Oil Price Fluctuations and Pipeline Stock Investment Opportunities
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 26 2026
0mins
Source: Fool
- Oil Price Volatility: Oil prices surged from around $60 to nearly $120 due to the closure of the Strait of Hormuz, but have since retreated to the $70 range following a U.S.-Iran agreement, highlighting market uncertainty.
- Supply Shift to Glut: The IEA forecasts an increase in global oil supply by 8 million BPD next year against a demand rise of only 2 million BPD, leading to a supply surplus of over 5 million BPD, which will exert downward pressure on prices.
- Pipeline Companies' Resilience: While falling oil prices will hurt producers, pipeline companies like Enbridge and Plains All American Pipeline are insulated due to fixed fee structures, ensuring stable cash flows and earnings growth, providing reliable returns for investors.
- Long-term Investment Value: Enbridge is expected to achieve around 5% annual cash flow growth over the coming years and has increased its dividend for 31 consecutive years, demonstrating strong resilience in low oil price environments, making it a preferred investment choice.
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Analyst Views on ENB
Wall Street analysts forecast ENB stock price to rise
10 Analyst Rating
5 Buy
5 Hold
0 Sell
Moderate Buy
Current: 53.470
Low
45.79
Averages
53.54
High
69.00
Current: 53.470
Low
45.79
Averages
53.54
High
69.00
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.
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- Investor Relations Support: After the call, Enbridge's media and investor relations teams will be available for additional inquiries, enhancing communication and transparency with stakeholders.
- Webcast Replay: A replay and transcript of the webcast will be made available on Enbridge's website shortly after the event, allowing investors who missed the live call to access critical information and insights.
See More
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- Conference Format: The call will feature prepared remarks from the executive team followed by a Q&A session for analysts and investors, aimed at enhancing engagement and addressing concerns.
- Media Support: After the call, Enbridge's media and investor relations teams will be available for additional inquiries, ensuring all participants receive the necessary information and enhancing transparency.
- Webcast Replay: A replay and transcript of the conference will be posted on Enbridge's website shortly after the event, allowing investors and analysts who could not attend live to review the information, thereby improving accessibility to key updates.
See More
