Business & Investment

Safe Dividend: Two Safe TSX Stocks

Investors seeking passive income are often looking for safe dividends. After all, if you’re trying to use dividends as a source of income, reliability The key.

Now, many stocks have had to cut dividends this year.However, many stocks are still being traded Reliable dividend..

These are usually stocks with a variety of sources of income, providing aperiodic and essential services. In short, it means things like utilities, banks, groceries, and so on.

This is because these are stocks that continue to record strong numbers despite financial challenges. As a result, they can safely support the dividends they offer.

I’ll look at two today TSX Stocks that provide safe dividends to investors.

Fortis

Fortis (TSX: FTS)(NYSE: FTS) Is Canada’s largest utility provider, serving multiple continents. At the time of this writing, it was trading at $ 52.13 with a yield of 3.88%.

Most Canadian investors have at least heard about Fortis and find that it is a relatively stable stock. After all, it shows a beta of 0.05, which usually suggests that it is very resistant to market movements.

One of the main reasons for this is how Fortis organizes its operations. That is, most of the utility services it provides are carried out through regulated contracts.

What that really means is that Fortis’ revenue streams are safe and predictable. As a result, Fortis can provide investors with reliable and secure dividends.

The proof is really in the pudding here, and Fortis has a great track record of paying dividends and growing. It will never be a flashy stock, but it can do the job depending on what you are looking for.

I don’t really care about the 3.88% yield, but I don’t even have to sneeze. In addition, its solid stability makes it even more attractive to income investors.

Fortis is worth a look for those seeking safe dividends in the future.

BMO

Bank of Montreal (TSX: BMO)(NYSE: BMO) It is one of Canada’s major banks. One of its focal points is its strong presence in both the United States and Canada.

BMO has long been a testament to stability, especially when it comes to safe dividends. In fact, we have paid dividends once a year since 1829 and have been Canada’s longest-running activity.

It’s a very remarkable feat, given the enormous challenges that any business would ever face. Past performance is not a good indicator of future performance, but this type of performance simply demonstrates the solid stability of BMOs.

At the time of writing this article, the bank giant is trading at $ 97.47 with a yield of 4.35%. Yields well above 4%, named like BMO, should be attractive to income investors.

The road ahead is likely to skyrocket, but long-term sentiment towards BMOs should be generally positive. If you’re looking for a safe dividend over the long term, BMO is the perfect name to check.

Scout for safe payouts

Both of these stocks offer very stable dividends to investors and the outlook is solid. In the long run, these stocks can provide credible income to investors with passive income.

Looking for other top stocks to check out?

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Stupid contributor Jared Segin There are no positions in any of the listed stocks. Motley Fool recommends FORTIS INC.

Safe Dividend: Two Safe TSX Stocks

https://www.fool.ca/2021/01/01/safe-dividends-2-secure-tsx-stocks/ Safe Dividend: Two Safe TSX Stocks

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