The Globe and Mail reports in its Wednesday, May 7, edition that Desjardins's Brent Stadler commenced coverage on Fortis with a "hold" recommendation. The Globe's David Leeder writes that Mr. Stadler set a share target of $70. Analysts on average target the shares at $66.54. Mr. Stadler says in a note: "We view Fortis as a relatively consistent utility. The company has a solid track record, with consistent rate base and earnings growth of 6.9 per cent and 5.2 per cent, respectively, over the past five years. We believe investors can expect CAGRs of at least 6.5 per cent in rate base and 5 to 6 per cent in EPS over the next five years. We currently model the lower end of these ranges; however, when Fortis provides its update in the fall, it is possible that our numbers will move higher given we see the possibility for an incremental $800-million of spend in 2029. Overall, we expect middle-of-the-pack earnings growth relative to Canadian and U.S. utilities. We like that Fortis's transmission lines receive a premium ROE (10.73 per cent) and equity thickness (60 per cent) and are relatively lower risk. We also like that its utilities in Arizona provide exposure to potential upside from load growth, including data centres."