Stock Price & Analysis

Based on the provided data and recent market analysis, here's a concise assessment of ENB stock:

Technical Analysis

The stock shows bearish momentum in the short term:

• Recent close: $33.61 (Feb 23)
• Trading below both 5-day ($33.52) and 10-day ($33.58) moving averages
• RSI at 35.07 indicates oversold conditions
• MACD showing negative divergence with -0.29

Fundamental Strengths

• Strong dividend history with 30 consecutive years of increases
• Diversified revenue streams:
  • 75% from midstream assets
  • 22% from regulated utilities
  • 3% from renewable energy
• Investment grade balance sheet
• 6.1% dividend yield significantly above S&P 500's 1.2%

Recent Headwinds

• Potential impact from proposed Canadian tariffs up to 25%
• Energy sector facing broader market pressures
• Q4 2024 earnings showed mixed results with revenue decline of 42.87% YoY

Recommendation: HOLD

While ENB offers attractive income potential through its reliable dividend, current technical indicators and macro headwinds suggest waiting for a better entry point. The stock appears oversold but faces near-term pressure from potential tariffs and sector challenges. Conservative income investors may consider gradually building positions on further weakness.

Based on the provided data and context, I'll analyze ENB's price prediction for 2025:

Technical Analysis:

Current Market Position and Trends:

• Current price: $41.97 (as of Feb 21, 2025)
• Key resistance level: $45.23 (Fibonacci R1)
• Key support level: $42.05 (Fibonacci S1)

Price Target Analysis for 2025: Based on technical indicators and recent market developments, ENB stock is expected to reach $47-48 by end of 2025, driven by three key factors:

1. Strong EBITDA Growth: The company projects adjusted EBITDA between CA$19.4-20 billion in 2025, representing ~17% year-over-year growth.

2. Utility Business Expansion: ENB has become North America's largest natural gas utility company through 2023 acquisitions, providing stable cash flows.

3. Clean Energy Transition: The company's strategic shift towards cleaner energy sources and 3% EBITDA from renewable assets positions it well for future growth.

The stock's current technical indicators suggest a potential upward movement, with RSI at 35.07 showing oversold conditions and room for upward momentum. The Fibonacci levels indicate strong support at $42.05, suggesting limited downside risk while targeting the R3 level of $47.81.

The S1 support level for ENB Stock is $41.55 ,The R1 resistant level for ENB Stock is $45.05.

As of the end of day on 2025-02-26, the price of ENB Stock was $41.66.

The target price for ENB Stock according to analyst rating is 45.75, with the highest price target at 48.62 and the lowest at 42.28. Analysts have a Moderate Buy rating on ENB Stock overall.

The market cap of ENB is $90.8B.

Based on the provided data and recent market developments, here's a comprehensive analysis of ENB's valuation:

Technical Analysis

The stock is currently showing bearish technical signals with RSI at 35.07 indicating oversold conditions. The MACD is negative at -0.29 with a bearish histogram of -0.37, suggesting downward momentum.

Valuation Metrics

The stock appears overvalued based on several key metrics:

• Forward P/E of 16.81x (2023) shows improvement from 41.47x (2022)
• EV/EBITDA of 14.63x remains elevated compared to industry standards
• P/B ratio of 1.86x indicates moderate premium to book value
• Dividend yield of 8.15% (2023) increased significantly from 3.21% (2022)

Recent Developments The potential impact of Trump's proposed tariffs on Canadian imports has created uncertainty. While ENB's pipeline business operates on take-or-pay contracts which provide some protection, there could be indirect effects on spot volumes flowing into the US.

Financial Performance

Notable improvements in 2023:

• Net income increased significantly to CAD 5.84B from CAD 2.59B
• Gross margin expanded to 39.2% from 31.14%
• ROE improved to 10.84% from 4.88%
• Net margin increased to 14.13% from 5.5%

Conclusion ENB appears overvalued at current levels based on:

1. High valuation multiples relative to historical averages
2. Potential headwinds from proposed tariffs
3. Technical indicators suggesting bearish momentum

However, strong financial performance and high dividend yield provide some support. The stock would be more attractive below $35 per share.

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. The Liquids Pipelines include marketing of crude oil and consist of pipelines and terminals in Canada and the United States that transport and export various grades of crude oil and other liquid hydrocarbons. The Gas Transmission consists of its investments in natural gas pipelines and gathering and processing facilities in Canada and the United States. The Gas Distribution and Storage consists of its natural gas utility operations. The Renewable Power Generation consists of investments in wind and solar assets, geothermal, waste heat recovery, and transmission assets. The Company owns Questar Gas utility, Enbridge Gas North Carolina utility, Aitken Creek Gas Storage facility and Aitken Creek North Gas Storage facility.

Based on the provided data and recent market analysis, here is the ENB stock price prediction for 2030:

The ENB stock is projected to reach $44.44 by 2030, representing a modest 6.36% increase from the current price of $41.78. This conservative growth projection is supported by several key factors:

Growth Drivers:

• Enbridge's transformation into North America's largest natural gas utility franchise through recent strategic acquisitions
• Strong predictable cash flows backed by long-term contracts and regulated frameworks
• 30-year track record of consecutive dividend increases, demonstrating financial stability
• Successful execution of $23 billion in acquisitions and $2 billion of secured capital projects in 2023

Key Metrics Supporting the Forecast:

• Current EBITDA growth of 8-11% projected for 2025
• Expected 3-5% annual DCF per share growth through 2030
• Strong balance sheet with Debt/EBITDA ratio of 4.1x, below target range
• Balanced revenue mix targeting 50% Natural Gas/Renewables and 50% Liquids

Reason for Conservative Growth: While Enbridge has strong fundamentals, the moderate price target reflects:

• Industry transition challenges toward cleaner energy
• Rising interest rate environment impact on utility stocks
• Regulatory and policy uncertainties in energy sector

ENB has a total of 11500 employees.