While the TSX Composite benchmark remained on a record-breaking rally in 2024, heightened volatility may continue to dominate the market next year as macroeconomic uncertainties still linger. Besides inflation and monetary policy, geopolitical tensions could take a new turn in January 2025 after U.S. president-elect Donald Trump assumes office, adding another layer of unpredictability to global markets.
In such a scenario, adding some stable monthly dividend stocks to your portfolio can be a smart move as they tend to offer a reliable income regardless of market conditions. In this article, I'll talk about two top-tier Canadian dividend stocks that could give you the confidence to weather any market storm while helping you generate steady monthly income.
Paramount Resources stock
Paramount Resources (TSX:POU) is a Calgary-based energy firm with a market cap of $4.5 billion that mainly focuses on the exploration, development, and production of natural gas and crude oil in Canada. After surging by nearly 18% so far in 2024, POU stock currently trades at $30.58 per share and offers an impressive 6% annualized dividend yield.
In the quarter ended in September 2024, Paramount delivered solid operational performance, with its sales volumes averaging nearly 94,892 barrels of oil equivalent per day. About 48% of this total output came from high-margin liquids, reflecting the company's ability to continue generating steady cash flow even amid fluctuating commodity prices.
Despite planned maintenance at its Wapiti natural gas processing plant, which caused temporary production dips, Paramount still demonstrated operational efficiency by bringing several new wells online in the most recent quarter.
Recently, Paramount showed strategic foresight by entering a major $3.325 billion asset sale agreement with the American petroleum firm Ovintiv. This deal, which is likely to close in early 2025, should allow Paramount to focus more on its high-growth assets, such as its Duvernay play at Willesden Green, brightening its long-term growth outlook further.
Mullen Group stock
After trading on a weak note in 2023 and witnessing 3.5% value erosion, Mullen Group (TSX:MTL) has climbed by 12.2% so far in 2024. With this, this Okotoks-based logistics services provider currently trades at $15.75 per share with a market cap of $1.4 billion. At this market price, this monthly-paying dividend stock offers a 5.4% annualized yield.
Even as challenging economic conditions continue to affect the logistics industry, Mullen's continued focus on strategic acquisitions helped it achieve record quarterly revenues of $532 million in the September quarter, reflecting a 5.6% year-over-year increase. Despite competitive pricing pressures and soft freight demand in certain verticals, the company's diversified operations and disciplined cost management also helped it deliver near-record operating profitability.
In 2025, Mullen plans to build on its strong foundation by focusing on strategic growth initiatives. The company recently outlined an ambitious plan to achieve $2.2 billion in annual revenue by making targeted investments in its core business units and pursuing new acquisitions.
This disciplined approach, combined with Mullen's commitment to maintaining its steady dividend payout of $0.84 per share annually, makes it a very reliable monthly income-generating stock for long-term investors.