TSX:ENB

Stock Analysis Report

Executive Summary

Enbridge Inc. operates as an energy infrastructure company in Canada and the United States.

Snowflake

Fundamentals

Proven track record average dividend payer.


Similar Companies

Share Price & News

How has Enbridge's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.8%

TSX:ENB

-1.5%

CA Oil and Gas

-0.9%

CA Market


1 Year Return

-6.4%

TSX:ENB

-23.9%

CA Oil and Gas

-6.1%

CA Market

ENB outperformed the Oil and Gas industry which returned -23.9% over the past year.

ENB matched the Canada Market (-6.1%) over the past year.


Share holder returns

ENBIndustryMarket
7 Day-2.8%-1.5%-0.9%
30 Day-1.9%-7.0%-3.9%
90 Day-13.9%-11.3%-2.9%
1 Year-0.4%-6.4%-20.6%-23.9%-2.8%-6.1%
3 Year-1.7%-16.6%-15.4%-23.8%13.2%3.1%
5 Year1.2%-20.1%-36.7%-45.8%10.8%-4.7%

Price Volatility Vs. Market

How volatile is Enbridge's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Enbridge undervalued based on future cash flows and its price relative to the stock market?

42%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Enbridge's share price is below the future cash flow value, and at a moderate discount (> 20%).

Enbridge's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Enbridge is overvalued based on earnings compared to the CA Oil and Gas industry average.

Enbridge is overvalued based on earnings compared to the Canada market.


Price Based on Expected Growth

Enbridge is poor value based on expected growth next year.


Price Based on Value of Assets

Enbridge is overvalued based on assets compared to the CA Oil and Gas industry average.


Next Steps

Future Growth

How is Enbridge expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

3.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Enbridge's revenue is expected to grow by 5.5% yearly, however this is not considered high growth (20% yearly).

Enbridge's earnings are expected to grow by 3.6% yearly, however this is not considered high growth (20% yearly).

Enbridge's revenue growth is positive but not above the Canada market average.

Enbridge's earnings growth is positive but not above the Canada market average.

Enbridge's earnings growth is expected to exceed the low risk savings rate of 1.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Enbridge is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Enbridge performed over the past 5 years?

37.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Enbridge has delivered over 20% year on year earnings growth in the past 5 years.

Enbridge's 1-year earnings growth exceeds its 5-year average (85.9% vs 37.3%)

Enbridge's earnings growth has exceeded the CA Oil and Gas industry average in the past year (85.9% vs 58.1%).


Return on Equity

Enbridge has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Enbridge used its assets less efficiently than the CA Oil and Gas industry average last year based on Return on Assets.


Return on Capital Employed

Enbridge has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Enbridge's financial position?


Financial Position Analysis

Enbridge's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Enbridge's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Enbridge's level of debt (91.2%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (155.1% vs 91.2% today).

Debt is not well covered by operating cash flow (13%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.1x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

What is Enbridge's current dividend yield, its reliability and sustainability?

7.43%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Enbridge's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (2.03%).

Enbridge's dividend is above the markets top 25% of dividend payers in Canada (5.93%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are not well covered by earnings (0.9x coverage).


Next Steps

Management

What is the CEO of Enbridge's salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average management tenure


CEO

Al Monaco (59yo)

6.8yrs

Tenure

CA$9,530,194

Compensation

Mr. Al Monaco has been Chief Executive Officer of Enbridge Inc. since October 1, 2012 and its Director since February 2012 and was its President since February 2012 until June 1, 2019. Mr. Monaco joined En ...


CEO Compensation Analysis

Al's remuneration is higher than average for companies of similar size in Canada.

Al's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

2.5yrs

Average Tenure

59yo

Average Age

The tenure for the Enbridge management team is about average.


Board Age and Tenure

8.1yrs

Average Tenure

68.5yo

Average Age

The tenure for the Enbridge board of directors is about average.


Insider Trading

More shares have been bought than sold by Enbridge individual insiders in the past 3 months.


Recent Insider Transactions

BuyCA$43,15008 Aug 19
Christopher Johnston
EntityIndividual
Shares1,000
Max PriceCA$43.15
BuyCA$390,90907 Jun 19
Al Monaco
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares7,848
Max PriceCA$49.81
SellCA$737,47228 Mar 19
William Yardley
EntityIndividual
Role
Senior Key Executive
Executive VP and President of Gas Transmission & Midstream
Shares14,900
Max PriceCA$49.49
BuyCA$4,17219 Mar 19
Cynthia Hansen
EntityIndividual
Shares95
Max PriceCA$43.92
BuyCA$110,45012 Mar 19
Cynthia Hansen
EntityIndividual
Shares1,790
Max PriceCA$65.16
BuyCA$385,07007 Mar 19
Al Monaco
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares7,806
Max PriceCA$49.33
SellCA$317,87225 Feb 19
Allen Capps
EntityIndividual
Shares6,514
Max PriceCA$48.80
BuyCA$11,46507 Dec 18
Robert Rooney
EntityIndividual
Role
Chief Legal Officer
Executive VP & Chief Legal Officer
Shares261
Max PriceCA$43.93
BuyCA$331,67407 Dec 18
Al Monaco
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares7,569
Max PriceCA$43.82

Ownership Breakdown


Management Team

  • John Whelen (59yo)

    Executive VP & Chief Development Officer

    • Tenure: 0.2yrs
    • Compensation: CA$2.87m
  • Robert Rooney (62yo)

    Executive VP & Chief Legal Officer

    • Tenure: 2.5yrs
    • Compensation: CA$2.15m
  • Al Monaco (59yo)

    CEO & Director

    • Tenure: 6.8yrs
    • Compensation: CA$9.53m
  • Bill Yardley (54yo)

    Executive VP and President of Gas Transmission & Midstream

    • Tenure: 2.5yrs
    • Compensation: CA$3.25m
  • Colin Gruending

    Executive VP & CFO

    • Tenure: 0.2yrs
  • Tyler Robinson

    Vice President

    • Tenure: 0.0yrs
  • D. Jarvis (55yo)

    Executive VP & President of Liquids Pipelines

    • Tenure: 5.8yrs
    • Compensation: CA$2.70m
  • Roxanna Benoit

    Vice President of Public Affairs

    • Tenure: 2.5yrs
  • Bhushan Ivaturi

    Senior VP & Chief Information Officer

    • Tenure: 0.0yrs
  • Jonathan Morgan

    Vice President of Investor Relations

    • Tenure: 0.0yrs

Board Members

  • Marcel Coutu (65yo)

    Independent Director

    • Tenure: 5.1yrs
    • Compensation: CA$244.30k
  • Pam Carter (69yo)

    Independent Director

    • Tenure: 2.5yrs
    • Compensation: CA$248.80k
  • Susan Cunningham (63yo)

    Independent Director

    • Tenure: 0.5yrs
  • Greg Ebel (55yo)

    Non-Executive Chairman

    • Tenure: 2.5yrs
    • Compensation: CA$520.36k
  • Dan Tutcher (70yo)

    Director

    • Tenure: 13.3yrs
    • Compensation: CA$257.14k
  • Charlie Fischer (69yo)

    Independent Director

    • Tenure: 10.1yrs
    • Compensation: CA$259.05k
  • V. Kempston Darkes (70yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: CA$260.14k
  • Al Monaco (59yo)

    CEO & Director

    • Tenure: 6.8yrs
    • Compensation: CA$9.53m
  • Cathy Williams (68yo)

    Independent Director

    • Tenure: 11.8yrs
    • Compensation: CA$259.30k
  • Herb England (72yo)

    Independent Director

    • Tenure: 12.6yrs
    • Compensation: CA$461.39k

Company Information

Enbridge Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Enbridge Inc.
  • Ticker: ENB
  • Exchange: TSX
  • Founded: 1949
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Market Cap: CA$87.734b
  • Shares outstanding: 2.02b
  • Website: https://www.enbridge.com

Number of Employees


Location

  • Enbridge Inc.
  • 200, Fifth Avenue Place
  • 425 - 1st Street SW
  • Calgary
  • Alberta
  • T2P 3L8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ENBTSX (The Toronto Stock Exchange)YesCommon SharesCACADDec 1972
0KTILSE (London Stock Exchange)YesCommon SharesGBCADDec 1972
EN3DB (Deutsche Boerse AG)YesCommon SharesDEEURDec 1972
ENBNYSE (New York Stock Exchange)YesCommon SharesUSUSDDec 1972
ENB.PRUTSX (The Toronto Stock Exchange)CUM RED PRF JCAUSDApr 2012
ENBB.FOTCPK (Pink Sheets LLC)CUM RED PRF JUSUSDApr 2012
ENB.PFUTSX (The Toronto Stock Exchange)CUM RED PF S LCAUSDMay 2012
EBBN.FOTCPK (Pink Sheets LLC)CUM RED PF S LUSUSDMay 2012
ENB.PRPTSX (The Toronto Stock Exchange)PREF SER P 4%CACADSep 2012
ENB.PRVTSX (The Toronto Stock Exchange)CUM PREF SHS SR1CAUSDMay 2013
ENB.PRYTSX (The Toronto Stock Exchange)PREF SHS SER 3CACADJun 2013
ENB.PFVTSX (The Toronto Stock Exchange)RED PRF SHS SER5CACADOct 2013
ENB.PRJTSX (The Toronto Stock Exchange)RED PREF SHS 7CACADDec 2013
ENB.PFATSX (The Toronto Stock Exchange)4.4% PFD SER 9CACADMar 2014
ENB.PFCTSX (The Toronto Stock Exchange)4.4% PFD SR 11CACADMay 2014
ENB.PFGTSX (The Toronto Stock Exchange)PREF SER 15CACADSep 2014
ENB.PFITSX (The Toronto Stock Exchange)CUM RED PREF 17CACADNov 2016
ENB.PRCTSX (The Toronto Stock Exchange)CUM RED PFD CCACADJun 2017

Biography

Enbridge Inc. operates as an energy infrastructure company in Canada and the United States. The company operates through five segments: Liquids Pipelines, Gas Transmission and Midstream, Gas Distribution,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 23:35
End of Day Share Price2019/08/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.