Topic: How To Invest

Dividend Advisor Hotline – Friday, December 2, 2022

Article Excerpt

ENBRIDGE INC., $54.69, Toronto symbol ENB, is a buy. The company operates pipelines that pump oil and natural gas from Western Canada to eastern Canada and the U.S. It also distributes gas to 3.8 million consumers in Ontario. With the March 2023 payment, Enbridge will raise your quarterly dividend by 3.2%. Investors will then receive $0.8875 a share instead of $0.86. The new annual rate of $3.55 yields a high 6.5%. The company has now increased that annual payment each year for the past 28 years. Enbridge also aims to buy back up to $1.5 billion of its shares in 2023. That’s equal to 1% of its $113.0 billion market cap (the total value of all outstanding shares). Between 2022 and 2028, the company plans to spend $17 billion on new growth projects. Most of them are backed by long-term shipping contracts, which cuts your risk. Those new projects should lift Enbridge’s projected cash flow from $5.37 a share in 2022 to about $5.45 in…