Brookfield Infrastructure Partners (BIP.UN.TO)

Wonderful name. A long-term hold. Well-positioned to take advantage of opportunities in the current market.

Valuation is attractive. Stable and steady business, defensive. Global platform for growth. Good for someone with a lower risk tolerance. BBU.UN will do well, but it's lumpy.

BIP has seen decent gains this year. A good medium/long-term hold. BIP are building data centres, which is important given the AI boom. They're competing to buy a $5.5 billion data centre.

It has very strong organic growth and Q1 was in line with estimates. It is very good at putting capital to work by buying assets during weakness in the cycle. Its price to growth rate is also very good.. This is good way for retail investors to have investments in private equities which BIP.UN owns.
Buy 9   Hold 3   Sell 1

BIP.UN is diverse in geography and industry. Think cell towers in India, Enercare in Canada, highways and natural gas plants. Infrastructure, utility and even energy make up its DNA. BIP.UN pays a 4.39% dividend that historically rises 5% each year, and it trades at a 0.89 beta. Fairly stable, though it missed its last two quarters. Read Which Brookfield? for our full analysis.

Very well run. Global. In a good spot right now. Unique platform across asset classes and geographies. Has capital, and prices for asset purchases are down. Less than 12x FFO, very attractive entry point and long-term runway.

Both are ones you could own, but which one now? BIP.UN has robust, organic growth, inflation-linked cashflows, just announced an acquisition that looks accretive. This is one of the 10 stocks in Canada that you need to own. It's at levels that are being ignored, so you could buy right now. 

NTR doesn't have the same growth rate, it actually looks negative. NTR will be a buy at some point, but you can wait for lower levels.

A unique group of assets. Still likes it for its global reach and diverse holdings like cell towers in India, toll roads in South America, and Enercare that he once owned. A smart acquirer and offers long-term value. If they keep raising their dividend 5% annually, the share price will follow. Confident.

Has a few of the same issues as private equity, as the infrastructure valuations are a bit of a black hole. Bit of project risk. All Brookfield has had decent runs over the last few years, but going to have to earn it going forward. Valuations somewhat high. Global infrastructure building is huge, major player, has the capital funding. 

A solid income name. Owns this as the parent company. They make data towers, pipelines, etc. They have good cash flow to absorb cost escalation on projects and pays a 4.5% dividend. Share have been down because of interest rates.

He is not sure why it is down, probably more about interest rate levels and their effect on debt levels. The business is fine and since it can raise prices with inflation, it is an inflation protected play. It has great assets and is a great re-cycler of cash flow. Management knows what they are doing.

Shares have taken an $18 hit since September. He's owned this for a while, and has been adding shares in the past month as shares fall. The dividend yield is 4.5%

Likes it for income. The subsidiaries pay out most of their income as dividends to shareholders and to the parent company. 

You have to evaluate each company separately. He owns BEP.UN and BIP.UN, as he finds those the most attractive long term. With those two, you tap into the Brookfield global, private equity expertise, with a focus on renewables and infrastructure. You have to analyze the risk/reward and see what's right for you.