Three Canadian tech stocks that pay a dividend

Tara Whittet · Writer
Tuesday at 2:06pm AST · November 3, 2026 4 min read
Last updated on November 3, 2026 at 2:06pm AST

A dividend yield alone tells investors little about whether a stock deserves a place in their portfolio.

In a November 1 article published by The Motley Fool Canada and syndicated on Yahoo Finance, Aditya Raghunath argues that competition from fixed-income investments makes dividend quality particularly important. He highlights three considerations: the potential for payout growth, whether earnings adequately cover the dividend, and the reliability of cash flow.

Those questions also apply to Canadian technology stocks. It’s a very rare occurence, but there are some that do give you a ticket.  OpenText, Enghouse Systems and CGI all pay quarterly dividends, but their business outlooks give investors different factors to weigh alongside the income. Worth your investment dollars? You decide.

OpenText

OpenText’s  (OpenText Stock Quote, Chart, News, Analysts, Financails TSX:OTEX) latest declared quarterly dividend was US$0.28 per share, equivalent to US$1.12 annually if maintained.

The enterprise software company is also pursuing opportunities to help customers use their corporate information in AI applications.

In a November 2025 report covered by Cantech Letter, National Bank analyst Richard Tse maintained an “Outperform” rating and US$45.00 target after attending OpenText World.

Tse’s investment thesis combined the company’s content management capabilities with new AI products, portfolio divestitures and debt reduction. He argued that OpenText’s position in enterprise information management could become increasingly useful as businesses deploy AI applications using proprietary data.

However, execution and customer adoption remained essential. His assessment outlined an opportunity to generate growth from OpenText’s existing business, rather than evidence that the AI transition was complete.

That rating and target date from November 2025. Alongside the dividend, the report provides a framework for assessing whether OpenText can translate its customer relationships and technology into stronger growth.

Enghouse Systems

Enghouse’s (Enghouse Systems Stock Quote, Chart, News, Analysts, Financials TSX:ENGH) latest declared quarterly dividend was C$0.31 per share, equivalent to C$1.24 annually if maintained. It ended its third quarter with C$267.8-million in cash, cash equivalents and short-term investments, and no external debt.

The dividend accompanies a challenging operating outlook.

In September, Cantech Letter reported that TD Cowen analyst David Kwan maintained a “Hold” rating and C$16.00 target ahead of Enghouse’s third-quarter results. Kwan highlighted sustained organic revenue declines, pressure on customer spending, competition and uncertainty surrounding AI.

Slower acquisition activity was another obstacle. Although Enghouse had financial capacity for acquisitions and share repurchases, Kwan said attractive acquisition opportunities had been limited.

RBC analyst Paul Treiber had also lowered his target in June, cutting it to C$18.00 from C$20.00 while maintaining a “Sector Perform” rating. His concerns included deteriorating organic growth and weaker profitability.

Enghouse therefore belongs on a list of dividend-paying technology companies, but its payout should not obscure the negative analyst assessments of its business performance.

CGI Group

CGI’s (CGI Group Stock Quote, Chart, News, Analysts, Financials TSX:GIB.A) latest declared quarterly dividend was C$0.17 per share, equivalent to C$0.68 annually if maintained.

The Montreal-based IT services company is adapting to AI while facing questions about the pace of growth in client spending.

As Cantech Letter reported on April 22, Desjardins analyst Jerome Dubreuil lowered his CGI target to C$149.00 from C$157.00, reflecting reduced fiscal 2026 growth expectations.

Dubreuil said peer results and management commentary suggested little meaningful change in the demand environment. However, he wanted companies to provide clearer evidence of AI’s long-term financial impact on IT services.

Separately, CGI announced an expanded partnership with OpenAI focused on Codex and the deployment of AI agents across software development and business workflows. The company said the relationship would combine OpenAI’s capabilities with CGI’s systems integration and industry expertise.

The partnership gives investors a development to monitor, while Dubreuil’s assessment underscores the need for measurable results. CGI’s dividend adds an income component to an investment case still shaped by client demand, growth and the economics of AI adoption.

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Tara Whittet

Writer

Tara Whittet is Senior Sales Manager at Cantech Letter.

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