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While the Canadian stock market recently hit an all-time high, macroeconomic uncertainty is still very much in the picture. Global trade friction, cautious central bank moves, and geopolitical risks continue to cast a shadow over the broader investment environment.
In times like these, the importance of reliable dividend-paying stocks becomes more apparent. Steady income, even in volatile markets, could help anchor your portfolio while offering a measure of downside protection.
In this article, I’ll spotlight a top Canadian dividend stock that currently offers a 5.9% yield, supported by a multi-decade history of consistent payouts and annual increases.
A reliable Canadian dividend stock to buy now
The stock I’m talking about is Enbridge (TSX:ENB), the Calgary-based company most income-focused investors know, and for good reason. But it still deserves attention, especially in a market like this.
Over the past year, ENB stock has surged by almost 27% to currently trade at $63.50 per share with a market cap of $138.4 billion. The reliable stock offers a strong quarterly dividend, currently with an annualized yield of 5.9%. Its excellent track record of increasing dividends for 30 consecutive years reflects Enbridge’s disciplined capital allocation and cash flow resilience.
What’s been fueling this momentum?
The recent strength in ENB stock has a lot to do with how the company has been performing financially. Enbridge had a very strong first quarter with the help of high demand for its pipelines. The company’s Mainline system hit a record, moving 3.2 million barrels of oil per day last quarter, showing just how critical its services are in moving energy across North America.
Enbridge is also seeing firm results in its U.S. gas pipeline business. Much of it is supported by long-term contracts, which help keep the cash coming in. And with Western Canada expecting to add even more oil production over time, the company is in a good spot to handle that growth.
Earnings on the rise
This operational strength could also be seen in its latest financials. In the first quarter of 2025, Enbridge’s total revenue rose 67.6% YoY (year over year) to $18.5 billion. Its adjusted quarterly earnings also jumped 12% YoY and 37% sequentially to $1.03 per share.
Similarly, a 9% YoY increase in its distributable cash flow supported its dividend payouts, highlighting how the company is managing its costs while growing its earnings.
Notably, even with some increases in its financing and maintenance expenses, Enbridge still reaffirmed its full-year outlook.
Top reasons to buy this Canadian dividend stock now
Along with steady earnings, Enbridge is also investing in the future. It recently added over $3 billion in new projects. These include upgrades to its Mainline pipeline and new gas lines in the United States.
Another major move is its investment in the Matterhorn Express Pipeline. This project helps move natural gas from the Permian Basin to the Texas Gulf Coast. With more demand for natural gas exports, this could be seen as a smart step forward.
Clearly, Enbridge has a strong mix of stable cash flow, growing projects, and a steady dividend — making it a great choice for anyone looking to add a reliable income stock to their portfolio.