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Fortis
Fortis (TSX:FTS) owns and operates nine regulated electric and natural gas utilities, serving 3.5 million customers in the United States, Canada and the Caribbean. Because 100% of assets are regulated and 95% focused on low-risk transfer and distribution, profits remain largely insulated from economic cycles and market volatility, supporting stable, predictable returns. Fortis has increased its dividend for 52 years in a row and currently offers a forward yield of around 3.3%.
The company is also embarking on a five-year capital investment plan worth $28.8 billion, which could see its interest rate grow at a 7% annual rate to $57.8 billion by 2030. Backed by this expansion, management is targeting annual dividend growth of 4-6% throughout the decade, reinforcing its appeal as a reliable long-term investment.
Dollarama
Dollarama (TSX:DOL) is a leading discount retailer with 1,684 stores in Canada and 401 in Australia. The direct purchasing model and efficient logistics enable the company to offer a wide variety of products at attractive prices, supporting stable same-store sales even in uncertain economic conditions. The company plans to grow its Canadian store base to 2,200 and its Australian store base to 700 by fiscal 2034, which should drive sustainable sales and profit growth.
Dollarama also owns a 60.1% stake in Dollarcity, which operates 684 stores in five Latin American countries and aims to reach 1,050 stores by fiscal 2034. With the option to increase its stake to 70%, Dollarama benefits from multiple growth opportunities. The defensive business model and disciplined expansion strategy position the company well for long-term returns.
Waste connections
Waste connections (TSX:WCN) provides non-hazardous solid waste collection, transfer and disposal services primarily in secondary and exclusive markets. The company’s focus on these markets limits competition and supports stronger margins. The company has driven growth through a combination of organic expansion and strategic acquisitions, completing approximately 100 deals over the past five years that have generated approximately $2.2 billion in annualized revenue.
Waste Connections is also expanding its renewable natural gas (RNG) platform, with five facilities currently operating and several more expected to be commissioned by the end of the year. In addition, it maintains a robust acquisition pipeline of private companies in the United States and Canada, representing annualized revenues of nearly $5 billion. Supported by these multiple growth engines, the company appears well positioned to maintain financial momentum and share price appreciation over the long term.
Enbridge
Another stock that I consider an attractive long-term investment is Enbridge (TSX:ENB). The company operates a highly contracted business model that generates stable cash flows and supports an attractive dividend. Approximately 98% of adjusted EBITDA comes from long-term take-or-pay contracts and regulated assets, with approximately 80% of cash flows indexed to inflation. This structure helps protect financial performance from economic cycles and market volatility.
Backed by resilient cash flows, Enbridge has increased its dividend over the past 31 years and currently offers a forward yield of approximately 5.4%. Additionally, the company has identified approximately $50 billion in growth opportunities and plans to invest $10 billion annually to advance these projects. Given its visible growth pipeline and defensive cash flow profile, Enbridge appears well positioned to support dividend growth over the long term.
Bank of Nova Scotia
My final choice is Bank of Nova Scotia (TSX:BNS), which has been paying dividends continuously since 1833, backed by its diversified income base. In the recent first quarter results, adjusted earnings per share rose 16.5% year over year to $2.05, thanks to solid contributions from all four business segments. The bank’s capital position was also strengthened: the common equity tier-one ratio improved to 13.3% and the tier-one capital ratio to 15.4%.
Scotiabank is moving forward with its strategic restructuring, reallocating capital to its core businesses in North America while reducing exposure to less profitable, higher-risk Latin American markets. Backed by improving fundamentals, a strong balance sheet and a long track record of dividend payments, Scotiabank remains well-positioned to generate stable earnings and value over the long term.
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