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TSE:FTS

Fortis Inc. (FTS.TO)

79.14
-0.13 (0.16%)
as of Jun 19, 2026, 8:00:00 pm Market Open.
995 watching
0
BUY
Totally defensive which you need now. 98% of their revenue is rate-regulated utilities, so there's little risk. It has been growing for a long time. They deploy capital to wisely build their grid or repair their infrastructure. They grow their capital base, earnings and dividend by 6% annually. Shares yield close to 4%. That's a 10% return annually. Some feel the PE is too high, but he's fine with Fortis.
BUY ON WEAKNESS
Key to any utility is you have to factor the inflation rate into your return. If inflation gets sticky, around 5-6%, you'll have a negative rate of return. You want to get this on sale, especially important if you hold it in a taxable account. If inflation goes back to 3-4%, it's not that big an issue. Dividend safe, well-run.
COMMENT
A long term hold with regular cash flow along with slow growth. He prefers AES Corporation since it has more growth especially with the renewables.
HOLD
Pretty low beta, about half of the TSX. Utilities tend to do well in economic downturns, and they've done well recently. As we get into the early stages of the next cycle and economic stability, utilities may fall off a bit. Nice yield of 3.6%.
BUY
A dividend stock for a young investor? Find a dividend-grower like this, growing for 50 straight years.
BUY
As part of his barbell approach, he has pretty good exposure to staples and utilities, and dividend growth in particular. Great record of growing dividend. Yield of 3.5%, growing at 6-7% a year. Won't shoot the lights out if there's a strong market from here, but it will be a steady performer.
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It's a Monthly Gems opinion which is available only for Stockchase Premium

Curated by Allan Tong since 2019.
99+ opinions with 4.15 rating.

TOP PICK

Fortis is building transmission lines to renwewable energy which will de-carbonize their fleet and attract more ESG investment. Renewable energy is big and getting bigger. Fortis shares tend to swing within a range, so pick it up below $60 and watch it ride higher. It currently trades just above $60. The current EPS of $2.65 is double the industry average. Its PE of 22.9x is below the average of 35.1x, but higher than its own forward PE of 20.04x. Fortis is close to fair value now, though recently TD, BMO, Scotiabank and RBC targeted $62-65 for the name. Again, own this for income.

DON'T BUY
It has risen up to its intrinsic value so not much left in the stock.
WEAK BUY
Excellent for retirement. He doesn't own it in favour of better opportunities, which carry higher risk. 35 years of increasing dividends. Dividend will continue to grow, but not massive capital appreciation. Depends what kind of investor you are.
TOP PICK

Half of earnings comes from the US. An income stock. A core holding for her. Pays a 3.5% dividend. Has a long track of increasing that dividend, 6% annually through 2025. Will benefit from greening assets into renewables in the deacade to come. (Analysts’ price target is $59.14)

BUY

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. They are growing their non-regulated hydro electric facilities quickly. Their long term performance record is convincing. They have a high degree of confidence in their ability to adapt to changing demands and preferences. Unlock Premium - Try 5i Free

BUY ON WEAKNESS
Looking at a 10-year chart, the stock tends to peak right at FMV, which it did recently, and now it's on the way down. Tends to bottom at $48. Wait for it. Regular as a German railway timetable.
PAST TOP PICK
(A Top Pick Jan 18/21, Up 15%) It remains a longtime holding, a core income stock that pays 6% which is safe and will increase annually through 2025. A capital plan will support that. They will build transmission lines to renewable energy sources and help de0carbonize their fleet. She'd buy it for income.
BUY
Great company. Electricity, nat gas, biomass. Growth algorithm involves a spend of 22-24B, a lot of money. Regulated rate base. Target growth in dividends is about 6%. Good line of sight to 10% return with very low risk. Well managed. Buy it here comfortably.
BUY
Good dividend grower, close to 4% yield. 6% compound growth rate, which gives you good line of sight to double-digit total return potential. A name you want to think about right now. 12 months from now, growth will be slowing. Steady, consistent growers will be more in focus.
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