Topic: How To Invest

The Successful Investor Hotline – Friday, May 7, 2021

Article Excerpt

FORTIS INC., $54.97, Toronto symbol FTS, is your #1 Income buy for 2021. The company is the main supplier of electrical power in Newfoundland and PEI. Fortis also owns electrical utilities across Canada, the U.S. and the Caribbean. In addition, the company distributes natural gas in British Columbia, Arizona and New York State. Fortis has raised its dividend each year for the past 47 years. That includes a 5.8% increase starting with the December 2020 quarterly payment. Investors now receive $0.505 a share instead of $0.4775. The new annual rate of $2.02 yields 3.7%. In the three months ended March 31, 2021, Fortis’s revenue improved 6.2%, to $2.54 billion from $2.39 billion a year earlier. That gain reflects the recent startup of new projects and higher power rates in Arizona. The latest revenue figure also topped the consensus forecast of $2.50 billion. Thanks to the higher revenue, the company’s earnings gained 14.3%, to $360 million from $315 million a year earlier. However, due to…