We May See a Recovery in These Two Canadian Stocks in 2023

Canadian stocks have faced challenges in 2022 from rising rates, inflation, and economic uncertainty.

[{"selector":"#anim-3c26d4a8-2c7d-4f57-ab19-9dbae88f61f7 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

Some quality dividend stocks now appear oversold and poised for a potential rebound in 2023.

[{"selector":"#anim-83a2d443-42e9-44fb-9d4d-4ee624fc7a5e [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

Canadian Pacific Railway has seen its stock price decline around 13% recently.

[{"selector":"#anim-97be9638-c94c-4ba9-86f4-ea98f111c211","keyframes":{"transform":["translate3d(-100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d083da11-c704-48b5-a867-d3684efcc3f2","keyframes":{"opacity":[0,1]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-3fcdf4ee-e0b2-4c64-a612-0d607962b622","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-443080b0-d7ba-4ca0-a160-472109892605","keyframes":{"transform":["translate3d(-106.57895%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ad0e30c3-4a9c-4bf0-abcd-b69d96911e01","keyframes":{"opacity":[0,1]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8b093aba-7697-4369-b931-612bac4c8e57","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-bb2cda9e-d560-4574-8345-49e10f77d2a0 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

Network savings and its Kansas City Southern acquisition provide CP long-term potential despite industry challenges.

[{"selector":"#anim-cec683d8-5c61-4fa2-adc5-0d3d0b8f35bd [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

CP is vulnerable to a recession hurting volumes but could surge when growth returns.

[{"selector":"#anim-00d85745-50d8-48bd-907f-615cf2ba0bc9 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

Rogers Communications offers a steady telecom dividend with growth upside.

[{"selector":"#anim-b5ffeb1e-46a6-4aa8-a052-daac53b07b2c","keyframes":{"transform":["translate3d(-101.74564%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-7fd62486-1fc0-4aae-b4bb-4c94b4fb73b9","keyframes":{"opacity":[0,1]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ed691943-c86a-47eb-9064-e827c3b82034","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-2770bd07-fa7c-4c76-885c-0c1ff2acb5bc","keyframes":{"transform":["translate3d(-104.34782%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d4c1b2fe-da36-4b17-ba61-3aaf8c5c60ef","keyframes":{"opacity":[0,1]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-cdf21694-6d2f-46cd-91e0-8cb648d031b7","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":1500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-309c6c86-271c-40a4-940a-cc7bf2d8f132 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

Rogers aims to close its Shaw acquisition soon to become the number two telecom player.

[{"selector":"#anim-18b21376-0e17-4348-b88b-3ea80a146f93 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

Rogers has stable cash flows even in downturns and a strong balance sheet to support its dividend.

[{"selector":"#anim-2b2ff467-31b7-4dd2-90f6-8b7af2cb3789 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com

Canadian equities CP and Rogers have competitive advantages and dividend histories for oversold recovery possibilities.

[{"selector":"#anim-8d92ff0b-13d6-453d-b4ab-cba0e3ac9ff1 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Photo: Pexels.com