A slowing economy doesn’t always call for hiding under the bed. If growth cools but stays positive, investors can still do well with companies that sell everyday essentials, lock in recurring cash flow, or own assets people keep using no matter what the Bank of Canada does next.

That is the sweet spot here. Investors can look for businesses with enough resilience to keep earnings moving, but enough growth to avoid becoming dead money. In that kind of market, paying a fair price for quality can make a lot more sense than grabbing the cheapest stock on the screen.

QSR

Restaurant Brands International (TSX:QSR) owns Tim Hortons, Burger King, Popeyes, and Firehouse Subs, so it has a mix of value meals, coffee runs, and global growth. In its fourth quarter of 2025, revenue climbed to US$2.47 billion from US$2.30 billion, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) rose to US$772 million from US$688 million, and adjusted diluted earnings per share (EPS) jumped to US$0.96 from US$0.81.

System-wide sales rose 5.8%, while comparable sales grew 3.1%. Shares also trade at about 28.5 times earnings, which is not cheap, but the company just reaffirmed its growth algorithm and plans to return US$1.6 billion to shareholders in 2026. That is the kind of expensive that can still earn its keep.

T

TELUS (TSX:T) is a different kind of slowdown stock. Wireless, internet, and business connectivity do not vanish when the economy gets shaky, and TELUS stock adds a health business that gives it another lane for growth.

Its fourth quarter of 2025 showed 377,000 mobile and fixed customer additions, record free cash flow of $2.2 billion for the full year, and a 2026 target of about $2.45 billion in free cash flow. Fourth-quarter revenue came in at $5.3 billion, just below the prior year’s $5.4 billion.

The stock still carries a yield above 9%, and it trades around 25 times earnings, so you are clearly buying the income stream and stability case here. The risk is simple: competition stays fierce, and that payout leaves little room for disappointment. But positive movement is underway.

MRU

Metro (TSX:MRU) shows that Canadians still need groceries and prescriptions, as it offers both. In its fiscal first quarter of 2026, sales rose 3.3% to $5.29 billion. Food same-store sales increased 1.6%, pharmacy same-store sales climbed 3.9%, and adjusted diluted EPS rose 5.5% to $1.16.

Reported net earnings dipped because of timing and operational issues, including a temporary shutdown at its frozen food distribution centre in Toronto, but the core business still held up well. It trades around 21 times earnings, which is a premium for a grocer, yet investors often pay up for businesses that can still post clean results when households turn cautious.

BIP

Brookfield Infrastructure Partners (TSX:BIP.UN) rounds out the list with a global portfolio of utilities, transport, midstream, and data assets. That mix matters in a softer economy as many of its cash flows are contracted or regulated.

For 2025, it generated US$2.6 billion in funds from operations (FFO), or US$3.32 per unit, up 6% from 2024. The board also lifted the quarterly distribution 6% to US$0.455 per unit, marking its 17th straight annual increase. What makes it more interesting right now is that management expects FFO to move higher in 2026 and is expanding its growth pipeline to include artificial intelligence (AI) infrastructure. All while offering a yield near 5%.

Bottom line

If the economy cools without cracking, this is the kind of group that can still give investors something to smile about. QSR offers global brand power and value-focused demand. TELUS stock brings recurring revenue and a giant yield, though with more balance-sheet pressure. Metro adds plain old dependability, which is underrated when markets get nervous. Brookfield Infrastructure gives you durable assets and a little growth kicker from data and AI.

None is a screaming bargain. That is fine. In a middling economy, reliable businesses with solid cash flow often beat cheap stocks that only look good on paper.

The post 4 TSX Stocks to Buy if the Economy Slows but Doesn’t Break appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Brookfield Infrastructure Partners, Restaurant Brands International, and TELUS. The Motley Fool has a disclosure policy.

Paying up for a stock can feel a bit backwards. Most investors want a deal, not a premium price tag. But sometimes an “expensive” stock simply reflects a business that keeps executing, keeps growing, and keeps finding new ways to win. In that case, waiting for a perfect bargain can mean missing a great company altogether. That is where a few Canadian names still stand out, even after strong runs.

HPS

Hammond Power Solutions (TSX:HPS.A) makes dry-type transformers and related equipment. It sits right in the path of some very real demand trends. Electrification, grid upgrades, industrial investment, electric vehicle (EV) charging, and data centre expansion all need power infrastructure. Over the last year, HPS kept adding to that story with product moves such as its EV charging distribution transformer and smart transformer platform. All while announcing an acquisition of AEG Power Solutions’ transformer and power quality business to broaden its reach.

The valuation is not exactly sleepy. It shows a market cap of roughly $2.2 billion and a trailing price-to-earnings (P/E) near 27. Even so, the numbers still look strong enough to justify attention. In Q3 2025, revenue rose 14% year over year to $218 million, which management called its second-best quarter ever for shipments, while net earnings came in at $17.4 million and adjusted earnings per share (EPS) hit $1.56. Backlog was also up 27.7% from the start of the year, with large data centre orders arriving after quarter-end. In short, it still looks like a high-quality industrial business with room to grow.

LMN

Lumine Group (TSXV:LMN) is a software consolidator focused on communications and media software businesses. Investors often give those models premium valuations when they trust management’s capital allocation. Lumine stock spent the last year doing what it does best: buying, integrating, and building. It completed the purchase of Datafusion Systems in 2025 and then closed the acquisition of Synchronoss Technologies in February 2026, adding more scale to its long-term buy-and-hold model.

It is not cheap on the surface. It shows a market cap of about $6.3 billion, a trailing P/E of 38.7, and a forward P/E near 19.3. Yet the latest results show why investors are willing to pay up. For 2025, revenue climbed 15% to $765.7 million, operating income rose 31% to $275.7 million, and cash flow from operations jumped 106% to $236.5 million. Net income swung to $118.8 million from a loss in 2024. That is the kind of turnaround that tends to keep a premium multiple alive.

PBH

Premium Brands (TSX:PBH) owns a large portfolio of branded specialty food businesses, so it gives investors exposure to steady consumer demand with an acquisition twist. Over the last year, it has been busy. It completed the acquisition of Stampede Culinary Partners in January 2026 and also moved to sell its interest in Shaw Bakers, showing that management is still shaping the portfolio rather than letting it sit still.

This one also carries a valuation that can make investors pause. It lists a trailing P/E above 63, though the forward P/E is much lower at roughly 14, which tells you the market expects earnings to improve. The latest quarter helps explain that optimism. Premium Brands reported record Q4 2025 sales of $1.9 billion, up 15.7%, record adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $179.5 million, and adjusted EPS of $1.29, up 22.9%. It also guided for 2026 sales of $9.25 billion to $9.55 billion and adjusted EBITDA of $870 million to $910 million. Commodity costs and consumer pressure remain risks, but this looks like a business still growing into its scale.

Bottom line

None of these stocks are bargain-bin buys. That is the point. HPS, Lumine stock, and Premium Brands all ask investors to pay a little more for quality, growth, and momentum. That can feel uncomfortable in the moment, but strong businesses often do look expensive before they look obvious. For investors willing to think a few years ahead instead of a few weeks, these three still look worth buying anyway.

The post 3 Canadian Stocks That Look Expensive (But I’d Buy Them Anyway) appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Hammond Power Solutions and Lumine Group. The Motley Fool has a disclosure policy.

Selling a stock can feel smart in the moment. Maybe the gain looks good, the headlines feel noisy, or you just want something “safer.” But a year later, the better question is not whether the stock went up, but whether the reason you sold actually changed. When looking back, investors should check if revenue, earnings, balance-sheet strength, and long-term demand stayed intact.

If the business kept improving while the share price merely bounced around, that can be a painful clue that the sale came too early. Right now, there’s one I sold way back when that perhaps I wish I hadn’t.

AC

Air Canada (TSX:AC) is still the country’s dominant airline, with a business that reaches far beyond domestic travel. It flies passengers across Canada, into the United States, and across the Atlantic and Pacific, while also leaning on Aeroplan, cargo, and vacation packages to widen its revenue base. Airlines are emotional stocks. Investors often sell when travel sentiment cools, even when the company itself keeps building.

Over the last year, Air Canada stock has given investors plenty of reasons to feel nervous and plenty of reasons to stay put. The messy part came from labour tension. A flight attendant strike in August 2025 disrupted service and pushed the company to withdraw guidance, reporting a $375 million hit to operating income from those disruptions. Then in February 2026, an arbitrator upheld a wage deal that lifted flight attendant pay by more than 20% over four years, which should remove some uncertainty even if it also raises costs.

At the same time, Air Canada kept acting like a company planning for growth, not survival. It rolled out fast, free Wi-Fi beginning in May 2025 for Aeroplan members on many North American and sun-destination flights, expanded winter routes deeper into Europe and Latin America in January 2026, and disclosed an order for eight Airbus A350-1000 aircraft in February 2026, with options for eight more. Those are the moves of a carrier betting that premium and international demand still have room to run.

Into earnings

The numbers back that up. Air Canada finished 2025 with full-year net income of $644 million, diluted earnings per share (EPS) of $1.86, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $3.1 billion, and free cash flow of $747 million. In the fourth quarter alone, revenue reached a record $5.8 billion, while quarterly net income came in at $296 million, or $1 per share. For a company that many investors still talk about as if it is permanently fragile, those are sturdy results.

Valuation is where the regret can really kick in. Air Canada stock has a market cap of about $5.2 billion and a forward price-to-earnings (P/E) of about 8.8. That is not the kind of multiple investors usually pay for a company still posting billions in EBITDA and guiding for more growth. Air Canada expects 2026 adjusted EBITDA between $3.35 billion and $3.75 billion, capacity growth of 3.5% to 5.5%, and free cash flow of $400 million to $800 million. So the stock still looks priced more like a question mark than a proven operator.

The outlook is not perfect, and that is exactly why the stock fits this theme. Domestic demand has shown signs of cooling, U.S. trans-border travel has softened, and labour and aircraft-delivery issues could pressure costs in 2026. Inflation tied to labour agreements and delayed aircraft deliveries may weigh on unit costs. But international bookings, premium travel, and overseas corporate demand have remained resilient, giving Air Canada stock a real engine for growth if execution holds up.

Bottom line

A year later, the stock you miss most is often the one you sold for emotional reasons while the business kept doing its job. Air Canada stock is not risk-free, and airlines never are. But if you sold it because the path looked bumpy, only to watch earnings improve, expansion continue, and valuation stay cheap, that sting makes sense. Sometimes the real lesson is simple. A rough ride is not always the same thing as a broken thesis.

The post A Year Later: The Stock I Sold (And Wish I Hadn’t) appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Air Canada. The Motley Fool has a disclosure policy.

Trying to time the next market dip perfectly is a good way to stay stuck. A better move is to line up stocks you would be happy to own through a rough patch and beyond it. That usually means looking for strong balance sheets, businesses with real demand behind them, and a valuation that does not assume perfection. With that in mind, these TSX stocks both look like names worth watching before the next wobble hits.

ATS

ATS (TSX:ATS) builds automation solutions for customers in life sciences, food and beverage, transportation, consumer products, and energy. That makes it relevant now, as companies still need to automate production, cut labour pressure, and improve efficiency even when the broader market gets jumpy. Over the last year, ATS also dealt with a meaningful leadership shift, with Andrew Hider leaving and Doug Wright stepping in as chief executive, which gives investors a fresh lens on execution.

The more important part is that the numbers started to improve. In its latest reported quarter, fiscal Q3 2026, revenue rose 16.7% year over year to $760.7 million, net income climbed to $30 million from $6.5 million, and adjusted basic earnings per share (EPS) improved to $0.48 from $0.32. Order bookings came in at $821 million, and backlog stayed hefty at just over $2 billion. The prior quarter also looked solid, with revenue up 18.9% to $728.5 million and backlog up 13.5% year over year to $2.07 billion.

Valuation is where ATS gets more interesting. The trailing numbers still look messy because fiscal 2025 included a net loss, so the trailing price-to-earnings (P/E) ratio looks inflated. But the market cap was around $4.2 billion in mid-March, against roughly $2.53 billion in fiscal 2025 revenue, which points to a price-to-sales ratio around 1.53 at writing. That is not dirt cheap, but it is not demanding for an automation company that is returning to growth.

DOO

BRP (TSX:DOO) makes Ski-Doo snowmobiles, Sea-Doo watercraft, Can-Am off-road vehicles, and motorcycles, so it lives in a more consumer-driven space. That can make the TSX stock choppier, but it also means sentiment can shift fast when sales stabilize and new products land well. Over the last year, BRP kept rolling out product updates and managed through a still-soft retail backdrop.

Its recent earnings show why the TSX stock still has some bite. In fiscal Q3 2026, revenue rose 14% year over year to $2.25 billion, helped by higher off-road vehicle deliveries and a better product mix. Net income increased by $45.9 million in the quarter, and BRP raised its full-year fiscal 2026 guidance to around $8.3 billion in revenue and about $5 in normalized diluted EPS. Earlier in the year, results were more mixed. Fiscal Q1 revenue fell 7.7%, while Q2 revenue rose 4.3%, and North American retail sales in Q2 were down 11%.

That said, the valuation gives investors a bit more room for error than ATS. BRP trades at roughly 0.78 times sales, about 11 times forward earnings, and a trailing P/E of 25. For a TSX stock with iconic brands, improving profitability, and the potential for cleaner comparisons if demand steadies, that is not a bad setup. The risk is obvious: this is still a discretionary name, so if consumers pull back harder, BRP can feel it quickly. But for investors willing to ride some bumps, it looks like the kind of cyclical stock that could reward patience bought at the right price.

Bottom line

If I were building a buy list before the next market dip, ATS would be my steadier growth pick and BRP would be my more opportunistic value play. ATS offers backlog and automation exposure, while BRP brings a cheaper multiple and a recovery angle. Neither is risk-free, but both TSX stocks have enough going right that a pullback could look more like an opening than a warning sign.

The post 2 TSX Stocks I’d Buy Before the Next Market Dip appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends ATS Corp. and Brp. The Motley Fool has a disclosure policy.

When looking for monthly dividend stocks to hold for years, yield should not be the first thing you stare at. The real question is whether the business can keep generating enough cash to support the payout through weak markets, higher financing costs, and the occasional ugly quarter. That usually means checking occupancy, payout ratios, lease quality, and whether management is acting like a careful landlord or a desperate one. Two names still stand out here that we can dig into on the TSX today.

VITL

NorthWest Healthcare Properties REIT recently changed its name to Vital Infrastructure Property Trust (TSX:VITL.UN) after a rough few years in the market, which is exactly why it is worth a fresh look. It owns healthcare real estate across several countries, including medical office buildings, clinics, and hospitals. That is a useful asset class because healthcare tenants do not usually vanish just because the economy gets moody. Over the last year, the big story has been reshaping the portfolio and simplifying the business, including the formal March 2026 name change.

The operating backdrop still looks fairly sturdy. At year-end 2025, the real estate investment trust (REIT) reported a 96.4% global portfolio occupancy rate and a weighted-average lease expiry of 12.3 years. It also disclosed funds from operations (FFO) including an adjustment of $112.8 million, or $0.45 per unit, for 2025. The challenge is that investors are still watching leverage and trust more than occupancy. That’s fair, but it also means the bar for a pleasant surprise is not especially high.

SGR

Slate Grocery REIT (TSX:SGR.UN) is the cleaner story. It owns U.S. grocery-anchored retail properties, which is one of those wonderfully practical niches that keeps working in the background. People still need groceries in good times and bad, and that tends to keep the real estate relevant. Over the last year, the dividend stock kept that momentum going, reporting strong leasing spreads and stable occupancy while continuing its monthly distribution. For income investors, that kind of consistency is very attractive.

Its 2025 numbers looked solid. Portfolio occupancy was 94.4% at year-end, same-property net operating income (NOI) for the full year rose 1.9%, and the dividend stock completed 1.7 million square feet of leasing through the year. It also pointed out that its average in-place rent remained well below market rent, leaving room for future increases. That is a nice combination: stable current cash flow with some built-in growth potential.

Valuation looks reasonable too. It showed a market cap around $910.9 million and a trailing price-to-earnings (P/E) ratio near 16.6, while recent distribution disclosures showed a dividend of $1.19 delivered monthly for a yield of 7.8%. That is not a crazy yield trap number, and that matters. Slate still has debt and interest-rate exposure like any REIT, but the grocery-anchored niche gives it a sturdier feel than many retail names.

Bottom line

If I were choosing between the two for years of monthly income, Slate Grocery feels steadier right now, while Vital offers more turnaround flavour. One gives you a cleaner operating story. The other gives you healthcare property exposure with more baggage but also more room to surprise. Both can offer substantial income even from a $7,000 investment.

Either way, the goal is the same. Monthly cash flow that comes from real tenants, real leases, and a business model that can still function when markets get annoying

The post 2 Monthly Dividend Stocks That Could Pay You for Years appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Slate Grocery REIT. The Motley Fool has a disclosure policy.

When I think about loading up on a stock for long-term wealth, I want more than a catchy story. I want a business with durable demand, smart management, room to grow, and enough financial strength to handle a rough patch without falling apart. It also helps if the stock is tied to trends that could last for years, not just one flashy quarter. That’s why these three Canadian stocks stand out to me right now.

BN

Brookfield (TSX:BN) is the kind of stock that can wear a lot of hats and still make sense. It has exposure to alternative asset management, wealth solutions, infrastructure, renewable power, private equity, and real estate. Over the last year, Brookfield kept expanding where the money is flowing, including artificial intelligence (AI) infrastructure and credit. Brookfield agreed to buy the remaining 26% of Oaktree for about US$3 billion, which should deepen its credit platform even more.

The latest numbers still give the bull case some muscle. In 2025, Brookfield reported distributable earnings of US$2.8 billion, or US$1.17 per share, while fundraising hit US$112 billion for the year. That’s a big reminder that this is still a capital-compounding machine. The stock was recently trading around $60 on the TSX, so it does not look dirt cheap on a simple earnings lens, but Brookfield rarely screens as a bargain because investors pay for scale and optionality. The risk is that complex companies can confuse the market, and deal-heavy growth can bring execution pressure. Still, for patient investors, this one looks built for the long haul.

GIB

CGI (TSX:GIB.A) is a lot less flashy, and that is part of the appeal. It’s one of those steady businesses that just keeps showing up, winning contracts, and helping governments and large companies run their technology systems. Over the last year, it also stayed active on the acquisition front, with deals involving Apside, Comarch Polska, Online Business Systems, and Stratfield Consulting helping it expand both its talent base and geographic reach. That gives it a nice mix of reliability and quiet growth.

Its latest quarter backed that up. CGI stock reported fiscal first-quarter 2026 revenue of $4.1 billion, up 7.7% year over year, while diluted earnings per share (EPS) rose 5.7% to $2.03. Cash generation also stayed strong at $872 million, and its trailing 12-month book-to-bill ratio sat at 110.4%. All this suggests demand remains healthy. With the shares recently around $142, the valuation is not exactly basement-level, but it still feels reasonable for a company with sticky client relationships and dependable margins. The main risk is that enterprise and government clients can delay projects when budgets tighten. Even so, CGI stock still looks like a classic sleep-well-at-night compounder.

CIGI

Colliers (TSX:CIGI) rounds out the list with a slightly different flavour. It’s known for commercial real estate services, but it also built out engineering and investment management, which makes the business more diversified than many investors assume. Over the last year, it kept leaning into that broader model. The company also launched a normal course issuer bid in 2025, which signals confidence, and it has continued to use acquisitions to expand its platform.

The financial picture remains solid. For full-year 2025, Colliers reported revenue of $5.6 billion, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $732.5 million, and adjusted EPS of $6.58, all up double digits from the year before. With the stock recently trading near $100, it is not a bargain-bin pick, but that premium reflects a business that has delivered strong long-term shareholder returns and still has room to benefit if property markets gradually recover. The risk, of course, is that higher-for-longer rates can keep transaction activity sluggish. But if you want a high-quality compounder with several growth levers, Colliers still looks compelling.

Bottom line

None of these stocks are tiny, undiscovered moonshots, and that is exactly the point. For long-term wealth, I would rather load up on proven compounders than chase the next hot thing and hope for magic. Brookfield brings scale, CGI brings consistency, and Colliers brings a smart mix of cyclical upside and steady expansion. That trio looks like a pretty good place to park fresh cash for the next decade.

The post 3 Canadian Stocks I Loaded Up on for Long-Term Wealth appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Brookfield and Colliers International Group. The Motley Fool recommends Brookfield Corporation and CGI. The Motley Fool has a disclosure policy.

Canadian banks deserve their reputation, but they can also crowd a portfolio. When everyone reaches for the same names, investors can miss other dividend stocks with strong cash flow, better diversification, and in some cases more room to surprise on the upside. Looking beyond the banks can make a portfolio less tied to one sector and open the door to income from energy royalties, retail real estate, and insurance businesses that many Canadians do not talk about nearly enough.

FRU

Freehold Royalties (TSX:FRU) is not a producer in the usual sense. Instead, it owns royalty interests on oil and gas lands in Canada and the United States, which means it can collect cash flow without having to spend heavily to drill wells itself. Over the last year, that model kept working. Freehold reported a fifth straight year of record production in 2025, helped by growth in the Permian, and it entered 2026 with guidance for average production of 14,800 to 15,800 barrels of oil equivalent per day (boe/d).

The numbers support the case. Freehold generated $299.8 million in revenue in 2025 and $218.6 million in operating income, while funds from operations (FFO) were $243.8 million, or $1.61 per share. It also returned $162.1 million in dividends. It shows a market cap around $2.9 billion and a price-to-earnings (P/E) near 31, so it is not cheap on plain earnings. Still, for a royalty model with lower capital intensity and a yield that has stayed appealing, that valuation is easier to live with than it first appears.

PLZ

Plaza Retail REIT (TSX:PLZ.UN) is another name many investors skip because it looks too quiet. Plaza owns open-air retail properties, often in smaller Canadian markets, and its tenant list leans toward necessities rather than trendy discretionary spending. In 2025, it kept building and intensifying properties while also maintaining its monthly distribution. It recently announced another $0.02333 per unit monthly payout, or $0.28 annualized, which is exactly the kind of consistency income investors want.

Its 2025 results looked stronger than its profile suggests. FFO rose 8.8% to $44 million, while FFO per unit climbed to $0.395 from $0.363. AFFO per unit increased to $0.300 from $0.286, and the basic FFO payout ratio improved to 71% from 77.2%. It shows a market cap around $481.5 million and a trailing P/E near 8.7. That is a low multiple for a real estate investment trust (REIT) with improving per-unit cash flow and a necessity-based portfolio, even if it will never be the most exciting stock on the exchange.

FFH

Then there is Fairfax Financial (TSX:FFH). It is much bigger than the other two, but it still gets ignored beside the banks because it sits in insurance and investments rather than traditional lending. Fairfax stock has spent years quietly compounding through underwriting, acquisitions, and smart capital allocation. In 2025, it reported net earnings of US$4.8 billion, up from US$3.9 billion in 2024. That is a huge number, and it came from a business mix that still looks more diversified than many investors probably realize.

Valuation is where Fairfax stock gets especially interesting. It shows a market cap a little above $51.7 billion and a P/E around 8.2, which is quite modest for a company that just put up record-level earnings. The risk is that Fairfax stock can look complicated, and insurance stocks are never as easy to follow as a big bank. But that is also the opportunity. For Canadians willing to wander off the usual path, this is a dividend stock with real scale, real earnings, and a lot less attention than it probably deserves.

Bottom line

The point is not that Canadian banks are bad. It’s that they aren’t the only game in town. Freehold offers royalty income, Plaza offers steady monthly cash flow, and Fairfax brings global insurance muscle at a surprisingly modest valuation. That is a pretty good reminder that sometimes the best dividend stocks are the ones investors barely bother to mention.

The post Beyond the Banks: 3 TSX Dividend Stocks Most Canadians Ignore appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Fairfax Financial. The Motley Fool recommends Freehold Royalties. The Motley Fool has a disclosure policy.

When sentiment turns, the first stocks to bounce are usually not the safest ones, but ones that already have a working business underneath the gloom, plus a reason for investors to suddenly look again. The trick is to avoid names that are just cheap and instead focus on businesses where the numbers are quietly getting better. So let’s look at three to consider today.

CGX

Cineplex (TSX:CGX) is still Canada’s dominant movie theatre operator, but it is also more than that now, with location-based entertainment, media, and food service adding to the story. Over the last year, the market kept treating it like a troubled theatre stock, yet the business kept improving around the edges. In February 2026, Cineplex stock reported stronger year-end results, and in March it said the 2026 film slate was starting to pick up after a softer February box office.

In the fourth quarter of 2025, revenue rose 4% to $362.7 million and adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) increased to $91.6 million from $89.9 million a year earlier. Net loss narrowed sharply to $36.9 million from $104.2 million. Per-patron metrics also hit records, with box office per patron at $13.29 and concession per patron at $9.72 for the full year.

Cineplex stock’s market cap sits around $626 million at writing, while its enterprise value is much higher at roughly $2.3 billion because debt still matters here. That is the risk. But if movie attendance and entertainment spending keep improving, Cineplex stock has the kind of operational leverage that can make the stock jump quickly should the mood shift.

LSPD

Lightspeed Commerce (TSX:LSPD) sells point-of-sale and payments software to retailers and hospitality businesses. Lightspeed stock has spent years disappointing investors who once expected a much faster growth curve. But over the last year, the company has finally started giving the market something sturdier to work with: improving margins, positive free cash flow, and a more disciplined outlook. In February 2026, it raised its fiscal 2026 outlook after a strong third quarter.

The numbers were encouraging. Third-quarter fiscal 2026 revenue rose 11% year over year to US$312.3 million, gross profit increased 15% to US$133.6 million, and adjusted EBITDA climbed 22% to US$20.2 million. Lightspeed stock also posted positive operating cash flow of US$28.9 million and adjusted free cash flow of US$14.9 million.

Its market cap is about $1.7 billion, with a forward price-to-earnings (P/E) around 14.2, while the company still sits on a large cash balance. If investors start rewarding profitable software growth again, Lightspeed stock could bounce hard from a still-muted base.

PNG

Then there is Kraken Robotics (TSXV:PNG), which makes subsea robotics, sonar, batteries, and related maritime technology, so it has real exposure to defence, offshore energy, and underwater infrastructure rather than hype alone. Over the last year, it kept stacking wins, including new defence orders and a major acquisition announced in March 2026 that would significantly expand its scale and capabilities.

Kraken is the highest-octane name here, but the numbers are real. Management’s acquisition announcement said the combined business generated $365 million in 2025 revenue with a 24% adjusted EBITDA margin, while Kraken on its own had previously guided for 2025 revenue of $120 million to $135 million and adjusted EBITDA of $26 million to $34 million.

For 2026, Kraken expects revenue of $165 million to $175 million and adjusted EBITDA of $40 million to $50 million before any acquisition contribution. It is not the cheapest stock around, but when sentiment turns toward defence and industrial tech, this kind of fast-growing operator can move first.

Bottom line

If sentiment does improve, these three could react fast for different reasons. Cineplex stock has recovery torque, Lightspeed stock has improving software fundamentals, and Kraken has real growth plus a defence and industrial edge. The first bounce usually belongs to stocks that have already taken the pain and can finally show investors something better. And these three belong in that category.

The post 3 TSX Stocks That Could Bounce First When Sentiment Turns appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Kraken Robotics. The Motley Fool recommends Lightspeed Commerce. The Motley Fool has a disclosure policy.

Steady cash flow usually comes from dividend stocks that do not need a perfect economy to keep paying investors. The best ones tend to have recurring revenue, essential services, manageable payout ratios, and enough growth to keep the dividend moving higher over time. So let’s look at some to consider.

ALA

AltaGas (TSX:ALA) fits that bill nicely. It owns a mix of utilities and energy infrastructure, which gives it a blend of steady regulated cash flow and growth from exports and midstream assets. In 2025, it delivered normalized earnings before interest, taxes, depreciation and amortization (EBITDA) of $1.8 billion and normalized net income of $670 million, then followed that up with a 6% dividend increase for 2026 to $1.34 per share while extending its dividend growth target through 2030. The dividend stock now yields roughly 2.8%. That is not huge, but the payout looks backed by a durable business and 2026 EBITDA guidance of $1.925 billion to $2.025 billion.

EFN

Element Fleet (TSX:EFN) is a different kind of dividend stock, but a very appealing one. It manages vehicle fleets for companies and governments, which creates recurring service and financing revenue that can be surprisingly resilient. In 2025, net revenue rose 9% to $1.2 billion, adjusted operating income climbed 11% to $666 million, and management raised the annual dividend 15% to $0.60 per share. The market cap sits around $12.2 billion, and the price-to-earnings (P/E) is about 32.4. That is not cheap, but the dividend stock is still guiding for 8% to 10% net revenue growth in 2026, which makes the smaller yield easier to forgive.

OTEX

OpenText (TSX:OTEX) brings a much richer dividend yield and a more tech-heavy flavour. It sells information management software and services, and that sticky customer base helps support recurring cash flow. In its fiscal 2026 second quarter, revenue was US$1.3 billion, cloud revenue rose 3.4% to US$478 million, and operating cash flow reached US$319 million. The board also declared a quarterly dividend of US$0.275 per share, which points to a yield around 4.7% at recent prices. With a trailing annual dividend of US$1.44 per share, OpenText looks like one of the better TSX dividend stocks for investors who want real income from tech without chasing a story stock.

KMP.UN

Killam Apartment REIT (TSX:KMP.UN) is the classic steady-cash-flow choice. Apartments and manufactured housing communities tend to produce reliable rent in most markets, and Killam has kept that engine moving. In 2025, it generated net operating income (NOI) of $254.8 million, funds from operations (FFO) per unit of $1.23, and AFFO per unit of $1.04, while same-property NOI growth came in at 6.1%. Its AFFO payout ratio improved to 69%, which is exactly the kind of number income investors like to see. The yield sits around 4.5%, and the trust kept recycling capital into higher-growth markets and developments that should help support more cash flow in 2026.

MTL

Mullen Group (TSX:MTL) rounds out the list with a monthly dividend and a business tied to transportation and logistics. That can sound cyclical, but Mullen has built a broad enough platform that it can still produce dependable cash flow through different market conditions. In 2025, adjusted net income was $83.2 million, adjusted earnings per share were $0.94, and operating cash flow was $329.3 million. The dividend stock also redeemed debentures, refinanced debt, renewed its buyback program, and continued paying a $0.07 monthly dividend, or $0.84 annually. With the dividend stock near $16 and a yield close to 5.1%, it looks like a practical income name rather than a flashy one.

Bottom line

These five stocks are not identical, and that is the point. They provide a diversified range of dividends, which can bring in immense income from even $7,000 in each.

Put together, they show that steady income does not have to come from one corner of the market. It usually comes from owning solid businesses that keep paying investors whether the headlines are cheerful or not.

The post 5 TSX Dividend Stocks for Steady Cash Flow in Any Market appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Mullen Group. The Motley Fool has a disclosure policy.

When markets turn defensive, the goal usually shifts from chasing the fastest grower to owning businesses that can keep earning through a wobblier stretch. That often means companies tied to groceries, insurance, essential consumer products, or services people do not drop just because sentiment sours. Right now, that mindset makes sense. With the Bank of Canada holding rates steady, now is the time to consider these top TSX stocks.

WN

George Weston (TSX:WN) looks built for this kind of backdrop. Through Loblaw and Choice Properties, it gives investors exposure to groceries, pharmacy, and necessity-based real estate, which is about as defensive as the TSX gets. Over the last year, Loblaw kept investing in growth, including a planned $2.4 billion spend in 2026 to expand stores and supply chain capacity, while George Weston also disclosed a deal to sell PC Financial to EQB. That is not flashy, but it does show an underlying business still moving forward.

The numbers stayed strong. In the fourth quarter of 2025, George Weston reported adjusted net earnings available to common shareholders of $468 million, up 12.8%, while adjusted diluted earnings per share rose 15.2% to $1.21. The TSX stock carries a market cap of about $36.6 billion and a price-to-earnings (P/E) near 36.8 so it is not cheap in the usual sense. But that premium reflects just how steady its core businesses are. If investors keep getting more cautious, a defensive heavyweight like this can still fit.

SAP

Saputo (TSX:SAP) is a quieter defensive pick, but that is part of the appeal. Dairy is not an exciting industry, yet it tends to hold up when investors get picky because people still buy milk, cheese, and other staples. Over the last year, Saputo renewed its normal course issuer bid and announced a deal to divest a majority stake in its Argentina operations, which suggests management is still tightening the portfolio and leaning toward more disciplined capital allocation. Trade fights around dairy also remain part of the backdrop, but Canada’s supply-managed system still gives domestic producers a layer of stability.

Its latest results were solid enough to support the case. In the third quarter of fiscal 2026, Saputo reported revenue of $4.1 billion, up 5.2%, while adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) rose to $431.1 million and net earnings climbed to $209.8 million. The stock’s market cap is about $17.3 billion and its P/E is roughly 27.3. That is not a bargain multiple, but it is fair for a consumer staple with improving execution and a business that should stay relevant even if the market mood darkens.

IAG

Then we have iA Financial (TSX:IAG), and this is the financial name here, but it still works as a defensive idea because insurance and wealth management can produce dependable earnings even when the market gets nervous. Over the last year, iA made a bigger move by acquiring RF Capital, adding to its wealth platform and giving it another lever for growth. That deal shows the TSX stock is not just playing defence. It is still expanding while keeping a strong capital position.

The earnings picture looked healthy. iA’s corporate presentation for year-end 2025 showed fourth-quarter core EPS of $3.10, quarterly earnings per share (EPS) of $1.97, quarterly annualized core ROE of 17.1%, and net premiums of $5.9 billion. The TSX stock’s market cap sits around $13.8 billion and its P/E is about 13.3, which makes it the cheapest-looking name of the three on a plain earnings basis. For a company still growing, still buying, and still producing strong returns, that feels like a sensible defensive pick.

Bottom line

If markets do get more defensive, these three all bring something useful. George Weston offers everyday essentials, Saputo brings consumer-staples stability, and iA adds financial strength without an extreme valuation. None is a moonshot, and that is exactly the point. When investors get nervous, boring can start to look pretty brilliant.

The post 3 TSX Stocks to Buy if Markets Turn Defensive appeared first on The Motley Fool Canada.

More reading

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.