Canadian energy companies have long been favourites among income-focused investors, and for good reason. Their businesses generate steady, reliable cash flow, supported by high-quality assets and diverse revenue streams.
Moreover, these companies focus on disciplined capital allocation, funnelling a healthy portion of their earnings into dividends and share buybacks while still investing in future-focused projects. This balance between growth and income makes energy stocks a compelling investment for dividend investors.
Against this background, here are three dividend-paying stocks from the energy sector to buy in November. The payouts of these companies are backed by fundamentally strong businesses that generate steady and growing cash flows.
Canadian Natural Resources
Canadian Natural Resources (TSX:CNQ) is a solid dividend stock to own for the long term. The leading oil and gas producer benefits from a diverse portfolio of high-quality assets that continue to enhance both its financial performance and its ability to reward shareholders. CNQ has increased its distributions for 25 straight years, reflecting a compound annual growth rate (CAGR) of 21%. With a current yield of about 5%, the stock offers an appealing blend of income and growth.
What makes CNQ particularly compelling is the durability of those payouts. The company’s long-life, low-decline reserves and balanced production mix generate steady cash flow even in a volatile energy market.
Looking ahead, CNQ appears well-positioned to keep rewarding shareholders. Its robust balance sheet, strategic acquisitions, low-risk conventional projects, and a large, undeveloped land base provide additional avenues for expansion. With years of drilling potential and a focus on high-return projects, CNQ remains a solid dividend stock in the energy sector.
TC Energy
TC Energy (TSX:TRP) is another compelling dividend stock in the energy space. This energy infrastructure company has a highly contracted and regulated asset base that generates consistent earnings and strong cash flow, supporting higher dividend payments and its stock price.
It’s worth noting that TC Energy has been consistently increasing its dividends, thanks to its growing cash flows. For instance, it has raised its dividend at a CAGR of 7% since 2000. Furthermore, the company projects its annual dividend to increase by 3% to 5% over the long term. It also offers an attractive yield of 4.4%.
The company’s secured capital projects and high asset utilization rate will continue to expand its earnings and drive higher cash flows. Further, its focus on productivity savings and debt reduction will enable TC Energy to boost its shareholder value and capitalize on growth opportunities.
Brookfield Renewable Partners
Dividend investors can consider Brookfield Renewable Partners (TSX:BEP.UN), a leading player in the renewable energy sector. The company operates one of the world’s most diversified renewable portfolios, including hydro, wind, solar, battery storage, and even nuclear assets. This broad mix, paired with long-term contracts, enables it to deliver steady cash flow that supports its payouts. It has steadily increased its dividend and offers an attractive yield of about 5.2%.
With global demand for clean energy accelerating, fuelled in part by digitalization and the rise of artificial intelligence, Brookfield is positioned to benefit from strong structural tailwinds. Its investments in next-generation solutions, such as battery storage and grid-enhancing technologies, are designed to boost reliability and lower energy costs, paving the way for continued expansion. Strategic acquisitions further strengthen its growth pipeline.
Supported by disciplined capital recycling and stable contracted revenues, Brookfield is well-positioned to sustain its payouts. Management aims for a 5% to 9% annual dividend increase, making the stock an appealing candidate for dividend investors.
