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

coins jump into piggy bank
Dividend Stocks

The Smartest Canadian Stock to Buy With $2,000 Right Now

| Sneha Nahata

The company’s powerful combination of growth, income, and value, positions it well to deliver solid returns, making it a smart…

Read more »

A worker gives a business presentation.
Dividend Stocks

Market Dip: Opportunity or Risk This April?

| Amy Legate-Wolfe

This market dip might have investors worried, but should they be excited instead?

Read more »

Blocks conceptualizing Canada's Tax Free Savings Account
Dividend Stocks

Why I’d Add This Top TSX Dividend Stock to My TFSA During the Current Dip

| Demetris Afxentiou

The market is full of volatility right now. Fortunately, this top TSX dividend trades at a discount and pays a…

Read more »

Pile of Canadian dollar bills in various denominations
Dividend Stocks

Invest $20,000 in 2 TSX Stocks for $1,421.09 in Passive Income

| Amy Legate-Wolfe

Are you looking to bump up your passive income? Then consider these two TSX stocks.

Read more »

A plant grows from coins.
Dividend Stocks

Where I’d Invest in Canadian Value Stocks for Long-Term Compounding

| Brian Paradza, CFA

When markets plunge, Warren Buffett's wisdom shines: Get greedy when others are fearful. Canadian value stocks like Scotiabank await patient…

Read more »

analyze data
Dividend Stocks

How I’d Invest $28,000 in Canadian Natural Resource Stock to Amass Personal Wealth

| Aditya Raghunath

Investing in TSX dividend stocks such as Enbridge can help you earn a passive-income stream in 2025.

Read more »

hand stacks coins
Dividend Stocks

Got $400? How I’d Start Building Income With 3 High-Yield Stocks for the Long Term

| Sneha Nahata

These high-yield dividend stocks have a solid payout history, making them compelling investments to generate passive income.

Read more »

A close up color image of a small green plant sprouting out of a pile of Canadian dollar coins "loonies."
Dividend Stocks

I’d Put $15,000 in These 3 Dividend-Growth Champions for Increasing Income Potential

| Demetris Afxentiou

Want to offset some volatility? Here are three defensive dividend-growth champions that can generate a juicy yield right now.

Read more »

Blocks conceptualizing Canada's Tax Free Savings Account
Dividend Stocks

Transform Your TFSA Into a Cash-Creating Machine With $7,000

| Puja Tayal

Discover how the Tax-Free Savings Account can be your golden goose for generating cash without losing your investment.

Read more »

monthly desk calendar
Dividend Stocks

How I’d Invest $10,000 in Canadian Value Stocks for Monthly Dividend Income

| Kay Ng

A $10,000-diversified portfolio of value stocks focusing on dividend safety, yield, growth, and payment schedules can provide a reliable source…

Read more »

a person watches a downward arrow crash through the floor
Dividend Stocks

Is This Correction Your Chance? Top 4 Canadian Dividend Stocks on Sale

| Amy Legate-Wolfe

Stocks may be down, but now is your chance to get some of these top dividend stocks on sale.

Read more »

Confused person shrugging
Dividend Stocks

Where to Invest $2,500 in the TSX Today

| Andrew Walker

These TSX stocks offer attractive dividends and a shot at decent upside on a rebound.

Read more »

Pile of Canadian dollar bills in various denominations
Dividend Stocks

Invest $25,000 in These Dividend Stocks for $1,956.66 in Annual Passive Income

| Amy Legate-Wolfe

Dividends stocks can make a huge difference, even if shares don't move an inch. And these might be the best.

Read more »

Pile of Canadian dollar bills in various denominations
Dividend Stocks

Got $5,000? 5 Income Stocks to Buy and Hold Forever

| Sneha Nahata

These income stocks have a solid dividend-payout history that can help you earn stress-free passive income.

Read more »

grow money, wealth build
Dividend Stocks

Why I’d Invest $10,000 in This Undervalued Dividend-Growth Stock for Decades of Income

| Sneha Nahata

This undervalued dividend stock offers a high yield of over 8% and can help you earn more than $200 in…

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Dividend Stocks

Here’s Exactly How a $20,000 TFSA Could Potentially Grow to $200,000

| Andrew Button

Index funds like the iShares S&P/TSX Capped Composite Index (TSX:XIC) are tax free in a TFSA.

Read more »

Dividend Stocks

How I’d Invest $6,000 in Canadian Real Estate Stocks to Build Lasting Wealth

| Brian Paradza, CFA

Canadian REITs on sale! See how grocery-anchored retail properties offering 9% yields could turn $6,000 into lasting wealth despite US…

Read more »

rain rolls off a protective umbrella in a rainstorm
Dividend Stocks

Economic Headwinds: Should You Still Consider Buying the Dip?

| Amy Legate-Wolfe

A market dip might seem like a bumpy road, but it can be far smoother in the future with the…

Read more »

e-commerce shopping getting a package
Dividend Stocks

Consumer Spending Plays Amidst the Current Market Dip

| Amy Legate-Wolfe

Consumption may go down in market dips, but certain consumer stocks are certainly better off than others.

Read more »

Asset Management
Dividend Stocks

12% Dividend Yield! I’m Buying This TSX Stock and Holding for Decades

| Puja Tayal

Stocks with high-dividend yields carry risks. But they could be a good long-term investment. Here is a 12% dividend stock…

Read more »

Canadian flag
Dividend Stocks

How I’d Build a Foundation of Canadian Value Stocks in My Investment Strategy

| Kay Ng

Canadian investors can explore iShares Canadian Value Index ETF for value stock ideas to build a foundation for their diversified…

Read more »

Canadian dollars are printed
Dividend Stocks

How I’d Transform a $30,000 TFSA Into a Cash-Flow Machine

| Aditya Raghunath

Here's why TFSA investors should consider owning dividend stocks such as Mullen Group in 2025.

Read more »

A woman shops in a grocery store while pushing a stroller with a child
Dividend Stocks

Dip Buyers Could Win Big in Today’s Market Dip

| Amy Legate-Wolfe

If you want to buy the dip, think long-term. Which is why this TSX stock is a top option.

Read more »

gaming, tech
Dividend Stocks

3 Top Communication Services Sector Stocks for Canadian Investors in 2025

| Christopher Liew, CFA

Three communication services stocks are solid choices in 2025 if you want exposure to the rejuvenated sector.

Read more »

nugget gold
Dividend Stocks

Recession Stocks Are Back: Consider Buying the Dip This April

| Amy Legate-Wolfe

Recession stocks are back, and this one could be a solid winner.

Read more »

investor looks at volatility chart
Dividend Stocks

If You Have Cash on the Sidelines, Here’s Where to Invest in the Dip

| Kay Ng

If you have cash sitting on the sidelines, now may be the perfect time to put it to work in…

Read more »

Pumps await a car for fueling at a gas and diesel station.
Dividend Stocks

Where Will Alimentation Couche-Tard Stock Be in 3 Years?

| Chris MacDonald

Let's dive into why Alimentation Couche-Tard (TSX:ATD) remains a top value stock investors may want to consider buying and holding…

Read more »

TFSA (Tax free savings account) acronym on wooden cubes on the background of stacks of coins
Dividend Stocks

TFSA Investors: 2 High-Yield Dividend Stocks With Growing Payouts to Buy Today

| Adam Othman

Add these two TSX dividend stocks to your self-directed investment portfolio for high-yielding, reliable, and growing quarterly dividends.

Read more »

bulb idea thinking
Dividend Stocks

Market Dip Gold Mine: Smart Money Moves Now

| Amy Legate-Wolfe

A market dip can be stressful, but it can also be a smart money opportunity.

Read more »

A bull and bear face off.
Dividend Stocks

Uncovering Bear Market Bargains by Buying the Dip Now

| Amy Legate-Wolfe

A bear market can be rough, and if there's one stock to consider, it should be this one.

Read more »

An investor uses a tablet
Dividend Stocks

Don’t Wait: 3 Unfairly Punished Canadian Stocks That Smart Investors Can Buy Now

| Rajiv Nanjapla

Despite their solid financials and healthy growth prospects, the following three stocks have witnessed substantial selling in the last few…

Read more »

dividends grow over time
Dividend Stocks

Savvy Investors Seize the Moment: Why Buying the Dip Now Could Pay Off

| Amy Legate-Wolfe

Here's why investors should buy the dip.

Read more »

TFSA (Tax free savings account) acronym on wooden cubes on the background of stacks of coins
Dividend Stocks

Where to Invest Your TFSA Dollars for Monthly Income

| Christopher Liew, CFA

Canadians can invest their TFSA dollars in three outperforming dividend stocks to earn tax-free monthly income.

Read more »

Group of people network together with connected devices
Dividend Stocks

Young Investor? 4 Excellent Starter Stocks for Your TFSA

| Amy Legate-Wolfe

If you're just starting to invest, then consider these perfect starter stocks for your TFSA.

Read more »

coins jump into piggy bank
Dividend Stocks

BCE Stock Has a Nice Yield, But This Dividend Stock Looks Safer 

| Puja Tayal

BCE stock is a good long-term investment, but carries a risk of a dividend cut. If you are risk averse,…

Read more »

up arrow on wooden blocks
Dividend Stocks

TFSA: 3 Blue-Chip Stocks to Buy and Hold Forever

| Robin Brown

The recent market pullback is creating opportunities to add some solid blue-chip stocks to your TFSA. Here are three worth…

Read more »

engineer at wind farm
Dividend Stocks

A Few Years From Now, You’ll Probably Wish You’d Bought This Undervalued Stock

| Amy Legate-Wolfe

This undervalued stock offers an opportunity that comes along every so often and makes you sit up and take notice.

Read more »

ETF chart stocks
Dividend Stocks

The Best Canadian ETFs $1,000 Can Buy on the TSX Today

| Andrew Button

The BMO Canadian Dividend ETF (TSX:ZDV) gives you exposure to Canadian dividend stocks.

Read more »

Investor wonders if it's safe to buy stocks now
Dividend Stocks

Brookfield Infrastructure Partners: Buy, Sell, or Hold in 2025?

| Karen Thomas, MSc, CFA

A dividend yield of 5.85%, stable and growing cash flows, and a strong balance sheet, all favour Brookfield Infrastructure Partners.

Read more »

dividend growth for passive income
Dividend Stocks

Maximize Your TFSA With These 2 High-Growth Stocks

| Jitendra Parashar

If you're looking to supercharge your TFSA, these two Canadian growth stocks could deliver faster returns than you'd think.

Read more »