# Defence Investment Agency Drives TSX Stocks

> National Bank adds Atco and three stocks to dividend all-stars portfolio.
- Title: Defence Investment Agency Drives TSX Stocks · Financialpost
- Summary: National Bank adds Atco and three stocks to dividend all-stars portfolio. National Bank raised price targets for Atco, Brookfield, MCAN Mortgage and Open…
- Keywords: atco, national bank, dividend all-stars, brookfield asset management, mcan mortgage corp, open text corp, tsx, price target, money, business, Defence, Investment
- Source: Financialpost — https://financialpost.com/investing/canada-defence-investment-agency-driver-tsx-stocks
- Read time: 1 min
- Topics: atco, national bank, dividend all-stars, brookfield asset management, mcan mortgage corp, open text corp, tsx, price target, money, business
## Atco Shares Jump
Atco Ltd. shares rose 10 per cent this week before paring gains after announcing a $14.3 billion sale of its Canadian Utilities Inc. subsidiary to Emera Inc.

> Atco Ltd. (ACO/X:TSX) jumped 10 per cent this week before paring some of those gains after it announced Oct. 5 that it was selling its Canadian Utilities Inc. subsidiary to Emera Inc. (EMA:TSX) for $14.3 billion.
## Price Targets Hiked
National Bank raised Atco's price target to $93 from $79, while RBC and TD Cowen increased theirs to $94 and $98 respectively.

> National Bank of Canada Capital Markets analyst Patrick Kenny hiked his price target for the shares of what he dubbed the "new Atco" to $93 from $79, saying the company will have $700 million at hand including an injection from Emera, plus $250 million in Emera shares as part of the deal.
## Dividend All-Stars Update
National Bank added four stocks to its dividend all-stars portfolio with an average yield of 4.9 per cent, outperforming the S&P/TSX composite index.

> National Bank of Canada Capital Markets just updated its portfolio of dividend all-stars for the second half, which carries an average yield of 4.9 per cent, compared with the yield on the 10-year Government of Canada bond of approximately four per cent.
## Brookfield Added
Brookfield Asset Management Ltd. made the cut with a dividend yield of 4.5 per cent and earnings growth in the high teens.

> Brookfield Asset Management Ltd. (BAM:TSX) made the cut on an earnings growth outlook in the high teens and a dividend yield of 4.5 per cent, which, since 2022, is up approximately 57 per cent.
## MCAN Mortgage Added
MCAN Mortgage Corp. offers better positioning in adverse credit scenarios with a five per cent dividend yield.

> MCAN Mortgage Corp. (MKP:TSX) offers "better positioning in an adverse credit scenario." It has a yield of five per cent and a target price of $27.
## Open Text Added
Open Text Corp. has a long track record of dividend increases since fiscal year 2013 with a 4.8 per cent dividend yield.

> Open Text Corp. (OTEX:TSX) has a long track record of dividend increases since fiscal year 2013. The company has a dividend yield of 4.8 per cent and National expects it to sustain that.
## Key takeaway

National Bank raised price targets for Atco, Brookfield, MCAN Mortgage and Open Text after their dividend growth and strategic moves.