Are you looking to invest in a top dividend stock that will deliver healthy, compounding returns over the next decade? A resilient stock in the current environment and beyond may not necessarily pay the highest yield. Perhaps the better choice is a modest dividend payer operating in an industry where demand is practically assured, year after year, for the next 10 years.
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Stock reveal
Savaria Corporation (TSX:SIS), the acknowledged leader in the accessibility industry, fits a 10-year investment horizon. The primary investment thesis is the macro trend of the recession-resistant aging global population. This $2 billion Laval-based company manufactures a range of accessibility products for seniors and older adults, as well as people with mobility challenges.
The lead products, such as home elevators, wheelchair lifts, and stairlifts, are for residential and commercial use. Patient care products include ceiling lifts, medical beds, and therapeutic surfaces. Savaria has an extensive manufacturing network comprising 14 facilities in Canada, the U.S., Mexico, Europe, the U.K., and China. Direct sales offices are also scattered worldwide.
Baby boomers are aging in place
Over the next 10 years, more demographic segments will require physical mobility assistance. There’s no turning back time. Instead, the needs of this population will only grow. Based on published data, many surviving baby boomers will be over 65 years old by 2030. Rising rates of chronic, non-communicable mobility constraints will drive demand for Savaria’s products.
Well-built house
Savaria hosted an Investor Day in April 14, 2026, where it unveiled its general plans for the coming years following Savaria One, its 2023 transformation plan. The total revenue in 2025 reached $913.5 million. Management targets a 12% annual increase in organic and acquisition growth over the next five years, culminating in approximately $1.6 billion at year-end 2030. The adjusted EBITDA per share estimate is $4.25.
Management targets a 12% annual increase for the next five years from organic and acquisition growth, culminating in approximately $1.6 billion at year-end 2030.
Sébastien Bourassa, President and CEO of Savaria Corporation, said, “We didn’t cut corners, we really did our best work, and the end result is a very solid, well-built house that will last us years.”
Latest quarterly results
In Q1 2026, revenue increased 7% to $235.5 million versus Q1 2025, while net earnings climbed 82% year-over-year to $22.7 million. Notably, net debt declined 6.7% to $178.7 million from Q4 2025. The accessibility segment accounted for 78% of the total quarterly revenue.
“While the landscape adjusts with world economics, the demographic tailwinds continue, and our goal to stay agile remains. I look forward to a great year with an excellent first quarter behind us,” added Bourassa. Savaria’s key internal priorities include an increasing organic growth rate, pursuing acquisitions, and enhancing business systems.
Attractive feature
Savaria has outperformed the broader market year-to-date, up 23.8% versus plus-6.7%. The industrial stock trades at $27.99 per share, pays a 2% dividend, and has recorded 13 consecutive years of dividend increases. However, beyond the commitment to shareholders, an attractive feature is the monthly payout frequency.
The yield is modest, but you can reinvest dividends 12 times a year rather than quarterly. SIS offers the advantage of compounding within a 10-year period.
