3 Ultra-High-Yielding TSX Stocks to Buy With $1,000

Are you looking for TSX dividend stocks to add to your portfolio? Here are three high-yielding picks!

| More on:

By investing in dividend stocks, investors could build up a solid source of passive income. Over time, those dividends could grow large enough to heavily supplement or even replace your primary source of income (e.g., the income you receive at work). By investing in dividend stocks with a higher yield, you could accelerate your dividend returns.

In this article, I’ll discuss three ultra-high-yielding dividend TSX stocks investors should buy with $1,000.

Invest in this top bank

Bank of Nova Scotia (TSX:BNS) is the first stock that investors should consider buying today. This company is one of the Big Five — the group of banks which lead the Canadian banking industry. While many of its peers have focused heavily on its North American operations, Bank of Nova Scotia has decided to commit a lot of resources to its international expansion. That’s the first reason why I think this company stands out.

The second reason, and the focus of this article, is its strong dividend. This company has paid its shareholders a dividend in each of the past 189 years. Today, the stock offers a forward dividend yield of 5.87%. By investing $1,000 into this stock, investors could get $14.42 on a quarterly basis (or just under $58 a year). Obviously, you’d need a lot more invested to generate any sustainable source of passive income. However, this stock could help get you on the right track.

This massive company should be in your portfolio

Investors should also consider buying shares of Telus (TSX:T). This company operates the largest telecom network in Canada. It’s estimated that Telus’s coverage network accounts for 99% of the Canadian population. In addition to its telecom services, Telus has established itself as a leading player within the healthcare space. It offers a suite of personal and professional services, including MyCare. This is the company’s entry into the exciting telehealth industry.

Listed as a Canadian Dividend Aristocrat, Telus has managed to increase its dividend in each of the past 17 years. More impressively, this company boasts an impressive forward dividend yield of 4.84%. A $1,000 investment in Telus stock would generate a quarterly dividend of $11.94. On an annual basis, that dividend would be nearly $48.

A solid utility stock

Finally, investors should consider investing in utility companies. These businesses are very good dividend stocks, because they tend to receive revenue on a recurring basis. That provides utility companies with a very stable source of revenue to work with, compared to companies that rely on large one-time payments. By leaning on that recurring source of revenue, utility companies have more freedom to increase and sustain dividends.

Emera (TSX:EMA) is a great dividend stock, which has managed to increase its distribution in each of the past 14 years. As of this writing, Emera stock offers investors a forward dividend yield of 5.38%. A $1,000 investment would yield $13.11 on a quarterly basis, or $52.44 annually. If investors were to invest greater sums of money into this stock, then it’s easy to see how that could add up very quickly.

COMPANYRECENT PRICENUMBER OF SHARESDIVIDENDTOTAL PAYOUTFREQUENCY
Bank of Nova Scotia $70.7614$1.03$14.42Quarterly
Telus$28.7734$0.3511$11.94Quarterly
Emera$51.3419$0.69$13.11Quarterly
Prices as of November 23, 2022.

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 Jed Lloren has positions in BANK OF NOVA SCOTIA. The Motley Fool recommends BANK OF NOVA SCOTIA and EMERA INCORPORATED. The Motley Fool has a disclosure policy.

More on Dividend Stocks

ETF stands for Exchange Traded Fund
Dividend Stocks

How to Earn $2,000 in Passive Income in 2025 With Less Than $51,000 in Savings

You can invest in Canadian high yield stocks via the Vanguard FTSE Canadian High Yield Dividend ETF (TSX:VDY).

Read more »

monthly desk calendar
Dividend Stocks

This 7.8% Dividend Stock Pays Out Every Month

Not all monthly dividend stocks are created equal. And this top stock is certainly a strong choice for passive income.

Read more »

A worker gives a business presentation.
Dividend Stocks

Is TMX Group Stock a Buy, Sell, or Hold for 2025?

TMX Group (TSX:X) stock has been a consistent wealth-builder, generating 4,630% in total returns since 2002. Should you buy, sell,…

Read more »

Man data analyze
Dividend Stocks

2 Deeply Undervalued Dividend Stocks to Buy in November

Here are two stocks that I view as deeply undervalued this November.

Read more »

Dividend Stocks

The 2 Best Canadian Blue-Chip Stocks to Buy Now

Blue-chip stocks can be some of the best stocks to have in any portfolio. But when they're trending upwards, investors…

Read more »

Canadian dollars in a magnifying glass
Dividend Stocks

Here Are My Top 3 Dividend Stocks to Buy Now

These top dividends stocks have consistently paid and increased their dividends. Further, this trend will continue.

Read more »

dividends can compound over time
Dividend Stocks

Want a 7% Yield? The 3 TSX Stocks to Buy Today

These TSX stocks are offering high yields of over 7%, making them attractive for investors seeking steady passive income.

Read more »

how to save money
Dividend Stocks

The Smartest Dividend Stocks to Buy With $200 Right Now

These smartest dividend stocks can consistently pay and increase their dividends in the coming years, irrespective of the macro uncertainty.

Read more »