Motley Fool Premium
  1. Category
    2. /
  2. Investing
    3. /
  3. Dividend Stocks
    4. /

Dividend Stocks

What are dividend stocks?

Dividend stocks are stocks that send you a sum of money (usually quarterly, but sometimes annually) simply for owning shares in the company.

To be clear, this money isn’t a capital gain, which you earn when share prices go up or when you sell the stock for profit. A dividend is more like a “bonus” that comes to you in the form of cash or more shares in the company’s stock.

Which companies have dividend stocks?

It’s important to note that not all companies pay out dividends. Dividend-paying companies are usually older, more established corporations that have a long track history of positive growth and expansion.

Usually when a company earns more money than it can reinvest in itself, it creates a dividend paying policy for shareholders. For that reason, you’ll rarely see growth companies, small caps, or start-ups issue dividends.

In Canada, some top dividend stocks include:

More information about dividend stocks in Canada:

To learn more about Dividend Stocks, take a look at our Guide to Dividend Investing for all the details.

Check back here for the most up to date information about dividend stocks in Canada.

Top Articles

A plant grows from coins.
Dividend Stocks

3 TSX Dividend Stocks That Could Pay You Forever

| Jed Lloren

Are you interested in dividend stocks? These three picks could pay you forever!

Read more »

Dividend Stocks

Enbridge Is a High-Yielding Canadian Dividend Stock to Buy Now and Own Forever

| Demetris Afxentiou

Are you looking for a high-yielding Canadian dividend stock to buy? Enbridge (TSX:ENB) has plenty to offer investors.

Read more »

Dividend Stocks

TFSA Investors: Why You Should Invest Your Room ASAP With These 3 Stocks

| Adam Othman

Choosing the right TFSA stocks for your portfolio might take some time. But with the right choices, you can stick…

Read more »

Dividend Stocks

How to Generate $500 in Passive Income Each Month

| Puja Tayal

Instead of letting the stock market control your earnings, take control. Earn stable passive income with this strategy.

Read more »

Dividend Stocks

Need Passive Income? Turn $5,000 Into $23.85 Every Month

| Amy Legate-Wolfe

If you're looking for passive income that comes in like a paycheque, this dividend stock provides that to you along…

Read more »

Dividend Stocks

TFSA Investors: Park These 2 TSX Stocks Before They Soar

| Adam Othman

Consider investing in these two Canadian stocks if you’re looking for assets to buy, hold, and park in a self-directed…

Read more »

A worker uses a double monitor computer screen in an office.
Dividend Stocks

This TSX Stock Is Super Cheap and Pays a Monster Dividend

| Puja Tayal

The bear market has created an opportunity to make short-term gains and lock in high dividends by buying this TSX…

Read more »

Dividend Stocks

3 Growth Stocks You Can Buy Right Now with Less Than $100

| Christopher Liew, CFA

Capital of less than $100 is enough to buy one of these three promising growth stocks that don't belong to…

Read more »

Recent Dividend Stocks News

Dividend Stocks

Inauguration Day: 1 Top Canadian Stock to Buy in Celebration

| Victoria Hetherington

Find out why a top TSX stock like Algonquin Power & Utilities (TSX:AQN)(NYSE:AQN) could be a stronger income pick today.

Read more »

Dividend Stocks

TFSA Investors: How to Turn $6,000 Into $150,000 and Never Pay Tax

| Andrew Walker

Canadian investors are using the TFSA to create significant wealth for retirement. Here's a strategy to set you up for…

Read more »

Personal Finance

Warren Buffett Warns: Market Is on the Verge of a Terrible Crash

| Jitendra Parashar

It might take many years for anyone to understand Warren Buffett’s investment strategy. But in a nutshell, he believes in…

Read more »

close-up photo of investor Warren Buffett
Dividend Stocks

Warren Buffett Isn’t Buying Much, But He Shockingly Bought This 1 TSX Stock

| Adam Othman

Warren Buffett didn't put his company's enormous cash position to good use after the market crash, but he did make…

Read more »

Dividend Stocks

CRA: TFSA and RRSP Have 2 Big Updates in 2021

| Adam Othman

Meeting your saving and investment goals should be part of your new year’s resolution. This also requires you to be…

Read more »

Dividend Stocks

Wait for a Market Crash: Buy and Get Rich in 2021

| Christopher Liew, CFA

The TSX is off to a good start in 2021, although a market crash remains a possibility given the worsening…

Read more »

Dividend Stocks

Can You Retire With NO SAVINGS and Your OAS and CPP Pension?

| Christopher Liew, CFA

It’s a gamble if you were to retire with no savings and only the OAS and CPP as income sources.…

Read more »

Dividend Stocks

3 Dividend Aristocrats To Buy and Hold for 30 Years

| Adam Othman

Dividend aristocrats can be a great source of reliable passive income as well as dependable long-term holdings. Some aristocrats can…

Read more »

Dividend Stocks

Canada Revenue Agency: When Should You Start Your CPP Pension in 2021?

| Adam Othman

If you’ve turned 65 and you want to start your CPP pension, you would have to wait till the last…

Read more »

Dividend Stocks

The 2 Best High-Yield Stocks for Canadians to Buy Right Now

| Joey Frenette

SmartCentres REIT (TSX:SRU.UN) and TC Energy Corp. (TSX:TRP)(NYSE:TRP) are two high-yield stocks that passive-income-savvy Canadians should buy.

Read more »

Dividend Stocks

CRA 2020 Tax Breaks: Working From Home Can Get You a $400 Tax Deduction

| Puja Tayal

For the 2020 tax year, the CRA introduced a new $400 temporary tax deduction for all Canadians who worked from…

Read more »

Energy Stocks

Forget a Stock Market Crash: Here Are 2 Top Recovery Bets for 2021

| Sneha Nahata

Economic expansion in 2021 and recovery in demand is likely to boost TSX stocks.

Read more »

Dividend Stocks

Stock Market Crash: When Will it Hit? How Bad Could it Be?

| Joey Frenette

A 2021 stock market crash shouldn't be ruled out by Canadian investors who fear that pricy stocks may be the…

Read more »

Dividend Stocks

CRA Changes: 2 Big Updates to Your 2021 Paychecks

| Christopher Liew, CFA

The increase in CPP contribution rate and BPA are the significant changes the CRA has in store for Canadians in…

Read more »

Dividend Stocks

2 Top Canadian Stocks to Buy in 2021

| Kay Ng

Buy these top Canadian stocks before they run up in the new year!

Read more »

Bank Stocks

The 3 Best Canadian Bank Stocks I’d Buy Right Now for 2021

| Sneha Nahata

Canadian bank stocks are looking attractive, as the economy is expected to expand in 2021.

Read more »

Dividend Stocks

The 3 Best Canadian Dividend Stocks You Can Buy Under $30

| Sneha Nahata

These under-$30 stocks offer high yields and have resilient businesses.

Read more »

Dividend Stocks

What’s Next for TC Energy’s Lingering Keystone XL Project?

| Vineet Kulkarni

It’s been more than a decade since the historic Keystone XL pipeline project was launched. It is still uncertain with…

Read more »

Dividend Stocks

How to Get to $826K in Your RRSP

| Kay Ng

Here's how you can turn your RRSP into a $826,000 retirement fund!

Read more »

Dividend Stocks

1 Good Reason for TSX Investors to Buy BCE Stock Today

| Victoria Hetherington

BCE (TSX:BCE)(NYSE:BCE) has a range of quality indicators under its belt. But why else should Canadians buy this top stock?

Read more »

Dividend Stocks

Canada Pension Plan: 1 Massive Change for 2021!

| Christopher Liew, CFA

The contribution limit is increasing, and it should be one massive change for the CPP in 2021. Despite higher pension…

Read more »

Dividend Stocks

Want to Work From Home? So Do 80% of Canadians

| Adam Othman

Working from home has been a positive experience for most Canadians, and a significant majority of them wants to continue…

Read more »

close-up photo of investor Warren Buffett
Dividend Stocks

Warren Buffett: Can He Prove His Haters Wrong?

| Christopher Liew, CFA

Warren Buffett could redeem his tainted image in 2021 as the U.S. economy recovers. Restaurant Brands International stock, which he…

Read more »

Dividend Stocks

Top TSX Stock for January: The $40 Billion Company No One’s Heard of!

| Chris MacDonald

This is the top TSX stock I'd recommend every investor consider right now, given the growth one can receive at…

Read more »

Dividend Stocks

2 TSX Alternatives to Bitcoin

| Adam Othman

Bitcoin is the new investment craze, but it comes with considerable risk, especially if you don’t understand the cryptocurrency market.

Read more »

Dividend Stocks

CRA 2021: Don’t Forget to Claim the $500 Digital News Tax Credit!

| Christopher Liew, CFA

DNSTC is a financial incentive for taxpayers to save Canadian medial organizations from financial dislocation. To offset the qualifying digital…

Read more »

Dividend Stocks

3 Top Stocks to Build TFSA Wealth

| Andrew Walker

Top stocks deliver great returns for long-term investors. Here are three TSX leaders that deserve to be on your TFSA…

Read more »

Dividend Stocks

Enbridge (TSX:ENB) Stock: Should You Panic After Biden’s Keystone XL Bombshell?

| Andrew Button

Enbridge Inc (TSX:ENB)(NYSE:ENB) is much beloved by dividend investors because of its 7.5% yield, but now that's coming under fire.

Read more »

Dividend Stocks

Canada Revenue Agency: 2 Huge Changes to Your TFSA for 2021

| Adam Othman

The additional TFSA contribution room can let you add more income-generating assets like the Bank of Montreal to your portfolio…

Read more »

Dividend Stocks

This Canadian Stock Could Be the Next Tesla (NASDAQ:TSLA)

| Andrew Button

Telsa (NASDAQ:TSLA) is perhaps the hottest stock in the world... And Magna International (TSX:MG) is the closest thing Canada has…

Read more »

Dividend Stocks

3 TSX Stocks That Are Good to Buy No Matter What

| Adam Othman

BCE, Fortis, and TransAlta Renewables could be excellent long-term stock picks for your investment portfolio regardless of the stock market…

Read more »

Dividend Stocks

Warren Buffett: Don’t Panic. It’s Only a Market Crash

| Andrew Button

Warren Buffett is famous for holding on during market crashes. In 2020, he did that with Suncor Energy (TSX:SU)(NYSE:SU) stock.

Read more »

Dividend Stocks

CRA 2021 Changes: Did You Travel Abroad? No CRB, CRSB, or CRCB for You

| Puja Tayal

The CRA has recently added a new requirement for the CRB, CRSB, and CRCB. You won’t get these benefits if…

Read more »

Dividend Stocks

2 TFSA-Worthy Dividend Stocks I’d Buy With $6,000

| Joey Frenette

TD Bank (TSX:TD)(NYSE:TD) and another blue-chip dividend stock that ought to be at the top of TFSA investors' shopping lists…

Read more »

Dividend Stocks

2021: The 2 Best Canadian Stocks to Buy Right Now

| Sneha Nahata

The expected economic rebound and improvement in demand could drive TSX stocks higher in 2021.

Read more »

Dividend Stocks

CPP Pension Users: 1 Crucial Change in 2021 That Might Affect Your Paycheck

| Christopher Liew, CFA

CPP users can expect a crucial change in 2021 as the third of five enhancements take effect. For pensioners looking…

Read more »

Dividend Stocks

2 Top TSX Stocks I’d Put in My RRSP and Leave Them There Forever

| Chris MacDonald

These Top TSX Stocks deserve a spot in every investor's RRSP. With the RRSP investing deadline coming up, now is…

Read more »

Dividend Stocks

2 Dividend Heavyweights to Buy and Hold for 20 Years

| Joey Frenette

BCE Inc. (TSX:BCE)(NYSE:BCE) and Enbridge Inc. (TSX:ENB)(NYSE:ENB) are some of the timelier dividend heavyweights on the TSX today.

Read more »

Dividend Stocks

Scotiabank (TSX:BNS): A Dividend King That’s Way Too Cheap

| Joey Frenette

Scotiabank (TSX:BNS)(NYSE:BNS) looks to be one of the better bargains in the Canadian banking scene after a brutal pandemic-plagued year.

Read more »

close-up photo of investor Warren Buffett
Dividend Stocks

Warren Buffett Doesn’t Believe in Hedge Funds

| Adam Othman

Consider investing in Brookfield Renewable Partners to capitalize on its long-term potential in a growing industry, so you can align…

Read more »