5 Dividend Growth Stocks For Your RRSP

Our Top 5 dividend growth stocks could be good for the long term

SmallCapPower | February 15, 2017: In today’s low interest rate environment, perhaps it’s best to follow a dividend growth investing strategy that would meet Warren Buffett’s approval. Today, we have identified five Canadian dividend growth stocks with strong financials that have been paying a growing dividend for at least 17+ years, with a present dividend yield of 3%+.

Win Big With Our Small Cap Picks


Enbridge Inc. (TSX: ENB) – $56.51
Oil & Gas Transportation Services

Enbridge Inc. (Enbridge) is an energy transportation and distribution company that operates through five segments: Liquids Pipelines; Gas Distribution; Gas Pipelines, Processing and Energy Services; Sponsored Investments, and Corporate. The Company operates the crude oil and liquids transportation system in Canada and the United States. The Company also has involvement in natural gas gathering, transmission and midstream businesses. It provides natural gas distribution services in Ontario, Quebec, New Brunswick and New York State. As a generator of energy, Enbridge has interests in over 2,200 megawatts (MW) of renewable and alternative energy generating capacity and is involved in holding its interests in wind, solar and geothermal power.

  • Market Cap: $40,751.15 million
  • Revenue (LTM): $25,753.83 million
  • Dividend Yield: 4.1%
  • Dividend Payout Ratio: 100.70

Fortis Inc. (TSX: FTS) – $42.01
Electric Utilities

Fortis Inc (Fortis) is a Canada-based electric and gas utility company. Its segments include Regulated Utilities and Non-Regulated Utilities. The Regulated Utilities segment includes Regulated Electric & Gas Utilities-United States, which consists of UNS Energy Corporation (UNS Energy) and Central Hudson Gas & Electric Corporation (Central Hudson); Regulated Gas Utility-Canadian, which consists of FortisBC Energy Inc. (FortisBC Energy); Regulated Electric Utilities-Canadian, which consists of FortisAlberta Inc. (FortisAlberta), FortisBC Electric and Eastern Canadian, and Regulated Electric Utilities-Caribbean, which includes its ownership interest in Caribbean Utilities Company, Ltd. (Caribbean Utilities), Fortis Turks and Caicos, and its investment in Belize Electricity Limited (Belize Electricity).

  • Market Cap: $13,110.51 million
  • Revenue (LTM): $4,886.34 million
  • Dividend Yield: 3.7%
  • Dividend Payout Ratio: 79.95

Home Capital Group Inc. (TSX: HCG) – $27.21

Home Capital Group Inc. is a Canada-based holding company, which operates primarily through its subsidiary, Home Trust Company (Home Trust). The Company, through its subsidiary, offers residential and non-residential mortgage lending, securitization of insured residential first mortgage products, consumer lending and credit card products. Home Trust also offers deposits through brokers and financial planners, and through its direct to consumer deposit brand, Oaken Financial. The Company’s subsidiary, Payment Services Interactive Gateway Inc. (PSiGate), provides payment card services.

  • Market Cap: $1,376.42 million
  • Revenue (LTM): $369.16 million
  • Dividend Yield: 3.7%
  • Dividend Payout Ratio: 26.36

Suncor Energy Inc. (TSX: SU) – $31.92
Oil & Gas Refining and Marketing

Suncor Energy Inc. (Suncor) is an integrated energy company focused on developing Canada’s petroleum resource basin, Athabasca oil sands. The Company operates in three business segments: Oil Sands, Exploration and Production (E&P), and Refining and Marketing. The Company’s Oil Sands segment includes Oil Sands operations and Oil Sands ventures operations. Its E&P segment consists of offshore operations off the east coast of Canada and in the North Sea, and onshore assets in North America, Libya and Syria. The Company’s Refining and Marketing segment is engaged in Refining and Supply, and Marketing operations.

  • Market Cap: $53,240.52 million
  • Revenue (LTM)): $20,586.25 million
  • Dividend Yield: 3.1%
  • Dividend Payout Ratio: 461.38

Thomson Reuters Corp (TSX: TRI) – $58.61
Professional Information Services

Thomson Reuters Corporation is a provider of news and information for a range of professional markets. The Company operates through three segments: Financial & Risk, Legal, and Tax & Accounting. The Financial & Risk segment is a provider of critical news, information and analytics, enabling transactions and connecting communities of trading, investment, financial and corporate professionals. The Financial & Risk segment also provides regulatory and operational risk management solutions. The Legal segment is a provider of critical online and print information, decision tools, software and services that support legal, investigation, business and government professionals across the world. The Tax & Accounting segment is a provider of integrated tax compliance and accounting information, software and services for professionals in accounting firms, corporations, law firms and government.

  • Market Cap: $32,631.98 million
  • Revenue (LTM): $11,166.00 million
  • Dividend Yield: 3.1%
  • Dividend Payout Ratio: 101.21