3 Top TSX Dividend Stocks With Yields Up To 8.9%
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The Canadian market has stayed flat over the past 7 days but is up 19% over the past year, with earnings expected to grow by 15% per annum in the coming years. In this environment, dividend stocks that offer substantial yields can be an attractive option for investors seeking steady income and potential growth.
Top 10 Dividend Stocks In Canada
| Name | Dividend Yield | Dividend Rating |
| Whitecap Resources (TSX:WCP) | 6.96% | ★★★★★★ |
| Secure Energy Services (TSX:SES) | 3.34% | ★★★★★☆ |
| Labrador Iron Ore Royalty (TSX:LIF) | 8.31% | ★★★★★☆ |
| Power Corporation of Canada (TSX:POW) | 5.28% | ★★★★★☆ |
| Enghouse Systems (TSX:ENGH) | 3.24% | ★★★★★☆ |
| Canadian Natural Resources (TSX:CNQ) | 4.64% | ★★★★★☆ |
| Royal Bank of Canada (TSX:RY) | 3.44% | ★★★★★☆ |
| Firm Capital Mortgage Investment (TSX:FC) | 8.49% | ★★★★★☆ |
| Sun Life Financial (TSX:SLF) | 4.22% | ★★★★★☆ |
| Russel Metals (TSX:RUS) | 4.18% | ★★★★★☆ |
Click here to see the full list of 31 stocks from our Top TSX Dividend Stocks screener.
Underneath we present a selection of stocks filtered out by our screen.
Enghouse Systems
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Enghouse Systems Limited, with a market cap of CA$1.78 billion, develops enterprise software solutions globally through its subsidiaries.
Operations: Enghouse Systems Limited generates revenue from two main segments: CA$187.17 million from the Asset Management Group and CA$312.77 million from the Interactive Management Group.
Dividend Yield: 3.2%
Enghouse Systems reported a strong Q3 2024 with revenue of C$130.5 million and net income of C$20.58 million, reflecting growth from the previous year. The company affirmed its quarterly dividend of C$0.26 per share, maintaining a stable and reliable dividend history over the past decade. Trading at 48% below its estimated fair value, Enghouse offers good relative value with a sustainable payout ratio (66%) and well-covered dividends by cash flows (45%).
Peyto Exploration & Development
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Peyto Exploration & Development Corp. is an energy company focused on the exploration, development, and production of natural gas, oil, and natural gas liquids in Alberta's Deep Basin, with a market cap of CA$2.89 billion.
Operations: Peyto Exploration & Development Corp. generates CA$901.99 million from its oil and gas exploration and production activities.
Dividend Yield: 8.9%
Peyto Exploration & Development confirmed monthly dividends of C$0.11 per share for July, August, and September 2024. Despite a high dividend yield (8.94%), the payouts are not well-covered by free cash flows (113.4% cash payout ratio). Recent earnings showed revenue growth to C$256.55 million in Q2 2024, but net income declined to C$51.44 million from the previous year. The company has a high debt level and its dividend payments have been volatile over the past decade.