If your daily calendar is packed, managing an investment portfolio probably sits at the very bottom of your to-do list. But putting your financial growth on pause isn’t the solution. So if you are too busy to spend time analyzing earnings calls or rebalancing sectors, holding top dividend stocks in your Tax-Free Savings Account (TFSA) is one of the single best moves you can make.
The top dividend stock will generate steady cash flows, increase its distributions over time, and help accumulate tax-free wealth in the background while you focus on your life.
Against this background, here is a TSX stock that deserves a permanent place in your TFSA.
A must-have dividend stock in a TFSA
The TSX has several reliable dividend stocks. Companies such as Fortis (TSX: FTS) and Enbridge (TSX: ENB) have impressive dividend growth records. Fortis, for example, has increased its dividend for 53 consecutive years. Enbridge, on the other hand, has raised its dividend for 31 years and offers a compelling yield.
While both companies offer attractive opportunities for income investors, Canadian Natural Resources (TSX: CNQ) deserves a permanent spot in a TFSA portfolio. CNQ offers exposure to both a growing dividend and the potential for significant capital appreciation.
Canadian Natural Resources has a solid dividend growth record. It recently raised its quarterly dividend to $0.63 per share, marking its 26th consecutive year of increases in 2026. Over the past 26 years, its dividend has grown at an annualized rate of approximately 20%. This consistent growth reflects the company’s ability to generate strong cash flows, supported by its diversified portfolio of long-life, low-decline assets.
In the first nine months of 2026, CNQ returned $10.6 billion to shareholders, including $6.8 billion through dividends and share buybacks and $3.8 billion indirectly through reductions in net debt.
In addition to generating solid income, CNQ has delivered solid capital gains. Its stock has grown at a CAGR of 27% in the last five years, generating capital gains of 230.7%.
During the first nine months of 2026, CNQ has returned $10.6 billion to its shareholders. This included $6.8 billion through dividends and share buybacks.
Another compelling reason to add CNQ stock is its ability to deliver capital gains. Its stock has grown at an annualized rate of over 27% in the past five years, translating into solid gains of around 230.7%.
CNQ’s ability to grow dividends and deliver stellar capital gains makes it a compelling TFSA holding.
The bottom line
Canadian Natural Resources appears well-positioned to sustain dividend growth and generate solid capital gains. Its diversified portfolio of long-life, low-decline assets provides a relatively predictable production profile while reducing the need for substantial recurring capital investment. This operational advantage, combined with disciplined capital allocation, ongoing debt reduction, and selective acquisitions, supports resilient free cash flow and strengthens the company’s ability to navigate commodity price volatility.
Furthermore, CNQ’s extensive proven reserves and substantial undeveloped resource base provide considerable long-term production potential. These assets offer opportunities to expand output, improve operational efficiency, and enhance cash flow.
Overall, CNQ is an attractive income-generating investment for TFSA investors.