Enbridge (ENB.TO)

Ride out the ups and downs. Isn't bothered by the Venezuela news. Also, buy Canadian; he's bullish Canada. Definitely a buying opportunity now.

The dividend is over 6% and earnings will grow at about 5%. This combines to make a rate of return at 11% which is pretty attractive for a blue chip company. Enbridge is heavy oil and oil demand is not growing that much. Natural gas is probably better because of LNG exports, its replacement value for coal and all the data centre power needed.

He'd own some of both. Diversification is always good. For a young investor, you want to help them learn. (Ryan always tells the hockey team he coaches that "You learn more from losing than from winning." ;) This pairing can show them how different stocks move at different times. When the market's doing really well and oil prices are running, you'll see that reflected in WCP. When they're not, you'll see the stability of ENB.

Doesn't own WCP, but he can see the case for it. Especially with the assets it's been able to consolidate, now much more stable and powerful than a few years ago. He'd prefer other names ahead of it -- CNQ, ARX (likes the condensate over light oil). He wants the best operators and the most stable long-term outlook.

ENB is a great long-term hold. Has come off again recently. In his portfolios, weighting of pipeline/infrastructure/renewables/utilities over producers is 3:1. Dividend yield over 5%.

Don't put a stop loss, but it trades in a range. Can trade it. Look at the $64 level, but will probably fall to $58. Is linked to commodities, so prune when this goes high. You can buy this today. Its prospects look good.

(With the market trading at such high valuations, it was really hard to find something that will outperform.)

Largest energy infrastructure company in NA. Just raised dividend 3% yesterday. Plans to grow 4% organically. Expanding main line. Has so much capex planned ($35B) for so many tuck-in projects with low regulatory risk, doesn't need to (but still might) participate in the new MOU agreement between Canada-Alberta (which has a lot of political and regulatory risk). So much of its earnings are regulated or take-or-pay. Yield is 5.76%.

Her energy exposure tends to be larger-cap such as CNQ and ENB.

A longtime favourite of his. Pays a 5.6% dividend yield. Pipeline companies aren't tied to the oil price, but oil volumes, and Washington wants more drilling. Government regulation isn't a big worry here. Is up 13% this year. Offers a lot of downside protection. Offers strong long-term growth, because data centres needs energy. ENB is in the beginnings of a major pipeline expansion to move oil from Canada to the Gulf of Mexico.

Both look kind of interesting. ENB came down and tested the 200-day MA at the end of October. In a series of higher highs and higher lows. Really great capital allocator. Has opportunities to grow with changes in political views on pipelines.

PPL also looks good. But if he had to choose one for a main portfolio holding, it would be ENB.

High quality. Can be lots of volatility in O&G sector. Value: 8/10, still sees upside of ~6%. Underperforming the market, but so has the whole energy sector. Will continue to do well with its liquids pipelines, storage and distribution, as well as renewable power. 95% of FCF is backed by long-term contracts. Decent dividend of ~5.7%.

All of its businesses are stable and well regulated. No quarrel with owning this one. He owns TRP instead. ENB has more oil exposure, whereas TRP spun off its oil pipes as SOBO. ENB is a close second to TRP. Pullback is good chance to accumulate.

He's been selling down his stake. Price has come up, so yield's gone down. You can hold it for the dividend, which increases 3-4% a year. Good exposure to pipelines, but also power and utilities in the US. Diversified, well run.

If you want more than 8-10% return, better opportunities out there.

He's been cautious on the pipes. The pipeline ETF in the US is hitting RSI new lows for the year, as are a lot of the pipes in Canada (including the best-performing one, ENB). Price chart looks fine, relative strength is weak. Fine for the yield.

People looking at long-life, more-utility-type assets are focusing more on electrical power generation. In that camp, you might look at CPX.

Likes and owns both. If she had to buy one today, it would be PPL. ENB has already seen growth. PPL lagged for a lot of this year, flat to negative, up until last week with Alberta data centre announcement. Pembina has a strong management and track record.

Technical analysts love to give fancy names to chart patterns ;)  The 5-year for this name is showing a cup and handle -- with that rounded bottom, perhaps a little pullback, and then a breakout and consolidation. Also a nice swing trade. Now testing the breakout point, and successfully so. Looks good.

You should take note of the litigation issue and remember that the news and media can move a stock. However she doesn't see anything being detrimental over the longer term. The natural gas side is picking up although the oil side is under a bit of pressure. She thinks Enbridge can adapt. The dividend is over 6%.