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AltaGas Ltd T.ALA

Alternate Symbol(s):  ATGFF | T.ALA.PR.A | ATGPF | T.ALA.PR.B | T.ALA.PR.G | ATGAF

AltaGas Ltd. is a Canada-based energy infrastructure company that connects natural gas and natural gas liquids (NGLs) to domestic and global markets. The Company’s segments include Utilities and Midstream. Its Utilities segment owns and operates franchised, rate-regulated natural gas distribution and storage utilities, which includes four utilities that operate across five United States jurisdictions. It Utilities segment also includes storage facilities and contracts for interstate natural gas transportation and storage services, as well as the affiliated retail energy marketing business. Its Midstream segment includes global exports, which includes its two LPG export terminals; natural gas gathering and extraction, and fractionation and liquids handling. Its Midstream segment also consists of natural gas and NGL marketing business, domestic logistics, trucking and rail terminals, and liquid storage capability. Its subsidiaries include Wrangler 1 LLC, WGL Holdings, Inc. and others.


TSX:ALA - Post by User

Bullboard Posts
Post by redcoatson Sep 30, 2018 10:06pm
165 Views
Post# 28719060

What's your opinion?

What's your opinion?
An article on Seeking Alpha, from "Trapping Value", with the title "Altagas Dividend Safety Analysis" argues that the capex costs for ALA are a huge headwind for the company, to the point that it states: "However, we are baffled that the investment community is not worried about the gigantic capex that is scheduled". I'm not particularly worried about ALA paying down the purchase dept, as I believe they have more than adequate assets to cover. Nor do I care if they don't follow through on the dividend increases. But I haven't found any evidence to refute the capex arguement as stated by the above article. Has anybody else that read the article have a point of view, position, or comment in rebuttal to the points made? Thanks.
Bullboard Posts