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The Top 100 Canadian Dividend Stocks for 2020

The Top 100 Canadian Dividend Stocks for 2020

Dividend stocks have long been admired for their ability to create income for investors regardless of market conditions. In Canada, there are a large number of publicly traded companies with a track record of sharing profits with investors year after year, in the form of regular dividend payments. This tax-efficient income stream is over and above the increasing value of a company’s share price.

How Does Dividend Investing Work?

Dividend investing is a strategy that involves buying stocks that pay regular dividends, and often have a track record of increasing dividend payments on an annual basis. Investors can use their dividend income to either buy more shares via a dividend reinvestment plan (DRIP) or to generate a steady income stream.

If dividend investing is something that interests you, there are plenty of places online where you can learn more about this tried and true investment strategy, starting with the following list of Top 100 Canadian Dividend Stocks for 2020. But first, allow me to explain the methodology behind our top picks.

Top 100 List Methodology

For 2020, I compiled our list of Top 100 Canadian Dividend Stocks from two sources: The Canadian Dividend Aristocrats Index, as well as the Simply Investing Report. Of course, any duplication from the two lists was removed, as well as the lowest yield performers from the combined list to arrive at 100.

Top 100 Canadian Dividend Stocks

NameSymbolPriceP/E (ttm)EPS (ttm)Forward Annual DividendDividend Yield
Aecon Group IncARE11.710.451.120.645.47%
Alaris Royalty CorpAD7.527.670.981.6521.94%
Algonquin Power and Utilities CorpAQN17.64121.040.794.50%
Allied Properties Real Estate Inv TrustAP.UN42.347.595.581.653.90%
Atco Ltd Cl.I NVACO.X35.347.914.471.744.93%
Bank of MontrealBMO66.957.658.754.246.33%
Bank of Nova ScotiaBNS54.598.026.813.606.59%
BCE IncBCE56.7316.833.373.335.87%
Boralex IncBLX24.09N/A-0.430.662.74%
Brookfield Asset Management Inc Cl.A LvBAM.A40.924.921.160.681.66%
Cae IncCAE15.8711.931.330.442.77%
Canadian Imperial Bank of CommerceCM76.626.8311.225.847.62%
Canadian National Railway Co.CNR107.7318.485.832.292.13%
Canadian Tire Corporation Cl A NVCTC.A81.597.3311.134.555.58%
Canadian Utilities Ltd Cl.A NVCU31.629.763.241.745.51%
Capital Power CorpCPX23.9233.220.721.928.03%
Ccl Industries Inc Cl B NVCCL.B40.2615.142.660.721.79%
CDN Apartment UnCAR.UN41.235.497.511.383.35%
CDN Natural ResCNQ18.784.144.541.709.05%
CDN Western BankCWB17.87N/A3.111.166.32%
Chartwell Retirement ResidencesCSH.UN8.541705.270.010.617.17%
Choice Properties REITCHP.UN12.65N/A-1.870.745.85%
CI Financial CorpCIX11.174.882.290.726.45%
Cogeco Communications IncCCA94.1513.378.642.322.46%
Cogeco Inc SvCGO83.611.249.131.902.27%
CT Real Estate Investment TrustCRT.UN11.649.761.190.796.76%
Dollarama IncDOL38.5121.631.780.180.46%
Emera IncorporatedEMA52.0318.852.762.454.71%
Empire Company LimitedEMP.A27.814.33N/A0.481.73%
Enbridge IncENB39.615.062.633.248.18%
Enerflex LtdEFX5.983.541.690.081.34%
Enghouse Systems LimitedENGH42.332.291.310.541.28%
Ensign Energy ServicesESI0.56N/A-1.020.2442.86%
Equitable Group IncEQB49.874.1711.971.482.97%
Exchange Income CorpEIF16.566.652.492.2813.77%
Exco Technologies LimitedXTC5.397.090.760.387.05%
Fiera Capital CorpFSZ5.55N/A-0.140.8415.14%
Finning IntlFTT14.9410.091.480.825.49%
Firstservice CorpFSV99.5N/A-6.580.930.93%
Fortis IncFTS51.0813.513.781.913.74%
Franco-Nevada CorpFNV152.8459.11.831.420.93%
Genworth MI Canada IncMIC26.865.464.922.168.04%
Gildan Activewear IncGIL17.779.91.270.864.83%
Goeasy LtdGSY30.057.214.171.805.99%
Granite Real Estate Investment TrustGRT.UN55.147.87.072.915.27%
Great-West Lifeco IncGWO21.678.692.491.758.08%
High Liner Foods IncorporatedHLF5.713.440.30.203.51%
Husky Energy Inc.HSE4.05N/A-1.410.5012.35%
Imperial OilIMO16.975.892.880.885.19%
Industrial Alliance Ins & Fin Srv IncIAG38.946.086.41.944.98%
Innergex Renewable Energy IncINE17.93N/A-0.250.724.02%
Intact Financial CorpIFC128.1225.225.083.322.59%
Inter Pipeline LtdIPL8.196.251.310.485.86%
Interrent Real Estate Investment TrustIIP.UN12.613.983.170.312.46%
Intertape PolymerITP9.489.580.70.848.83%
Keyera CorpKEY13.076.312.071.9214.69%
Lassonde IndustriesLAS.A147.9814.2710.372.381.61%
Laurentian BankLB28.257.913.572.689.49%
Loblaw COL72.4824.992.91.261.74%
Magna International IncMG41.065.25.592.325.65%
Manulife FinMFC16.045.792.771.126.98%
Maple Leaf FoodsMFI24.9741.620.60.642.56%
Methanex CorpMX18.5112.971.012.0411.03%
Metro IncMRU57.7121.72.660.801.39%
Mty Food Group IncMTY17.545.693.080.744.22%
National Bank of CanadaNA50.827.816.512.845.59%
New Flyer Industries IncNFI1410.650.930.856.07%
Onex CorpONEX48.810.8142.740.400.82%
Open Text CorpOTEX48.1328.151.211.012.10%
Osisko Gold Royalties LtdOR10.67N/A-1.550.201.87%
Parkland Fuel CorpPKI24.369.552.551.224.99%
Pembina Pipeline CorpPPL24.629.622.652.439.88%
Power Corporation of Canada SvPOW20.17.942.531.798.91%
Premium Brands Holdings CorpPBH72.6931.062.342.313.18%
Quebecor Inc Cl.B SvQBR.B30.1113.882.550.802.66%
Richelieu Hardware LtdRCH21.6118.311.180.271.23%
Ritchie Bros Auctioneers IncRBA49.5125.761.361.072.16%
Royal Bank of CanadaRY82.089.1294.325.26%
Saputo IncSAP34.5722.31.550.681.97%
Savaria CorpSIS10.0218.910.530.464.59%
Secure Energy Services IncSES1.17118.330.010.2723.08%
Sleep Country Canada Holdings IncZZZ9.496.371.490.788.22%
Smartcentres Real Estate Investment TrustSRU.UN17.969.681.861.8510.30%
Stantec IncSTN36.9221.221.740.621.68%
Stella Jones IncSJ29.8212.582.370.602.01%
Summit Industrial Income REITSMU.UN8.056.31.280.546.71%
Sun Life Financial IncSLF42.439.644.42.205.19%
Suncor Energy IncSU22.9812.351.861.868.09%
Tc Energy CorpTRP60.6514.24.273.245.34%
Teck ResourcesTECK.B10.07N/A-1.080.201.99%
Telus CorpT22.2815.371.451.175.23%
Tfi International IncTFII29.187.683.631.043.56%
The North West Company IncNWC21.4313.231.621.326.16%
Thomson Reuters CorpTRI93.7921.273.112.172.31%
Toromont IndTIH59.2416.973.491.242.09%
Toronto-Dominion BankTD55.798.476.593.165.66%
Transalta Renewables IncRNW13.8620.380.680.946.78%
Transcontinental Inc Cl A SvTCL.A11.797.211.650.907.57%
Uni Select IncUNS4.54N/A-0.470.378.15%
Weston GeorgeWN101.2280.331.262.102.07%
*Data as of April 3, 2020

About The Canadian Dividend Aristocrats Index

According to the S&P, to be included in the S&P/TSX Canadian Dividend Aristocrats Index, companies must meet, among other things, the following criteria:

  1. Must be a common stock or income trust listed on the TSX and S&P Canada BMI;
  2. Increased ordinary cash dividends every year for 5 years;
  3. Minimum market capitalization of C$300 million.

About The Simply Investing Report

The Simply Investing Report is even more discriminating than Dividend Aristocrats. It analyzes more than 220 North American dividend stocks, and applies the 12 Rules of Simply Investing to each one. For our list, I’ve only included Canadian stocks from the SI Investing Report with an SI Criteria score of over 7.

Investors can sign up to receive the monthly SI Investing Report (15% off with coupon code MAPLEMONEY15). According to founder Kanwal Sarai, stocks held in the Simply Investing portfolio have gained more than 322% since 1999, compared to a total stock market return of 146% during the same period. For more information, head to Simply Investing. You can also listen to my recent interview with Kanwal on The MapleMoney Show, where he discusses the 12 Rules of Simply Investing.

How Do I Invest In Dividend Stocks?

There are a few ways in which you can invest in dividend stocks. While experienced investors may opt to purchase individual stocks for their dividend portfolio, beginner investors can achieve instant diversification through broad index based mutual funds or exchange traded funds (ETF).

There are plenty of funds available that focus specifically on dividend-paying companies. Another benefit to this passive investment strategy is that it’s highly cost-efficient. The management fees (MERs) of most index funds are well under 1.00% annually, while ETFs are even cheaper, with many charging less than .10% per year.

Dividend Investing With an Online Broker

Whether you are wanting to buy ETFs, or purchase individual dividend stocks of companies featured on our top 100 list, the way to do it is by opening a discount brokerage account. These are available from all Canadian banks, as well as a number of independent firms, like Questrade, which happens to be our top choice here at MapleMoney.

When you open an account with Questrade, you’ll benefit from free ETF purchases as well as a robust trading platform, while relative newcomer Wealthsimple Trade offers 100% free trades on ETFs and dividend stocks through their mobile trading app. For more information, check out our full Canadian discount brokerage review, updated for 2020.

Dividend Investing 2020 Summary

As you know, so far in 2020 the world has experienced unprecedented market volatility, unlike anything most of us have ever seen before. As a result, many North American dividend stocks are well undervalued, presenting long term investors with a unique buying opportunity, and making it an ideal time to embrace a dividend investing strategy. If you’re interested in dividend investing, our top 100 list offers a perfect starting point.

That said, the most important advice I can give you is to always keep a long term mindset. The stock market is never a place to invest short term savings, such as your emergency fund. However, if you have funds to invest for 10+ years, now is the time to get started with dividend investing.

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