Hydro One Ltd
H (TSX)
Hydro One Ltd stands as a major electricity transmission and distribution provider in Ontario, with a promising role in the Solactive Canada Utilities Index adjustment set for February 5, 2026. Investors can appreciate a solid dividend yield of 2.53% alongside impressive returns of 19.31% over the past year and 79.73% over five years, indicating strong performance potential. With a B- analyst rating, it presents an attractive option for those seeking reliable income from financially healthy companies in a stable sector.
Pros:
- Consistent dividend payments
- Strong growth in 5-year return
Cons:
- Lower yield compared to some competitors
- Dependence on regulatory environment
Hydro One Ltd may be a suitable investment for those looking for a combination of income and growth potential in the utility sector, particularly given its solid dividend yield and strong historical returns. However, investors should consider their risk tolerance and investment goals, as the stock's performance is tied to the regulated energy market in Ontario.