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Enbridge Inc T.ENB.PR.Y


Primary Symbol: T.ENB Alternate Symbol(s):  ENB | T.ENB.PF.A | T.ENB.PF.C | T.ENB.PF.E | ENBOF | ENBFF | T.ENB.PF.G | EBBNF | T.ENB.PF.U | T.ENB.PF.V | EBGEF | T.ENB.PR.A | ENBGF | T.ENB.PR.B | EBRGF | T.ENB.PR.D | EBRZF | T.ENB.PR.F | T.ENB.PR.H | ENBHF | T.ENB.PR.J | ENBRF | T.ENB.PR.N | ENNPF | T.ENB.PR.P | ENBMF | T.ENB.PR.T | T.ENB.PR.V | EBBGF | ENBNF | T.ENB.PF.K | T.ENB.PR.G | T.ENB.PR.I | T.ENB.PR.Z

Enbridge Inc. is an energy transportation and distribution company. The Company operates through five business segments: Liquids Pipelines, Gas Transmission and Midstream, Gas Distribution and Storage, Renewable Power Generation, and Energy Services. Liquids Pipelines consists of pipelines and terminals in Canada and the United States that transport and export various grades of crude oil and other liquid hydrocarbons. Gas Transmission and Midstream consists of its investments in natural gas pipelines and gathering and processing facilities in Canada and the United States. Gas Distribution and Storage consists of its natural gas utility operations. Renewable Power Generation consists of investments in wind and solar assets, geothermal, waste heat recovery, and transmission assets. Energy Services provides physical commodity marketing, logistics services, and energy marketing services. The Company owns Aitken Creek Gas Storage facility and Aitken Creek North Gas Storage facility.


TSX:ENB - Post by User

Comment by autofocus111on Dec 08, 2021 12:13pm
547 Views
Post# 34210840

RE:Comments before I take another break from the asylum

RE:Comments before I take another break from the asylumMarner, This is not rocket science.The company projects ~2B of 2022 DCF as unallocated. The options for this captial are: delever, acquire, additional dividend hike, organic growth, repurchase shares, or leave cash on the balance sheet, Leaving the cash in the bank is pointless. Leverage is already well within the 4.5-5x range. They made a decent acquisition in the US oil export terminal recently but good opportunistic targets like that don't appear that often. Organic projects in oil&gas face tough regulatory headwinds (L3RP clearly demonstrated that) and it's also challenging to find good returns on renewable projects That leaves essentially two options: increase dividend further or buybacks.  Dividend yield is about 1% higher than historical indicating the shares are mispriced. That leaves buybacks. It's perfectly logical. No speculation about 'somehting big in the works' required (and that's unlikely anyway for this company since as you pointed out they are conservative and don't play games with the investor base). Nope. Share buybacks makes perfect sense to me and evidently to ENB management as well.
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