Building long-term wealth doesn’t always require chasing high-growth stocks. Sometimes, the smartest investments are companies that quietly generate reliable cash flow and reward shareholders year after year.
Notably, a handful of TSX dividend stocks stand out for their ability to deliver exactly that. These Canadian companies have consistently increased their payouts and maintained resilient operations through market cycles.
Further, their strong earnings visibility and sustainable dividend policies position them well to continue rewarding shareholders for years to come. Moreover, these companies could deliver steady capital gains over time. Thus, these companies are worth holding for the long term.
Against this background, here are two dividend stocks to buy and hold for the next seven years.
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Top dividend stock #1: Fortis
Fortis (TSX: FTS) is one of Canada’s most dependable dividend stocks worth holding for the next seven years. The utility giant has been steadily increasing its dividend despite broader market volatility, making it an attractive passive-income stock.
Fortis’s payouts are supported by its defensive business model. Most of Fortis’s operations are in regulated electricity and gas transmission and distribution networks. Because regulated utilities generate predictable revenue streams, Fortis is largely insulated from commodity price swings and economic downturns. This stability enables it to generate consistent cash flow and deliver higher dividends year after year. In fact, after its latest increase, it has raised its dividend for 52 consecutive years.
The company’s future dividend growth outlook also remains encouraging. Fortis plans to invest approximately $28.8 billion in capital projects over the next five years, a move expected to significantly expand its regulated asset base and support continued earnings growth.
Management anticipates its rate base will expand at a compound annual rate (CAGR) of 7% during this period. Backed by that expansion, the company also expects to increase its annual dividend by 4% to 6% each year.
In addition, Fortis could benefit from a long-term surge in electricity demand. As demand for reliable power continues to rise, Fortis appears well-positioned to generate stable earnings and continue rewarding shareholders with dependable, growing dividend income.
Top dividend stock #2: TC Energy
TC Energy (TSX: TRP) is a compelling Canadian dividend stock to buy and hold for the next seven years. The Canadian energy infrastructure giant has rewarded shareholders through consistent, growing dividend payments.
The company owns one of North America’s largest natural gas pipeline networks, connecting low-cost supply regions to major demand centers and LNG export facilities. Because these assets are essential to the energy system, they remain heavily utilized year after year, generating stable and highly predictable cash flow.
TC Energy generates most of its earnings from regulated assets and long-term take-or-pay agreements. This creates stable, highly visible cash flow that can support dependable dividend growth even during volatile market conditions.
Looking ahead, growing electrification, rising LNG export demand, and increasing energy consumption from data centres are expected to drive higher demand for natural gas infrastructure, supporting TC Energy’s growth.
The company currently has roughly $23 billion worth of secured capital projects under development. Many of these projects are backed by long-term contracts, providing strong visibility into future earnings and cash flow growth. They should also help support gradual balance sheet improvement over time.
Overall, TC Energy is well-positioned to sustain its dividend growth streak. Management plans to keep increasing its annual dividend 3% to 5%, making it a compelling income stock.
