Rebecca TeltscherBrookfield Infrastructure PartnersBIP.UN.TOTOP PICKFeb 05, 2024

You get paid to wait. Steady compounder. $1.7B in new projects. Inflation-linked cashflows. AFFO growth of 11%, trades at 10.5x. Good one to own amidst all the cross-currents of markets today. A "when" story, not "if". Yield is 4.81%; very safe payout ratio of 56%.

It could break out of current levels. They hold a good portfolio. They will likely combine Brookfield and Brookfield Wealth Solutions and combine the infrastructure units which will increase flows.

Exceptional value for an income name. Trading ~10x FFO, well-covered and reasonable dividend, really strong growth profile.

It failed to break out since March 2026, so he sold it.

Likes push higher on the chart in a new uptrend -- looks poised to challenge and break out to new all-time highs (and that's very bullish). Will play a big part in the very bullish Build Out Canada thesis, big tailwind. Chart looks awesome. Yield is 4.72%.

Are excellent at recycling capital. Are a utility, but they have one of the most diversified suite of assets, geographically, with business in airports and data centres. Pays a solid 5% dividend.

There will be an infrastructure spend, and in fact there's an infrastructure deficit (just drive around the streets of Toronto). Likes the category. Yield is almost 5%.

Why not just pick the parent? It's much more diversified, and you'd get the benefit of all its subsidiaries.

He's selling it. The stock is breaking down. In March, it showed signs of low, retracing a support level, but the chart shows lower lows and lower highs.

Huge run over last 2 years in infrastructure stocks due to pretty flat interest rates. Brookfield is an exceptional global manager. Great high-quality, long-term business. Yield is ~4%.

Right now, he sees more upside in energy infrastructure.

If you have any withholding tax in a cash (taxable) account, because the structure is set up not in Canada, you should be able to claim it back on your tax return. So it's better to have in a taxable account than in a TFSA or RRSP, where you can't claim it back.

He owns BN instead.

Seems to trade off on private equity concerns, though there's no direct exposure. Continues to put $$ in at these levels. Oil and nat gas egress stories are still intact.

Growth has sold off and the market is running to income names. In Canada, income names he likes are Rogers and Brookfield Infrastructure.

For income. Is undervalued at 10x cash earnings, and a dividend around 4.5% and paying out only half their funds from operation. There's ample growth ahead and trading at discount valuation. Likes it a lot.

Not a fan of this. They pay a dividend and reinvest capital into new projects, but this makes them dependent on generating capital gains and flipping projects. There's no real free cash flow as you see in a typical utility. Also, they are very interest rate-sensitive; they need to constantly borrow money to develop new projects.

An infrastructure play, and her preference in the utilities space.