Canadian Defensive Stocks to Buy Now for Stability

Defensive stocks like Fortis and Loblaw are the best stocks to buy now for long-term stability and growth.

Key Points
  • • Anchor stocks like CCL Industries, Fortis, and Loblaw Companies provide portfolio stability and defensiveness through consistent long-term performance across all market conditions.
  • • These Canadian defensive stocks demonstrate steady financial growth—CCL with 40% revenue growth over five years, Fortis with 52 consecutive years of dividend increases, and Loblaw's steady consumer staples business—making them reliable foundation holdings.
  • 5 stocks our experts like better than Fortis, CCL, and Loblaw

Anchor stocks are stocks that have performed well in the long-run. They have a strong long-term outlook and they demonstrate price stability in all stock market scenarios. Simply put, they are the defensive stocks that can be relied upon for their strength and stability. In this article, I’ll go over three of the best Canadian defensive stocks to buy now for stability and strength in your portfolio.

Stocks to “anchor” your portfolio and provide defensiveness for the good and bad times.

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CCL Industries

CCL Industries Inc. (TSX: CCL.B) is a Canadian defensive stock that investors may not be all that familiar with. So let me fill you in.

At first glance, CCL Industries seems like a boring stock in a boring industry. Yet, CCL continues to grow, drive efficiencies, and create shareholder value. Established in 1951, CCL is the global leader in pressure sensitive and specialty extruded film materials for consumer packaging. The company has an extensive list of clients, diversified across geographies and industries.

In the five years ended December 2024, CCL’s revenue has grown by almost 40% to $7.2 billion, and its net income has grown almost 60% to $843 million. Also, the company generated operating cash flow of $1 billion in 2024. In the three months ended September 31, 2025, CCL’s revenue increased 7.9% to almost $2 billion and its earnings per share (EPS) increased 12% to $1.20.

As you can see from its stock price graph above, this Canadian stock has provided stability for its shareholders for many years. In the last 10 years, the stock has risen 126.5% – all while maintaining stability. This is what we’re after, and this is what CCL delivers.

Fortis: The ultimate stock to buy now

Another anchor stock to buy now that provides its shareholders with stability is Fortis Inc. (TSX: FTS). Fortis is a leading North American utility company with a stable and predictable revenue and earnings profile. This is made possible due to the company’s defensive industry as well as the fact that its revenue is regulated.

Fortis’ track record of 52 years of consecutive dividend increases is a reflection of this stability and the defensiveness of the business. As you can see from Fortis stock’s price graph below, it’s the picture of stability and strength over the long term.

Looking ahead, Fortis is in the process of fulfilling its five-year capital spending plan. This plan will increase Fortis’ rate base from $39 billion in 2024 to $53 billion in 2029. Importantly, this capital investment plan is low-risk and easily achievable. In fact, nearly all of the spending is related to regulated growth and only 23% of it is on major projects. This plan supports further stability for Fortis, its stock price, and its dividend.

Loblaw Companies

Loblaw Companies Ltd. (TSX: L) is Canada’s leading grocer, with a grocery store network across the country, as well as a leading pharmacy chain, Shoppers Drug Mart. This combination of businesses come together to form one of the most defensive retail operations. Loblaw mostly deals with essentials. Demand for consumer staples goods is defensive and stable, with steady and predictable growth.

This is demonstrated in Loblaw’s financial performance as well as its stock price performance over the long term. In its latest quarter, this Canadian defensive stock reported a 4.6% increase in revenue and a 9.5% increase in adjusted EPS to $0.69. In the five years ended December 2024, Loblaw’s revenue and earnings have steadily grown to $61 billion and $2.15 billion, respectively.

The bottom line

The best stocks to buy now that I’ve discussed in this article are worth considering if you’re looking for anchor stocks for your portfolio – stocks that exhibit stability, resilience, and strength.

Fool contributor Karen Thomas has no position in any of the stocks mentioned. The Motley Fool recommends CCL Industries and Fortis. The Motley Fool has a disclosure policy.

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