TC Energy (TRP-T)

Dividend is attractive and sustainable, likely to be increased every year. Now just natural gas after spinning off oil pipelines. Cashflows are pretty defensible.

Don't buy stocks according to who may or may not get elected. Also, the transition from fossil fuels to renewables will take a while. In general, if you're overweight a particular stock, then sell some and re-allocate. He expects the pipeline business to remain good, especially with lower interest rates.

The spinoff won't affect his technical analysis. Chart shows a drop on October 1 (day of the spinoff) below a recent low, there's actually a gap and the price action is orphaned away from the rest. Deeper support at $58. Eventually, TRP always brings in the money on any weakness.

Good dividend payer, stable business. RSI turned up in July compared to the S&P.

Recent spinoff of South Bow interesting to watch. Uncertain on whether dividend will be sustainable without South bow assets. Would wait to watch. Nov 7th earnings will be indicative of future dividends (only so much cash flow to go around). 

Has only a bit of exposure, not a major amount. He's noticed that analyst price targets have started to come down, due to the South Bow spinoff. He doesn't know enough about the spinoff to be able to make a recommendation. 

Almost like a utility. Pipelines are not getting a lot of new approvals. Like the rails, what's there is there. Strong market position, but where is the growth going to come from? M&As can dilute shares and add debt. Well run, pretty steady. He'd be comfortable holding. Not huge upside, but some; income potential.

Now that the split's been done, things will need to settle. He holds both it and the spinoff, and he'll assess going forward.

Generally when there are spinouts, the spinout is set up for success. So he usually likes those products. At the beginning there are often a bunch of people who don't know it, sell it off, and that can be an opportunity.

The stock is not really down much today. Today is the spin off date for South Bow Corp. and TRP receive shares in SOBO as part of the company's reorganization. We would continue to see TRP as decent for income investors.
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He just sold it. He may go back into it if they spin off. He took profits. (They spin off tomorrow.)

It trades at 12X earnings and is reasonably valued. Rate cuts in Canada are a tailwind for pipelines. There is a lot of insider buying. He might trim if money was needed elsewhere.

Stock's broken out, but still trading at 15-year lows. Will continue to do well. Benefits from Coastal GasLink. TRP touches 30% of natural gas molecules produced in NA. Good infrastructure, stable assets. Yield is 6%.

Likes the pipeline space with its stability and growth.

With rates moving lower, we should be looking at utilities in general. In terms of LNG demand strengthening over time, he likes names like ENB and TRP. They're large, with sustainable dividend growth.

In Q4 they will split into separate oil/liquids and natural gas distribution businesses. This will create value in the long term, not short. Prefers ENB which pays a slightly higher dividend, but is similar. TRP pays a nice dividend.

No real issues with it. Always trying different strategies to try to recognize value. Thinks it will always trade at a discount to peers. If you have a gain, don't need to run out and sell. If you're underwater, great candidate to sell, realize the loss, and buy ENB.

In the space, he owns ENB and PPL. Both have more robust plans for growth than TRP.  ENB is very inexpensive today, so that's his preference.

Take a look at ZWU, broadly diversified, higher yield than individual names. He'd much rather have exposure to that, better profile for income seekers. 

Both TRP and FTS have rallied significantly, so it's not favourable from a risk/return standpoint. He buys into corrections and weakness instead.

It's a rate story, so lower interest rates will push this further. Pays a high dividend of 4.5%. Will hold it long term.