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Dividend Stocks

What are dividend stocks?

Dividend stocks are stocks that send you a sum of money (usually quarterly, but sometimes annually) simply for owning shares in the company.

To be clear, this money isn’t a capital gain, which you earn when share prices go up or when you sell the stock for profit. A dividend is more like a “bonus” that comes to you in the form of cash or more shares in the company’s stock.

Which companies have dividend stocks?

It’s important to note that not all companies pay out dividends. Dividend-paying companies are usually older, more established corporations that have a long track history of positive growth and expansion.

Usually when a company earns more money than it can reinvest in itself, it creates a dividend paying policy for shareholders. For that reason, you’ll rarely see growth companies, small caps, or start-ups issue dividends.

In Canada, some top dividend stocks include:

More information about dividend stocks in Canada:

To learn more about Dividend Stocks, take a look at our Guide to Dividend Investing for all the details.

Check back here for the most up to date information about dividend stocks in Canada.

Top Articles

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Enbridge Is a High-Yielding Canadian Dividend Stock to Buy Now and Own Forever

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Recent Dividend Stocks News

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Retirees can protect their nest eggs from a market crash by taking a defensive position. The Brookfield Infrastructure Partners stock…

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You can get up to $35,000 tax free from your RRSP through the Home Buyer's Plan, but there's one thing…

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Here’s why 8%-yield Enbridge (TSX:ENB)(NYSE:ENB) stock is a no-brainer buy today.

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The rally is just getting started in this Warren Buffett growth stock. Don't miss the opportunity to invest in this…

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Should Canadian stock market investors consider buying Barrick Gold (TSX:ABX)(NYSE:GOLD) on the Toronto Stock Exchange like Warren Buffett?

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Canada Revenue Agency: How Will 2021 CPP Enhancements Increase Your Payout?

| Puja Tayal

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