Here Are My Top 3 TSX Stocks to Buy Right Now

My top three TSX stocks form a fortress-like portfolio capable of weathering the geopolitical storm in 2026.

Key Points
  • The Royal Bank of Canada, Canadian National Railway, and Alimentation Couche-Tard are three TSX stocks that provide stability and sustainable income amidst ongoing market volatility.
  • With a 155-year dividend history, RBC offers a solid income anchor, supported by strong net income growth and a robust capital position, even in challenging environments.
  • Canadian National Railway and Alimentation Couche-Tard, as essential pillars of trade and consumer staples, provide defensiveness and consistent growth potential for long-term wealth accumulation.

The current market environment requires a deliberate approach to investing. Expect extreme volatility to persist as long as the war rages. Until then, the goal is to build a fortress-like foundation in 2026.

If you want a portfolio that can withstand market shocks, Royal Bank of Canada (TSX: RY), Canadian National Railway (TSX: CNR), and Alimentation Couche-Tard (TSX: ATD) are my top three TSX stocks to buy right now. The three companies can provide sustainable passive income and enable meaningful long-term wealth accumulation.

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Source: Getty Images

Income anchor

Royal Bank of Canada is Canada’s largest financial institution and the TSX’s largest company by market cap. Its 155-year dividend track record is proof of resiliency and dividend reliability. At $221.47 per share, this “gold standard” for Canadian investors pays a 2.96% dividend.

Fiscal 2025 was a year of a shifting interest rate environment. Its president and CEO, Dave McKay, said, “RBC entered the 2026 fiscal year in a position of strength across our diversified business model and the core global markets where we operate. We carried this momentum into our first quarter.”

In the three months ending January 31, 2026, net income rose 13% to $5.8 billion compared with Q1 fiscal 2025. According to McKay, RBC’s robust capital position (CET1 ratio of 13.7%) supports volume growth, share buybacks, and common share dividends. At the quarter’s end, the liquidity surplus to cover any contingency was $91 billion.

Note that RBC had endured two World Wars or war economies, not to mention several financial crises and global pandemic lockdowns.

Lifeblood of trade

Canadian National Railway is here to stay as railways are essential veins of commerce. Many analysts consider this $88.5 billion railway operator to be an industrial pillar in Canada and the lifeblood of trade in North America. Its three-coast network is hard to match or even replace.

CNR’s dividend yield of 2.54%, though the dividend-growth streak is 30 years. The current share price is $144.01. In 2025, revenue, net income, and free cash flow (FCF) increased 2%, 6%, 8%, respectively, year over year, to $17.3 billion, $4.7 billion, and $3.3 billion. Management expects to continue improving FCF conversion throughout 2026.

Its president and CEO, Tracy Robinson, said CNR will focus on disciplined capital allocation, rigorous cost management and strengthening FCF in 2026, amid macroeconomic uncertainty and elevated geopolitical risk.

Consumer pillar

Alimentation Couche-Tard is a consumer pillar, given its size and the business model’s essentiality and defensive nature. Its president and CEO, Alex Miller, said the $76.5 billion convenience store champion has entered the next stage of its growth journey. The launching of the new Core + More strategy in February 2026 provides a path to support earnings growth as Couche-Tard turns the full power of its scale.

In the first half of fiscal 2026 (six months ending October 12, 2025), net earnings increased 1.6% year over year to US$1.5 billion. Filipe Da Silva, Chief Financial Officer of Couche-Tard said advancing the multi-year investments in fiscal 2026 will unlock new capabilities. It should also strengthen the network and create greater value for customers.

Thus far in 2026, ATD is 10.22% year to date. At $82.62 per share, the dividend yield is 1.04%.

Firm foundation

The trio of RBC, CNR, and Couche-Tard is a firm foundation. The combination is capable of weathering any geopolitical storm this year may bring. Their combined financial strength tempers war anxiety and gives you peace of mind.

Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alimentation Couche-Tard. The Motley Fool recommends Canadian National Railway. The Motley Fool has a disclosure policy.

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