Enbridge Valuation

Is ENB.PRP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ENB.PRP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ENB.PRP (CA$19.22) is trading below our estimate of fair value (CA$21.53)

Significantly Below Fair Value: ENB.PRP is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ENB.PRP?

Key metric: As ENB.PRP is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ENB.PRP. This is calculated by dividing ENB.PRP's market cap by their current earnings.
What is ENB.PRP's PE Ratio?
PE Ratio	21.1x
Earnings	CA$6.29b
Market Cap	CA$130.29b

ENB.PRP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	4.8x
Enterprise Value/EBITDA	16x
PEG Ratio	2.3x

Price to Earnings Ratio vs Peers

How does ENB.PRP's PE Ratio compare to its peers?

The above table shows the PE ratio for ENB.PRP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	19x
TRP TC Energy	14.3x	-2.3%	CA$71.4b
PPL Pembina Pipeline	18.9x	4.2%	CA$34.5b
KEY Keyera	24.4x	5.2%	CA$10.7b
GEI Gibson Energy	18.5x	9.9%	CA$3.8b
ENB.PRP Enbridge	21.1x	9.0%	CA$130.3b

Price-To-Earnings vs Peers: ENB.PRP is expensive based on its Price-To-Earnings Ratio (21.1x) compared to the peer average (19x).

Price to Earnings Ratio vs Industry

How does ENB.PRP's PE Ratio compare vs other companies in the CA Oil and Gas Industry?

7 Companies	Price / Earnings	Estimated Growth	Market Cap
HAM Highwood Asset Management	1.3x	-43.9%	US$66.82m
ALPS.U Alpine Summit Energy Partners	1x	n/a	US$24.02m
KUB.H Carcetti Capital	0.7x	n/a	US$5.82m
GCOM Green Shift Commodities	1.4x	n/a	US$4.93m

7 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: ENB.PRP is expensive based on its Price-To-Earnings Ratio (21.1x) compared to the Canadian Oil and Gas industry average (11x).

Price to Earnings Ratio vs Fair Ratio

What is ENB.PRP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ENB.PRP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	21.1x
Fair PE Ratio	17.3x

Price-To-Earnings vs Fair Ratio: ENB.PRP is expensive based on its Price-To-Earnings Ratio (21.1x) compared to the estimated Fair Price-To-Earnings Ratio (17.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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