Grab 2 High-Yield TSX Dividend Stocks for 2024

Investors seeking passive income in their Tax-Free Savings Accounts (TFSAs) often look to Canadian dividend stocks for attractive yields. Despite near-record levels in the stock markets, some excellent dividend-paying companies in Canada are still trading at discounted prices, presenting opportunities for retirees and self-directed TFSA investors. Let's explore two such stocks: Bank of Nova Scotia (TSE:BNS) and Enbridge (TSE:ENB). 

Bank of Nova Scotia (TSE: BNS) 

Bank of Nova Scotia (TSE: BNS), one of Canada's largest banks, has seen its stock price fluctuate over recent years. While it has underperformed compared to its peers due to investments in South American markets that didn't yield expected returns, there's optimism with a new CEO focusing on growth in Canada, the U.S., and Mexico. Despite the challenges, the bank remains profitable and offers a dividend yield of 6.2%, making it an attractive option for income-oriented investors. The recent rally in BNS stock, driven by expectations of interest rate cuts, underscores its potential for long-term growth, although short-term volatility may occur. 

Enbridge (TSE:ENB) 

Enbridge, a leader in North American energy infrastructure, presents another compelling opportunity for dividend investors. With its extensive network transporting oil and natural gas across Canada and the U.S., Enbridge has diversified its investments into renewable energy and natural gas utilities. The company's commitment to dividend growth is evident, with the board raising dividends annually for 29 consecutive years. Currently offering a 7.7% dividend yield, Enbridge's stock has room for appreciation from its current price, especially with potential tailwinds from interest rate changes. 

Conclusion 

For TFSA investors seeking passive income, Bank of Nova Scotia and Enbridge stand out as top dividend stocks worth considering. Despite short-term challenges, both companies have robust business models and strong dividend histories, making them attractive options for long-term income generation. With prudent investment strategies and a focus on dividend growth, these stocks could provide steady returns for investors looking to build wealth over time.