In a stock market that constantly experiences spikes and dips, the concept of a “forever investment” can seem unimaginable. Perhaps the most realistic approach is to choose large-cap and blue-chip stocks when implementing a buy-and-hold strategy.
Given the current economic environment, there’s one Canadian powerhouse I would buy now and hold – or even refuse to sell a single share. Enbridge (TSX: ENB) is a classic forever stock in my book, and I believe it is for others, too.
Take a position in this energy infrastructure titan if you haven’t yet. The investment landscape in 2026 is likely to differ from last year; you need a defensive holding that offers capital protection and delivers recurring income as market noise grows louder.
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Large-cap and blue chip
Most blue-chip stocks are large-cap stocks, though the reverse is not always true. Enbridge is both. The $139 billion, 76-year-old energy infrastructure company is the top draw in Canada’s energy sector. Today, it is North America’s largest natural gas utility franchise.
The shift from a pure pipeline play to a low-risk, utility-like business model happened following the $19 billion acquisition of three natural gas utilities in the U.S. in September 2023. According to management, Enbridge looks beyond the horizon and continues to chart a course for success, including for all stakeholders.
Toll road controller
Enbridge controls the region’s primary energy toll roads. Approximately 98% of its earnings come from long-term, cost-of-service, or fixed-fee contracts. This setup ensures predictable cash flow amid volatile commodity prices or markets. The company also invests in renewable energy technologies as part of its commitment to facilitate the energy transition and help achieve emission targets.
Dividend grower
Enbridge is not only a pipeline and energy infrastructure giant but is also a dividend grower. The 3% dividend increase announcement on December 3, 2025 marked the 31st consecutive annual common share dividend increase. Its President and CEO, Greg Ebel, cites the growing cash flows.
For 2026, he said, “We are forecasting another year of steady and predictable growth driven by new projects entering service, as well as strong utilization and optimization of existing assets.” Around $8 billion in new projects will enter service in 2026, all of which are underpinned by low-risk commercial frameworks.
Ebel expects Enbridge to generate Adjusted EBITDA between $20.20 and $20.8 billion this year. The next driver would be the $23 billion of secured growth capital expected to enter service through 2027.
If you invest today, ENB trades at $64.33 per share and pays a hefty 6.1% dividend. A $20,000 investment will generate $304.50 in quarterly income. Assuming you reinvest the dividends, the money will compound to $36,603.46 in 10 years. The dividend growth guidance in post-2026 is up to 5%.
Right Fit
No stock in Canada or elsewhere is guaranteed to be a hold forever. However, Enbridge on the TSX is the right fit for a long-term buy-and-hold strategy. The blue-chip, large-cap stock has an established, competitive moat. You can add the resilient business model, 70-year dividend track record, and 31-year dividend growth streak.
