The TSX has a number of magnificent shares which have steadily elevated their dividends. Their stable dividend cost historical past and sustainable payouts make them a compelling funding to purchase and maintain for many years.
Nonetheless, right here I’ll concentrate on an impressive TSX dividend inventory that has corrected considerably however nonetheless has stable fundamentals and a resilient payout. By shopping for this dividend inventory at at the moment’s discounted ranges, buyers can lock in reliable dividend revenue whereas additionally positioning themselves to learn from a possible rebound within the share value as market sentiment improves.
The magnificent TSX dividend inventory
Over the previous 12 months, the Canadian fairness market has been on a robust run, with the S&P/TSX Composite Index climbing about 30%. Nonetheless, goeasy (TSX: GSY), a widely known Canadian dividend grower, has moved sharply in the wrong way, buying and selling roughly 41% beneath its 52-week excessive.
Investor sentiment turned cautious on goeasy inventory after a short-seller report questioned the corporate’s accounting practices and total danger profile. Additional, greater credit-loss provisions and better financing prices within the third quarter of 2025 weighed on its inventory value.
On the similar time, goeasy’s strategic shift towards secured lending has put stress on its total portfolio yield, weighing on near-term earnings. This additional irked buyers.
Regardless of these near-term challenges, goeasy’s underlying enterprise stays resilient. goeasy continues to generate regular money flows, offering stable protection for its dividend payouts.
For long-term buyers targeted on revenue and prepared to look past short-term volatility, the latest decline in goeasy’s share value represents a horny entry level.
goeasy’s compelling dividend progress historical past
goeasy is a reliable revenue inventory, backed by over 20 years of uninterrupted dividend funds. That lengthy historical past exhibits the corporate’s means to navigate completely different financial cycles whereas constantly returning money to shareholders.
Notably, in 2020, goeasy joined the S&P/TSX Canadian Dividend Aristocrats Index after rising its dividend by about 42% yearly over the prior 5 years. The momentum has continued. In February 2025, the corporate raised its quarterly dividend by 24.8% to $1.46 per share, marking the eleventh straight 12 months of dividend will increase.
Since 2021, goeasy’s annual dividend has surged 121%, reaching $5.84 per share. At present costs, the inventory yields about 4.6%, providing buyers each revenue and progress potential.
Why purchase goeasy inventory proper now and maintain for many years?
goeasy seems well-positioned to proceed rising its dividend and ship stable capital positive factors regardless of short-term stress on yields. Its main place in Canada’s giant subprime lending market will doubtless drive greater originations, broaden its shopper mortgage portfolio, and enhance its high line. On the similar time, goeasy’s diversified funding channels and omnichannel platform augur properly for progress.
The corporate’s administration expects gross shopper mortgage receivables to vary from $7.35 billion to $7.75 billion by 2027, whereas working margins are additionally projected to enhance. Because the mortgage ebook expands and margins strengthen, its money flows may strengthen, comfortably supporting present dividend funds and leaving room for future will increase.
On the similar time, the corporate continues to spend money on bettering working effectivity and is specializing in secured loans, which can cut back danger and drive its earnings.
From a valuation perspective, goeasy’s shares commerce at a ahead price-to-earnings (P/E) a number of of about 6.7, which is compelling relative to its earnings progress potential. Given the corporate’s observe document of double-digit earnings progress, its means to generate above-average returns, and its dedication to rewarding shareholders by means of rising dividends and a horny yield, goeasy is a horny inventory to purchase now and maintain.