06:49 AM EDT, 07/05/2021 (MT Newswires) -- CFRA, an independent research provider, provided MT Newswires in the United States with the following research alert. Analysts at CFRA summarized their opinion as follows:
STARS Updated. We retain our 12-month target price of US$45, reflecting a 12.4x multiple of enterprise value to projected '22 EBITDA, about in line with ENB's historical forward average. We lift our '21 EPS estimate by C$0.01 to C$2.70, but trim '22's by C$0.02 to C$2.98. ENB remains exposed to significant regulatory risk, heightened by the recent decision by the U.S. Army Corps of Engineers to require a full-fledged Environment Impact Statement (EIS) for its planned replacement of the aging Line 5 pipeline. We think this not only significantly extends the construction timeline, but also enhances the potential adverse impact should the State of Michigan successfully shut down the existing Line 5 (which it is fervently trying to do). We think current pricing is giving short shrift to these risks and we note that shares are up 23% year to date.