Top 3 TSX Dividend Stocks To Consider
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The Canadian market experienced significant volatility in August, with stocks rebounding impressively from an early month correction, supported by a resilient economy and positive earnings growth. As the focus shifts to growth amid easing inflation and potential rate cuts, dividend stocks offer a compelling investment opportunity for those seeking stable income and long-term value.
Top 10 Dividend Stocks In Canada
| Name | Dividend Yield | Dividend Rating |
| Whitecap Resources (TSX:WCP) | 7.46% | ★★★★★★ |
| Secure Energy Services (TSX:SES) | 3.45% | ★★★★★☆ |
| Labrador Iron Ore Royalty (TSX:LIF) | 8.67% | ★★★★★☆ |
| Power Corporation of Canada (TSX:POW) | 5.46% | ★★★★★☆ |
| Enghouse Systems (TSX:ENGH) | 3.59% | ★★★★★☆ |
| Canadian Natural Resources (TSX:CNQ) | 4.60% | ★★★★★☆ |
| Russel Metals (TSX:RUS) | 4.58% | ★★★★★☆ |
| iA Financial (TSX:IAG) | 3.14% | ★★★★★☆ |
| Firm Capital Mortgage Investment (TSX:FC) | 8.62% | ★★★★★☆ |
| Royal Bank of Canada (TSX:RY) | 3.46% | ★★★★★☆ |
Click here to see the full list of 33 stocks from our Top TSX Dividend Stocks screener.
Here's a peek at a few of the choices from the screener.
Enghouse Systems
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Enghouse Systems Limited, with a market cap of CA$1.60 billion, develops enterprise software solutions worldwide through its subsidiaries.
Operations: Enghouse Systems Limited generates revenue through two primary segments: Asset Management Group (CA$180.88 million) and Interactive Management Group (CA$299.55 million).
Dividend Yield: 3.6%
Enghouse Systems has a stable and growing dividend history over the past 10 years, with dividends well-covered by earnings (65.7% payout ratio) and cash flows (45.8% cash payout ratio). Despite offering a lower yield of 3.59% compared to top Canadian dividend payers, it trades at good value relative to peers. Recent Q3 earnings showed revenue growth to C$130.5 million and net income increase to C$20.58 million, indicating solid financial performance supporting its dividends.
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Click here to discover the nuances of Enghouse Systems with our detailed analytical dividend report.
North West
Simply Wall St Dividend Rating: ★★★★★☆
Overview: The North West Company Inc. (TSX:NWC) operates retail stores offering food and everyday products in rural and urban markets across northern Canada, rural Alaska, the South Pacific, and the Caribbean, with a market cap of CA$2.18 billion.
Operations: The North West Company Inc. generates CA$2.52 billion in revenue from its retail operations focused on food and everyday products and services across various regions including northern Canada, rural Alaska, the South Pacific, and the Caribbean.