One of Canada’s largest telecommunications providers, Rogers Communications Inc. (TSX:RCI.B)(NYSE:RCI) is a great dividend pick for long-term income-oriented individuals. This company plays a dividend of 3.5% which is, in my opinion, one of the safest dividends on the TSX.
Additionally, I think Rogers’ dividend has a lot of potential for long-term growth. For investors seeking a growing income stream in retirement, this is a great holding to stash away for a decade or two. The telecommunications sector is one of the most stable to bet on long-term, and just so happens to come with some powerful secular trends I think could provide the growth thesis many investors need right now.
The transition toward 5G technology is one that is only likely to accelerate in the years to come. Rogers has led the way in this rollout in Canada, investing heavily in the infrastructure needed to provide the best service to its customers possible. I see this head start as extremely beneficial for longer-term investors.
Not only will Rogers likely be able to scoop up market share as a result of these investments, the fact that so much money has been invested up front means less in the way of capital expenditures over time. This should improve the company’s cash flow metrics over the long-term.
With some pretty rock-solid fundamentals to begin with, this is a dividend stock I think every investor should consider as a core portfolio holding.
Invest wisely, my friends.
