Something to Buy May 2026

Note: I am changing from using the Historical Median dividend yield to the 10 year median dividend yield.

There is always something to buy in the stock market. On Tuesday, I put out a list of the stocks that I covered and showed what stock might be a good deal based on dividend yield. Now I am trying to categorize what sorts of stocks may be a good deal based on dividend yield. The dividend yield test in this note is a quick way of finding possible stock buys. See my Spreadsheet.

The advantages to using dividend yield to judge how cheap or expensive a stock is, is that you are not using estimates or old data (like last reported quarter's data). You are using today's stock price and today's dividend yield. However, this is just a place to start. It is a good idea to check the stock price with other tests, especially the P/S Ratio test. For other testing, like P/E Ratios, P/S Ratios, P/CF Ratios, P/BV Ratios and Price/Graham Price Ratios, you use estimates or data from the last reported financial quarter.

If a stock is showing as a buy using the dividend yield test, I usually like to verify it is a buy by doing a P/S Ratio test. Here you compare the current P/S Ratio to the 10 year median P/S Ratio. If the current P/S Ratio is lower than the 10 year median, then the stock is a buy. I note that Morningstar gives a current P/S Ratio. The 10 year median ratio is shown in my review of a stock. The 10 year median ratio in a review is good for one year from the date of review.

This historical dividend yield test does not work well for old Income Trust companies. These companies had quite high Dividend Yields which will probably never be seen again. So, I started a column called VT (for Valid Test) and this applies to checking stock price using dividend yield. If it is not a valid test, I use N to show this. For these stocks, you might be better comparing the current dividend yield to the 10 year median dividend yield.

However, no system is perfect. But if you are interested in buying a stock a list of stocks cheap or reasonable using dividend yield data might be a good place to start.

Categorizing stocks is not as simple as it might seem. Every site you go to has categorized stocks a bit differently. I try to keep this as simple as possible. See Something to Buy May 2026 Spreadsheet above to see what stocks are showing whether a stock is relatively cheap based on historical high dividend yields (P/Hi), historical median dividend yields (P/Med), 10 year high dividend yields (P/10Hi), or 10 year median dividend yields (P/10Yr). As in other spreadsheets, you can highlight a line or several lines for better viewing.

In the following notes I am only going to list stocks showing as cheap using the historical high dividend yields (P/Hi) and 10 year median dividend yields (P/10Y). This is a change from what I was doing before as I was doing the historical median before this blog posting.

I follow 20 stocks in the Consumer Discretionary category. Three of these stocks (15%) are showing as cheap by the historically high dividend yield. They are BRP Inc (TSX-DOO, NASDAQ-DOOO), Molson Coors Canada (TSX-TPX.B, NYSE-TAP) and TWC Enterprises Ltd (TSX-TWC, OTC-CLKXF). BRP Inc (TSX-DOO, NASDAQ-DOOO) has been added to this list

Eleven (55%) of Consumer Discretionary are showing cheap by 10 year median dividend yield. They are BRP Inc (TSX-DOO, NASDAQ-DOOO), Canadian Tire Corp (TSX-CTC.A, OTC-CDNAF), High Liner Foods (TSX-HLF, OTC-HLNFF), Leon's Furniture (TSX-LNF, OTC-LEFUF), Linamar Corporation (TSX-LNR, OTC-LIMAF), Magna International Inc. (TSX-MG, NYSE-MGA), Molson Coors Canada (TSX-TPX.B, NYSE-TAP), Richards Group Inc (TSX-RIC, OTC-RPKIF), Richelieu Hardware Ltd (TSX-RCH, OTC-RHUHF), Thomson Reuters Corp (TSX-TRI, NASDAQ-TRI) and TWC Enterprises Ltd (TSX-TWC, OTC-CLKXF). Richards Group Inc (TSX-RIC, OTC-RPKIF) has been added to this list.

I follow 13 Consumer Staples stocks. No stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

Nine stocks (69%) are showing cheap by 10 year median dividend yield. These are Alimentation Couche-Tard (TSX-ATD.B, OTC-ANCUF), Andrew Peller Ltd (TSX-ADW.A, OTC-ADWPF), Empire Company Ltd (TSX-EMP.A, OTC-EMLAF), Jamieson Wellness Inc (TSX-JWEL, OTC-JWLLF), Lassonde Industries (TSX-LAS.A, OTC-LSDAF), Maple Leaf Foods Inc (TSX-MFI, OTC-MLFNF), Metro Inc (TSX-MRU, OTC-MTRAF), Premium Brands Holdings Corp (TSX-PBH, OTC-PRBZF), and Saputo Inc. (TSX-SAP, OTC-SAPIF). KP Tissue Inc (TSX-KPT, NYSE-KPTSF) has been removed from this list. Premium Brands Holdings Corp (TSX-PBH, OTC-PRBZF) has been added to this list

I follow Six Health Care stocks. One of these stocks (17%) is showing as cheap by the historically high dividend yield. It is Medtronic Inc. (NYSE-MDT). Medtronic Inc. (NYSE-MDT) has been added to this list.

One stocks (17%) are cheap by the 10 year median dividend yield. The stock is Medtronic Inc. (NYSE-MDT). There is no change from last month.

I follow 8 Energy stocks. No stocks (0%) are showing as cheap by the historical high dividend yield. There is no change from last month.

There are two stocks (25%) showing as cheap by 10 year median dividend yield. They are Cenovus Energy Inc (TSX-CVE, NYSE-CVE), and Mullen Group (TSX-MTL, OTC-MLLGF). Canadian Natural Resources (TSX-CNQ, NYSE-CNQ) has been removed from this list.

I follow 26 Financial stocks under the categories of Banks (7), Financial Services (14), and Insurance (5).

I follow 7 Bank stocks. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

No stocks (0%) are showing as cheap by 10 year median dividend yield. Bank of Nova Scotia (TSX-BNS, NYSE-BNS) has been removed from this list.

I follow 14 Financial Service stocks. One of these stocks (7%) are showing as cheap by the historically high dividend yield. It is Firm Capital Mortgage Invest. Corp (TSX-FCR.UN, OTC-FCMGF). There is no change from last month

Five stocks (36%) are showing as cheap by the 10 year median dividend yield. These stocks are Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF), EQB Inc (TSX-EQB, OTC-EQGPF), Firm Capital Mortgage Invest. Corp (TSX-FCR.UN, OTC-FCMGF), Goeasy Ltd (TSX-GSY, OTC-EHMEF), and Propel Holding Inc (TSX-PRL, OTC- PRLPF). Element Fleet Management Corp (TSX-EFN, OTC-ELEEF) has removed from this list.

I follow 5 Insurance stocks. None of these stocks (0%) is showing as cheap by the historically high dividend yield. There is no change from last month.

No stocks (0%) are showing as cheap by 10 year median dividend yield. Great-West Lifeco Inc (TSX-GWO, OTC-GWLIF), Manulife Financial Corp (TSX-MFC, NYSE-MFC), and Sun Life Financial (TSX-SLF, NYSE-SLF) have been removed from this list.

I follow 32 Industrial stocks. Because I have so many in Industrial, I have divided my Industrial stocks into 4 separate categories under Industrial. They are Construction (7), Industrial (3), Manufacturing (5) and (Business) Services (17). Titanium Transportation Group Inc (TSX-TTNM, OTCQX-TTNMF) was in the Services section and it was bought out.

I have 7 Construction stocks. No stock (0%) is showing as cheap by the historically high dividend yield. There is no change from last month.

No stock (0%) is showing as cheap by 10 year median dividend yield. There is no change from last month.

I have 3 stocks left with the sub-index of Industrial. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

No stock (0%) is showing as cheap by 10 year median dividend yield. There is no change from last month.

I have 5 Manufacturing stocks. None of these stocks (0%) are showing as cheap by the historically high dividend yield. There is no change from last month.

One stock (14%) is showing as cheap by 10 year median dividend yield. It is Exco Technologies Ltd. (TSX-XTC, OTC-EXCOF). There is no change from last month.

I follow 17 Services stocks. Two stocks (11%) are showing as cheap by the historically high dividend yield. It is Canadian National Railway (TSX-CNR, NYSE-CNI.) and Transcontinental Inc (TSX-TCL.A, OTC-TCLAF). There is no change from last month.

Nine stock (53%) are showing as cheap by 10 year median dividend yield. They are Canadian National Railway (TSX-CNR, NYSE-CNI), Canadian Pacific Kansas City Ltd (TSX-CP, NYSE-CP), Dexterra Group Inc (TSX-DXT, OTC-HZNOF), McCoy Global Inc (TSX-MCB, OTC-MCCRF), Pason Systems Inc (TSX-PSI, OTC-PSYTF), Pulse Seismic Inc (TSX-PSD, OTC-PLSDF), Transcontinental Inc (TSX-TCL.A, OTC-TCLAF), and Trican Well Service Ltd (TSX-TCW, OTC-TOLWF), and Waste Connections Inc (TSX-WCN, NYSE-WCN).

Algoma Central Corporation (TSX-ALC, OTC-AGMJF) has been removed from this list. Canadian Pacific Kansas City Ltd (TSX-CP, NYSE-CP), Dexterra Group Inc (TSX-DXT, OTC-HZNOF), McCoy Global Inc (TSX-MCB, OTC-MCCRF), Pulse Seismic Inc (TSX-PSD, OTC-PLSDF), and Waste Connections Inc (TSX-WCN, NYSE-WCN), have added to this group

I follow 10 Material stocks. One stock (10%) is showing as cheap by the historically high dividend yield. It is Barrick Mining Corp (TSX-ABX, NYSE-B). There is no change from last month.

Five stock (50%) is showing as cheap by 10 year median dividend yield. They are Adentra Inc (TSX-ADEN, OTC-HDIUF), Barrick Mining Corp (TSX-ABX, NYSE-B), CCL Industries (TSX-CCL.B, OTC-CCDBF), Stella-Jones (TSX-SJ, OTC-STLJF), and Supremex Inc (TSX-SXP, OTC-SUMXF). Adentra Inc (TSX-ADEN, OTC-HDIUF), and Supremex Inc (TSX-SXP, OTC-SUMXF) has been added to this list.

I follow 9 Real Estate stocks. No stock (0%) is showing as cheap by historically high dividend yield. There is no change from last month.

Three stocks (33%) are showing as cheap by 10 year median dividend yield. They are Allied Properties REIT (TSX-AP.UN, OTC-APYRF), FirstService Corp (TSX-FSV, NASDAQ-FSV), and SmartCentres REIT (TSX-SRU.UN, OTC-CWYUF). Melcor Developments Inc. and (TSX-MRD, OTC-MODVF) has been removed from this list.

I follow 4 of the Telecom Service stocks. Two of the stocks (50%) are showing as cheap by historically high dividend yield. They are Cogeco Communications Inc (TSX-CCA, OTC-CGEAF), and Telus Corp (TSX-T, NYSE-TU). There is no change from last month.

Three stocks (75%) are showing cheap by 10 year median dividend yield. These stocks are Cogeco Communications Inc (TSX-CCA, OTC-CGEAF), Quebecor Inc (TSX-QBR.B, OTC-QBCRF) and Telus Corp (TSX-T, NYSE-TU). BCE (TSX-BCE, NYSE-BCE) has been removed from this list.

I follow 7 Tech stocks. One stock (14%) is showing as cheap by historical high dividend yield. It is Enghouse Systems Limited (TSX-ENGH, OTC-EGHSF). There is no change from last month.

Two stock (28%) are showing cheap by 10 year median dividend yield. They are Enghouse Systems Limited (TSX-ENGH, OTC-EGHSF), and Evertz Technologies (TSX-ET, OTC-EVTZF). There is no change from last month.

I follow 8 of the Infrastructure Type stocks. No stock (0%) is showing as cheap by historical high dividend yield. There is no change from last month. South Bow Corp (TSX-SOBO, NYSE-SOBO) is showing as cheap, but I have little data on this stock. I am waiting to have more data on this stock.

No stock (0%) is showing cheap by 10 year median dividend yield. It is are. Enbridge Inc. (TSX-ENB, NYSE-ENB) has been removed from this list. South Bow Corp (TSX-SOBO, NYSE-SOBO) is showing as cheap but I have little data on this stock.

I follow 8 of the Power Type utility companies. No stock (0%) is showing as cheap by historical high dividend yield. There is no change from last month.

One stocks (13%) are showing as cheap by 10 year median dividend yield. It is Boralex Inc (TSX-BLX, OTC-BRLXF). ATCO Ltd (TSX-ACO.X, OTC-ACLLF) has been removed from this list.

On my other blog I wrote yesterday about Canadian Natural Resources (TSX-CNQ, NYSE-CNQ) ... learn more. Next, I will write about Barclays PLC ADR (LSE-BARC, NYSE-BCS) ... learn more on Friday, May 8, 2026 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk . The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.