Every year, I take a moment to reflect: what are experienced dividend growth investors really holding? Not what’s gaining traction on social media or promoted on television, but tangible portfolios constructed over time by individuals nearing financial independence.
This is exactly the aim of this complimentary guide.
Over the past five years, I’ve explored the DSR PRO database to identify the 50 most sought-after stocks among over 2,500 members. This isn’t focused on portfolio worth—it’s based on the frequency with which a stock is featured in member portfolios.
This year, I’ve enhanced the guide: for each of the Top 25 Canadian stocks and Top 25 U.S. stocks, you’ll discover:
– A brief summary of the business model
– A straightforward bull case
– A practical bear case
If you’ve ever been curious about where to begin, this serves as a shortcut to improved ideas, reflecting genuine investor choices.
**Download the guide (instant access)**
What you receive:
– Top 25 Canadian Stocks
– Top 25 US Stocks
– Business model details for each
– Bull cases: reasons to invest in them
– Bear cases: points to consider!
…impressive ideas grounded in experience; remember, conducting your due diligence is essential!
[Get it here](https://www.dividendstocksrock.com/popular/)
**What “most popular” truly signifies (and why it’s significant)**
Popularity doesn’t equate to “buy it now.” However, it highlights businesses that long-term investors are prepared to hold onto through difficulties. Combine this understanding with a systematic approach for a robust research foundation.
To demonstrate, let’s examine four selections from the Top 50—two from Canada and two from the U.S.—and the reasons they’ve secured their spot in portfolios.
**The Canadian selections: designed for consistency and cash flow**
**Fortis (FTS / FTS.TO): The regulated dividend powerhouse**
Business model: Fortis is a regulated utility functioning in Canada, the U.S., and the Caribbean, where the majority of earnings stem from reliable cash flows.
Reasons seasoned investors hold it:
– Utilities bring stability to a portfolio.
– Fortis is dependable and steady.
Bull case:
– Regulated assets ensure consistent cash flow perfect for dividends.
– A multi-year capex strategy fosters EPS growth.
– A conservative balance sheet minimizes refinancing challenges.
Bear case:
– Increasing rates can impact valuations.
– Regulators might postpone cost recovery.
– Growth is generally stable rather than swift.
**Canadian Natural Resources (CNQ / CNQ.TO): The shareholder-friendly energy titan**
Business model: CNQ is a leading oil and gas extractor with long-lasting assets, designed for resilience.
Reasons seasoned investors hold it:
– Merges scale, longevity, and financial returns.
– Strong cash flow when commodity markets are favorable.
Bull case:
– High-quality assets guarantee solid profitability.
– A focus on dividends and buybacks benefits shareholders.
– Scale provides a cost advantage.
Bear case:
– Earnings are tied to commodity prices.
– ESG demands can raise costs.
– Operational challenges may influence production.
[Top 6 Canadian stocks video](https://www.youtube.com/watch?v=LH2Ne8ZXf0Q)
**The U.S. selections: quality compounders with genuine endurance**
**Broadcom (AVGO): A cash-flow compounding engine with an acquisition advantage**
Business model: Broadcom integrates semiconductors and infrastructure software, addressing crucial needs.
Reasons seasoned investors hold it:
– Blends tech expansion with a robust dividend profile.
Bull case:
– Demand for AI drives the requirement for specialized chips.
– Software generates ongoing cash flows.
– Established M&A strategy boosts scale and pricing power.
Bear case:
– Acquisitions carry integration and debt risks.
– Semiconductor cycles may affect inventory levels.
– Valuations can be erratic.
**Home Depot (HD): Designed for the long-term reality of “things break.”**
Business model: Home Depot is the leading home improvement store, gaining from DIY and professional endeavors.
Reasons seasoned investors hold it:
– Tied to persistent home maintenance demands.
– The Pro segment encourages repeat sales.
Bull case:
– Aging homes maintain steady demand.
– Scale improves supply efficiency and brand reputation.
– Pro focus enhances durability and pricing leverage.
Bear case:
– Subject to fluctuations in big-ticket spending.
– Competition remains persistent.
– Wage and transportation expenses can affect profit margins.
[Top 6 US stocks video](https://www.youtube.com/watch?v=vSWqNiEuN4E)
**Final word**
This guide is designed to expedite your own due diligence.
For insights from what over 2,500 seasoned investors possess, along with business models and bull/bear perspectives, download it here:
[https://www.dividendstocksrock.com/popular/](https://www.dividendstocksrock.com/popular/)