Yahoo Finance 2 Stocks Ready for Dividend Hikes in 2024
Written by Chris MacDonald at The Motley Fool Canada
Due to the rise of inflation, many Canadians realized the requirement of more than one revenue to fulfill their needs. Creating a source of passive income is becoming popular to ensure individuals can meet their financial goals.
Thus, as a Canadian citizen, here are two TSX dividend stocks with high dividend offerings that you must take advantage of in 2024.
Fortis
Fortis (TSX:FTS) operates and owns 10 distribution and utility transmission assets in Canada and the United States. It serves approximately 3.4 million customers in the region and has smaller stakes in multiple Caribbean utilities and electricity generation assets. The company offers energy services to its customers for which it gets compensated with a recurring revenue stream.
It is one of the greatest defensive stocks on the Toronto Stock Exchange and one of the largest utility service providers in the North American region. The company’s unique business model generates a recurring and consistent revenue stream, making it a must-add stock to your investment portfolio. In addition, Fortis has been providing investors with consistently higher dividends for the past 50 years and showing no intention of slowing down anytime soon.
Currently, Fortis has a dividend yield of 4.42%, and the company plans to increase it by the end of the financial year 2024. Furthermore, the company’s market capitalization is CA$26 billion, with a Beta (5Y monthly) of 0.17, indicating the low volatility nature of the stock. Thusly, the company’s positive performance helped it to grow from CA$400 million to CA$66 billion in less than four decades.
Restaurant Brands
Restaurant Brands (TSX:QSR) is a quick-service restaurant network with worldwide operations. The restaurant generates sales from royalty fees and company-owned restaurants, and lease income from franchised stores. Restaurant Brands International owns the famous Burger King, Tim Hortons, Firehouse Subs, and Popeyes Louisiana Kitchen.
Restaurant Brands International has a dividend yield of 2.92%, and the company is focused on increasing it in the upcoming years by expanding its operations. Moreover, the restaurant chain plans to enhance its business by opening restaurants in new countries, helping it to gain more global presence.
These factors attract Canadian investors to this stock, as it has the potential for dividend hikes in 2024 by expanding its operations. Presently, Restaurant Brands International has a market capitalization of CA$45.3 billion, with a Beta (5Y monthly) of 0.92 and earnings per share of CA$5.11.
In addition, Restaurant Brands International aims to open 7,000 new restaurants in the international market in the next five years. To do this, the company focuses on enhancing its penetration in established and strong markets globally. It also aims to reach systemwide sales of CA$60 billion by 2028, with an adjusted operating income of CA$3.3 billion. Long-term investors in this company can enjoy the benefits of higher profits by getting higher dividends.
Bottom line
To sum up, these two magnificent stocks are ready to provide dividend hikes to Canadian investors in 2024. These companies plan to grow and expand their business, which will help Canadian investors to appreciate their capital during their investment period. Henceforth, you must not hesitate to add these two stocks to your portfolio in 2024.
The post 2 Stocks Ready for Dividend Hikes in 2024 appeared first on The Motley Fool Canada.
Should you invest $1,000 in Fortis right now?
Before you buy stock in Fortis, consider this:
The Motley Fool Stock Advisor Canada analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Fortis wasn’t one of them. The 10 stocks that made the cut could potentially produce monster returns in the coming years.
Consider MercadoLibre, which we first recommended on January 8, 2014 ... if you invested $1,000 in the “eBay of Latin America” at the time of our recommendation, you’d have $15,578.55!*
Stock Advisor Canada provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month – one from Canada and one from the U.S. The Stock Advisor Canada service has outperformed the return of S&P/TSX Composite Index by 32 percentage points since 2013*.
See the 10 stocks * Returns as of 3/20/24
More reading
Can You Guess the 10 Most Popular Canadian Stocks? (If You Own Them, You Might Be Losing Out.)
How to Build a Bulletproof Monthly Passive-Income Portfolio in 2024 With Just $25,000
Fool contributor Chris MacDonald has positions in Restaurant Brands International. The Motley Fool recommends Fortis and Restaurant Brands International. The Motley Fool has a disclosure policy.
2024
