TC Energy: Buy, Sell, or Hold in Late 2026?

A favourable demand environment and strong growth pipeline position TC Energy to deliver solid growth through late 2026 and beyond.

Key Points
  • TC Energy is benefitting from rising natural gas demand and North America’s expanding energy infrastructure needs.
  • Billions in expansion projects, a low-risk business model, and predictable cash flows position the company for steady long-term growth.
  • With 26 consecutive years of dividend increases and shares pulling back from recent highs, TC Energy stock looks attractive.

TC Energy (TSX: TRP) has generated moderate returns so far in 2026, with its shares gaining approximately 16.8% year-to-date. Although the TSX stock has yet to generate outsized gains, it remains an attractive option for investors seeking steady income and steady growth in late 2026 and beyond. Its relatively low-risk business model and exposure to North America’s expanding natural gas infrastructure make it worth considering.

Industrial expansion, rising electricity consumption, and growing power demand from data centres are creating significant opportunities for TC Energy to expand its operations and strengthen its long-term growth prospects.

TC Energy is one of North America’s leading energy infrastructure companies. It focuses primarily on natural gas transmission and storage, complemented by strategic investments in power generation and other infrastructure assets. Its low-risk business model generates relatively predictable cash flows, supporting its reliable payouts.

Looking ahead, TC Energy’s operational performance and disciplined project execution position it to deliver solid growth. Furthermore, its pipeline of lower-risk expansion projects augurs well for growth.

Investor wonders if it's safe to buy stocks now

Source: Getty Images

TC Energy to deliver solid growth ahead

TC Energy is well positioned to deliver solid growth ahead, supported by strong momentum across its businesses, rising natural gas demand, and its strategic presence in key North American markets. The company is leveraging its extensive infrastructure network to capitalize on emerging opportunities and develop attractive, high-return projects.

TC Energy placed about $2 billion in assets into service in the first half of the year and expects to bring an additional $3.5 billion into service by year-end. This investment pipeline reflects growing demand for natural gas infrastructure, driven by LNG exports, gas-fired electricity generation, data centre development, local distribution reliability, and transportation capacity connecting low-cost supply basins with premium end markets.

As natural gas demand increases across North America, the company’s extensive pipeline network, storage capabilities, and established customer relationships position it to capture additional transportation and infrastructure opportunities.

In Canada, improving market fundamentals and increasing customer demand support the company’s multiyear growth program. Across its systems, the company continues to identify attractive, low-risk, and highly executable investment opportunities, which augur well for growth.

Portfolio optimization also supports the company’s long-term strategy, enabling it to divest non-core assets and reinvest capital in higher-value opportunities. Furthermore, approximately 98% of comparable EBITDA comes from regulated assets or long-term take-or-pay contracts, providing earnings stability amid changing economic and commodity-price conditions.

TC Energy’s resilient cash flows support its dividend growth. Notably, TC Energy is among the TSX’s top dividend payers. It has increased its dividend for 26 consecutive years. Moreover, it is on track to sustain its dividend growth streak in the years ahead.

Overall, a favourable demand environment, disciplined capital allocation, a low-risk business model, and a strong growth pipeline position TC Energy to sustain growth through the remainder of 2026 and beyond.

The bottom line: Buy and hold TC Energy for income and growth

TC Energy looks like a compelling buy for late 2026, especially for investors seeking reliable dividend income alongside steady capital appreciation. Its predictable cash flows, 26-year dividend growth streak, and exposure to rising natural gas demand provide a solid foundation for future returns.

With billions of dollars in expansion projects expected to enter service and a pipeline of lower-risk investment opportunities, the company is well positioned to grow earnings and dividends over time. Moreover, TC Energy’s recent pullback from its highs offers an attractive entry point.

Fool contributor Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

More on Dividend Stocks

the word REIT is an acronym for real estate investment trust
Dividend Stocks

REIT Investing: I’m holding SmartCentres for its 98.1% Occupancy

SmartCentres’ fundamentals remain solid. Besides high occupancy, rental growth and a high-quality tenant base are positives.

Read more »

ETFs can contain investments such as stocks
Dividend Stocks

How to Structure a TFSA With $14,000 for Lifelong Monthly Income

Your $14,000 TFSA can seed tax free monthly income for life. See how to begin a low-cost passive income stream…

Read more »

holding coins in hand for the future
Dividend Stocks

Turning 65 in 2027? Delaying CPP Could Pay You 42% More a Year

Waiting until 70 can increase CPP substantially, but the five-year funding gap deserves as much attention as the bigger cheque.

Read more »

Blocks conceptualizing Canada's Tax Free Savings Account
Dividend Stocks

What the Telus Dividend Cut Means for Your TFSA Income, and What to Do About It

Telus’s steep dividend cut has reduced TFSA income, but its debt-reduction strategy and growth efforts could make the stock worth…

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Dividend Stocks

I’d Put a Big Slice of My TFSA Into This 5.1% Dividend Stock

See why it could be a top TFSA dividend income pick for Canadian investors. Brookfield Infrastructure yields 5.1% and targets…

Read more »

The RRSP (Canadian Registered Retirement Savings Plan) is a smart way to save and invest for the future
Dividend Stocks

RRSP or TFSA? How Your Income Changes the Answer

Choosing between an RRSP and TFSA depends largely on your income, marginal tax rate, and financial goals.

Read more »

Group of people in a line at an ATM waiting to make a cash withdrawal
Dividend Stocks

The TFSA Withdrawal Rule Every Canadian Should Know

The account is a much better place to invest long term than to make frequent trades and withdrawals.

Read more »

man shops at grocery store
Dividend Stocks

The Best Canadian Stocks for Conservative Investors Right Now

These two Canadian stocks combine durable businesses, growing earnings, and shareholder returns.

Read more »