- Fortis Inc. (FTS)
- iShares S&P/TSX Capped Utilities Index ETF (XUT)
- Hydro One Limited (H)
- Brookfield Renewable Corporation Class A Exchangeable Subordinate Voting Shares (BEPC)
Q: As per today, could you provide your best 3 Cdn Utility stocks for the next 5 yrs for total return (stock appreciation + div).
Thanks
Thanks
5i Research Answer:
We like BEPC, FTS, and H for total return over the next several years.
FTS is the largest Canadian utility company and has a strong yield of 4.3%, and a five-year total return of 60%. H is not far behind FTS in market cap, and has a strong sales growth rate and a five-year total return of 126%. We also like BEPC, which is roughly half the size of FTS, but has a strong sales growth rate, solid profit margins, and a good dividend yield of 4.2%.