Utilities stocks are fairly safe bets on the Toronto Stock Exchange. They pay reliable dividends that any income investor can meet. Plus, compared to other security assets like gold, bonds, and (now) tech, they’re relatively cheap.
Here are three top utility and renewable energy stocks to buy on the TSX before the end of November.
Algonquin Power & Utilities: a stock of utilities to buy
Algonquin Power & Utilities (TSX: AQN) (NYSE: AQN) fell to $ 13.84 on the market close in March, after a 52-week high at $ 22.39. Investors are trading the stock for $ 20.20 a share on Friday. The annual dividend yield is quite good for most income investors at 4.02%.
Algonquin Power & Utilities is a renewable electric power company that owns hydroelectric, wind, solar and thermal facilities. The company released its third quarter 2020 financial results on November 12. Adjusted net earnings per share rose 7% to $ 0.15 per share.
Arun Banskota, President and CEO, commented on the company’s recent acquisitions in his third quarter earnings press release:
“We are pleased to report a strong third quarter, reflecting year-over-year growth in our key financial metrics amid the COVID-19 pandemic, as well as announcements of several exciting growth initiatives. With the completion of the ESSAL and BELCO acquisitions, we have taken a significant step forward in providing secure and reliable essential utilities to over one million customer connections in the United States, Canada, Chile and Bermuda .
Algonquin is probably one of the best utility stocks you can buy on the TSX.
Fortis: dividend increase for 47 consecutive years
Fortis (TSX: FTS) (NYSE: FTS) fell to $ 41.52 during the market close in March, after a 52-week high of $ 59.28. At the time of writing this article, investors are selling the stock for $ 53.34 per share. The annual dividend yield is strong at 3.79%.
Fortis is also an electricity and gas utility company. On October 30, the company announced its results for the third quarter of 2020. Fortis increased its dividend per share for the 47th consecutive year by 5.8%.
Barry Perry, CEO of Fortis, has an exciting new five-year investment plan:
“With our new five-year capital plan and almost all of our assets focused on energy transmission and distribution, Fortis is in a strong position to continue to grow and deliver a cleaner energy future. We are excited about the opportunities ahead. “
It is an excellent dividend payer that offers predictable increases in payments to shareholders. If you’re looking for a large utility company, you can’t go wrong with Fortis.
Brookfield Renewable Partners: Aiming for an Equity Return of 12-15%
Brookfield Renewable Partners LP (TSX: BEP.UN) (NYSE: BEP) fell to $ 34.96 during the March market close before climbing to a new 52-week high at $ 83.62. At the time of writing, investors are trading the stock for $ 74.65 per share. The 3.08% annual dividend yield is solid for a reputable stock like Brookfield.
Brookfield Renewable Partners has renewable energy facilities in North America, South America, Europe, India and China. On November 4, the company released its third quarter results and a three-for-two stock split.
Connor Teskey, CEO of Brookfield Renewable, expects long-term returns of 12-15% for shareholders:
“We had an excellent quarter as we executed a wide range of transactions highlighting the unique strengths and differentiated value of our business. Our strategy for the future is unchanged. We remain focused on growing our business, while continuing to meet our goal of 12-15% long-term returns to shareholders, leveraging our scale and operational expertise to help governments and businesses across the country. around the world to make the transition to a greener future. “
Brookfield is one of the biggest names on TSX. If you’re looking for a great stock to buy before the end of November, you can’t go wrong with a brand like Brookfield.
Fool contributor Debra Ray has no position in any of the stocks mentioned. The Motley Fool recommends FORTIS INC.