Fortis Inc. (FTS.TO)

(A Top Pick October 5/17 Down 5%) He would have thought it would have held in well and now feels it could go a bit lower. These are companies that tend to bottom when the market tops. He will continue to hold it.

This has been a quality Canadian company that has rolled up utilities across North America. Rising rates will put a squeeze on all utility companies. This is a great company; there is no reason to sell it, but he can’t get excited enough to buy it here. (Analysts’ price target is $48)

Emera vs. Fortis Emera doesn't have enough capital to fulfill its growth plans, so they need to raise it while they pay a 5.6% dividend--difficult. He prefers Fortis, which is better capitalized with better growth prospects. But they're both slow growers, not super-accretive. For dividend growth, look to a Canadian bank instead. Dividends: 5.6% vs. 3.9%

It's the Cadillac of utilites. Trades at 17x vs.15x in the group. A solid utility with 97% of assets regulated. Diversified across U.S., Canada and the Caribbean. Rate base is growing 5.5% a year. Expects 6% dividend growth this year and for four years. (4.0% dividend, Analysts' price target: $47.67)

If you want to own it for the dividend you are fine. He is not in the sector as they target a combined return exceeding 10%. Yield 4%.

Fortis vs. Emera. Emera has more diversified assets. In a rising interest rate environment, who can grow their top line? It appears to be Emera. Because of growth profile and underlying assets.

( A top pick June 6/18, up 7%). Interest rates are probably coming near the end of their tightening cycle and he thinks utilities offer good value with yield. It is a 1 year pick. Yield just under 4%.

Fortis or Emera or Algonquin for dividend income, with increases? Fortis. Fortis is a good price in these ranges, history of increasing dividend, good diversified portfolio. Market has overreacted to rising interest rates, and Fortis has been caught in this. A better growth rate than the others, and an excellent reputation.

It probably came down too much. They have dividend and earnings growth. You can get total return in the 10 to 20% range over a year. (Analysts’ target: $47.36).

(A Top Pick Oct 5/17, Down 4%) It is a cheap utility stock. They are all down, expecting interest rates to go up. This is now in the past so the stocks are cheap, upside potentials are good and maybe interest rates won't go up all that much.

He likes it because it's boring. This is the time to be cautious (boring). Bond proxies have been hit this year with rising rates, but he doesn't see interest rates rising much going forward. Fortis has good growth prospects A good time to hang out here and earn a dividend. (Analysts price target: $47.60)

He likes that they've diversified heavily in the U.S. over the last few years in energy transmission and production. Given current trade disputes, this is important. Pays a 4% yield. (Analysts' price target: $47.60)

He does not own any utilities at the moment since they saw the increase in interest rates coming. Now, he thinks interest rates will plateau soon. This is a well- managed company. The technical outlook is demonstrating higher lows, so he thinks this is setting up well for a buy soon. The risk-reward is looking favourable. He sees support at $39.50 and a break above $43.80 would be a signal that $48 could be coming.

Utility company mostly in the electrical distribution field. Solid name. Should be a core holding in your income portfolio. Short term there is nothing exciting about the name.

The stock has pulled back because of interest rate concerns but its yield is still twice that of 10-year Canadian government bonds. In addition, she expects some growth and holds the stock in both her growth and her income portfolios. She expects the dividend to grow by 6% per year for the next few years. This will buffer the effect of rising interest rates.