Kalkine Media -
Highlights
- In Q4 2022, Fortis (TSX:FTS) witnessed a significant surge in its net earnings as they went up from C$ 328 million in Q4 2021 to C$ 370 million.
- The price-to-earnings (P/E) ratio of the FTS stock was 20.5, and its return on equity (ROE) was 7.1 per cent.
- The CU stock paid a quarterly dividend of C$ 0.449 per share, and its dividend yield was 4.77 per cent.
By saying this, we don't mean that one should only opt for utility stocks, as there's no guarantee in a stock market. Investors must understand that both technical and fundamental analysis is important before buying equities.
Let's explore two Canadian utility stocks in this article and see what's happening with them:
Fortis Inc . (TSX: FTS) The C$ 27.8 billion market cap utility company often remains on the radar of market enthusiasts as it is one of the leading companies in the country.
In Q4 2022, Fortis witnessed a significant surge in its net earnings as they went up from C$ 328 million in Q4 2021 to C$ 370 million, reflecting a surge of 42 per cent year-over-year (YoY).
FTS stock is expected to pay a dividend of C$ 0.565 per share on June 1, and its dividend yield was 3.9 per cent at the time of writing.
During the trading session on March 30, the FTS stock noted a price surge of one per cent and closed at C$ 57.72 per share.
The price-to-earnings (P/E) ratio of the FTS stock was 20.5, and its return on equity (ROE) was 7.1 per cent.
Canadian Utilities (TSX: TSX:CU) Canadian Utilities Ltd , a division of the holding firm Atco (TSX:ACOx), provides gas and electricity services. The company majorly operates in Canada and Australia, while it has some operations in the United States and Mexico.
In 2022, the adjusted earnings of Canadian Utilities were C$ 655 million compared to C$ 586 million in 2021. Meanwhile, in Q4 2022, it was C$ 180 million, down from C$ 192 million in Q4 2021.
The company also mentioned in its financial report that it invested C$ 452 million in capital expenditures, and of the total investment, 85 per cent was invested in regulated utilities.
The CU stock paid a quarterly dividend of C$ 0.449 per share, and its dividend yield was 4.77 per cent.
Please note, the above content constitutes a very preliminary observation based on the industry and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.