TC Energy aims to tap rising LNG demand

Article Excerpt

TC Energy continues to expand its natural gas pipelines as power utilities shift away from more-polluting fuels like oil and coal. Those new projects will help it profit as Canada and the U.S. expand their ability to export liquefied natural gas (LNG) in the wake of Russia’s invasion of Ukraine. What’s more, these new projects are secured by long-term contracts or regulated shipping rates. That cuts your risk and gives TC steady cash flows for regular dividend hikes. TC ENERGY CORP. $70 is a buy. The company (Toronto symbol TRP; Conservative Growth and Income Portfolios, Utilities sector; Shares outstanding: 983.0 million; Market cap: $68.8 billion; Price-to-sales ratio: 5.1; Dividend yield: 5.1%; TSINetwork Rating: Above Average; www.tcenergy.com) operates a 93,300-kilometre pipeline network that pumps natural gas from Alberta to eastern Canada and the U.S. Its other operations include 4,900 kilometres of crude oil pipelines and seven power plants. The company’s revenue rose 1.7%, from $13.45 billion in 2017 to $13.68 billion in 2018. Revenue then dipped…