Your First Canadian Stocks: How New Investors Can Start Strong in 2026

New investors considering what Canadian stocks to start with should consider these three picks for growth and income.

Key Points
  • Fortis offers stability: As one of Canada's two Dividend Kings, Fortis provides a reliable 3.40% dividend yield and stability with its essential utility services.
  • BMO ensures financial growth: With nearly two centuries of uninterrupted dividends and strong international growth, BMO provides a solid financial foundation for new investors.
  • Enbridge provides high yields: Enbridge's 5.77% dividend yield, backed by long-term contracts, offers income growth and essential energy infrastructure appeal for investors.

We’re only two months into 2026, and the year already feels overloaded with high rates, stubborn inflation, and non‑stop market noise. That makes it daunting for new investors to figure out which Canadian stocks to start with. What new investors really need is a simple starting point that can act as a springboard for decades of growth.

Starter stocks come in all shapes and sizes. They give investors a foundation to build a well‑diversified portfolio. To kickstart that portfolio, here’s a trio of Canadian stocks that can provide the stability and income-earning potential for any investor to consider today.

Start line on the highway

Source: Getty Images

Fortis: A stability anchor for new investors

Utility stocks like Fortis (TSX: FTS) are among the most stable, defensive investments on the market. Fortis operates ten regions across Canada, the U.S., and the Caribbean. Those regions provide electric and gas utility services to over three million customers.

Part of the appeal of investing in utilities like Fortis comes from the business model. Utility service is a necessity that consumers can’t trade down to cheaper service. This gives Fortis one of the most impressive defensive moats on the market.

More importantly, Fortis generates predictable cash flow from its regulated portfolio of assets. That allows Fortis to invest in growth and pay out a robust dividend, which is a key reason Fortis is one of the best Canadian stocks to own.

Fortis provides investors with a reliable quarterly dividend. As of the time of writing, that dividend works out to an impressive 3.40% yield. Even better, Fortis has provided investors with generous annual upticks to that dividend going back over 50 consecutive years.

That makes Fortis one of just two Dividend Knights in Canada, and handily makes this one of the top Canadian stocks for any investor.

Bank of Montreal: Reliable financial foundation

New investors need anchor stocks that can deliver growth and income over decades. That’s where the appeal of a big bank stock like Bank of Montreal (TSX: BMO) stands out.

BMO isn’t the biggest, but it is the oldest of the big banks. The bank generates a stable and recurring revenue stream from its domestic and international footprint. That international footprint is focused on the U.S. market, where it’s grown in recent years through acquisitions that expanded its reach into new markets.

That expansion complements BMO’s strong presence in commercial banking and wealth management. Throw in BMO’s attractive quarterly dividend, which it has paid for nearly two centuries without fail, and you have one of the best Canadian stocks for new investors.

As of the time of writing, BMO’s dividend offers a robust 3.46% yield.

Enbridge: Higher yields and essential infrastructure

Finally, new investors contemplating the best Canadian stocks to build a portfolio need an income driver. A stock that can provide a growing source of dividend income. That income can fund growth from reinvestments in the short term and eventually provide a healthy income stream.

Enbridge (TSX: ENB) is the stock that can help make that a reality.

Enbridge is an energy infrastructure stock. The company generates the bulk of its revenue from long-term contracts and regulated assets. Specifically, Enbridge operates a massive pipeline network that hauls crude and natural gas. The company also operates a renewable energy business and a natural gas utility.

Collectively, those businesses generate a recurring revenue stream that leaves room for growth and that attractive dividend investors are seeking.

As of the time of writing, that dividend works out to 5.77%. Enbridge has also provided annual upticks to that dividend going back three decades without fail. That fact alone makes it one of the strongest dividends on the market.

Canadian stocks to start 2026 strong

Enbridge, BMO, and Fortis are great long-term picks that can provide a steady, growing source of income that can last decades. They also provide defensive appeal for what is still a very volatile market.

For new investors deciding how much to allocate or where to begin, the answer is simple. One or all of these Canadian stocks would do well as part of any well-diversified portfolio.

Fool contributor Demetris Afxentiou has positions in Enbridge and Fortis. The Motley Fool recommends Enbridge and Fortis. The Motley Fool has a disclosure policy.

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