Which Canadian stocks are dividend kings? If you go by the internet’s definition of a dividend king (50 consecutive years of dividend increases), there aren’t any dividend kings in Canada, but as we wrote here, there can only be one true dividend king.
The Dividend King of the United States is Procter & Gamble. Procter & Gamble is the dividend king of the U.S. because it has increased its dividend annually for 65 consecutive years (tied for first with one other company).
Who is the Canadian Dividend King?
There aren’t any Canadian companies that meet the 50-year dividend king test, but a king can still be named. The Canadian dividend king is the company that has the longest record of consecutive annual dividend increases.
The Dividend King of Canada: Canadian Utilities Limited (CU)
The Canadian Dividend King is Canadian Utilities Limited (CU). Canadian Utilities Limited has increased its dividend for 36 consecutive years according to our database and for 47 consecutive years, according to them. Either number is the longest record of consecutive annual dividend increases of any publicly traded Canadian company.
Canadian Utilities Limited
Canadian Utilities Limited (CU) trades on the Toronto stock exchange under the symbol CU. Canadian Utilities is an arm of ATCO, which is another Canadian firm.
Canadian Utilities (CU) owns a diverse portfolio of assets in electricity, pipelines & liquids, and retail energy. The electricity business provides power to approximately 211,000 customers. The regulated natural gas business provides gas to more than 1 million customers in Alberta. The pipeline business provides gas transportation services to producers, major industrial users, and gas distribution customers in Alberta.
Canadian Utilities’ Dividend Growth History
One of the reasons Canadian Utilities (CU) has been able to increase its dividend for 36 consecutive years is because of the stability in the firm’s business. Not only is the firm a utility providing necessary energy to consumers, but 86% of adjusted earnings were regulated in 2018. The chart below shows Canadian Utilities’ Dividend Growth record.
While Canadian Utilities is the Dividend King of Canada, it is a smaller company. CU has a market capitalization of $8.4 billion and a public float of less than $4 billion. If you are looking for a larger Canadian dividend stock, the runner up for Dividend King of the North is Fortis Inc.
Runner Up for Dividend King of Canada: Fortis Inc.
Fortis Inc. is a gas and electric distribution company. Fortis owns regulated electric and gas assets in North America including ITC, UNS Energy, Central Hudson, Fortis BC Energy, Fortis Alberta, and Newfoundland Power. Fortis has increased its dividend every year for 30 consecutive years and it has a market capitalization of $19 billion. Fortis also has an ADR that trades on the New York Stock exchange under the symbol FTS.