Stockchase InsightsPembina Pipeline CorpPPL.TOBUYFeb 27, 2026

Exposure to the 4 horsemen of Western Canadian growth: gas, LNG, condensate, and crude. Partnership with META. Heartland Extraction Plant should see more volumes. Leverage to the pipeline going west out of Alberta. Exposure to Cedar LNG facility under construction. 

Low double-digit internal growth, plus dividend yield, gives you ~15% annual compound return. Yield is 4.65%.

Pipeline stocks act like utilities and are more interest rate-sensitive (and to energy prices). It trended up this year until mid-July, then has pulled back due to climbing interest rates.

They will benefit from the long-term investments that Canadian government is making in Western Canada, like growing oil and natural gas production (LNG Canada). They have a good track record of completing projects on time and on budget. Always a good dividend payer, now at 4.5%. The midstreams are a safe way to play ongoing production in Western Canada.

It has support, so is good to buy now. All pipelines look good. Natural gas prices will play catch-up.

There are some overhangs on deals with KKR and Apollo but it is well run and has the best growth prospects of similar companies. The coming increase of LNG is good for Pembina as the Canadian infrastructure gets larger. Even at higher prices today it is showing strength.

Pays a 4.5% dividend. Good backlog so can increase cash flows and dividends for the next few years. Will benefit if a new LNG pipeline is built out west.

Still loves it (though not at these valuations ;)  Growth is on track, and getting paid in the meantime. What's not to like?

He doesn't own any of the pure-play oil producers right now (though he does own TOU). The reason is the volatility we're seeing. 

His team plays energy these days by owning ENB, and some of the smaller midstream companies like PPL and GEI. He likes their stability. 

Obviously executing. Data centre deals. Likes it, but it's had a really big run. Not much earnings growth right now relative to peers. He wouldn't buy more right now.

A name for a good dividend and safety. Pipelines are not quite as good as utilities, because they're perceived as being commodity-sensitive (even though they're really not). 

You'll get your dividend, and the safety means you can sleep at night (and that's worth something). You can get diversification via funds and ETFs.

It broke out early this year and the move since has been sort of parabolic. A pullback is possible.

Are more aggressive than Enbridge in their backlog, a good thing. The Basin is well-positioned.

Nice yield, and more growth projects.

Owns in his firm's high-yield growth fund. Very well positioned, especially after today's government announcement about a Western pipeline -- Pembina gets a slice of that.

Western Canada has many opportunities for more production and PPL is in the middle of that. Is a decent long-term gold with a good dividend.