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The TSX has a number of high-quality dividend-paying firms that pay and enhance their payouts whatever the market situations. This attribute makes these firms a dependable funding for passive-income seekers.
Nevertheless, I’ll focus right here on essentially sturdy firms with excessive dividend-growth charges. With this backdrop, let’s have a look at 5 such Canadian shares with a excessive dividend progress historical past.
goeasy
goeasy (TSX:GSY) persistently generates stellar earnings. Its rising earnings base allows this subprime lender to extend its dividend quickly. The corporate was included within the S&P/TSX Canadian Dividend Aristocrats Index in February 2020 because it elevated its dividend at a compound annual progress charge (CAGR) of 42% over the prior 5 years. Since 2020, goeasy’s dividend elevated over 113% to $0.96 in 2023.
Notably, on February 14, 2024, goeasy elevated the quarterly dividend to $1.17 per share, up 21.9% from $0.96. This marked 10 consecutive years of dividend progress.
Its capability to develop its shopper loans portfolio, massive addressable market, diversified funding sources, and geographical enlargement will seemingly enhance goeasy’s earnings. Additionally, regular credit score efficiency and enhancing working effectivity will seemingly assist its bottom-line progress and dividend funds.
Canadian Pure Sources
Like goeasy, Canadian Pure Sources (TSX:CNQ) is legendary for its excessive dividend progress charge. This oil and fuel firm has a monitor report of 24 consecutive years of dividend will increase. Its dividend elevated by 21% yearly throughout the identical interval.
In 2023, Canadian Pure Sources introduced d two separate will increase to its quarterly dividend, for a mixed enhance of 18% to $1 per share. Additional, in February of 2024, the vitality large introduced a further 5% enhance to the quarterly dividend to $1.05 per share, or $4.20 yearly.
Canadian Pure Sources’s long-life belongings, high-value reserves, sturdy steadiness sheet, and low upkeep capital necessities place it properly to generate stable earnings. Furthermore, the corporate’s backside line will profit from its tight management over prices, which is able to drive future payouts.
Cogeco Communications
Traders may take into account Cogeco Communications (TSX:CCA) inventory, which has a formidable dividend fee historical past. This telecom and web providers supplier has elevated its dividend at a CAGR of over 10% prior to now decade. In November 2023, Cogeco raised its dividend by 10.1%. Furthermore, it presents a excessive yield of over 6%.
The corporate’s resilient enterprise mannequin provides stability and helps its income and money flows. Furthermore, its rising scale and operational effectivity augur properly for future earnings and money flows. Cogeco stands to realize from its concentrate on increasing its fibre-to-the-home choices and the acquisition of complementary broadband companies. Moreover, its technique to introduce and develop cellular providers within the U.S. and Canada will seemingly broaden its market attain, bolster its earnings, and maintain its dividend payouts.
Telus
Traders may take into account Telus (TSX:T) inventory as properly. The corporate persistently will increase its dividend by means of its multi-year dividend-growth program. Since 2004, Telus has distributed round $20 billion to its shareholders by way of dividends. Furthermore, the corporate has raised its dividend for 25 consecutive years.
Its capability to develop its buyer base and enhance working prices helps it enhance its earnings and money flows, which is able to assist increased dividend funds. Additional, Telus will seemingly profit from the enlargement of its 5G providers. It expects to develop its dividend by 7-10% by means of 2025 and presents a yield of over 6%.
Brookfield Renewable Companions
Brookfield Renewable Companions (TSX:BEP.UN) is a compelling inventory within the renewable vitality sector recognized for elevating its dividend at a better charge. Traders ought to word that Brookfield Renewable elevated its dividend at a CAGR of 6% between 2012 and 2023. Additional, the corporate expects to develop its dividend by 5-9% yearly within the upcoming years. Brookfield additionally presents a compelling yield of about 6%.
Its extremely contracted portfolio allows it to generate stable financials and provide increased dividend funds. Additional, its extremely diversified belongings base, rising capability, and stable developmental pipeline place it properly to capitalize on clear vitality demand and return increased money to its shareholders.
