Want a 4.85% Average Yield? 3 TSX Stocks to Buy Today

These stocks still offer good yields for income investors.

Key Points
  • Investors can still get good yields from large Canadian companies.
  • Bank of Nova Scotia is making progress on its turnaround strategy.
  • Enbridge still offers a high yield for new investors.

Canadian dividend investors are searching for high-yield dividend stocks to add to their self-directed Tax-Free Savings Account (TFSA) and Registered Retirement Savings Plan portfolios.

The big rally in the TSX over the past two years has pushed down yields in many stocks, buy investors can still find attractive returns in the market.

dividend stocks are a good way to earn passive income

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Bank of Nova Scotia

Bank of Nova Scotia (TSX: BNS) trades near $103 at the time of writing, just shy of its record high. The stock is up 44% in the past year, but still offers investors a 4.25% dividend yield.

Bank of Nova Scotia is making progress on a strategy transition that will see the bank invest more growth capital in the United States and Canada in the next few years, and less in Latin America, where Bank of Nova Scotia spent billions of dollars on acquisitions over the past three decades.

The bank already invested US$2.8 billion in 2024 to buy a 14.9% stake in KeyCorp, an American regional bank. That deal provides Bank of Nova Scotia with a platform to expand its U.S. presence. Last year, Bank of Nova Scotia sold its operations in Colombia, Costa Rica, and Panama. As return on equity improves, more upside could be on the way for the stock.

BCE

BCE (TSX: BCE) provides investors with a 4.9% yield right now at the current price near $35. The stock is arguably a contrarian pick after the company cut the dividend last year. BCE’s share price fell from more than $70 in 2022 to below $30 in 2025.

Near-term headwinds are expected. Reduced immigration to Canada, particularly students, is a big hit to the domestic communications providers as newcomers are a good source of sales of new mobile phones and data plans. Price competition eased last year, but could ramp up again as firms compete for customers. Analysts still highlight BCE’s large debt load as a point of concern, although the reduced dividend payment will ease pressure on cash flow.

On the upside, most of the risks are likely already priced into the shares, and there are some growth opportunities. BCE’s purchase of Ziply Fiber in the United States last year for $5 billion gives BCE expansion potential that doesn’t exist in Canada. On the media side, the success of BCE’s Heated Rivalry television series is boosting Crave subscriptions and driving additional revenue through syndication.

Enbridge

Enbridge (TSX: ENB) is up about 17% in the past 12 months, but the stock still gives investors a 5.4% dividend yield.

The energy infrastructure giant has increased its dividend in each of the past 31 years. Enbridge currently has $39 billion in sanctioned development projects that should drive steady earnings and cash flow growth to support ongoing dividend hikes.

Acquisitions and additional capital projects will boost the growth outlook. The energy infrastructure sector in the United States is expanding, and Enbridge’s utilities operations provide stable rate-regulated cash flow.

The bottom line

Bank of Nova Scotia, BCE, and Enbridge pay dividends with attractive yields. If you have some cash to put to work in an income portfolio, these stocks deserve to be on your radar.

The Motley Fool recommends Bank Of Nova Scotia and Enbridge. The Motley Fool has a disclosure policy. Fool contributor Andrew Walker has no position in any stock mentioned.

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