Enbridge (ENB.TO)

This is a name he has been looking at to see how far a defensive stock can fall. It has come back to previous support and he sees $40 as a key point. He saw a 50% chance of a further push down towards $35, so they have not bought in -- yet. Yield 6.9%.

(A Top Pick June 20/17, Down 19%) The global investor has left the Canadian market. ENB has raised a lot of money to make acquisitions and have big projects underway. He's bought a little more and sees a $57-60 target.

They are working through several issues, especially deleveraging their balance sheet. Enbridge was seen as a rock-solid company but he is not comfortable with it at this time because of its debt.

He gets a lot of questions on this high yield dividend stock. He thinks it is breaking down through a neckline and sees further downside towards $35. He would need to see more selling followed by a bottoming formation to give evidence the buyers have returned.

A complicated one. It is in a downtrend. Partly because of a large acquisition that it made last year that made them leverage up and also because in a raising interest environment utilities stocks tend to do not so well as bonds become competitive with stocks yields. It was going to be a top pick today but changed his mind to wait until more information comes out about MLPs in the US and its ability to deduct taxes. Long-term his feeling is that it is a very good buying opportunity considering the safe 6.5% dividend yield. Still OK to own but he would like more info before putting a buy on it.

He is not terribly bullish on this. He thinks it is worth $34 and sees risk that is gets down to $32.85. As interest rates continue to go higher, investors will move away from these telcos and utility stocks.

There are a lot of things to like with a company that has done 12% total return since 1952. It is a spectacular opportunity to own it at these levels. A 10% dividend increase is at the low end of their guidance. The interest rate impact will be temporary. (Analysts’ target: $56.42).

(A Top Pick Jun 27/16, Down 18.16%) It was interest rates. They need to sell some assets for their funding plan. The market has never been better so he is not sure what the problem is.

One of the two pipelines she owns. Attractive entry point now. They have a big project in Minnesota that is still waiting for approval (Line 3 expansion). Company is confident they will get the approval in the second quarter. Market doesn’t like the uncertainty. An attractive income name. (Analysts’ price target is $56.42)

A core position for him. Enbridge will continue to be good with dividend increases for at least three more years at 8-10% annually. They made a big U.S. acquisition, so funding that has been problematic. They have to sell asets, but they've been slow to. Basically, they need a lot of cash. DRIP, issuing preferreds and hybrids help cash flow, but they still need to do $3-4 billion in asset sales. Definitely hold, though you could buy a little more here if you have a small position

Is the dividend safe? He thinks the dividend is at risk. This is a challenged space, but longer term supply is growing in US markets making a tolling business difficult. For the past 30 years it made sense to play pipelines instead of producers, but now it is different. Yield 6.6%.

This has been caught up in the hate on the the Canadian energy space and the backup in interest rate stocks. AT this price you are buying a great Canadian company at an inexpensive multiple. It offers a 6% dividend yield. They have to deleverage their balance sheet, but this is the right time to buy (Analysts’ price target is 56.63$)

It is now at a valuation that is fair. Don’t bail out. Line 3 is going to come through. The Dividend is 6.3%.

Enbridge Income Fund (ENF-T) or Enbridge Pipeline (ENB-T)? He would not buy either of these. He sold the Fund about two weeks ago. He believes prices will go lower for both. The company’s recent acquisition has stressed the balance sheet. He fears rising interest rates will push this value lower – especially for the Fund. He might go in when yields go above 12%, but there is a way to go.

The stock markets exaggerate everything. 6.2% dividend, 66% payout ratio. Very easy for them to get their balance sheet to a normal level in the next couple of years by selling non-core assets. A name you can buy or sell a put. You are going to be fine owning this company longer term.