Couple of quests later, I returned back to Sanctuary Hills and I have spent a good 15 minutes looking everywhere trying to find Dogmeat in Sanctuary Hills.
I even built doghouse and slept 10 hours but still no sign of Dogmeat ;_;
I'm going to give you a pro-tip;
Sanctuary is huge and you will have a hard time finding your companions there. The game has over 20 settlement locations and some are super small/enclosed/whatever (one even looks like a pre-war town...kinda). It's best to nab one of those locations for your companions (just don't setup a recruitment beacon and you'll never have to deal with providing food or defenses or anything as there will technically be no settlers there).
I've got all my companions chilling at Covenant.