What’s up guys, it’s wiz.
Welcome back to the channel. If you are new, I am a Canadian investor. I cover a whole lot of information about investing in Canada and do research into our Canadian market. I dive into growth investing, dividend investing and Canadian small caps / penny stocks. Today I will be going over some Canadian dividend stocks, specifically 3 high dividend financial stocks. The TSX financial sector has some great high-yield stocks to buy. For new investors, you need to join Wealthsimple Trade if you are looking to start investing and live in Canada. If you use my link in the description to join Wealthsimple, you get 2 free stocks worth up to 4500$ so do not miss out.
Dividend investing can be very lucrative in Canada. Our leading industries comprise many safe, reliable, blue-chip companies that have paid some of the most consistent and high-yielding dividends throughout the last 20 years. Not all dividend companies are equal, though. Some companies have a consistent history of increasing dividends and maintaining payouts. Others are known for their exceptionally high yields. Today, we’ll be focusing on 3 companies that have high and reliable dividend yields from the financial sector.
Let’s start off with Canadian Imperial Bank of Commerce (ticker symbol CM). As one of Canada’s “Big Six” banks, Canadian Imperial Bank of Commerce offers a great combination of a solid balance sheet, good management, and attractive valuation ratios. The stock has a great history of beating earnings estimates and delivering on forecasts and guidance. In terms of dividends, CM currently pays $2.59 per share for a yield of 4.63%. This is very high compared to the overall TSX, and even the rest of the financial sector The payout ratio is 43.52%, which is sustainable. The stock goes ex-dividend on June 27, so buy before then if you want the payout.
Next, we have SunLife Financial (ticker symbol SLF). As one of Canada’s three leading life insurance companies, Sun Life Financial occupies an important role in the financial sector. The company has matured into an industry mainstay, showing strong margins and a large amount of cash on the balance sheet. In terms of dividends, SLF currently pays $1.11 per share for a yield of 5.25%. Historically, SLF has always paid strong dividends, with a five-year average yield of 5.08%. The stock recently went ex-dividend on May 31, so investors buying now will have to wait until the next quarter for a payout.
To end off here, we have Power Corporation of Canada (ticker symbol POW). Power Corporation of Canada can be thought of as a diversified holding company, with controlling interests in investment management, brokerages, life insurance, and wealth management, along with a portfolio of other businesses across various industries. Thanks to its strong cash-generating portfolio, POW pays a high dividend of $1.98 per share for a great yield of 5.37% and a strong five-year average yield of 5.25%. The stock goes ex-dividend on June 29, so consider buying before then if you want to snag the upcoming dividend.
Hope you guys enjoyed this overlook of these 3 Canadian financial stocks. Please watch my previous videos on Canadian stock recommendations and let me know of any Canadian stocks you want me to look into and give my opinion on. Let me know in the comments, since I really want to expand my knowledge in the Canadian market, and you also expand your own knowledge by asking questions. If you did enjoy this video, leaving a like really helps grow the channel! Thanks for watching, I’ll see you guys in the next video!