The Canadian stock market has seen a sharp correction in 2022, as growing macroeconomic uncertainties continue to weigh on investorsâ sentiments. Difficult times like these are a great reminder for you to add some safe dividend stocks to your portfolio that are fundamentally strong and can withstand economic shocks.
In this article, Iâll highlight three of the best Canadian dividend stocks with excellent staying power you can consider buying right now.
Speaking of fundamentally strong dividend stocks in Canada, Bank of Nova Scotia (TSX:BNS) is definitely worth considering. This Toronto-headquartered banking sector giant currently has a market cap of $77.9 billion, as its stock trades at $66.17 per share after losing nearly 25% of its value in 2022 so far. At the current market price, it has an attractive dividend yield of 6.2%.
Scotiabankâs revenue sources are well diversified geographically as well as segment-wise, making it one of the safest dividend stocks to own in Canada. In the second quarter, the bank registered 12% year-over-year growth in its net interest income from the Canadian banking segment, with continued loan growth and expansion in its net interest margin. I donât deny that the ongoing macroeconomic uncertainties are likely to affect its global wealth management and capital markets segments. Nonetheless, these temporary concerns shouldnât majorly impact its long-term growth outlook as its robust balance sheet and consistent cash flows are enough to help it withstand economic challenges.
Keyera (TSX:KEY) is another safe Canadian dividend stock to consider right now. This Calgary-based energy infrastructure company has a market cap of $6.1 billion. Its stock currently trades without any major change on a year-to-date basis at $28.17 per share. At this price, KEY stock offers a solid 6.8% dividend yield.
In the five years between 2016 to 2021, the companyâs total revenue jumped by 98.7%, which helped its bottom line grow positively by 42% during the same period. You could expect this strong growth trend in Keyeraâs financials to remain intact in the long run, as the company continues to focus on new opportunities to expand the capacity of its pipeline gas plant and other projects. These factors make Keyera a safe Canadian dividend stock to bet on right now.
Canadian Natural Resources stock
Any list of reliable Canadian dividend stocks appears incomplete without including Canadian Natural Resources (TSX:CNQ) to it. This energy sector giant currently has a market cap of $80.6 billion as its stock trades with nearly 38.3% year-to-date gains at $72.41 per share. At this market price, CNQ stock has a decent dividend yield of around 4.1%.
The underlying strength in Canadian Naturalâs financial growth trends could be understood by the fact that it has been beating Street analystsâ revenue as well as earnings estimates for the last nine consecutive quarters. In recent years, the Canadian energy firm has increased its focus on cost control, efficient operations, and reduction in greenhouse gas emissions. These efforts should help it expand profitability and make its well-diversified business model more sustainable. While this safe dividend stock has risen sharply on a year-to-date basis, itâs about 15% off its 52-week highs, making it look cheap to buy for the long term.
The post 3 Top Dividend Stocks With Staying Power to Buy Now appeared first on The Motley Fool Canada.
When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for nearly a decade, Motley Fool Stock Advisor Canada, is beating the TSX by 21 percentage points.*
They just revealed what they believe are the 5 best stocks for investors to buy right nowâ¦ and Bank of Nova Scotia made the list — but there are 4 other stocks you may be overlooking.
See the 5 Stocks
* Returns as of 9/14/22
setButtonColorDefaults(“#5FA85D”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43A24A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
- 3 Canadian Gems to Buy If Thereâs a Recession
- Are Energy Stocks Winners After OPEC Production Cuts?
- Great TSX Stocks for Massive TFSA Passive Income
- TFSA Passive Income: Earn $407.50 Per Month for Life
- The Lazy Canadian’s Guide to Making $1 Million for Retirement
The Motley Fool recommends BANK OF NOVA SCOTIA, CDN NATURAL RES, and KEYERA CORP. The Motley Fool has a disclosure policy. Fool contributorÂ Jitendra ParasharÂ has no position in any of the stocks mentioned.