5 Best Canadian Dividend Stocks For Income Investors

In this article, we discuss 5 best Canadian dividend stocks for income investors. If you want to read our detailed analysis of dividend stocks and their performance over the years, go directly to read 11 Best Canadian Dividend Stocks For Income Investors. 

5. Thomson Reuters Corporation (NYSE:TRI)

Number of Hedge Fund Holders: 19

Thomson Reuters Corporation (NYSE:TRI) is a Canadian multinational conglomerate that specializes in real-time news coverage. On May 2, the company declared a quarterly dividend of $0.49 per share, consistent with its previous dividend. In 2022, the company stretched its dividend growth streak to 30 years. With a dividend yield of 1.64% as of May 7, it is among the best dividend Canadian stocks on our list.

National Bank raised its price target on Thomson Reuters Corporation (NYSE:TRI) in May to C$184 and maintained a Sector Perform rating on the shares, highlighting the company’s quarterly earnings.

As of the close of Q4 2022, 19 hedge funds in Insider Monkey’s database were long Thomson Reuters Corporation (NYSE:TRI). The stakes owned by these hedge funds have a collective value of nearly $289 million. Among these hedge funds, Junto Capital Management was the company’s leading stakeholder in Q4.

4. Enbridge Inc. (NYSE:ENB)

Number of Hedge Fund Holders: 21 

A multinational energy company, Enbridge Inc. (NYSE:ENB) is next on our list of the best dividend Canadian stocks. In April, Morgan Stanley maintained an Equal Weight rating on the stock with a C$63 price target. The firm has a positive outlook on the sector for 2023.

Enbridge Inc. (NYSE:ENB) has been growing its dividends consistently for the past 28 years and also has a 67-year run of paying regular dividends to shareholders. The company offers a quarterly dividend of C$0.8875 per share for a dividend yield of 6.53%, as of May 7.

As of December 2022, 21 hedge funds tracked by Insider Monkey owned stakes in Enbridge Inc. (NYSE:ENB), with a collective value of over $2.6 billion.

3. Imperial Oil Limited (NYSE:IMO)

Number of Hedge Fund Holders: 23 

Imperial Oil Limited (NYSE:IMO) is a subsidiary of America’s ExxonMobil and specializes in petroleum refining. On April 28, the company raised its quarterly dividend for the 28th consecutive year to C$0.50 per share. Moreover, the company has paid uninterrupted dividends to shareholders for over a century, which makes it one of the best dividend Canadian stocks on our list. The stock’s dividend yield came in at 3.17% on May 7.

At the end of Q4 2022, the number of hedge funds tracked by Insider Monkey owning stakes in Imperial Oil Limited (NYSE:IMO) grew to 23, from 19 in the previous quarter. These stakes have a consolidated value of over $164.6 million.

2. Agnico Eagle Mines Limited (NYSE:AEM)

Number of Hedge Fund Holders: 41

Agnico Eagle Mines Limited (NYSE:AEM) is a Canadian mining company that specializes in the mining and exploration of gold and other commodities. In May, National Bank raised its price target on the stock to C$98 and maintained an Outperform rating on the shares, appreciating the company’s performance.

Agnico Eagle Mines Limited (NYSE:AEM) is one of the best dividend Canadian stocks on our list as it has been paying regular dividends to shareholders for the past 40 years. The company’s current quarterly dividend comes at $0.40 per share for a dividend yield of 2.68%, as of May 7.

At the end of Q4 2022, 41 hedge funds tracked by Insider Monkey owned stakes in Agnico Eagle Mines Limited (NYSE:AEM), up from 39 in the previous quarter. These stakes have a total value of over $613.7 million.

Old West Management mentioned Agnico Eagle Mines Limited (NYSE:AEM) in its Q4 2022 investor letter:

“Agnico Eagle Mines Limited (NYSE:AEM) is the third largest gold miner in the world with mines in Canada, Australia, Finland, and Mexico. Although we have long respected the company, we became shareholders when they acquired our portfolio holding, Kirkland Lake Gold. Agnico chairman Sean Boyd is one of the most respected executives in the mining industry. He was appointed CEO in 1998 and was recently appointed Executive Chairman. Boyd is a large shareholder and perfectly fits our owner/manager role. This year the company is projected to make nearly $1 billion in net income on $5.8 billion in revenue with $758 million of free cash flow. Net income has been growing 15% per year for several years. Agnico has a fortress balance sheet with $1.3 billion of long term debt, which is only 2 times EBITDA, and $820 million cash in the bank. The stock trades at $55 per share, which is 26 times earnings with a 2.9% dividend yield.”

1. Canadian National Railway Company (NYSE:CNI)

Number of Hedge Fund Holders: 41

Canadian National Railway Company (NYSE:CNI) tops our list of the best dividend Canadian stocks. The transport company pays a quarterly dividend of C$0.79 per share for a dividend yield of 1.92%, as of May 7. It has been growing its dividends consistently for the past 23 years.

As of the close of Q4 2022, 41 hedge funds tracked by Insider Monkey held stakes in Canadian National Railway Company (NYSE:CNI), worth over $13 billion collectively. With roughly 60 million shares, Bill & Melinda Gates Foundation Trust was the company’s leading stakeholder in Q4.

You can also take a look at 10 Best Debt Free Dividend Stocks to Buy and 10 Best Small-Cap Value Stocks to Invest In

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