Enbridge (ENB.TO)

Preferred H 4%. Good quality company. Likes that the reset time is in 2018.

Has been a great stock. A Trend is higher highs and lower lows and there has not been a breach of that rule here. It may be consolidating a bit, but he would not panic and sell unless it takes out a last low. That would be a top. Until the June low is broken for a week, it is okay.

This is technically an energy company, but a lot of utilities are a little bit above historical averages and PE’s so are a little expensive at this point. Trading at around 24X PE. Long-term historical average is 18X earnings. Has a decent dividend yield of 2.9% so if you are looking for a dividend, this is a pretty good company. Has a projected 3 year annual growth rate, in terms of the dividend, of about 11.5%. He would rather stick with the staples, telecoms or healthcare areas for a defensive position.

Management is the best of all the comparables. They are having their troubles with leaks in pipelines just in the middle of trying to get approvals. You are going see a fair amount of negative press so give it a rest right now. If you saw significant pressure because of negative news then that is when she would buy. She is expecting more bad news. But they are the one pipeline company with the most projects ahead of them so it should be quite exciting, but negative headlines short term. Stock is expensive short term. She would pick $35 as how much it would have to fall.

(Top Pick Jun 8/11, Up 34.34%) He would take some money off the table if you are a short term investor.

Track record has been pretty good. Not one of the highest yielding pipeline stocks as their yield is 3%. Has a very visible pipeline project going forward and you can see where the cash is going to be coming from. Expect they will be increasing their dividend along with their earnings growth in the 10%-15% range.

Very expensive. Too expensive for him. Model $23.68, -43%. Rotate from dividend payers to cyclicals.