In current market conditions, it makes sense to look for companies with solid growth programs that will generate steady increases in revenue and cash flow to fuel continued dividend growth.
Fortis
Fortis (TSX:FTS) recently increased its dividend by 4.1%. This marks 52 consecutive years of dividend growth for the Canadian utility.
Fortis operates natural gas distribution companies, power generation facilities and electricity transmission networks. These companies generate rate-regulated revenues that are generally predictable and reliable. That’s important for investors to consider when deciding which stocks to add to a dividend portfolio. Households and businesses need electricity and natural gas regardless of the state of the economy, so Fortis should be a good stock to own during an economic downturn.
Fortis grows through acquisitions and development projects. The current five-year capital program is set at $28.8 billion. This is expected to increase the interest base from about $42 billion in 2025 to nearly $58 billion in 2030. As the new assets are completed and begin generating income, the jump in cash flow should support continued annual dividend increases in the 4% to 6% range.
Fortis generated adjusted net income of $1.32 billion in the first nine months of 2025, compared to $1.21 billion in the same period last year.
Investors who buy Fortis at the current price can get a dividend yield of 3.5%. That’s lower than the yield available on other dividend stocks, but the return on initial investment increases with each dividend increase, and the dividend growth guidance is attractive to income investors.
Enbridge
Enbridge (TSX:ENB) is one of Canada’s largest companies with a current market capitalization of almost $150 billion. The company is best known for its oil and natural gas pipeline networks that transport approximately 30% of the oil produced in Canada and the United States, and 20% of the natural gas used by American homes and businesses.
In recent years, however, Enbridge has diversified its asset portfolio. The company purchased an oil export terminal in Texas and is a partner in the Woodfibre liquefied natural gas (LNG) facility being built on the coast of British Columbia. Exports of Canadian and American energy products are expected to rise in the coming years as countries look for stable producers for their supplies.
Enbridge bought the third-largest U.S. wind and solar developer to boost its renewable energy group. Additionally, Enbridge has spent $14 billion to buy three U.S. natural gas companies in 2024. Solar projects and gas-fired power generation facilities are being built to supply electricity to new AI data centers in the United States. Enbridge’s strategic position in the market gives the company an edge in the industry.
Enbridge generated $4.66 billion in adjusted profits in the first three quarters of 2025, compared to $4.40 billion last year.
The share has made a good recovery over the past two years. More gains could be on the way. Enbridge is pursuing a $35 billion capital program to drive revenue and cash flow growth over the medium term. This should enable continued dividend growth that could match expected annual distributable cash flow growth of 3% to 5%. Enbridge has increased its dividend every year for the past thirty years.
Investors who buy ENB stock at current levels can get a dividend yield of 5.5%.
The bottom line
Fortis and Enbridge pay attractive dividends that are expected to continue to grow. If you have some money to work on in a dividend portfolio, these stocks deserve to be on your radar.
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