10 Best Canadian Dividend Stocks to Buy For Income Investors

1. Agnico Eagle Mines Limited (NYSE:AEM)

Number of Hedge Fund Holders: 54

Agnico Eagle Mines Limited (NYSE:AEM) is a Toronto-based gold mining company that explores, develops, and produces precious metals. Gold is known for maintaining its value and is regarded as one of the most reliable investment assets worldwide. This stability is a key reason its demand and prices tend to rise during periods of market uncertainty, such as during wars or significant market downturns. The company gains considerable advantages from operating within this industry. AEM has surged significantly by nearly 62% in the past 12 months.

In the third quarter of 2024, Agnico Eagle Mines Limited (NYSE:AEM)’s operational efficiency, cost management, and disciplined capital use enabled it to capitalize on record gold prices for the benefit of its shareholders. During the quarter, the firm successfully repaid $375 million in debt, bolstered its cash reserves, and maintained strong shareholder returns. The quarter also saw robust gold production, with payable gold output reaching 863,445 ounces. Production costs per ounce stood at $908, total cash costs per ounce were $921, and the all-in-sustaining costs (AISC) per ounce amounted to $1,286.

Agnico Eagle Mines Limited (NYSE:AEM) also demonstrated a solid cash position, with an operating cash flow of over $1.08 billion and a free cash flow of $620 million. The company has remained committed to its shareholder obligation, paying regular dividends since 1983. It currently pays a quarterly dividend of $0.40 per share and has a dividend yield of 1.90%, as of January 10.

With a collective stake value of $973.4 million, 54 hedge funds held positions in Agnico Eagle Mines Limited (NYSE:AEM) in the third quarter of 2024, as per Insider Monkey’s database. In the previous quarter, 54 funds held stakes in the company.

Overall, Agnico Eagle Mines Limited (NYSE:AEM) ranks first on our list of the best dividend Canadian stocks for income investors. While we acknowledge the potential for AEM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AEM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. 

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