How Do Analysts See Enbridge Inc (NYSE:ENB) Performing In The Next 12 Months?

After Enbridge Inc's (NYSE:ENB) earnings announcement in December 2017, analysts seem highly optimistic, as a 69.04% rise in profits is expected in the upcoming year, relative to the previous 5-year average growth rate of 13.96%. Currently with earnings of CA$2.53B, we can expect this to reach CA$4.27B by 2019. I will provide a brief commentary around the figures and analyst expectations in the near term. For those interested in more of an analysis of the company, you can research its fundamentals here. View our latest analysis for Enbridge

How is Enbridge going to perform in the near future?

The view from 9 analysts over the next three years is one of positive sentiment. Given that it becomes hard to forecast far into the future, broker analysts tend to project ahead roughly three years. To understand the overall trajectory of ENB's earnings growth over these next fews years, I've fitted a line through these analyst earnings forecast to determine an annual growth rate from the slope.

By 2021, ENB's earnings should reach CA$5.12B, from current levels of CA$2.53B, resulting in an annual growth rate of 20.92%. EPS reaches CA$2.87 in the final year of forecast compared to the current CA$1.66 EPS today. Growth in the bottom line seems to suggest reduction in costs rather than purely top-line expansion as earnings is increasing at a faster rate. In 2021, ENB's profit margin will have expanded from 5.70% to 9.31%.

Next Steps:

Future outlook is only one aspect when you're building an investment case for a stock. For Enbridge, I've put together three key factors you should look at:

1. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
2. Valuation: What is Enbridge worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether Enbridge is currently mispriced by the market.
3. Other High-Growth Alternatives : Are there other high-growth stocks you could be holding instead of Enbridge? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!

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Simply Wall St analyst Simply Wall St and Simply Wall St have no position in any of the companies mentioned. This article is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.