As the Canadian economy navigates a period of economic uncertainty with the Bank of Canada adjusting interest rates to support growth, investors are increasingly looking towards dividend stocks for stable income. In this environment, selecting dividend stocks with attractive yields can be a prudent strategy, offering potential resilience amid fluctuating market conditions.
|
Name |
Dividend Yield |
Dividend Rating |
|
Sun Life Financial (TSX:SLF) |
4.39% |
★★★★★☆ |
|
Russel Metals (TSX:RUS) |
4.16% |
★★★★★☆ |
|
Royal Bank of Canada (TSX:RY) |
3.07% |
★★★★★☆ |
|
Rogers Sugar (TSX:RSI) |
5.70% |
★★★★☆☆ |
|
Power Corporation of Canada (TSX:POW) |
4.21% |
★★★★★☆ |
|
North West (TSX:NWC) |
3.18% |
★★★★★☆ |
|
National Bank of Canada (TSX:NA) |
3.29% |
★★★★★☆ |
|
Magna International (TSX:MG) |
4.22% |
★★★★★☆ |
|
Canadian Imperial Bank of Commerce (TSX:CM) |
3.66% |
★★★★★☆ |
|
Bank of Montreal (TSX:BMO) |
3.97% |
★★★★★☆ |
Click here to see the full list of 22 stocks from our Top TSX Dividend Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Canadian Imperial Bank of Commerce is a diversified financial institution offering a wide range of financial products and services to personal, business, public sector, and institutional clients across Canada, the United States, and internationally with a market cap of CA$96.98 billion.
Operations: Canadian Imperial Bank of Commerce generates revenue through its diverse offerings of financial products and services to individual, corporate, public sector, and institutional clients in Canada, the U.S., and globally.
Dividend Yield: 3.7%
Canadian Imperial Bank of Commerce (CIBC) offers a stable dividend yield of 3.66%, with dividends reliably covered by earnings, maintaining a low payout ratio of 45.8%. The bank’s dividends have been consistent and growing over the past decade. Despite trading below its estimated fair value, CIBC continues to enhance shareholder value through share buybacks, recently completing a CAD 1.76 billion repurchase program and announcing another tranche for up to 20 million shares.
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Olympia Financial Group Inc., with a market cap of CA$314.24 million, operates in Canada as a non-deposit taking trust company through its subsidiary, Olympia Trust Company.
Operations: Olympia Financial Group Inc. generates revenue through several segments, including Investment Account Services (IAS) at CA$79.05 million, Health at CA$10.21 million, Currency and Global Payments (CGP) at CA$6.25 million, Corporate and Shareholder Services (CSS) at CA$5.10 million, Raisr at CA$1.54 million, and Corporate services at CA$0.04 million.
Dividend Yield: 5.5%
Olympia Financial Group’s dividend payments are covered by earnings and cash flows, with a payout ratio of 75% and a cash payout ratio of 76.5%. However, its dividend history is volatile, showing instability over the past decade. Recently, the company declared consistent monthly dividends of CAD 0.60 per share despite a slight decline in revenue and net income for the first half of 2025 compared to last year.
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Sun Life Financial Inc. is a financial services company offering asset management, wealth, insurance, and health solutions to individual and institutional customers across various countries, with a market cap of CA$44.82 billion.
Operations: Sun Life Financial Inc.’s revenue segments include CA$2.16 billion from Asia, CA$11.63 billion from Canada, CA$6.80 billion from Asset Management, and CA$13.85 billion from the United States (U.S.).
Dividend Yield: 4.4%
Sun Life Financial’s dividends are well-supported, with a payout ratio of 59.7% and cash payout ratio of 47.9%. The company announced a regular quarterly dividend of CAD 0.88 per share for Q3 2025, reflecting its stable dividend history over the past decade. Recent earnings showed growth, with net income rising to CAD 735 million for Q2 2025 from CAD 666 million the previous year, indicating robust financial health supporting consistent dividends.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include TSX:CM TSX:OLY and TSX:SLF.
This article was originally published by Simply Wall St.
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