3 TSX Dividend Stocks Yielding Up To 7.1%
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As we head into the fourth quarter, the Canadian TSX has shown resilience with a strong performance earlier in the year, despite recent volatility driven by uncertainties in global politics and economic conditions. In this environment, dividend stocks can offer investors a measure of stability and income, making them an attractive option for those navigating market fluctuations.
Top 10 Dividend Stocks In Canada
| Name | Dividend Yield | Dividend Rating |
| Whitecap Resources (TSX:WCP) | 6.78% | ★★★★★★ |
| Labrador Iron Ore Royalty (TSX:LIF) | 7.89% | ★★★★★☆ |
| Power Corporation of Canada (TSX:POW) | 5.22% | ★★★★★☆ |
| Russel Metals (TSX:RUS) | 4.22% | ★★★★★☆ |
| Enghouse Systems (TSX:ENGH) | 3.27% | ★★★★★☆ |
| Firm Capital Mortgage Investment (TSX:FC) | 8.65% | ★★★★★☆ |
| Richards Packaging Income Fund (TSX:RPI.UN) | 5.29% | ★★★★★☆ |
| Sun Life Financial (TSX:SLF) | 4.14% | ★★★★★☆ |
| Royal Bank of Canada (TSX:RY) | 3.41% | ★★★★★☆ |
| Canadian Natural Resources (TSX:CNQ) | 4.23% | ★★★★★☆ |
Click here to see the full list of 30 stocks from our Top TSX Dividend Stocks screener.
Let's dive into some prime choices out of the screener.
Enghouse Systems
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Enghouse Systems Limited, along with its subsidiaries, develops enterprise software solutions globally and has a market cap of CA$1.75 billion.
Operations: Enghouse Systems Limited generates revenue from its Asset Management Group, which contributed CA$187.17 million, and its Interactive Management Group, which brought in CA$312.77 million.
Dividend Yield: 3.3%
Enghouse Systems offers a stable dividend history with a payout ratio of 66%, indicating coverage by earnings, and a cash payout ratio of 45.4%, suggesting strong cash flow support. The company recently affirmed its quarterly dividend of CAD 0.26 per share, maintaining reliability over the past decade. Despite trading at good value relative to peers and industry, its yield of 3.27% is lower than the top Canadian dividend payers' average of 5.93%.
High Liner Foods
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: High Liner Foods Incorporated processes and markets frozen seafood products in North America, with a market cap of CA$387.09 million.
Operations: High Liner Foods Incorporated generates revenue of $992.12 million from the manufacturing and marketing of prepared and packaged frozen seafood in North America.
Dividend Yield: 4.4%
High Liner Foods has a low cash payout ratio of 8.3%, ensuring dividends are well-covered by cash flows, and a payout ratio of 30.2% covered by earnings. However, its dividend history is volatile and unreliable over the past decade. Recent earnings show improved profitability with net income rising to US$19.29 million in Q2 2024 from US$5.89 million a year ago, despite declining sales figures, reflecting potential financial resilience amidst challenges.