Breaking News
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

3 Under-$50 Canadian Dividend Stocks I’d Buy to Retire Early

Stock MarketsSep 16, 2021 10:15
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
3 Under-$50 Canadian Dividend Stocks I’d Buy to Retire Early

It’s always a good idea to start planning for your retirement early. This way, you not only get time to start saving money for your retirement but also can invest your hard-earned money in some fundamentally strong stocks for the long term so that the return you get on your investment could help you retire earlier than you expected. In this article, I’ll highlight three of the best Canadian dividend stocks that could help Motley Fool investors retire early. All three stocks are trading in the $40-$50-per-share range right now.

Labrador Iron Ore Royalty stock Labrador Iron Ore Royalty (TSX:LIF) is a Toronto-based firm that owns more than 15% interest in Iron Ore Company of Canada (IOC) — one of the top iron ore concentrate and iron ore pellets producers in the country. LIF’s solid revenue and earnings growth and excellent profitability are a reflection of IOC’s consistently expanding operations. This consistent growth is one reason why Labrador Iron Ore stock has yielded solid double-digit positive returns for investors in five out of the last six years.

LIF stock has risen by 28% in 2021 so far to $41.86 per share. The stock currently offers an eye-popping dividend yield of around 13%. Motley Fool investors — with retirement in mind — can buy this high dividend stock right now to get ready for their early retirement.

Canadian Natural stock Canadian Natural Resources (TSX:CNQ)(NYSE:CNQ) has been among one of the top-performing Canadian energy stocks this year. After losing nearly 27% of its value, the stock has risen by 46% this year so far to $44.51 per share.

The recent growth trends in Canadian Natural’s revenue, earnings, and profit margin clearly reflect its stellar post-pandemic financial recovery. After the recent rally in commodity prices, the company has increased its capital budget for 2021 to actively invest in future growth opportunities. These investments are likely to boost its long-term growth outlook and keep its stock soaring in the coming years.

Canadian Natural stock currently has an attractive dividend yield of more than 4%. Notably, in the five years between 2015 and 2020, its dividend per share rose by 85%. Also, CNQ’s robust business model, quality assets, and strong free cash flow make its stock worth buying for Canadian dividend investors who want to grow their saved money for early retirement.

Pembina Pipeline stock Pembina Pipeline (TSX:PPL)(NYSE:PBA) is another market leader in the Canadian energy infrastructure and logistics space. Currently, the company has a market cap of $22.2 billion, as its stock trades at $40.34 per share. The stock has outperformed the broader market this year. It has risen by 34% compared to a nearly 19% rise in the TSX Composite Index.

Pembina’s decades-long track record of delivering excellent value to investors through market cycles makes it one of the most reliable TSX stocks to buy for your retirement planning. I expect the company’s solid profitability, strong financial outlook, and consistent earnings growth to help its stock yield solid returns in the long term. Moreover, Pembina Pipeline stock has a handsome dividend yield of 6.3%, which should let you generate consistent income, even in difficult economic times.

The post 3 Under-$50 Canadian Dividend Stocks I’d Buy to Retire Early appeared first on The Motley Fool Canada.

The Motley Fool recommends PEMBINA PIPELINE CORPORATION. Fool contributor Jitendra Parashar has no position in any of the stocks mentioned.

This Article Was First Published on The Motley Fool

3 Under-$50 Canadian Dividend Stocks I’d Buy to Retire Early
 

Related Articles

5 Dividend Aristocrats Perfect for Down Markets
5 Dividend Aristocrats Perfect for Down Markets By The Motley Fool - Oct 24, 2021

Looking for solid stocks to buy in a down market? If so, Dividend Aristocrats are just what the doctor ordered. A Dividend Aristocrat is a stock that has not only paid, but also...

TFSA Pension: 2 Top TSX Stocks to Buy Now for 2022
TFSA Pension: 2 Top TSX Stocks to Buy Now for 2022 By The Motley Fool - Oct 24, 2021

Tax-Free Savings Account (TFSA) investors are looking for attractive stocks to buy for their self-directed retirement accounts heading into 2022. The winners next year could be...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email