4 Dividend Stocks I’d Happily Double My Position in Today

Resilient payouts and consistent dividend growth make these Canadian income stocks attractive long-term investments.

Key Points
  • Top Canadian dividend stocks can help generate reliable passive income for years.
  • These TSX dividend stocks have consistently paid and increased their dividends year after year.
  • Their resilient payouts and commitment to dividend growth make them compelling long-term investments.

Dividend stocks are one of the most reliable ways to generate passive income. While several Canadian stocks pay dividends, I’d happily double my positions in those that have been consistently increasing their dividends year after year. Their resilient payouts across all economic cycles and management’s commitment to keep growing dividends make them a compelling long-term investment.

Further, these Canadian companies are backed by fundamentally strong businesses andresilient earnings, and maintain sustainable payouts.

With this backdrop, here are four dividend stocks I’d happily double my position in today.

Concept of multiple streams of income

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Top dividend stock #1: Canadian Utilities

Canadian Utilities (TSX: CU) is a top dividend stock I’d buy today. The utility giant has an impressive dividend growth record in Canada. Supported by a defensive business model and highly regulated cash flows, Canadian Utilities has consistently rewarded shareholders through multiple economic cycles. Notably, it has increased its distributions for 54 consecutive years, which is the longest dividend-growth streak of any Canadian company.

Its payouts are well protected and are likely to increase in the years ahead. Management plans to invest roughly $12 billion in regulated utility assets between 2026 and 2030, a move that should steadily expand the company’s rate base and support predictable earnings growth for years to come.

Beyond infrastructure investments, Canadian Utilities continues to secure long-term contracts that enhance cash flow visibility and reduce earnings volatility. Its stable operations and continued expansion of its rate base position it well to continue increasing its dividend in the years ahead.

Top dividend stock #2: TC Energy

TC Energy (TSX: TRP) is a compelling Canadian dividend stock to double your position today. The energy infrastructure giant operates a vast natural gas pipeline network that generates steady cash flow from regulated assets and long-term take-or-pay contracts, helping shield its business from commodity price volatility.

The company’s dividend distribution track record is impressive. TC Energy has increased its dividend for 26 consecutive years. Looking ahead, its future dividend payments are likely to be supported by rising LNG exports, accelerating electrification, and growing energy demand from data centres. At the same time, TC Energy’s approximately $23 billion backlog of secured capital projects, many supported by long-term agreements, provides strong visibility into future earnings and cash flow growth.

Management expects to grow the dividend by 3% to 5% annually, making TC Energy a compelling option for income investors.

Top dividend stock #3: Gibson Energy

Gibson Energy (TSX: GEI) is another top dividend stock to double your position. It offers a compelling 6.1% yield and has increased its dividend for seven consecutive years. Its payouts are supported by stable cash flows backed by long-term contracted assets.

Gibson’s Infrastructure segment, which accounts for the majority of its earnings, benefits from take-or-pay agreements, providing strong revenue visibility and protection against commodity price swings. Further, its recent acquisitions and focus on expanding its infrastructure footprint are expected to enhance network efficiency and support steady EBITDA growth.

With a consistent dividend growth history and a compelling yield, Gibson is a dependable income stock.

Top dividend stock #4: Toronto-Dominion Bank

Toronto-Dominion Bank (TSX: TD) is a reliable dividend stock to double your position. The Canadian banking giant’s diversified revenue streams, spanning retail banking, wealth management, and capital markets, help deliver stable earnings across economic cycles.

Thanks to its solid earnings base, TD has paid dividends for 169 consecutive years and increased them at an average annual rate of about 8% over the past decade. With a conservative payout ratio of 40%–50%, its dividend growth appears sustainable.

Recent quarterly results were encouraging, supported by higher loan and deposit volumes, increasing trading and fee income, and lower credit-loss provisions. Looking ahead, TD’s diversified operations, efficient execution, and focus on accretive acquisitions position it well for steady earnings growth and solid dividend payouts.

Fool contributor Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool recommends Gibson Energy. The Motley Fool has a disclosure policy.

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