In a report released today, Ross Fowler from Bank of America Securities reiterated a Sell rating on Fortis, with a price target of C$67.00.
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Ross Fowler has given his Sell rating due to a combination of factors related to Fortis’s growth profile and valuation. He acknowledges that Fortis is on track to deliver higher Q4 2025 earnings versus the prior year, supported by an expanded capital plan and stronger projected rate base growth through 2030. However, even with these improvements, his long-term earnings growth forecast remains only mid-single digits and slightly below market expectations, suggesting limited upside relative to peers.
At the same time, Fowler notes that the current share price already discounts much of the enhanced growth outlook, leaving the stock trading above his updated price objective. He also points out that key future growth drivers—such as outcomes from ITC’s MISO LRTP bidding, large-load opportunities at TEP, and several important regulatory decisions—still carry execution and regulatory risk. Given this combination of fully valued shares and only moderate earnings growth potential, he reiterates an Underperform (Sell) stance on Fortis ahead of the Q4 results.