In this article, we will take a look at some of the best dividend Canadian stocks to invest in.
Canada’s main stock index slipped to a two-week low on November 20, pulled down by weakness in the materials and technology sectors. Nvidia’s latest earnings didn’t ease market concerns about whether the rapid rise in AI spending will actually deliver returns, which added to the pressure. The S&P/TSX Composite Index closed 371.86 points lower, a decline of 1.2%, finishing at 29,906.55. That marked its weakest close since November 6, according to a report by Reuters.
The Canadian dollar also softened, falling to its lowest level in nearly two weeks against the US dollar. US employment data did little to clarify when the Federal Reserve might begin cutting interest rates, keeping investors cautious. The loonie traded 0.3% lower at 1.4095 per US dollar, or 70.95 US cents, after touching 1.4107 earlier in the session, its lowest point since November 7.
US markets followed a similar trend. Wall Street’s major indexes pulled back as the initial optimism around Nvidia’s results faded. Investors continued to question the high valuations across the tech sector, and the jobs report added uncertainty to the outlook for additional US rate cuts.
With tech stocks unable to offer much stability, many investors are gravitating toward dividend-paying equities for their long-term reliability. Outside the US, several regions are steadily raising or maintaining shareholder payouts. According to a report from Janus Henderson, Canada stood out in 2024 with underlying dividend growth of 6.9%, driven largely by energy companies and banks. Canadian firms distributed $63.4 billion in dividends in 2024, up significantly from $41 billion in 2018.
Given this, we will take a look at some of the best dividend Canadian stocks to invest in.
Our Methodology:
For this article, we began by screening Canadian companies that trade on US exchanges. From that group, we focused on dividend stocks with steady yields, strong dividend track records, and healthy balance sheets. We then selected the 13 names with the highest upside potential based on analysts’ price targets as of November 17. The stocks are ranked according to their upside potential.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
13. Fortis Inc. (NYSE:FTS)
Upside Potential as of November 17: 10.02%
Fortis Inc. (NYSE:FTS) is among the best dividend Canadian stocks to invest in.
CIBC lifted its price target for Fortis Inc. (NYSE:FTS) to C$75 from C$74 on November 5 and maintained its Outperformer rating, according to a report by the Fly.
In its third quarter earnings report, Fortis Inc. (NYSE:FTS) announced that it has spent about $4.2 billion on capital projects over the first nine months of the year and appears well positioned to hit its full-year goal of $5.6 billion. The company also rolled out a fresh five-year capital plan worth $28.8 billion, covering 2026 through 2030. Through this plan, management expects the rate base to grow at roughly 7% a year and reach $57.9 billion by the end of the decade.
With this investment strategy moving forward, leadership aims to raise the dividend by 4 to 6% each year through 2030, a move that keeps Fortis in the conversation as a reliable long-term pick for income-focused investors.The company also announced a 4% increase in its quarterly dividend on November 4, bringing the payout to $0.64 per share. This marked the 52nd straight year of dividend growth.
Fortis Inc. (NYSE:FTS) runs a largely regulated natural gas and electricity utility network, with about 93% of its assets tied to lower-risk transmission and distribution businesses. This setup helps keep its financial results stable through economic shifts and market swings, which in turn supports consistent dividend growth.
12. Suncor Energy Inc. (NYSE:SU)
Upside Potential as of November 17: 10.4%
Suncor Energy Inc. (NYSE:SU) is one of the best dividend Canadian stocks to buy now.
UBS lifted its price target for Suncor Energy Inc. (NYSE:SU) to C$65 from C$61 on November 5 and kept a Buy rating on the stock, as reported by The Fly.
Suncor Energy Inc. (NYSE:SU) delivered a standout performance in the third quarter of 2025. Upstream production averaged 870,000 barrels per day, marking the strongest third quarter in the company’s history. Upgrader utilization reached 102%, and refining throughput hit a record 492,000 barrels per day. The company’s management continued to emphasize returns on capital. The company sent more than C$1.4 billion back to shareholders during the quarter, including roughly C$750 million in buybacks and C$700 million in dividends.
Suncor Energy Inc. (NYSE:SU)’s strong foothold in the Western Canadian oil sands has helped generate attractive returns across different market conditions. Energy prices tend to move through sharp cycles, something that became very clear after the pandemic when crude prices briefly moved into negative territory. Even through that turbulence, Suncor remained one of Canada’s top producers and continued to deliver growth and profitability. Its shares have advanced more than 188% over the past five years.
Suncor Energy Inc. (NYSE:SU) operates as an integrated energy producer, drawing from several sources that include the oil sands, offshore projects, and renewable fuels.
