In this article, we discuss the 5 best dividend stocks in Canada for 2022. If you want our detailed analysis of these stocks, go directly to the 10 Best High Dividend Stocks in Canada for 2022.
5. Capital Power Corporation (OTC:CPXWF)
Dividend Yield as of December 16: 5.65%
Capital Power Corporation (OTC:CPXWF) reported its Q3 earnings on October 27, posting an EPS of C$0.23. The revenue fell 16.8% year-over-year, equaling C$377 million. Capital Power Corporation (OTC:CPXWF) is an independent power company based in Edmonton, and operates by acquiring a portfolio of power generation facilities that use multiple energy sources for providing about 5,100 megawatts of power.
Payable on January 31, 2022, Capital Power Corporation (OTC:CPXWF) announced a quarterly dividend of C$0.5475 on October 26, for stakeholders of record on December 31.
BMO Capital analyst Ben Pham lowered the price target on Capital Power Corporation (OTC:CPXWF) on December 3 to C$42 from C$43 and kept a Market Perform rating on the shares.
With a forward yield of 5.65%, Capital Power Corporation (OTC:CPXWF) is one of the top high dividend stocks in Canada for 2022.
4. SmartCentres Real Estate Investment Trust (OTC:CWYUF)
Dividend Yield as of December 16: 5.95%
SmartCentres Real Estate Investment Trust (OTC:CWYUF) is one of the most significant Canadian REITs, offering a portfolio of 168 distinguished properties across the country. SmartCentres Real Estate Investment Trust (OTC:CWYUF) properties have an occupancy rate of 97.6%, with the REIT owning $10.2 billion in assets and 34.2 million square feet of income producing retail space.
The Q3 revenue for SmartCentres Real Estate Investment Trust (OTC:CWYUF) increased 4.7% year-over-year, totaling C$195.17 million, as per the quarterly earnings reported by the company on November 10.
On December 6, BMO Capital analyst Jenny Ma raised the price target on SmartCentres Real Estate Investment Trust (OTC:CWYUF) to C$32 from C$31 and kept a Market Perform rating on the shares.
3. Pembina Pipeline Corporation (NYSE:PBA)
Dividend Yield as of December 16: 6.64%
Pembina Pipeline Corporation (NYSE:PBA) is an oil, natural gas, and ethylene storage and transport company.
TD Securities analyst Linda Ezergailis lowered the price target on Pembina Pipeline Corporation (NYSE:PBA) on December 10 to C$44 from C$45 and kept a Buy rating on the stock.
In the third quarter earnings report, published on November 4, Pembina Pipeline Corporation (NYSE:PBA) announced earnings per share of $0.53, beating estimates by $0.01. Revenue over the period jumped 43.45% to $1.72 billion, exceeding estimates by $218.91 million.
John Overdeck and David Siegel’s Two Sigma Advisors is one of the leading Pembina Pipeline Corporation (NYSE:PBA) stakeholders as of Q3 2021, increasing its stake in the company by 57%, holding 336,083 shares worth $10.65 million. Overall, 8 funds in the third quarter database of Insider Monkey were long Pembina Pipeline Corporation (NYSE:PBA), with total stakes amounting to $62.6 million.
2. Keyera Corp. (OTC:KEYUF)
Dividend Yield as of December 16: 6.90%
Keyera Corp. (OTC:KEYUF) is one of the biggest oil and gas transportation and storage companies from Canada, offering its services to major Canadian producers to bring their product to market. Keyera Corp. (OTC:KEYUF) deals in the safe transportation of propane, ethane, butane, condensate, and iso-octane, which are all natural gas liquids.
On December 10, Keyera Corp. (OTC:KEYUF) announced a monthly dividend of C$0.16 per share, payable on January 17, 2022. Offering a high forward yield of 6.90%, Keyera Corp. (OTC:KEYUF) is one of the best dividend stocks in Canada for 2022.
In the third quarter, on November 3, Keyera Corp. (OTC:KEYUF) reported an adjusted EBITDA of C$214 million, an increase as compared to C$196 million in Q3 2020. Keyera Corp. (OTC:KEYUF) also published a GAAP EPS of C$0.32 for the period.
Wells Fargo analyst Praneeth Satish on December 16 downgraded Keyera Corp. (OTC:KEYUF) to Equal Weight from Overweight with a price target of C$29, down from C$34. The analyst sees a full valuation at current share levels and expects minimal share buybacks in the near-term.
1. Enbridge Inc. (NYSE:ENB)
Dividend Yield as of December 16: 7.23%
Enbridge Inc. (NYSE:ENB) declared a C$0.860 per share quarterly dividend on December 7, which reflects a 3% increase from the previous dividend of C$0.835. The dividend will be payable on March 1, 2022 to shareholders of record on February 15.
Enbridge Inc. (NYSE:ENB) is a Canada-based multinational pipeline corporation, transporting crude oil, natural gas, and natural gas liquids via its extensive pipelines across the US and Canada. RBC Capital analyst Robert Kwan on November 29 lowered the price target on Enbridge Inc. (NYSE:ENB) to C$60 from C$61 and kept an Outperform rating on the shares.
Offering a forward yield of 7.23%, Enbridge Inc. (NYSE:ENB) is one of the best high dividend stocks in Canada for 2022. Posting its Q3 results on November 5, Enbridge Inc. (NYSE:ENB) announced an EPS of $0.47, beating estimates by $0.02. The revenue jumped 31.91% year-over-year to $9.21 billion, outperforming estimates by $1.47 billion.
One of the leading stakeholders of Enbridge Inc. (NYSE:ENB) as of the third quarter is Arrowstreet Capital, with 837,902 shares worth $33.3 million. Overall, 24 hedge funds in the database of Insider Monkey were long Enbridge Inc. (NYSE:ENB), up from 19 funds in the preceding quarter.
Here is what ClearBridge Investments has to say about Enbridge Inc. (NYSE:ENB) in its Q2 2021 investor letter:
“On a regional basis, the U.S. and Canada were the top contributors to quarterly performance, of which Canadian energy infrastructure company Enbridge was one of the lead performers. Enbridge owns and operates one of the largest oil and gas pipeline networks in North America. The company also owns regulated gas distribution utilities in Ontario, Canada. Enbridge’s Line 3 Replacement Project received a favorable court ruling regarding the adequacy of its Environmental Impact Statement. This significantly lowers the execution risk for the project and enables the company to place the project into service later in the year.”
You can also take a look at 10 Best Value Stocks in Warren Buffett’s Portfolio and 10 High Dividend Stocks for 2022.
