Enbridge: A Stable High Dividend Investment
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 16h ago
0mins
Source: Fool
- Diversified Operations: Enbridge operates as a pipeline company, generating stable cash flows through fee-based transportation of oil and natural gas, while also managing regulated natural gas utilities that provide reliable income, enhancing its resilience throughout economic cycles.
- Reliable Dividend Payer: With a current dividend yield of 5.7% and a remarkable 30-year streak of increasing dividends, Enbridge demonstrates business consistency, instilling confidence in investors who rely on dividends to supplement retirement income and showcasing its long-term investment value.
- Long-Term Development Plan: Enbridge's portfolio includes oil pipelines, natural gas pipelines, and renewable energy assets, which, while seemingly diverse, aim to adapt to the evolving global energy needs, ensuring competitiveness during the transition to cleaner alternatives.
- Cornerstone Investment: Although Enbridge's high yield may not be thrilling, its positioning as a reliable dividend stock makes it a foundational investment for income portfolios, suitable for long-term holding to secure stable cash flows.
Analyst Views on ENB
Wall Street analysts forecast ENB stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ENB is 49.75 USD with a low forecast of 44.63 USD and a high forecast of 51.83 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
5 Buy
6 Hold
0 Sell
Moderate Buy
Current: 48.020
Low
44.63
Averages
49.75
High
51.83
Current: 48.020
Low
44.63
Averages
49.75
High
51.83
About ENB
Enbridge Inc. is an energy transportation and distribution company. The Company's segments include Liquids Pipelines, Gas Transmission, Gas Distribution and Storage, and Renewable Power Generation. Liquids Pipelines consists of pipelines and terminals in Canada and United States that transport and export various grades of crude oil and other liquid hydrocarbons, including the Mainline System, Regional Oil Sands System, Gulf Coast and Mid-Continent, and Other. Gas Transmission consists of its investments in natural gas pipelines and gathering and processing facilities in Canada and United States, including United States Gas Transmission, Canadian Gas Transmission, United States Midstream, and Other. Gas Distribution and Storage consists of its rate-regulated natural gas utility operations in Canada and United States. Renewable Power Generation consists primarily of investments in wind and solar assets, as well as equity interests in geothermal power and power transmission assets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
