3 Safe Stocks That Could Still Double in 5 Years

Three safe stocks that have doubled in value from 2017 could still deliver the same results in the next five years.

| More on:
protect, safe, trust

Image source: Getty Images

Stock investing isn’t without risks, but investors can reap enormous rewards by going long on their chosen equities. Many of these patient investors have even doubled their money in five years.

Today, the potential to derive the same benefit through passive investing is high. You can buy three safe stocks and hold for the long term. Their share prices are more than double or nearly double than they were in 2017.

Everything in between

Thomson Reuters (TSX:TRI)(NYSE:TRI) Thomson Reuters has been in operation since 1851 and is the leading provider of business information services worldwide. The operations of this $61.26 billion company focus on law, tax, compliance, government, and media. Management describes its team as technologists, accountants, lawyers, editors, and everything in between.

As of June 6, 2022, the share price is $175.63, or 75.57% ($50.16 per share) higher from five years ago. Thomson Reuters belongs to the TSX’s distinguished list of Dividend Aristocrats. The stock boasts a dividend-growth streak of 28 years. If you invest today, the dividend yield is 1.81%.

In Q1 2022, total revenues and operating profit increased 6% and 7% versus Q1 2021. Thomson Reuters’s president and CEO Steve Hasker, said, “The momentum we saw throughout 2021 continued to build in the first quarter of 2022, with both sales and revenue exceeding our expectations.”

Hasker added, “Our businesses are benefiting from significant prevailing tailwinds driven by a step change in the complexity of compliance in our legal, tax, and risk-related markets.” Management hopes to translate the current momentum into sustainable long-term value creation.

Price performer

Imperial Oil (TSX:IMO)(NYSE:IMO) benefits from high crude prices in 2022 and continues to outperform the broader market year to date at +55.32% versus -1.90%. The energy stock trades at $70.09 per share compared to $32.95 five years ago. Last year was a banner year for the subsidiary of American oil giant ExxonMobil.

In 2021, Imperial Oil reported a net income of $2.47 billion as against the $1.85 billion net loss in 2020. It also generated about $4.5 billion in free cash flow for the year. Its president and CEO Brad Corson said the full-year results demonstrated the strength of the integrated business model.

The $46.9 billion crude oil and natural gas producer has increased its dividend for 27 consecutive years, and the most recent increase was 26%. Imperial Oil’s current yield is 1.95%.

Low-volatility, regulated assets

Emera (TSX:EMA) is a defensive pick for the low-volatility nature of the business. The $16.46 billion regulated utility company generates, transmits, and distributes electricity to customers in Canada, the U.S. and four Caribbean countries. In Q1 2022, net income climbed 32.9% to $362 million versus Q1 2021.

Scott Balfour, Emera’s president and CEO, said, “Our regulated utilities performed well this quarter, particularly in Florida where robust economic and customer growth continue.” The share price five years ago was only $38.68. As of this writing, Emera trades at $62.57 per share and pays a hefty 4.19% dividend. 

Earn two ways

Since Thomson Reuters, Imperial Oil, and Emera are Dividend Aristocrats, your overall return should be higher. Apart from the price appreciation, there are recurring cash inflows from dividends.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool recommends EMERA INCORPORATED.

More on Dividend Stocks

ETF stands for Exchange Traded Fund
Dividend Stocks

How to Invest Your $7,000 TFSA Contribution in 2024

Here's how I would prioritize a $7,000 TFSA contribution for growth and income.

Read more »

a man relaxes with his feet on a pile of books
Dividend Stocks

CPP Pensioners: Watch for These Important Updates

The CPP is an excellent tool for retirees, but be sure to stay on top of important updates like these.

Read more »

Technology
Dividend Stocks

TFSA Investors: 3 Dividend Stocks I’d Buy and Hold Forever

These TSX dividend stocks are likely to help TFSA investors earn steady and growing passive income for decades.

Read more »

four people hold happy emoji masks
Dividend Stocks

Love Dividend Growth? Check Out These 2 Income-Boosting Stocks

National Bank of Canada (TSX:NA) and another Canadian dividend-growth stock are looking like a bargain going into December 2024.

Read more »

An investor uses a tablet
Dividend Stocks

A Dividend Giant I’d Buy Over Enbridge Stock Right Now

Enbridge stock may seem like the best of the best in terms of dividends, but honestly this one is far…

Read more »

how to save money
Dividend Stocks

Got $1,000? The 3 Best Canadian Stocks to Buy Right Now

If you're looking for some cash flow from your $1,000 investment, these are the ideal investments to make.

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Dividend Stocks

A Dividend Giant I’d Buy Over BCE Stock Right Now

Don't get sucked in by BCE's 10% dividend -- the stock is a total yield trap. Buy this instead.

Read more »

Retirees sip their morning coffee outside.
Dividend Stocks

Consider Sienna Senior Living for a Stable Monthly Income

Buying this Canadian dividend stock could help you build a dependable monthly income portfolio for the long term.

Read more »