This Top Dividend Stock Is Up 22% This Year and Just Raised its Dividend - Again

Fortis Inc (TSX:FTS)(NYSE:FTS) is a great stock for investors who are looking for both growth and dividend income. Not only does the company offer a good yield, but it’s also been growing over the years as well, often via acquisition. The latest was when the company announced that it was buying ITC Holdings Corp in 2016 in a deal worth $11.3 billion U.S.

Moves like that have helped Fortis become not only larger, but more diverse by expanding into key areas that could help the company grow. In 2018, the company generated $8.4 billion in sales, which is 24% higher than the $6.8 billion it generated three years earlier.

Meanwhile, the company’s bottom line has remained strong, with this past year the company generating $1.1 billion in profit.

Strong fundamentally, Fortis is a very safe stock to invest in today. With lots of recurring revenue, the company can provide investors with lots of stability. But in addition to that, what makes Fortis an attractive buy is its strong dividend, which currently pays investors a rate of 3.4% per year.

It may not be the highest yield, but the company also has a strong track record when it comes to not only paying but increasing its payouts as well.

Earlier this month, the company announced that it would increasing its dividend for the 46th year in a row. And at 6.1%, it’s also a fairly big hike as well.

The benefit of investing in a growing-dividend stock is that by holding the stock, investors will effectively be earning more on their initial investment.