Canada’s energy transformation is taking shape, and there are two companies at the forefront of that transformation. Those clean energy stocks come with the investor promise of long-term growth and even dividends.
Here’s a look at two of the clean energy stocks leading that transformation to a more sustainable and cleaner future.
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Brookfield Renewable Corporation (BEPC)
Most investors should be familiar with the name behind Brookfield Renewable Corporation (TSX:BEPC).
As part of the Brookfield family, Brookfield Renewable is a global powerhouse, focused on renewable power assets. Specifically, the company boasts a portfolio of hydroelectric, wind, solar, energy storage, and sustainable energy solutions.
In total, Brookfield Renewables provides an installed capacity of nearly 14,000 MW spread across the globe on four continents. To put it another way, Brookfield Renewable is one of the largest publicly traded renewable power players on the planet.
In Canada, that portfolio comprises hydro, wind, and solar assets. Brookfield also offers innovative storage technologies like pumped storage and battery projects, which are complementary to the nature of wind and solar facilities.
Renewable players like Brookfield generate reliable revenue streams that are backed by long-term regulated contracts. This allows the company to invest in growth and pay out a dividend.
Additionally, Brookfield frequently executes transformative deals that elevate it on a global scale. One such example is the announcement by Brookfield to deliver up to 3,000 MW of hydro power to the U.S., in agreement with Google.
More recently, Brookfield made news just this week on another massive renewable project. The company, together with Cameco and the U.S. Government, announced a strategic partnership to accelerate the deployment of nuclear power.
Prospective investors should also note that Brookfield provides investors with a tasty quarterly dividend. As of the time of writing, that dividend works out to 3.5%.
This makes Brookfield not only one of the clean energy stocks transforming the Canadian energy market, but a global player.
Northland Power (NPI)
Toronto-based Northland Power (TSX:NPI) is a great example of one of the clean energy stocks changing the power landscape in Canada. Northland specializes in large-scale diversified renewable energy projects.
Like Brookfield, Northland is a global partner in the renewable energy market. Northland boasts a massive 3.5 GW of operating capacity in facilities located across North and South America, Asia, and Europe.
Impressively, Northland also has 2.2 GW of capacity currently under construction.
The company’s asset base includes wind (onshore and offshore), solar, natural gas, and battery storage facilities.
In Canada, Northland Power is known for its innovative projects, such as the Oneida battery energy storage facility, the largest in the country. Battery facilities are key parts of any renewable infrastructure, helping to store the energy generated by renewables to balance intermittent supply.
In addition to its impressive portfolio, Northland is an equally appealing dividend-payer.
Northland offers investors a monthly dividend with a covered payout ratio of roughly one-third of cash flow. This fact alone makes the company a reliable top pick for any investor looking to diversify into renewables.
Buy the clean energy stocks reshaping Canada’s energy future
The clean energy stocks mentioned above all have their unique offerings. Brookfield Renewable Corporation’s global scale and diversified technologies, and Northland Power’s pioneering projects and spectacular deals position them both as leaders in Canada’s clean energy future.
These companies not only contribute materially to reducing Canada’s carbon footprint but also offer investors exposure to one of the fastest-growing segments in global energy markets, anchored by robust demand and technological innovation.
One or both of the above should be core holdings in any well-diversified portfolio.
