Enbridge (ENB), a leading energy infrastructure company, recently released its financial forecast for the near future. With a steadfast commitment to dividend growth, the company remains confident in maintaining its historical practice of increasing dividends.
Strong Business Positions and Growth Prospects
Enbridge’s management highlights the company’s robust business positions, resilience, and minimal risks, all contributing factors to dividend enhancement for shareholders.
Financial Projections
Enbridge anticipates a 4-6% growth in earnings per share by 2026, with a roughly 3% increase in distributable cash flow (DCF) per share, primarily driven by acquisitions and new investments in infrastructure.
Expansion Plans
Enbridge is on track to acquire three gas companies from Dominion Energy, aiming to establish the largest gas business in North America by gas delivery volume.
Sustainable Dividend Growth
The projected DCF growth is expected to sustain a consistent annual dividend growth. After distributing $34 billion Canadian dollars in dividends over the last five years, Enbridge plans to distribute over $40 billion Canadian dollars in dividends over the next five years while maintaining a reasonable DCF payout ratio of 60% to 70%.
Investor Benefits
Shareholders can expect regular quarterly dividends, annual dividend increases, and a current high yield of 7.5%.
For investors seeking sustainable growth and reliable dividend income, Enbridge presents a promising opportunity. Explore the potential of investing in US stocks like Enbridge through ProfitsForce’s intelligent technology system for analyzing and evaluating public companies.
