If you are looking to bolster your passive income this month, Parex Resources (TSX:PXT) and High Liner Foods (TSX:HLF) are two Canadian dividend stocks that deserve a closer look right now. The two companies have religiously grown their dividend payouts over the past five consecutive years – a prestigious achievement. One is riding a crude oil wave, while the other has recently experienced what could be a temporary decline that raised its yield to 5% annually.
Let’s see why one of these stocks looks worth adding to your passive-income focused dividend portfolio.
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High Liner Foods: A dividend stock to buy at a discount
Frozen seafood processor High Liner Foods has pulled off a noble feat by increasing its dividends at an average annual rate of 20% over the last five years. However, the Consumer Defensive sector stock recently hit a rough patch, dropping nearly 15% over the past month, and this could be an opportunity to load up on HLF stock.
The excruciating dip on High Liner Foods stock was triggered by an 11.2% decline in adjusted operating income for 2025. The company faced a perfect storm of margins-reducing input cost pressures, tariffs, and temporary high inventory costs following its acquisition of Conagra Brands.
From an income investing perspective, could the payout be at risk? Hardly. High Liner recently raised its quarterly dividend in November 2025 to $0.175 per share. The payout yields a solid 5% annually, and with a historical earnings payout rate of just 40%, which compares very well to an industry average of 77.5%, the dividend appears well-covered right now.
Management is currently engineering a return to adjusted EBITDA (adjusted earnings before interest, taxes, depreciation and amortization) growth for 2026. As part of a major restructuring to enhance margins, the company cut 9% of its North American office workforce in March this year.
At a forward P/E of just 8.9, the stock is objectively cheap and poised for a revaluation as these cost-cutting efforts take hold.
Parex Resources stock
For energy-focused investors, Calgary-based Parex Resources offers a unique combination of aggressive growth and dividend income. The stock could one day earn a place in the prestigious S&P/TSX Dividend Aristocrats Index after raising its payout for five consecutive years.
Parex is currently on the cusp of a transformation. If its US$725 million acquisition of Frontera Energy (TSX:FEC) assets closes as expected in the second quarter of 2026, Parex could nearly double its upstream production rates. This deal may grow revenue and increase operating cash flow per share by more than 40%.
Parex currently offers a juicy yield of 5.6%. Management has already indicated its commitment to maintaining the $0.385 per share quarterly payout post-acquisition, with room for marginal increases as the balance sheet deleverages.
While oil prices are always a factor, the dividend appears well-covered even at pre-Iran war crude prices in the US$60s per barrel. Given that the recent Iran war has entered a ceasefire period, reconstruction efforts may keep global crude logistics tight and oil prices elevated for longer.
Buying PXT today lets you own a growing producer at a historical P/E of just 7.5 – an attractive multiple for an undervalued Colombian energy producer committed to returning capital to shareholders.
Investor takeaway
Both High Liner Foods and Parex Resources stock offer single-digit earnings multiples and a proven commitment to dividend growth. Whether you prefer the potential consumer defensive revenue stability of seafood or the high-upside potential of Colombian oil, these two stocks look like dividend-stream bargains worth adding more of right now.
