RBC Capital Sticks to Their Buy Rating for Fortis Inc.

By Austin Angelo

Today, an analyst has provided a rating update for the Utilities sector company, Fortis Inc. (TSX: FTS). Analyst Robert Kwan from RBC Capital rated Fortis Inc. (TSX: FTS) a Buy, setting a C$51 price target.

According to TipRanks.com, Kwan is a 5-star analyst with an average return of 10.7% and a 67.5% success rate. Kwan covers the Utilities sector, focusing on stocks such as Brookfield Infrastructure, Pattern Energy, and TransAlta.

Currently, the analyst consensus on Fortis Inc. is Strong Buy and the average price target is C$49, representing an 8.6% upside.

In a report issued on July 21, Barclays also maintained a Buy rating on the stock with a C$50 price target.

Based on Fortis Inc.’s latest earnings report for the quarter ending June 30, the company posted quarterly revenue of C$2.02 billion and quarterly net profit of C$274 million. In comparison, last year the company earned revenue of C$1.48 billion and had a net profit of C$125 million.

Fortis, Inc. is an international electric and gas utility holding company. It operates through the following business segments: Regulated Electric & Gas Utilities-United States, Regulated Gas Utilities-Canadian, Regulated Electric Utilities-Canadian, Regulated Electric Utilities-Caribbean, Non-Regulated-Fortis Generation, and Corporate and Other.

The company’s shares closed on Monday at C$45.11.