Blue-chip stocks can be a nice place to shelter when markets are volatile. There is something comforting about owning businesses that have stood the test of time and markets. It also helps that many blue-chip stocks pay steadily growing dividends.
Their yields may be modest today. However, these stocks tend to increase their annual dividends as their profits steadily grow. If you are looking for patient, enduring income and capital appreciation, these three Canadian stocks are ideal low-risk, buy-and-hold blue-chip stocks.
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Loblaw: A top blue-chip stock for any economy
The first quality blue-chip stock is Loblaw Companies (TSX:L). With a market cap of $74 billion and 2,400 grocery and pharmacy locations across Canada, this is an essential goods juggernaut.
It has consumer options across the value chain. National scale, a leading loyalty plan, and pricing power with vendors enable sector-leading margins and a recurring stream of customers.
In 2025, adjusted earnings per share (EPS) rose 10.7% on 6.3% revenue growth. Investors are likely to continue to enjoy inflation-plus growth as it continues to add new storefronts across the country.
Loblaw stock only yields 0.89%. However, this company has 14 consecutive years of dividend increases under its belt. It’s a pricier grocery stock, but you pay up for its high quality business.
CP Rail: This blue-chip stock has been in business for 145 years
Canadian Pacific Kansas City (TSX:CP) is another blue-chip stock worth holding for years to come. With a market cap of $102 billion, CP is the largest railway in Canada. The simple fact that this company has been in business since 1881 demonstrates its longevity.
As of right now, there are no other cost-effective alternatives to get bulk goods and commodities across North America. With a network across Canada, the U.S., and Mexico, CP benefits from major competitive advantages.
Despite the past several years being a tough freight and economic environment, CP has delivered sector-leading growth and profitability. This year, CP is winning from a record grain crop. It is projecting low double-digit EPS growth for 2026.
CP stock only yields 0.8%. However, it recently recommenced its dividend growth plan. It has also aggressively been buying back stock on dips. Canadian Pacific is a quintessential blue-chip stock for any Canadian’s portfolio.
Fortis: Simple, steady returns for the long run
Fortis (TSX:FTS) is the ultimate defensive blue-chip stock in this mix. With a market cap of nearly $40 billion, it is one of the largest utility stocks on the TSX. You don’t get more defensive than a regulated energy transmission and distribution business. No matter the economy, people need heating/cooling and electricity. As a result, demand for its services is very resilient.
Fortis grew adjusted EPS by 7% in 2026. That is on target with its plan to grow its rate base by 7% compounded annually for the coming five years. The company has a great track record of execution and hitting its growth targets.
In a volatile world, Fortis is a great low Beta stock to hold. FTS stock yields 3.2% today. It has a 52-year track record of consecutively increasing its dividend.
That is one of the best dividend records you will find in Canada. This stock is the closest thing you will find to a bond, but with the opportunity to appreciate value over time. Fortis is a great blue-chip stock for risk-averse investors today.
