RBC - from G&M RBC Capital Markets analyst Robert Kwan previewed earnings for the yield-heavy energy infrastructure sector and noted an important buying opportunity,
“We believe investors will be focusing on AltaGas (first conference call for Vern Yu, the new CEO), Enbridge (Mainline and M&A commentary), TC Energy (asset sales and CGL construction updates), Emera (continuation of its strong cash flow generation from Q1/23), Capital Power (first conference call for Avik Dey, the new CEO, plus Genesee repowering and CCS economics in focus), Algonquin (outcome of strategic review of renewable business), and Superior Plus (new CEO started in April and closed $1 billion Certarus acquisition in late May)… Buying opportunity for AltaGas (ALA), which moves to our best midstream stock idea. Although AltaGas’ quarter could be a bit soft, we have become even more positive on the stock as we believe there may be a greater willingness under new leadership to take action on deleveraging (including reducing leverage below its long-term 4.5 times debt/EBITDA target), while increasing the contracted/ regulated nature of its cash flow. With that, we highlight AltaGas as our best stock idea and believe that any weakness as part of the quarterly results should represent an attractive buying opportunity”