The S&P/TSX Capped Financials Index bounced back and rose 1.72% on Thursday, April 28. Still, Canadian stocks have been hit by turbulence in late April in the face of tightening monetary policy. Investors may want to snatch up discounted dividend stocks in this choppy market environment. Today, I want to zero-in on two of my favourites. Let’s jump in.
Canadian Imperial Bank of Commerce (TSX:CM)(NYSE:CM) is the fifth-largest of the Big Six bank stocks. Shares of this bank stock have dropped 4.2% in 2022 as of close on April 28. The stock is still up 12% year over year.
Like its peers, CIBC should receive a boost to its profit margins due to rising rates. On the other hand, this climate will also put pressure on borrowers. That may limit credit growth going forward. This bank stock currently possesses an attractive price-to-earnings ratio of 9.9. Shares of CIBC last had an RSI of 33, putting it just outside of technically oversold territory. It also offers a quarterly dividend of $1.61 per share, representing a solid 4.4% yield.
Labrador Iron Ore Royalty (TSX:LIF) is another dividend stock I’d consider snatching up in late April. This Toronto-based company holds interests in iron ore production to deliver royalties to shareholders. Its shares possess a very favourable P/E ratio of 5.9. The stock last had an RSI of 29, putting git in technically oversold levels. Moreover, it last delivered annual dividends of $6.00 in 2021. That represents a strong 5.6% yield.