
TSE:ENB
This summary was created by AI, based on 37 opinions in the last 12 months.
Enbridge (ENB-T) is highly regarded among experts for its strong performance and reliable dividends, currently yielding around 5% and expected to grow. The company operates the largest crude oil pipeline network in North America and is strategically positioned to benefit from rising infrastructure spending in Canada, particularly related to natural gas and LNG exports. Analysts note the strong management and stable cash flows, despite some concerns regarding its exposure to commodity prices. There is general agreement among experts that Enbridge is a solid long-term investment, although opinions vary on its current pricing and growth potential in comparison to peers. Overall, it is viewed as a safer asset within the energy sector, especially for income-focused investors.
Which ratio is better to assess the value: Price-Earning or Price-Cash Flow? What is a good entry price for this stock? Price to Earnings is better than Price to Cash Flow. He feels it is good value when it gets to 20X or below on a PE basis. They are very susceptible to multiple expansion if long-term interest rates head up significantly from here. (Sold down his holdings in the last 6 months out of fear of the impact of higher longer-term interest rates might have on the valuations.)
Valuations got very stretched but the quality is there. Being touted as a dividend stock, but it is really a growth stock. Have $37 billion, mostly in secured projects, coming in over the next 3 years. Sees 2012-2014 earnings per share growth of about 17.3%. Not that expensive given that we are still in a relatively low interest-rate environment.
(A Top Pick Oct 15/12. Up 11.32%.) Still likes. Pulled back with the interest-rate adjustment. Fits into his definition of yield plus growth. Thinks there is 8%-10% of earnings growth and they’ll raise the dividend over time.