3 TSX Stocks That Look Built for Uncertainty

2026-03-02 15:30:00 ET

Volatility feels like the default setting right now, but a few businesses almost seem built for it. Look for essentials, regulated cash flows, and models that do not rely on constant consumer confidence. When a TSX stock can raise prices carefully, lock in contracts, or earn allowed returns, it can keep compounding , even while headlines swing from inflation to recession to geopolitics.

WCN

Waste Connections ( TSX:WCN ) fits because households and businesses still need waste collected, recycled, and processed in any economy. Over the last year, it has stuck to a simple formula: steady pricing, tuck-in acquisitions, and tight cost control, with a focus on route density in attractive secondary markets. It also kept adding landfills and transfer stations, which strengthens local moats and supports pricing power. It can gain share when smaller operators feel pressure and decide to sell.

Its latest results show why investors treat it like a defensive compounder. In 2025, it delivered $9.47 billion in revenue and $3.13 billion in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA). For 2026, it guided to revenue of $9.90 to $9.95 billion and adjusted EBITDA of $3.30 to $3.325 billion, so management still expects momentum. That outlook points to disciplined growth, not a one-off spike. The valuation stays rich, trading at nearly 40 times earnings, so the main risk is paying too much for quality if growth slows, integration stumbles, or regulators push back on pricing.

FTS

Fortis ( TSX:FTS ) earns its place in uncertainty as it runs regulated utilities and gets paid for keeping the grid reliable. In the last year, investors have fixated on interest rates. However, Fortis has kept executing, investing in the rate base, filing for regulated returns, and growing the dividend at a measured pace. It also leaned into grid upgrades and resiliency spending, which regulators often view as necessary work.

In the fourth quarter of 2025, Fortis posted net earnings of $422 million, or $0.83 per share, and it cited adjusted earnings per share (EPS) of $0.90 for the quarter. It also laid out a $28.8 billion five-year capital plan, aiming to lift midyear rate base from $42.4 billion in 2025 to $57.9 billion by 2030, supporting dividend-growth guidance of 4% to 6% annually through 2030. If execution stays on track, regulated growth can help offset economic periods. It trades around 23 times trailing earnings, which is not cheap, but it can look sensible when investors crave stability.

FRU

Freehold Royalties ( TSX:FRU ) offers resilience through a royalty model. It collects a slice of production and does not fund drilling, so it can avoid the capital budgets that trip up producers in downturns. Over the last year, it highlighted stronger well performance on its acreage and a mix that can tilt more toward oil, which can help cash flow when gas prices sag. It still rides commodity cycles, but it does not need perfect timing to stay relevant.

In the third quarter of 2025, it reported $74 million in revenue and $59 million in funds from operations, or $0.36 per share, while paying $44 million in dividends, or $0.27 per share for the quarter. Its valuation looks moderate for an income name, trading at 22 times earnings and a dividend yield of about 6%. The outlook still depends on commodity prices and operator activity, so volatility never disappears, and the dividend can look stretched in weaker quarters. If oil prices slide hard, investors can reprice it quickly, even if the royalties keep flowing.

Bottom line

None of these stocks can make uncertainty vanish, but each has a built-in shock absorber: essential services, regulated investment, or a royalty model that can scale without spending. If you want steadier footing while the market keeps arguing with itself, keep these three TSX stocks on your radar right now, and stay disciplined on price and position size.

The post 3 TSX Stocks That Look Built for Uncertainty appeared first on The Motley Fool Canada .

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Fortis and Freehold Royalties. The Motley Fool has a disclosure policy .

2026