Fortis Inc. (FTS): A Bull Case Theory

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n=e.getConfig();"smartphone"===n.device&&("finance"===n.property&&"crunch"===n.ytheme&&e.addElementListener(t.searchInput,"click",(function(){var n,o;n="search_input_focus_click",null!==(o=re())&&(oe[n]||(oe[n]=o)),e.addElementListener(t.searchForm,"click",(function(){if(t.ybar){if(t.ybar.classList.contains("ybar-searchbox-assist-fullscreen"))return;t.ybar.classList.add("ybar-searchbox-assist-fullscreen"),t.ybar.classList.add("ybar-searchbox-assist-fadein")}if(!document.documentElement.classList.contains("ybar-overlay")){document.documentElement.classList.toggle("ybar-overlay"),document.body.classList.add("ybar-overlay-noscroll");te("ybar","websrch","",{elm:"expand",subsec:"searchbox",itc:"1"})}}))})),e.addElementListener(t.searchBoxPlaceholder,"click",(function(){zt(e,t)})),e.addElementListener(t.searchBoxPlaceholder,"keydown",(function(n){var 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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};ge("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat($n)),notifLabel:document.querySelector(".".concat(Xn))};t.notifDropdown&&so(e,t)}))}()}};]]>Ricardo PillaiSat, February 28, 2026 at 4:08 PM GMT+1 3 min readWe came across a bullish thesis on Fortis Inc. on Danny’s Substack by Danny Green. In this article, we will summarize the bulls’ thesis on FTS. Fortis Inc.'s share was trading at $56.33 as of February 18th. FTS’s trailing and forward P/E were 22.70 and 21.41 respectively according to Yahoo Finance.energyEnergy transmission lines. Photo by Snapwire on PexelsFortis Inc. is positioned as a regulated electric and gas utility delivering predictable, rate-base-driven growth rather than hyper-growth. The company is expected to generate roughly 9% revenue CAGR in the near term, supported by a regulated asset base projected to grow at about 6.5% annually to approximately $53 billion by 2029 through its $26 billion capital plan focused on transmission, distribution, and clean energy infrastructure.While doubling sales within five years would require nearly 15% CAGR—well above Fortis’s historical 6–9% trajectory and therefore unlikely without a large acquisition—the long-term opportunity remains anchored in decades of grid modernization tied to electrification and renewable integration. Fortis benefits from an impregnable competitive moat through exclusive regulated service territories across Canada, the U.S., and the Caribbean, though this advantage comes with capped returns set by regulators, limiting upside but ensuring stability.Its conservative culture, evidenced by more than 50 consecutive years of dividend increases, supports financing access and investor confidence, even as utilities typically face slower adaptation to technological shifts. Key risks include regulatory pushback as customer bills rise, high leverage of roughly $48 billion, interest-rate sensitivity, and reliance on external financing given negative free cash flow coverage of dividends.Short-term concerns around subsidiaries such as UNS Energy and FortisAlberta have also weighed on sentiment. However, as capital deployment expands the rate base, absolute earnings should compound steadily over time. Overall, Fortis represents a stable, defensive utility capable of consistent income compounding, where meaningful sales acceleration would most plausibly occur through a successful large-scale acquisition rather than organic growth alone.Previously, we covered a bullish thesis on Evergy, Inc. (EVRG) by Hidden Market Gems in April 2025, which highlighted the company’s defensive regulated utility model insulated from macro volatility. EVRG’s stock price has appreciated by approximately 13.56% since our coverage. Danny Green shares a similar view but emphasizes on Fortis Inc.’s rate-base-driven growth and compounding potential tied to grid modernization.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P Futures6,851.25 -37.75 (-0.55%)Dow Futures48,703.00 -297.00 (-0.61%)Nasdaq Futures24,871.00 -133.75 (-0.53%)Russell 2000 Futures2,613.40 -21.30 (-0.81%)VIX19.86 +1.23 (+6.60%)Gold5,343.90 +96.00 (+1.83%)Trending tickersCL=F Crude Oil Apr 26 69.46 +2.44 (+3.64%)BTC-USD Bitcoin USD 66,538.02 -796.70 (-1.18%)NQ=F Nasdaq 100 Mar 26 24,871.00 -133.75 (-0.53%)ES=F E-Mini S&P 500 Mar 26 6,851.25 -37.75 (-0.55%)GC=F Gold Apr 26 5,343.90 +96.00 (+1.83%)PortfolioSign in to access your portfolioSign inTop gainersAAOI Applied Optoelectronics, Inc. 84.23 +30.54 (+56.88%)BWIN The Baldwin Insurance Group, Inc. 23.23 +4.74 (+25.64%)FIGS FIGS, Inc. 15.45 +2.98 (+23.90%)DELL Dell Technologies Inc. 148.08 +26.63 (+21.93%)PSKY Paramount Skydance Corporation 13.51 +2.33 (+20.84%)Top losersRUN Sunrun Inc. 13.25 -7.17 (-35.11%)FIGR Figure Technology Solutions, Inc. 25.28 -8.76 (-25.73%)CRWV CoreWeave, Inc. 79.56 -18.07 (-18.51%)ACA Arcosa, Inc. 107.48 -20.02 (-15.70%)TPC Tutor Perini Corporation 75.37 -14.01 (-15.67%)Most activeNVDA NVIDIA Corporation 177.19 -7.70 (-4.16%)NFLX Netflix, Inc. 96.24 +11.63 (+13.75%)NU Nu Holdings Ltd. 14.98 -0.08 (-0.53%)PLUG Plug Power Inc. 1.7900 -0.1200 (-6.28%)SOFI SoFi Technologies, Inc. 17.76 -1.34 (-7.02%)Top economic eventsEarnings eventsMy earnings eventsEarnings events