ENB:CC - My 3 Favourite Stocks to Buy Right Now
2024-01-25 16:00:00 ET
There’s no shortage of great stocks to buy on the market right now. This includes options for both income-seeking and growth-focused investors alike. Here’s a look at some of my favourite stocks to buy right now.
Start with a huge income
Enbridge ( TSX:ENB ) is a great dividend stock that should be on the radar of every investor. Enbridge is best known for its lucrative pipeline network. There’s a good reason for that. That pipeline network generates the bulk of its revenue. That pipeline network, which includes both gas and crude, is the largest and most complex system on the planet.
It also hauls massive volumes. Specifically, Enbridge transports approximately one-third of all North American-produced crude and one-fifth of the natural gas needs of the U.S. market.
Furthermore, prospective investors should note that Enbridge charges for the use of that network but not based on the volatile price of the hauled commodity. This adds even more defensive appeal to an already superb option.
And that’s not all. Enbridge also boasts a growing renewable energy operation, with facilities located across Europe and North America. That’s in addition to operating the largest natural gas utility in North America.
Turning to income, Enbridge offers investors an insane 7.58% yield, which makes it one of the best-paying favourite stocks to buy on the market. Enbridge has also provided annual upticks to that dividend for nearly three decades without fail.
Add in some defensive appeal
Utilities are known as some of the best defensive stocks on the market, and Fortis ( TSX:FTS ) is the utility for every investor. But what makes Fortis one of the favourite stocks to buy right now?
Fortis is one of the largest utilities in North America. The company is a $66 billion behemoth with operations across Canada, the U.S., and the Caribbean. Fortis also has a solid customer base, boasting 3.4 million customers across both its gas and electric segments.
Utilities like Fortis can generate a reliable source of revenue, even during downturns. This comes thanks to the regulated nature of its business.
That stability also allows Fortis to pay out a handsome quarterly dividend. As of the time of writing, that dividend works out to 4.40%. Furthermore, the company has provided annual upticks to that dividend for an incredible 50 consecutive years without fail.
And Fortis plans to continue that tradition over the next several years.
Fortis trades down 10% over the trailing two-year period, which handily puts this long-term gem on any list of favourite stocks to buy right now.
Telecoms are a great buy-and-forget option now
Let’s take a moment to mention another one of my favourite stocks to buy right now, BCE ( TSX:BCE ). BCE is one of the largest telecoms in Canada, and it offers wireless, wireline, internet, and TV subscriber services.
Additionally, the company also boasts a massive media segment, which includes dozens of well-known TV and radio stations that blanket the country. That segment, along with its core subscription business, generates a diversified and defensive revenue stream. Prospective investors should keep in mind that BCE has a sticky customer base, which adds to that overall defensive appeal.
That stable (and growing) revenue stream allows BCE to pay out a very generous dividend. As of the time of writing, the quarterly dividend offered carries a yield of 6.98%, making it one of the better-paying dividends on the market.
And that’s not all. BCE has been paying out dividends to investors for well over a century and has provided generous annual upticks to that dividend for over a decade without fail.
Finally, over the trailing 12-month period, BCE currently trades down 10%, which makes it a superb time to buy at a discount.
Are my favourite stocks to buy some of your favourites?
No stock, even the most defensive is without some risk. This is why the importance of diversifying your portfolio cannot be understated. That’s also why the stocks mentioned above are favourite stocks to buy right now for any investor.
In my opinion, one or all of the above stocks should be core holdings in any well-diversified portfolio .
The post My 3 Favourite Stocks to Buy Right Now appeared first on The Motley Fool Canada .
Fool contributor Demetris Afxentiou has positions in BCE, Enbridge, and Fortis. The Motley Fool recommends Enbridge and Fortis. The Motley Fool has a disclosure policy .
2024