Image source: Getty Images.
Bargain hunters are starting to move back into top TSX dividend-growth stocks ahead of possible rate cuts by the Bank of Canada this summer. Investors who missed the recent bounce are wondering which Canadian dividend stocks might still be undervalued and good to buy for a self-directed Registered Retirement Savings Plan (RRSP) account targeting total returns.
Fortis
Fortis (TSX:FTS) trades near $55.50 at the time of writing. The stock is up about 10% from the 12-month low but is still way off the $64 it fetched about two years ago before the Bank of Canada and the U.S. Federal Reserve began hiking interest rates aggressively to try to get inflation under control.
The company uses debt to fund part of its growth initiatives. Higher borrowing costs reduce profits and can cut into cash that is available for distribution to shareholders. This is largely why the stock came under pressure in the past couple…
