3 TSX Dividend Stocks With 5% Yields for Reliable Income

Cooling US wage growth has taken some heat out of inflation expectations, and that puts reliable income in the spotlight. When pay packets feel less certain, investors often look harder at portfolios for steady cash flow. That is where Dividend Fortresses come in, with 5%+ yields that can help turn market noise into regular income. This article walks through 3 standout stocks from that screener.

The 3 Dividend Fortresses covered below are only a starting sample, and the full screen surfaced 2 more companies with equally compelling income stories that are not included in this article. To see the complete list, analyze payout strength and identify your own high conviction ideas, head straight to the Dividend Fortresses screener.

Amerigo Resources (TSX:ARG)

Amerigo Resources is a Vancouver based company that produces copper and molybdenum concentrates in Chile through its Minera Valle Central operation, which processes material from Codelco’s El Teniente mine. All of its reported revenue of about $276 million comes from copper concentrate production under a tolling agreement with DET. The stock has a market cap of roughly CA$1.35b, which puts it firmly in mid cap territory on the TSX.

Amerigo Resources has caught income investors’ attention because its core Chilean operation is turning profitability into cash returns, with earnings reported as rising in 2026 and both a regular quarterly dividend and a special dividend declared. That combination of a 20.9% net margin and an ROE above 50% is uncommon in the metals and mining sector. At the same time, the company carries funding risk due to its reliance on external borrowing, and recent insider selling raises questions about how management views the current share price. For investors weighing a high yield copper producer, the balance between these strengths and risks could make Amerigo Resources worth a closer look.

Amerigo Resources is turning a single Chilean asset into hefty margins, cash returns and a double layered dividend. To see how that story compares with funding risk and insider selling, read the 1 key reward and 2 important warning signs

Build your own high yield copper and cash flow shortlist

Amerigo Resources and the two other Dividend Fortresses in this article all surfaced from a single Simply Wall St screen, but the real edge comes when you set your own rules. Use our flexible Screener to mix filters like yield, balance sheet strength and risks to match your style, or tap into our curated Investing Ideas for ready made starting points.

PHX Energy Services (TSX:PHX)

PHX Energy Services provides horizontal and directional drilling services and rents drilling motors and measurement while drilling tools to oil and gas producers across Canada, the US, the Middle East and other markets. Its tool set ranges from real time guidance systems to rotary steerable systems and gyro surveying, making it a full service partner for complex wells. The stock has a market cap of about CA$536 million, which places PHX Energy Services in the mid cap bracket on the TSX.

Income focused investors may find PHX Energy Services interesting because it combines a high dividend yield of 6.83% with earnings that analysts expect to grow at double digit rates over the coming years, supported by recent Q2 2026 profit of CA$11 million. The stock also trades well below Simply Wall St’s estimated fair value, which can appeal if you are looking for income with potential upside. The trade off is that the dividend is not well covered by free cash flow and the company relies on external borrowing, so cash generation and balance sheet strength deserve close attention before treating this as a core Dividend Fortress holding.

PHX Energy Services pairs a 6.83% yield with mid cap scale and global reach, yet the real story sits in how that income profile compares with cash generation and borrowing. Get the full picture in the PHX Energy Services financial health report

Freehold Royalties (TSX:FRU)

Freehold Royalties is a Calgary based royalties company that earns a cut of production from oil, gas, NGL and potash assets without funding drilling or operating costs itself. In 2025 it reported about C$322 million of revenue from oil and gas exploration and production royalties, split between Canada and the US, and has a market cap of roughly C$2.8b.

Freehold Royalties offers something many income investors look for: a high margin royalty model that converts a large share of its C$313 million revenue into funds from operations while avoiding direct drilling risk. Recent quarters show rising FFO, record revenue and higher net income supported by stronger commodity prices and active drilling in the Permian Basin, although production volumes have not moved in lockstep. The trade off is a rich 6.38% yield that is not well covered by earnings or free cash flow and depends heavily on commodity prices and operator activity. For investors who want to understand whether this top line royalty model and US tilted portfolio justify the payout and funding risks, Freehold Royalties deserves a closer look beyond the headline yield.

Freehold Royalties is turning a high margin royalty model and rich 6.38% yield into a compelling income story, yet the real tension sits in how sustainable that payout truly is. Get the missing context in the 2 key rewards and 1 important major warning sign

Seeking Fresh Alternatives Before Others Do

Fresh ideas move first when momentum builds and quality stocks can be flying before most investors even notice. Check these curated shortlists while they are still under the radar for now and consider them while they are still early in their cycle.

• Look for potential value opportunities where quality meets mispricing by scanning the 14 high quality undervalued stocks that filters for strong cash flows and balance sheets.
• Explore growing demand for smarter infrastructure with the 37 power grid technology and infrastructure stocks focused on companies tied to grid upgrades, reliability and electrification.
• Review the 37 robotics and automation stocks that highlights businesses involved in long term trends in robotics, factory efficiency and intelligent hardware.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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