If you’re an RRSP investor, you know that the contribution deadline is right around the corner. There are still many good investment options out there if you’re not sure where to put money in, and below I’ve outlined three stock that are good, safe buys for investors looking for good returns and some diversification.
I’ll start with the obvious: Toronto-Dominion Bank (TSX:TD)(NYSE:TD). The stock is a great blue-chip stock you simply can’t miss. It’s a great investment at any time during the year, and although it has been rising in 2019, it’s still well below where I expected it to be at right now. And a strong earnings report could send the stock price even higher.
Despite it being a bank stock, TD offers some good diversification for investors, as it has a strong foothold in the U.S., making it less exposed to any Canada-specific problems that might otherwise drag down companies that are only in the Canadian market. Unless the North American economy is headed downward, TD’s stock will likely continue its upward trajectory. Over the past decade, TD has seen its share price soar by more than 325%. With a dividend of 3.5% that’s likely to grow over the years, it’s an appealing investment for all types of investors.
Another good option is Waste Connections (TSX:WCN)(NYSE:WCN). I’m a big fan of the company’s recession-proof business model, which ensures that it’ll never run out of work to do. For investors worried about a downturn or a recession, Waste Connections is a great way to combat those fears. After all, garbage is still going to accumulate whether or not people are making money or are out of work.
It’s something that’s going to remain in demand as long as our society has a place in this world, and that’s why Waste Management (NYSE:WM) has done so well. The company has produced strong, consistent earnings, and it’s no surprise that the stock has risen by more than 20% in just the past 12 months. While its dividend of less than 1% will likely not draw a lot of interest, the growth potential the stock possesses makes it a great buy.
Rogers Communications (TSX:RCI.B)(NYSE:RCI) may seem like a stale stock to invest in, but over the past year its value has risen by 25%. The company has done a good job of producing strong and consistent results over the years. And with a broad range of products and services, there are many different options available for the company to grow.
Its one detractor is that the stock currently trades near its 52-week high and might be a bit expensive at a price-to-book multiple of nearly five. However, as earnings continue to grow it’ll only become a better buy. The company also offers a modest 2.6% dividend, which is great compensation while holding a low-risk stock.
Unless we see big changes in the telecom industry, where Canada opens the gates to big foreign competition, Rogers will continue to dominate the industry, and as long as it does, it’ll remain a good long-term buy.
Fool contributor David Jagielski has no position in any of the stocks mentioned.
The Motley Fool’s purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool Canada’s free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. Motley Fool Canada 2019