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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 Johnwith30yearson Apr 14, 2019 5:31pm
171 Views
Post# 29625256

I respectfully disagree with those who argue...

I respectfully disagree with those who argue...that 420 is as high as ALA can go without a dividend increase.  It is usually total retrun that large investors seek   and if Earnings and reports  are convincing investors that there is significant growth ahead for this company and that it has been hammered down too far then I think the stock price can reach $24 before a dividend increase will be required. If  cash flow is moving up smartly and sales of assets and other positives come on stream, many will see the longer term fuutre and value for the assets and earning power of ALA and anticipate both rising dividends and a rising stock price as the ship rights itself.  Thi sis rare in a utility and will only happen here becasue it was so deeply oversold.  Look at Book Value  and several indicators to see how it compares with its peers.  Dividend percentag eis only one indicator.... still around $24   the dividend yiled drops to 4%  so income investors will be hesitant but those seeing the total value picture will still buy in as the situation imroves.  two years out and you could get rising dividends for many years.  So I think 24 prior to the need to increase the dividend.  A key for them is to keep shedding debt and not engage in any new investments where the return is doubtful or not understood by the market.  28 could be in the cards by  January 2021  but I'll take 24 ...{ not a penny less.:) }
Bullboard Posts