Canadian Utilities Limited
CU-X.TO (TSX)
Canadian Utilities Limited (TSX:CU) stands out as a reliable dividend-paying utility, offering a 5.53% yield that makes it appealing for income-focused investors. Despite a recent one-year return of -9.71%, the company targets a robust revenue projection of CA$4.6 billion and an earnings goal of CA$808.3 million by 2028, necessitating a steady annual growth rate of 7.4%. This strategy positions Canadian Utilities as a strong contender for those seeking consistent payouts from financially healthy operations in the energy sector.
Pros:
- Reliable dividend payments
- Diverse utility operations
Cons:
- Negative 1-year return
- Limited growth in recent years
Canadian Utilities Limited (CU-X.TO) may be suitable for income-focused investors who prioritize dividend yields over short-term capital appreciation, given its current yield of 5.53% and stable operations in the utility sector. However, potential investors should consider the recent decline in one-year returns and assess whether they align with the company’s long-term growth projections and risk tolerance.