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

Canada Revenue Agency: Earn $18/Day in Tax-Free Dividend Income for a Lifetime

| Puja Tayal

The CRA allows you to plan your taxes and investments simultaneously. How you can earn $18/day in tax-free dividend income. 

Read more »

Dividend Stocks

Is Warren Buffett Bullish on Suncor (TSX:SU) Stock?

| Aditya Raghunath

Warren Buffett increased his stake in Suncor Energy (TSX:SU) stock in Q2.

Read more »

Dividend Stocks

Warren Buffett: 2 Recent Investments That Shocked Canadians

| Christopher Liew, CFA

Canadians found it shocking when Warren Buffett exited from the Restaurant Brands International stock and took a position in gold…

Read more »

close-up photo of investor Warren Buffett
Dividend Stocks

Warren Buffett: How to Prepare for a Market Crash

| Kay Ng

Here's how Warren Buffett prepares for a market crash. He's ready any time. Are you?

Read more »

Dividend Stocks

2 Dogs of the TSX That Could Have a MASSIVE 2021!

| Joey Frenette

Canadian Natural Resources Ltd. (TSX:CNQ)(NYSE:CNQ), and Laurentian Bank (TSX:LB) could be ready to soar in 2021 after a brutal 2020.

Read more »

Dividend Stocks

Got $2,000 to Invest in Your TFSA? Here’s 1 Dirt-Cheap TSX Stock to Buy Right Now

| Joey Frenette

Fortis Inc. (TSX:FTS)(NYSE:FTS) is a wonderful bond proxy that cautious TFSA investors should buy on the recent bout of weakness.

Read more »

Dividend Stocks

CRA: How to Generate $12,000 in Tax-Free Passive TFSA Income

| Joey Frenette

Enbridge Inc. (TSX:ENB)(NYSE:ENB) and another stock that can allow TFSA investors who hate Canada Revenue Agency taxes to safely raise…

Read more »

Dividend Stocks

CRA Alert: These CPP Changes Will Cost You in 2021

| Andrew Button

CPP changes will increase your tax bill next year, but you can offset higher taxes by holding dividend stocks like…

Read more »

Dividend Stocks

CRA: How to Pay Absolutely Zero in Taxes

| Adam Othman

One of the best ways to pay nothing in taxes on your major purchases and payouts is to leverage the…

Read more »

Dividend Stocks

Market Crash 2021: Stash Your Cash Safely With These 2 Dividend Stocks

| Adam Othman

Invest in BCE and Fortis Inc. to prepare your portfolio from the effects of another market crash and earn reliable…

Read more »

Dividend Stocks

Millennials Moving Back Home: Make More Income With Your Savings

| Kay Ng

Millennials are moving back to live with their parents in herds this year, allowing them to save more money. Here's…

Read more »

Dividend Stocks

Dollarama Inc (TSX:DOL) Stock: Grab Bigger Dividends in 2021

| Andrew Button

Dollarama Inc (TSX:DOL) just recently hiked its dividend. Here's what that means for investors.

Read more »

close-up photo of investor Warren Buffett
Dividend Stocks

Warren Buffett: 1 Huge Mistake That Could Ruin Your Career

| Adam Othman

Consider investing in Toronto-Dominion Bank to align your investment strategy with this crucial career advice from the Oracle of Omaha…

Read more »

Dividend Stocks

This Big Bank Sees Housing Prices Taking a Big Hit in 2021

| Adam Othman

National Bank of Canada predicts a housing price decline in 2021, and you might want to make preparations for a…

Read more »

Dividend Stocks

Earn Income on Your $6,000 TFSA That’s Untouchable by the CRA

| Adam Othman

Invest in Hydro One and store it in your TFSA to use the additional contribution room for dividend income that…

Read more »

Dividend Stocks

2 Top Renewable Energy Stocks to Buy Right Now

| Sneha Nahata

With strong sectoral tailwinds and robust dividend payouts, renewable stocks could continue to deliver strong returns, handily outperform the broader…

Read more »

Dividend Stocks

How to Make Passive Income and Owe Zilch to the CRA

| Joey Frenette

Many bruised retail, office, and diversified REITs are worth stashing in your TFSA if you're looking for big gains and…

Read more »

Dividend Stocks

Canada Revenue Agency: How TFSA Users Can Turn Their Next $6,000 Contribution Into $18,000

| Joey Frenette

BMO Covered Call Utilities ETF (TSX:ZWU) beats savings for TFSA investors looking to shelter gains and income from the Canada…

Read more »

Dividend Stocks

CPP Increase Might Be Painful — But Could Help a Lot of People

| Adam Othman

Invest in Fortis to create another retirement fund as you learn about the CPP increase and its long-term effects on…

Read more »

Dividend Stocks

Toronto-Dominion Bank (TSX:TD) Stock: Buy it Before it Dominates the U.S.

| Andrew Button

If you're looking for a great dividend play, consider Toronto-Dominion Bank (TSX:TD) stock.

Read more »

Dividend Stocks

Market Crash: These 2 Stocks Can Protect Your Money

| Ryan Vanzo

If you're worried that another market crash is on the way, hide your money in reliable stocks like Canadian Utilities…

Read more »

Dividend Stocks

Your Reserve Will Grow This Big by Investing Just $500 a Month

| Vineet Kulkarni

Staying invested for the longer-term plays a major role, which increases the potential for higher returns and bigger fortune.

Read more »

Dividend Stocks

Got $3,000? 3 Top TSX Stocks to Buy Today

| Vineet Kulkarni

If you are sitting on excess cash, consider these TSX stocks for decent returns going into 2021 and beyond.

Read more »

Dividend Stocks

Canada Revenue Agency: Free Your $2,000/Month CERB, CRB From CRA’s Claws

| Puja Tayal

The CRA is giving taxable cash benefits of $2,000/month. Here’s how you can save tax on these benefits and make…

Read more »

Dividend Stocks

Big CPP Changes in 2021: Know How It Will Reduce Your Paycheck

| Puja Tayal

Service Canada has increased the Canada Pension Plan contribution rate to 5.45%. Know what this CPP change means for your…

Read more »

Dividend Stocks

Got $1,000? 3 TSX Small-Cap Stocks That Could Double

| Sneha Nahata

The small-cap companies are delivering strong growth and have the potential to double in the medium term.

Read more »

Dividend Stocks

Canada Pension Plan: Here’s How You Can Increase Your CPP Payout by 42%

| Christopher Liew, CFA

Taking the CPP until 70 is more advantageous from a cash flow and savings perspective. Since building a nest egg…

Read more »

Dividend Stocks

Canada Revenue Agency: 3 Helpful Tax Deductions You Might Have Missed in 2020

| Christopher Liew, CFA

Another tax season is coming soon. Canadian taxpayers shouldn’t miss out on three tax deductions that are helpful to reduce…

Read more »

Dividend Stocks

A Market Crash Could Wipe Out 30% of Your TFSA: Here’s How to Prepare

| Christopher Liew, CFA

TFSA users must be ready for anything, including a market that could wipe out 30% of the account's value. Add…

Read more »

Dividend Stocks

REITs Are Vulnerable: Riocan (TSX:REI.UN) Slashes Dividends by 33%

| Christopher Liew, CFA

Despite the “no dividend cut” promise in May 2020, the RioCan stock’s dividend will reduce by 33% effective January 2021.…

Read more »

Dividend Stocks

Is Warren Buffett Watching Bargains in Canada?

| Joey Frenette

Suncor Energy Inc. (TSX:SU)(NYSE:SU) is one of Warren Buffett's most unloved stocks that he may be looking to buy more…

Read more »

Dividend Stocks

Beware: These 3 COVID-19 Scams Could Bite You, CRA Says

| Andrew Button

Instead of giving your money to COVID scammers, invest it in index funds like the iShares S&P/TSX 60 Index Fund…

Read more »

Dividend Stocks

Warren Buffett: Invest ALL of Your Money in This

| Andrew Button

Warren Buffett recommends that you invest in index funds like the iShares S&P/TSX 60 Index Fund (TSX:XIU).

Read more »

Dividend Stocks

CRA: You Can Claim the $1,984 Basic Personal Amount Tax Credit in 2021

| Aditya Raghunath

The Canada Revenue Agency allows you to reduce your tax bill by almost $2,000 via the Basic Personal Amount.

Read more »

Dividend Stocks

This Stock Should Be the Cornerstone of Every Portfolio

| Chris MacDonald

Looking for a key cornerstone investment for your portfolio? You can't go wrong with Enbridge Inc. (TSX:ENB)(NYSE:ENB)

Read more »

Dividend Stocks

$10,000 Invested in Enbridge (TSX:ENB) at the Start of 2020 Is Worth This Much Today

| Aditya Raghunath

While Enbridge (TSX:ENB) has underperformed the markets in 2020, it remains a solid long-term bet given an attractive forward yield…

Read more »

Energy Stocks

Energy Stock Merger With Dividend Increase: All You Need to Know

| Kay Ng

Here’s all you need to know about the Whitecap-NAL-TORC merger. Should you buy into it?

Read more »

Dividend Stocks

The CRA Increased the TFSA Contribution Limit for 2021: Top Stocks to Buy

| Karen Thomas, MSc, CFA

As the CRA increases the 2021 TFSA limit to $75,500, Fortis, Canadian Natural Resources, and Northwest Healthcare are top stocks…

Read more »

Dividend Stocks

CRA: Earn $1,459/Month TFSA Income the CRA Can’t Touch

| Amy Legate-Wolfe

If you're looking for a tax free way to bring in passive income, it's simple! You can make over a…

Read more »

Tech Stocks

December IPOs: Is it Too Late to Buy Growth Stocks?

| Victoria Hetherington

DoorDash (NYSE:DASH) is looking like a strong contender for December upside. But has the IPO come too late to be…

Read more »