Stockchase Opinions

Mike S. Newton, CIM FCSI Enbridge Energy Partners LP. EEP-N COMMENT Jun 08, 2016

Theoretically this would take a hit if interest rates went up, but there is going to be a pull and a push on this. If you have the higher underlying commodity pricing, that would support one aspect of it, but a headwind on the rising rate environment is going to affect you.

$23.350

Stock price when the opinion was issued

Energy
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BUY

The volume has been stepping up a bit. The interest in the stock has been accompanied by increased volume, which is good. He thinks it is favourable here. The increase in volume tells him it is trying to build a base. Ease into the stock, thirds a couple of weeks apart.

COMMENT

People are kind of negative on the sector. Pipelines in general are not everybody’s favourite asset right now. Dividend yield of over 10% tells you people are very nervous about them covering the dividend.