bottom line
Fortis, Enbridge, and CNRL pay attractive dividends that should continue to grow. If you have some cash to put to work in a TFSA or RRSP, these stocks deserve to be on your radar.
