3 Canadian Dividend Stocks I’m Buying When They Fall Further

Like me, you likely have a long-term perspective. And if you’re looking for Canadian dividend stocks, these are the three that I’ll be buying in large quantities when they drop.

After the long weekend, the TSX kept down, with the market down 12.45% year to date, returning to where it was at the end of September. Furthermore, it appears that things may become worse before they get better as the earnings season approaches.

Biggest big six bank yield

Consider the Canadian Imperial Bank of Commerce (TSX:CM)(NYSE:CM) if you’re searching for passive income. In addition to being one of the Big Six Banks and having provisions for loan losses to safeguard it, it also has a high dividend yield.

It continues to have the highest yield of the group among the Big Six Banks, at 5.68% right now. That’s so close to 6% that I can practically taste it, and should shares decline even further, I’ll most definitely be getting it. That’s because this bank has experienced a significant turnaround in recent years and has recovered quickly from each previous recession.

Furthermore, it is already a big deal. With shares down 21% year to date, it is one of the dividend stocks trading at just 8.11 times earnings.

NorthWest Healthcare

NorthWest Healthcare Properties REIT (TSX:NWH.UN) is a stock I already own a lot of, but if it continues to decline, I’ll buy more. Right before this significant slump, the real estate investment trust (REIT) made a wise decision to grow. It was also successful in renewing leasing contracts, which now have an average lifespan of 14.1 years globally.

The result is stable revenue for investors because it is committed for 14.1 years at a 97% occupancy rate. The company’s already strong 7.89% dividend yield could rise now that it has spread to so many countries around the world if the economy heals!

Once more, it’s a significant deal at the moment, trading at just 5.68 times earnings and down 25% year-to-date. It’s a secure decision, though, as this REIT only needs 88.37% of its equity to pay off all of its debts.

BMO High Dividend Stocks ETF

The BMO Canadian High Dividend Covered Call ETF is another dependable option that provides a high dividend yield (TSX:ZWC). With a concentration on Dividend Aristocrats, this exchange-traded fund is made up of companies that offer high dividend yields.

With the BMO ETF currently paying a 7.26% yield as of this writing, this is the ideal opportunity to lock in an even greater dividend return than usual! And it’s distributed every month. I’m okay with the 0.65% management expense ratio (MER) that it has. Through this ETF, I have access to qualified managers who can help me select the dividend stocks that are ideal for my portfolio. So, for anxious investors, this may be the best option to think about.

Bottom line

For long-term investors seeking a great deal, these three dividend stocks are excellent choices. Each will undoubtedly emerge from a crisis or recession in a strong position, paying you extraordinarily large rewards while you wait. In fact, if they dropped much lower, I would keep buying them in large quantities and you would see an increase in revenue.

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