A dividend king is a stock that has achieved at least 50 consecutive years of dividend growth. As it stands today, there is only one stock on the TSX that qualifies as a dividend king – Canadian Utilities. However, there is another top utility stock that is on the cusp of taking a crown.

Fortis (TSX:FTS)(NYSE:FTS) is a St. John’s-based utility holding company. Shares of this utility stock have dropped marginally over the past month. The stock is still up 2.5% so far in 2023.

This company released its first quarter fiscal 2023 earnings on May 3. Fortis delivered net earnings of $437 million or $0.90 per common share – up from $350 million or $0.74 per common share. Adjusted net earnings per common share rose to $0.91 compared to $0.78 in the previous year.

Fortis announced that its $4.3 billion capital plan remained on track through March 2023. Moreover, its $22.3 billion five-year capital plan aims to grow Fortis’ rate base from $34.1 billion in 2022 to $46.1 billion by 2027. That represents a compound annual growth rate (CAGR) of 6.2%. The growth in its rate base is expected to support dividend-growth through 2027.

This top utility stock has achieved 49 straight years of dividend growth. It offers a quarterly dividend of $0.565 per share. That represents a 3.9% yield. Shares of Fortis currently possess a favourable price-to-earnings ratio of 19.