Pembina Pipeline Corp (PPL.TO)

Likes this. Just increased the distribution. Have projects in place where they can increase their distribution, maybe 3%-5% per year. Well-positioned in Western Canada as well with just the natural gas processing extraction acquisition they did last year to expand their presence.

(A Top Pick September 7/12. Up 27.9%.) Still loves this one. Delivering on all fields.

(Market Call Minute) Buy around $30-$31. Safe. Lots of growth projects. Just increased dividend.

Likes the infrastructure midstream type companies. $3 billion in CapX in infrastructure over the next 3 years. This will increase their earnings 6%-7% per year. Primarily cost of service. Decent yield of over 5% and increasing 3%-5%.

Class A preferred shares, series 1, reset on Dec 1/18 at 4.25%? The company is great. It’s in a sweet spot and does a lot of midstream pipeline and gathering. They have a chance to benefit from TransCanada’s (TRP-T)-eastern pipeline. Good management team. Their common equity is yielding about 5%. These are 4.25% and reset at Canada’s 247 basis points in 2018. The question is, where do you want to be in the capital structure? Their 5-year bonds are yielding around 3%. This would be your own personal preference.

Didn’t think management was as aggressive as they should be, but then they changed their views and became more aggressive so he added it to his portfolios. It is a good safe place with growth for decades.

(Top Pick Jul 26/12, Up 15.08%) Looking really attractive this time round. He would look to buy if it holds its level in a retracement.

(A Top Pick Oct 1/12. Up 21.59%.) $25 billion of potential growth projects over the next 5 years. EBITDA could almost double. Thinks they are going to enhance their growth profile even more. Not very sensitive to bond yield increases. Dividend growth of 7% since 2000, which he thinks will continue. Has a target of $57, which they can achieve if they are successful with Keystone XL and continued good progress with LNG developments.

An energy infrastructure pipeline that moves a great deal of oil through Alberta and Western Canada. He worries little bit about how the stock will behave in the near-term given that interest rates are going up. A bit expensive. However, there are growth prospects and over the longer-term there is growth potential. Feels the 5% dividend is safe.

Intrasensitive stock but has a tremendous project development backlog that exceeds $4 billion so you could see very significant growth in years to come. $36-$37 in 12 months. Feels the 5.01% dividend is sustainable.

(A Top Pick July 13/12. Up 30.14%.) Still likes.

This is a yield play and it’s a pipeline that is not in the front firing line concerning Keystone and all the other politics.

(A Top Pick July 12/12. Up 33.94%.) Took a big hit at the end of May when the “tapering” talk started and people got worried that bond yields were going to ratchet way up and stocks purchased for income were going to be out of favour. It sold off for about 6 weeks in a row and is only starting to come back now. Very solid company and the yield is rock solid. In his view, even with the five-year bond where it is, this is still very attractive.

This is the one pipeline that he has the largest holdings in. Likes the prospects over the next number of years and a dividend increase is potentially possible next year. Decent yield at 4.9% and expecting 5.5% 3 years from now.

(Top Pick Aug 28/12, Up 25.77%) One of his core positions. Tremendous growth opportunities in the infrastructure space. Dividend increase is entirely possible. When we start to see the growth profile slow a little, then we look for alternatives in the space but it looks attractive now.