10 best long-term stocks for steady growth

Long-term investing is one of the most reliable ways to build wealth. For financial advisors, helping clients choose the best long-term stocks is about balancing growth potential, stability, and income. While every investment carries some risk, certain companies have proven track records, strong fundamentals, and competitive advantages that make them suitable for holding over many years.  

In this article, Wealth Professional Canada will discuss 10 of the best long-term stocks that you can recommend to your clients. We will also explore the characteristics of a good long-term stock along with other vital insights that you can share with your clients. 

What are some of the best long-term stocks in Canada? 

We have compiled some of the best long-term stocks in Canada. Check out this list below: 

1. Royal Bank of Canada (TSX: RY) 

Average dividend yield in five years: 3.17 percent 
Market capitalization: $250 billion 

The Royal Bank of Canada is the largest of the country’s Big Five banks, ranked first by assets and market value. It has more than 17 million clients worldwide and a wide branch network. With over 150 years of experience, it has advanced in technology and online banking. 

The bank employs over 97,000 people in Canada, the United States, and 27 other countries. Its main services are: 

• banking 
• wealth management 
• insurance 
• investment 

Over the years, it has expanded through acquisitions. This includes Dominion Securities in 1988 as well as Royal Trust and Voyageur Insurance Company in 1993. It introduced the RBC brand in 2001. In 2004, it reorganized its operations to improve customer service and focused more on employee growth and diversity. 

Want to know more about RBC stock’s recent movements? Watch this video: 

Do you have clients who are looking into this long-term stock? Check out this guide to RBC Bank stock. 

2. Toronto-Dominion Bank (TSX: TD)  

Average dividend yield in five years: 3.95 percent 
Market capitalization: $172 billion  

Toronto-Dominion Bank, commonly called TD, is one of the largest companies on the Toronto Stock Exchange. It was created in 1955 from the merger of Toronto Bank and Dominion Bank. TD is the second-largest bank in Canada by assets and market value. It serves more than 28 million customers worldwide and has a strong presence in both Canada and the United States. 

The bank has about 95,000 employees and operates over a thousand branches in Canada. As of 2025, its five-year total return is about 109 percent, which is higher than many of its competitors. For clients who want reliability and high growth, investing in TD bank stock can be a great move. 

3. Enbridge Inc. (TSX: ENB) 

Average dividend yield in five years: 5.79 percent 
Market capitalization: $139 billion  

Enbridge is a Canadian multinational pipeline and energy company based in Calgary, Alberta. It owns and runs pipelines within Canada and to other countries. Its main business is transporting: 

• crude oil 
• natural gas 
• natural gas liquids 

The company is one of the largest energy distributors in North America, with a vast pipeline network that extends across the continent and into the Gulf of Mexico. 

Enbridge is also known for its production of renewable energy. Plus, it is one of Canada’s biggest natural gas distributors, providing service to about seven million customers in: 

• Ontario 
• Ohio 
• North Carolina 
• Québec 
• Utah 
• Wyoming 
• Idaho 

To know more about Enbridge stock, watch this video: 

Enbridge acquired a major gas utility in Ohio back in 2024. This strategic move has bolstered its Gas Distribution and Storage Business Unit. 

4. Thomson Reuters, Inc. (TSX: TRI) 

Average dividend yield in five years: 2.30 percent 
Market capitalization: $125 billion 

Thomson Reuters is a Canadian multinational information company owned by the Woodbridge Company. It is one of the world’s top providers of news and information tools for professionals in finance, law, tax, media, and accounting. 

Its global team of journalists and specialist editors keeps its clients informed on pressing news and important developments worldwide. The company’s current price-to-book (P/B) ratio is 6.22. 

5. Canadian Natural Resources (TSX: CNQ)  

Average dividend yield in five years: 4.44 percent 
Market capitalization: $89 billion 

Canadian Natural Resources is one of Canada’s top producers of natural gas and oil. As such, it’s not a surprise that this is one of the best long-term stocks that your clients should look into. In natural gas, it ranks among the largest producers in the country. 

The company controls one of the biggest undeveloped land positions in a largely untapped natural gas region located in Northeast British Columbia and Northwest Alberta. This area includes the Montney and Deep Basin formations, which are known for their resource potential. 

Beyond Canada, Canadian Natural Resources has exploration and development projects in offshore Africa, with a particular focus on Côte d’Ivoire. It also operates in the United Kingdom sector of the North Sea, adding further diversity to its portfolio and expanding its opportunities for growth in the global energy market. 

6. Canadian National Railway (TSX: CNR) 

Average dividend yield in five years: 0.91 percent 
Market capitalization: $80 billion 

The Canadian National Railway is a major transportation and logistics company. It is the largest railway in the country and operates the only transcontinental railway line in North America. Its services include: 

• intermodal 
• trucking 
• freight forwarding 
• warehousing 
• distribution 

CNR owns a 20,000-mile network that stretches across Canada and Mid-America, linking three coasts: 

• the Atlantic 
• the Pacific 
• the Gulf of Mexico 

7. Manulife Financial Corporation (TSX: MFC) 

Average dividend yield in five years: 3.77 percent  
Market capitalization: $72 billion 

Manulife, with over 130 years of experience, is one of Canada’s largest life insurance providers and among the biggest insurance companies in the world. It is a leader in the industry, known for strong revenues and a globally recognized brand. 

Through Manulife Wealth & Asset Management, the company provides investment and financial planning services worldwide. As of 2024, it employs over 37,000 people, works with 109,000 agents, and has thousands of partners. Together, they’re serving more than 36 million customers across the globe. 

It operates under the Manulife name in Canada, Asia, and Europe, while in the United States it does business as John Hancock. 

8. Alimentation Couche-Tard (TSX: ATD) 

Average dividend yield in five years: 0.94 percent  
Market capitalization: $67 billion 

Alimentation Couche-Tard is considered one of the best long-term stocks on the TSX, offering stability, positive yields, and steady income. 

It is a leading convenience store operator with a large market cap and also sells fuel while providing electric vehicle charging through Ingo. Its well-known brands include Quebec-based Couche-Tard and Circle K, both major convenience store chains. 

The company expanded its presence in the United States by acquiring another convenience store chain several years ago. Alimentation Couche-Tard’s current P/B ratio is 3.20, reflecting its strong market position and consistent performance in the retail and fuel sectors. 

9. Bell Canada Enterprises (TSX: BCE) 

Average dividend yield in five years: 6.26 percent 
Market capitalization: $30 billion 

Bell Canada Enterprises is a leading telecom company that controls a significant share of the market. With its move toward 5G, Bell is positioned for continued growth in the coming decades. 

The company has strong financial results, substantial assets, and well-known brands recognized across the country. It has also maintained a long history of paying reliable dividends to its shareholders. Bell’s current P/B ratio stands at 1.91. 

10. Algonquin Power & Utilities (TSX: AQN)  

Average dividend yield in five years: 4.97 percent 
Market capitalization: $6.25 billion  

Algonquin Power & Utilities Corp. serves over 1.2 million customers across North America, providing: 

• water 
• electric 
• natural gas 
• wastewater services 

The company grows by expanding within its current service areas and acquiring other utility systems. In recent years, it has expanded internationally by acquiring Bermuda Electric Light Company and ESSAL in Chile. It also purchased New York Water to strengthen its presence in the United States. 

To reduce emissions, Algonquin retired its Asbury coal plant and launched 600 megawatts of wind power. In 2025, it became a pure-play regulated utility after selling its non-regulated energy business, focusing entirely on regulated utility operations. 

What is a long-term stock? 

For those who are new in the industry or still aspiring to join, long-term stocks are shares that investors plan to hold for several years. This is in contrast with trading in the short term. Many investors think of three to five years as the starting point, but some hold their long-term stocks for decades. 

The goal is to give the company enough time to grow its business, increase profits, and raise its value. Using fundamental analysis to pick the best long-term stocks can be an effective way to identify companies with potential for steady growth over time. 

As for investors, they usually choose long-term stocks after looking at several factors. These can include the company’s financial health as well as: 

• its potential to expand 
• how well it competes in its industry 
• whether that industry is stable or growing 

Companies with strong balance sheets and reliable earnings are often considered good candidates for long-term investment.  

Holding long-term stocks has several benefits such as: 

• it allows investors to ride out short term market volatility 
• it gives more time for compounding to work, as earnings and dividends are reinvested 
• it reduces the pressure to react emotionally to short term price changes 
• it can lower trading costs because there are fewer buy and sell transactions 

Investors can concentrate on the underlying strength of the business instead of daily price movements when they go for long-term investing. This approach often leads to more consistent results over time. 

Performance patterns of long-term stocks 

Like blue chip stocks, long-term stocks have a history of steady returns. They often provide these returns with less price fluctuation compared to smaller stocks or those with higher market risk. 

Portfolios with significant long-term stock exposure can see: 

• smaller losses during market downturns 
• steadier performance over many years 
• higher Sharpe ratios when holdings combine strong returns with lower volatility 

Recommending the best long-term stocks requires a clear plan 

Helping clients choose the best long-term stocks is more than selecting individual companies. It requires providing them with a clear plan that addresses how the portfolio can grow over time. This strategy should look at how each investment might increase in value. It should also examine how each investment can provide regular income for the client. 

You should also guide your clients in picking companies with solid financial strength. They can look for businesses with proven leadership that have shown the ability to keep market share. These companies are often better at holding their value during market changes. They are also more likely to deliver steady returns. 

Check out our Investor Resources page to read more about the best long-term stocks and other valuable insights.