TSE:TRP

TC Energy (TRP.TO)

83.17
-1.09 (1.29%)
as of Sep 25, 2026, 8:00:00 pm Market Open.
1335 watching
0
PAST TOP PICK
(A Top Pick Sep 17/18, Up 30%) When he bought this it was a defensive play. When the market sold the utility and pipeline space off, he bought. He still owns it today. It has good upward price momentum and a payout ratio of only 70%. It is highly levered, so be careful from here. He would still be a hold. Yield 4.5%
HOLD
They still have the keystone XL issue but all else is going okay. Investors are drawn to this stock for the yield and growing dividend. It is not a cheap stock anymore. People are driving it up. It is all yield-driven.
COMMENT

The Federal government is anti-pipeline? He looks at either TRP-T and ENB-T for this space. He prefers the valuation of ENB-T at this time. He likes how TRP-T is re-inventing itself however. There is a big question mark around whether Keystone pipeline will actually get built. Any hint of failing to go forward could negatively impact the TRP-T share price.

COMMENT
Has owned it for a long time. They've been consolidating by selling off assets, but still has about 23 billion to go in their building program. The dividend has been rising at 7-10% in line with expectation. Good yield and expected growth.
TOP PICK
One of the largest infrastructure companies in North America. You are being paid to wait for their projects to be completed. Very good value here. Yield 4.6%. (Analysts’ price target is $68.39)
HOLD
He no longer owns this. Not that it was a bad company, it was just he held a large proportion of utility holdings. It has some issues on pipelines in development. The recent US asset sell off is a good plan to help rebalance the balance sheet.
COMMENT
He has been avoiding the utilities as they get compared to the yield curve. However as the yield curve has narrowed, profitability has increased and the share price this year reflects that. Looking out 5 years, if rates go up it may hurt them.
COMMENT
This is very much a yield, interest sensitive stock. Interest sensitive stocks have been on a real ride the last while. Transcanada has participated in this ride. Need to look at portfolio to see what percentage you have in other interest sensitive names and may need to trim. Most of the good news is already baked into this name.
WEAK BUY
TC Energy vs. Enbridge. He'd own TC Energy. They'll both move the same amount. He's shy of Enbridge because their growth strategy was based on something that didn't exist, always issuing equity and hiking dividends. Doesn't like Enbridge.
COMMENT
ENB-T or TRP-T? He owns both pipelines. Today, he would favour TRP-T. He has also been watching PPL-T as well. The space has always been a good investment.
BUY
It had a long-term downtrend, but has reversed that since the start of the year. Positive. It could break to new highs at $65.
TOP PICK
Sales were up 5%; earnings were up 26%. He expects a 14% ROE this year. If it gets above $61 it would be a potential break-out. (Analysts’ price target is $62.98)
WAIT
He likes pipelines and utility companies. TRP is a little more diversified and will benefit longer term. He thinks there are better buying opportunities in this name by waiting. There is no national strategy of pipelines, however this may happen when prices start rising.
BUY
TransCanda Pipelines vs Enbridge If you ran a 10 year chart on both of these, you can't tell the difference between them. Everything is pretty equal between these 2 names. Could play a trading game swapping between them both dependant on yield. They will continue to raise their dividends. These are great monopolies across North America. He would own both.
DON'T BUY
They do share buybacks, but TRP is a step behind its peer, Enbridge which has a stronger capital structure (i.e. discontinued its DRIP). With their growth projects, they're not out of the woods just yet. Buy Enbridge instead. Also, it's so difficult to build a pipeline in Canada.
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