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There’s no shortage of great investments to buy on the market right now. Whether for growth, income potential, or a combination of both, some of those best stocks to buy are prime candidates to buy now and hold forever.
Here’s a look at the two best stocks to buy during the last quarter of 2024 for the long term.
This is a superb stock to own
The first of the two best stocks to buy is Enbridge (TSX:ENB). For those unfamiliar with the stock, Enbridge is an energy sector behemoth. In fact, Enbridge operates the largest and most complex pipeline system on the planet.
It’s that sizable pipeline network, which includes both natural gas and crude elements, which generates the bulk of Enbridge’s reliable revenue stream. I say reliable because Enbridge’s pipeline network is responsible for hauling a whopping one-third of all North American-produced crude, as well as one-fifth of the natural gas needs of the U.S.
If that were all Enbridge offered, the company would still be viewed as one of the best stocks to buy. What puts Enbridge well over the top, however, is the company’s other segments, which add an additional layer of defensive appeal into the mix and its juicy dividend.
Those other segments include Enbridge’s growing renewable energy portfolio and its natural gas utility business. Enbridge’s natural gas business is the largest natural gas utility on the continent, providing a recurring and stable source of revenue for the company.
The renewable energy arm comprises over 40 facilities located in Europe and North America. Those facilities, which include hydro, solar and wind power, generate a reliable revenue stream backed by regulated contracts that span decades.
The growing importance of renewable energy sources has spurred Enbridge to drop over $10 billion into the segment over the past two decades.
Perhaps the main reason why investors continue to flock to Enbridge as one of the best stocks to buy is its dividend. Enbridge offers investors a tasty quarterly dividend that pays out an appetizing 6.65% yield.
This makes it one of the best-paying dividends on the market. It’s also reason enough to make Enbridge one of the best stocks to buy now and hold for decades.
How can you not buy this stock?
Another of the best stocks to buy is Bank of Montreal (TSX:BMO). Canada’s big bank stocks are almost always regarded as great options to buy, and for good reason, too.
The big banks offer juicy yields, a reliable revenue stream, and significant long-term growth potential.
In the case of BMO, the bank offers all of those and more. In addition to its mature domestic segment in Canada, BMO also boasts a growing presence in the U.S. market. The acquisition of California-based Bank of the West, which was completed last year, has been a clear growth driver for the bank.
The deal opened BMO up to 32 state markets in the U.S., adding millions of customers and billions in deposits.
Turning to income, BMO really shines. Few investors may realize this, but one of the reasons why BMO is one of the best stocks to buy right now is for its dividend. The bank has been paying out dividends without fail for nearly two centuries.
That’s longer than any other company in Canada.
As of the time of writing, the yield on BMO works out to a respectable 5.07%. This, along with its superb record of payments, makes BMO one of the best stocks to buy, if not a must-have for any well-diversified portfolio.
The best stocks to buy for your portfolio
Both Enbridge and BMO offer investors both intriguing growth potential as well as a juicy yield. They also have sizable defensive moats, which is a key factor that is often dismissed.
Both stocks also have a storied history of providing generous annual upticks to their already impressive dividends. In fact, in the case of Enbridge, the company has provided annual upticks for three decades without fail.
In my opinion, Enbridge and BMO represent some of the best stocks to buy and hold for decades right now.
Buy them, hold them, and watch your portfolio grow.
