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Top TSX Dividend Payers

Cole Patterson

Northland Power is one of companies on my list of top dividend stocks. Dividend stocks are a safe bet to increase your portfolio value as they provide both steady income and cushion against market risks. Dividends play an important role in compounding returns in the long run and end up forming a sizeable part of investment returns. Here are other similar dividend stocks that could be valuable additions to your current holdings.

Northland Power Inc. (TSX:NPI)

Northland Power Inc. develops, builds, owns, and operates power generation projects primarily in Canada and Europe. Started in 1987, and currently headed by CEO John Brace, the company employs 300 people and has a market cap of CAD CA$3.81B, putting it in the mid-cap group.

NPI has an alluring dividend yield of 5.53% and their payout ratio stands at 70.50% , with analysts expecting this ratio to be 85.22% in the next three years. In the case of NPI, they have increased their dividend per share from $1.08 to $1.2 so in the past 10 years. They have been consistent too, not missing a payment during this 10 year period. Northland Power is also reasonably priced, with a PE ratio of 14.2 that compares favorably with the CA Renewable Energy average of 276.4. Continue research on Northland Power here.

TSX:NPI Historical Dividend Yield Feb 12th 18

RioCan Real Estate Investment Trust (TSX:REI.UN)

RioCan is Canada’s largest real estate investment trust with a total enterprise value of approximately $13.9 billion at September 30, 2017. The company provides employment to 666 people and with the company’s market cap sitting at CAD CA$7.63B, it falls under the mid-cap group.

REI.UN has an appealing dividend yield of 6.19% and pays out 68.62% of its profit as dividends , and analysts are expecting the payout ratio in three years to hit 82.81%. In the last 10 years, shareholders would have been happy to see the company increase its dividend from $1.35 to $1.44. They have been dependable too, not missing a single payment in this time. When we compare RioCan Real Estate Investment Trust’s PE ratio with its industry, the company appears favorable. The CA REITs industry’s average ratio of 11.4 is above that of RioCan Real Estate Investment Trust’s (11.3). Dig deeper into RioCan Real Estate Investment Trust here.

TSX:REI.UN Historical Dividend Yield Feb 12th 18

IGM Financial Inc. (TSX:IGM)

IGM Financial Inc. operates as a financial services company in Canada. Founded in 1894, and currently lead by Jeffrey Carney, the company provides employment to 3,371 people and with the market cap of CAD CA$9.74B, it falls under the mid-cap group.

IGM has a sumptuous dividend yield of 5.56% and the company has a payout ratio of 90.00% . In the case of IGM, they have increased their dividend per share from $1.84 to $2.25 so in the past 10 years. To the enjoyment of shareholders, the company hasn’t missed a payment during this period. Continue research on IGM Financial here.

TSX:IGM Historical Dividend Yield Feb 12th 18

For more solid dividend payers to add to your portfolio, you can use our free platform to explore our interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.