Top 5 Dividend‑Paying Stocks on the TSX: High‑Yield Leaders for 2025–2026
Dividend investing remains one of the most reliable ways for Canadians to build long‑term wealth, especially in a market environment shaped by slower economic growth and shifting interest‑rate expectations. The TSX continues to offer a deep pool of stable, income‑producing companies across financials, energy, utilities, and industrials. Recent rankings from Morningstar, MoneySense, and Simply Wall St highlight several standout names with strong yields, durable cash flows, and resilient business models. Below are the top five dividend‑paying stocks on the TSX, supported by up‑to‑date financial data and comparisons to other major Canadian companies.
1. Enbridge (TSX: ENB): A Long‑Standing Dividend Giant
Enbridge remains one of Canada’s most widely held dividend stocks, supported by its diversified pipeline, gas transmission, and utility operations. The company’s business model is anchored by long‑term contracts and rate‑regulated assets, which help stabilize cash flows even during commodity downturns. Enbridge continues to offer one of the highest sustainable yields among large‑cap Canadian companies, making it a core holding for income‑focused investors. Compared to other energy names like Parex Resources(PXT) or Suncor(SU), Enbridge’s yield is typically higher and more predictable due to its midstream focus rather than commodity exposure.
Enbridge’s forward yield has consistently hovered in the 6–7% range, placing it well above the average TSX payout. While some high‑yield ETFs on the TSX show yields above 30%—such as the Harvest Tesla Enhanced High Income ETF at 52.8%—these are not comparable due to their derivative‑based income strategies and higher risk profiles. Enbridge’s dividend reliability stems from decades of uninterrupted payments and regular increases, a track record few Canadian companies can match. For investors seeking stability rather than speculative yield, ENB remains one of the most dependable options on the market.
2. Royal Bank of Canada (TSX: RY): A Financial Sector Powerhouse
Royal Bank of Canada continues to be one of the strongest dividend payers in the Canadian financial sector. With a dividend yield around 3.0–3.2%, RY offers a lower yield than some energy or telecom names, but its payout is backed by one of the most profitable and diversified banking franchises in North America. RBC’s scale, international exposure, and consistent earnings growth make it a cornerstone for conservative dividend portfolios. Compared to peers like CIBC(CM) or National Bank(NA), RBC’s dividend is considered among the safest due to its superior capital position and diversified revenue streams.
Recent TSX dividend rankings place RBC among the top‑rated dividend stocks, earning a ★★★★★ rating from Simply Wall St for its stability and payout quality. While CIBC offers a higher yield—often above 5%—its risk profile is also higher due to greater exposure to Canadian consumer lending. RBC’s more balanced business mix, including wealth management and capital markets, provides a buffer during economic slowdowns. For investors prioritizing safety and long‑term growth, RY remains one of the most compelling financial dividend stocks in Canada.
3. Sun Life Financial (TSX: SLF): A High‑Quality Insurance Dividend
Sun Life Financial stands out as one of the top dividend stocks in the insurance sector, offering a yield of 4.39% and earning a ★★★★★ rating in recent TSX dividend rankings. The company benefits from strong global diversification, with operations in Canada, the U.S., and fast‑growing Asian markets. Insurance companies tend to perform well in rising‑rate environments, which supports Sun Life’s earnings and dividend sustainability. Compared to Manulife, which often offers a higher yield, Sun Life is generally viewed as the more stable and predictable insurer.
SLF’s dividend growth track record is also impressive, with consistent increases supported by expanding wealth‑management operations and disciplined capital allocation. Its payout ratio remains healthy, leaving room for future increases even in slower economic periods. When compared to Power Corporation of Canada(POW)—another major dividend payer with a 4.21% yield—Sun Life offers a more direct exposure to insurance and asset management growth trends. For investors seeking a blend of yield, stability, and international exposure, SLF is one of the strongest choices on the TSX.
4. Rogers Sugar (TSX: RSI): A High‑Yield Consumer Staple
Rogers Sugar offers one of the highest yields among non‑energy, non‑financial TSX companies, currently sitting at 5.68%. As a consumer‑staples business, RSI benefits from stable demand regardless of economic conditions, which supports its ability to maintain consistent dividends. While its growth prospects are more modest than those of financial or energy companies, its high yield makes it attractive for income‑focused investors. Compared to other consumer‑focused companies like North West Company(NWC) (yield 3.17%), Rogers Sugar provides significantly higher income potential.
The company’s dividend sustainability is supported by long‑term supply contracts and a dominant position in the Canadian sugar market. However, investors should be aware that high‑yield consumer stocks can face margin pressure from commodity price fluctuations and regulatory changes. Even so, RSI’s long history of stable payouts makes it a reliable option for those seeking higher‑than‑average yields without venturing into riskier sectors. For investors looking to diversify beyond financials and energy, Rogers Sugar offers a compelling alternative.
5. Power Corporation of Canada (TSX: POW): A Diversified Holding Company With Strong Yield
Power Corporation rounds out the top five with a dividend yield of 4.21% and a ★★★★★ rating for dividend quality. As a diversified holding company with stakes in Great‑West Lifeco, IGM Financial, and various alternative investments, POW provides broad exposure to the Canadian financial ecosystem. Its structure allows it to generate stable cash flows from multiple sources, supporting a consistent and growing dividend. Compared to Brookfield Corporation(BN), which reinvests heavily and offers a lower yield, Power Corporation is more income‑oriented.
POW’s dividend reliability is reinforced by its conservative balance sheet and long‑term investment approach. While it may not offer the rapid growth potential of pure‑play asset managers, its diversified holdings reduce volatility and support steady income generation. For investors seeking a blend of financial‑sector exposure and above‑average yield, Power Corporation remains a top contender. Its strong performance in recent dividend rankings underscores its status as one of Canada’s most dependable income stocks.
Final Thoughts
The TSX continues to offer a rich selection of dividend‑paying companies across multiple sectors, each with unique strengths and risk profiles. Enbridge and Rogers Sugar lead in yield, while RBC, Sun Life, and Power Corporation offer exceptional stability and long‑term growth potential. When compared to other Canadian companies—such as CIBC, National Bank, Parex Resources, and Brookfield—these five stand out for their combination of yield, sustainability, and financial strength. For Canadian investors building a resilient dividend portfolio, these top TSX names represent some of the most compelling opportunities available today.
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