TFSA Investors: 3 Cheap Stocks to Buy Today

TFSA investors on the hunt for discounts in the late summer should look to top cheap stocks like Laurentian Bank (TSX:LB) right now.

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The Tax-Free Savings Account (TFSA) has boasted an annual contribution limit of $6,000 since it raised the limit in January 2019. It offers a cumulative contribution limit of $81,500 for investors who have been eligible to deposit into the account since 2009. Today, I want to look at three cheap stocks that are worth snatching up in your TFSA, as we approach the midway point in September. Let’s dive in.

This dirt-cheap stock offers up a monster dividend yield right now

Corus Entertainment (TSX:CJR.B) is the first cheap stock I’d suggest for your TFSA in the middle of September. This Toronto-based media and content company operates specialty and conventional television networks and radio stations across Canada and around the world. Shares of this cheap stock have plunged 40% in 2022 as of close on September 12.

This company released its third-quarter (Q3) fiscal 2022 results on June 29. It delivered consolidated revenue growth of 8% to $433 million. Consolidated revenue rose to $1.25 billion in the year-to-date period, which was up from $1.18 billion in the prior year. However, its segment profit dipped 5% from the previous year to $123 million in Q3 FY2022.

Shares of Corus currently possess a very favourable price-to-earnings (P/E) ratio of 4.2. This cheap stock offers a quarterly dividend of $0.06 per share that you can gobble up in your TFSA. That represents a monster 8.2% yield.

Here’s a regional bank that is perfect for your TFSA

Laurentian Bank (TSX:LB) is a Montreal-based regional bank that provides various financial services to personal, business, and international customers. This bank stock has dropped 14% so far in 2022. That has made up the bulk of its losses in the year-over-year period.

Investors got to see this bank’s third-quarter fiscal 2022 earnings on August 31. The bank reported adjusted net income of $58.2 million and $1.24 per diluted share — down 2% and 1% from the previous year, respectively. However, adjusted net income in the first nine months of 2022 rose to $179 million compared to $163 million in the year-to-date period in fiscal 2021. Laurentian Bank was forced to increase its provisions for credit losses (PCL) to $16.6 million in Q3 2022. That mirrored the jump in PCL that we saw for the Big Six Canadian banks.

TFSA investors should be attracted to its solid P/E ratio of 27. Meanwhile, Laurentian offers a quarterly dividend of $0.45 per share. That represents a strong 5.1% yield.

TFSA investors: Don’t sleep on this cheap stock in the telecom space

Rogers Communications (TSX:RCI.B)(NYSE:RCI) is the third and final cheap stock I’d target for my TFSA as we approach the final days of the 2022 summer season. Shares of Rogers have dropped 9.5% in the year-to-date period. That has pushed the stock into negative territory compared to the same time in 2021.

In Q2 2022, this company delivered total revenue growth of 8% to $3.86 billion. Meanwhile, it posted adjusted net income of $463 million and $0.86 per diluted share — up 20% and 13% from the previous year, respectively. This cheap stock last had an attractive P/E ratio of 16. Moreover, Rogers offers a quarterly dividend of $0.50 per share. That represents a 3.6% yield.

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 Ambrose O'Callaghan has no position in any of the stocks mentioned. The Motley Fool recommends ROGERS COMMUNICATIONS INC. CL B NV.

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