Inter Pipeline (IPL.TO)

Generally likes this space but valuations are at little bit stretched on this one. If she owned this one, she would be inclined to take a little bit off the table. There will be a better buying opportunity for most of the pipeline names.

Infrastructure companies are doing the best. This one is focused on the oil sands and he believes they are going to continue to grow. He typically does not invest in companies doing growth by acquisition but he missed this one.

Has been a great stock. Had done well for quite a while because its dividend was very attractive and it attracted interest sensitive investors. But it has also been a growth company and this is why the stock has continued to go.

He kept it. They have a higher valuation and $8 billion market cap but re-invest $3 billion in the industry. You don’t have to worry about interest rates going up. He is keeping it as a core holding.

Great business model for cash flow and dividends. Good management.

Could this company withstand any major correction in interest rates? He doesn’t think a change in interest rates in pipelines is going to happen too much. The bigger benefit that the pipelines have is that we have such a hard time building new ones. He looks at these as monopolies that really control the outflow. Likes all the pipelines because they control the oil market. Feels they are much better investments than the fixed income market is generating.

Trimmed a couple of times. If it is doing what you want it to do you stick with it. Owns his core position. But if you get overweight, then sell a bit off.

There is a big need to expand the small pipeline infrastructure in Alberta. He can see real growth going on for the foreseeable future.

Great management team. Well-run company. In this whole space, he believes energy infrastructure is under built. There is more and more production coming on both sides of the border. There are tons more opportunity for this company in Western Canada.

Had a lot of growth but now is more dividend than growth oriented. Prefers ENB-T for the earnings growth because that’s what the market is looking for.

Stock is fairly expensive but less than before their raised equity and took some risk out of the stock. He doesn’t see a dividend risk.

Consistent long term dividend growth and 5% + capital gains. Just had a management shift.

Keeps monitoring this one. Doesn’t expect last 5 years growth to be replicated in the next 5. Dividend is safe, though. If fundamentals change and something in the space goes amiss, then ask yourself about this stock, otherwise continue to hold it. 5% yield that increases every year or so.

Pembina (PPL-T) or Inter Pipiline (IPL-T)? That’s a choice. He would say Buy both. Both have a lot of really good projects in their pipeline and both have done really well and both have a habit of sharing their good profitability with their investors in the form of increasing distributions. Thinks growth is high enough to protect them both from interest-rate increases.

Inter Pipeline (IPL-T) or Manulife (MFC-T) for a long-term hold? This one is on energy infrastructure with pipelines in Alberta. Good business and growth opportunities in delivering diluent to the oil sands. Expensive but steady returns. Have some growth prospects. As interest rates rise, this is going to suffer.