the S&P/TSX Composite Index it was down 256 points in morning trading on September 13. Information technology and health care, two typically explosive sectors, were the worst performers on the day at the time of writing. Volatility continues to rear its head in this choppy market, which should encourage investors to consider alternative strategies. Today, I want to discuss how readers might want to follow a dumb dividend investing strategy.
This strategy involves choosing reliable stocks that offer stable income. Below are three of my favorites to target as we head into mid-September. Investors can count on steady dividends in the coming months rather than battling broader market turmoil.
This super dividend stock is perfect for executing an income-oriented strategy.
push (TSX:ENB)(NYSE:ENB) is a Calgary-based energy infrastructure company, one of the largest on the planet. Shares of this major energy stock are up 11% in 2022 as of afternoon trading on September 13. This has put the stock in the black on a year-over-year basis.
In the second quarter of 2022, Enbridge reported distributable cash flow (DCF) of $2.74 billion, up from $2.50 billion in the second quarter of fiscal 2021. Meanwhile, the DCF in the year-to-date period rose to $5.81 billion from $5.26 billion in the first six months of the prior year.
Foolish investors should gravitate to Enbridge for its impressive history of dividend growth. It has delivered 26 consecutive years of annual dividend increases. Enbridge currently offers a quarterly distribution of $0.86 per share. That represents a tasty 6.2% yield.
Foolish investors should target this future Dividend King
fortress (TSX:FTS)(NYSE:FTS) is a St. John’s-based utility holding company. This dividend stock is up 3% so far in 2022. Its shares are still up marginally in the year-over-year period. A Dividend King is a stock that has achieved at least 50 consecutive years of dividend growth. Fools chasing a dividend investing strategy should seriously consider Fortis right now.
The company released its fiscal 2022 second-quarter earnings on July 28. It reported adjusted net earnings per common share of $0.57, compared to $0.55 a year earlier. Meanwhile, it booked capital expenditures of $1.9 billion in the first half of fiscal 2022. That puts it on track to hit $4 billion for the full year. Its aggressive capital investments aim to significantly increase its fee base. This, in turn, will support 6% annual dividend growth through 2025.
Fortis has achieved 47 consecutive years of dividend growth. That means he is on track to become the Dividend King by the middle of this decade. It offers a quarterly dividend of $0.535 per share, which represents a yield of 3.6%.
Here’s another stock to target if you’re interested in a dividend investing strategy
TransAlta Renewables (TSX:RNW) is the third and final dividend stock I would look to grab today. This Calgary-based company develops, owns and operates renewable energy generation facilities. Its shares have fallen 8.3% so far this year. The stock is down 13% from a year ago.
Investors were able to see TransAlta’s second quarter 2022 results on August 4. Its free cash flow increased 23% year over year to $87 million. This stock offers a monthly dividend of $0.078 per share, which represents a strong 5.4% return.