Enbridge (ENB.TO)

A good, long term hold. You can get fussy with valuation and try to get cute, but it is a name you just want to Buy and tuck away for 5-10 years. The assets are very difficult to replicate. The Specter deal helps them securing mid-single digit cash flow and dividend growth for the foreseeable future.

He is not short. There has been a chase for yield for 5 years. It is incredibly expensive where there is no organic growth at all. Their debt is getting up there.

Inter-pipeline (IPL-T) or Enbridge (ENB-T)? Their acquisition of Spectra gives them more visibility on dividend increases through to 2024. Dividend yield of 3.7%.

He likes what they are doing. They are getting into different asset groups and going down to the US. It is easier to buy assets there. He thinks their recent acquisition was good. The stock has moved too quickly here. He would buy it again in the low $50s.

This was a huge newsmaker last week with the purchase of Spectra Energy, followed by a little bit of negative news with the Dakota access pipeline. It had a correction and then zoomed up in the last little while. This assured the street that it was a company that was interested in growing, and they are going to be able to continue to pay that dividend. If this is only a 2.5%-3% position in your portfolio, he would be happy to Hold, and perhaps bolster up a little more.

This has just been hitting 52 week highs. The deal they just struck looks pretty good. Solid assets. Good management. A great buy for the long-term and he wouldn’t worry about a pullback. Dividend yield of 3.7%.

Long term they have been one of the greatest of all time. It still looks good, but other utilities have higher rates of return. Don’t sell because of the recent run up.

He really likes the Spectra acquisition. A great footprint and it complements well with what they already have. The most important aspect is that it gives this company some visibility on growth, post 20019, which was a big hole in their capital plan. This offers them the opportunity to tell investors that they can grow dividends 10%-12% through 2024. A great stock to own, but wait for a little bit and maybe the stock will settle down in the next few days.

This is the one stock he would be deploying capital to. The biggest network of natural gas infrastructure this country has. 2 million users. They have very well established projects. Despite the strife going on for Energy East, these are existing pipelines. Has a tremendous track record of being able to deliver value to shareholders through growing dividends. Disciplined in their management of capital.

Pipelines ship oil at $40 or $80 per barrel. As oil sold off you noticed a pullback. You have to look at it in conjunction with what is in your portfolio. No growth expected. It is a mature name. You are there for the yield.

They diversified from pipelines into power assets – wind and solar. He prefers TRP-T for pipelines, who have growth opportunities right here, right now. TRP-T is cheaper.

(Market Call Minute.) A really overvalued company and a space where the actual volume product moving through their pipe is declining. They have an enormous amount of debt.

Technically this is looking pretty good. It has been in an upward trend for the last 6 months or so, and seems to be forming a trading range now. If it moves above its recent high, then you probably have a continuation. Seasonally, oil stocks tend to do okay from around the end of July right through until about the middle of September. If you start to see momentum and relative strength starting to turn negative, take your profits.

(Market Call Minute.) He would be getting a little concerned based on valuation.

An interest sensitive stock, and he would be a little wary of some of the interest sensitives that have run so hard. Would be more inclined to play the Enbridge Income Fund (ENF-T). It is a bit of a higher yield, slower growth and the valuation is not as extended.