Enbridge has paid a dividend every year for 65 years. Here's why it remains a top pick for Canadian income investors. But even if CAD dropped by CA$2.5 billion, the company would still bring in enough cash to afford its dividend. Surface analysis. Last Close Price: $34.10. Highlights. Final Thought. Enbridge stock has increased its dividend at an annual rate of 11% in the last 20 years. Comparing dividend payments to a company's net profit after tax is a simple way of reality-checking whether a dividend is sustainable. Next dividend payment date Mar 1, 2021 Next ex-dividend date Feb 11, 2021. Enbridge is set to benefit from a growing demand for power and is strategically positioned to capitalize on strong energy fundamentals over the long term. Enbridge has been a dividend aristocrat for 24 years, making it the second-oldest aristocrat in the energy sector. That makes it a ... Enbridge targets a payout … But its history is not what investors love most about this aristocrat; they love its generous yield. They see a high payout ratio and assume the dividend is close to being cut. Both entered 2020 as Dividend Aristocrats, as each had increased their payout for more than 25 straight years. Revenue and Earnings Growth. In the first six months, the company’s dividend payout ratio stood at 64% which is lower than its payout target of 65%. Frequency: Quarterly Future earnings and cash flow growth of 5%-7% is expected post-2020 on the back of strong business and capital growth. The dividend payout ratio of Enbridge Inc is 3.30, which seems too high. The company has increased its dividend for 25 consecutive years. But the fact remains, Enbridge has raised dividends for 2.5 decades and has grown its dividend at a 16% clip annually over the last 5 years. Also see: Q2 Financial Results & Business Update presentation; 2019 Enbridge Day investment community presentation ; Enbridge Investment Community Presentation (Updated September 2020) … Enbridge Announces 33% Dividend Increase, Financial Restructuring Plans, Revised Payout Policy and 2015 Adjusted Earnings Guidance CALGARY, ALBERTA-- - ... | October 14, 2020 Does Enbridge pay a dividend? The dividend payout ratio of Enbridge Inc is 3.29, which seems too high. Enbridge (ENB) Declares $0.81 Quarterly Dividend; 10.5% Yield Enbridge (ENB) Declares $0.7380 Quarterly Dividend; 7.8% Yield Enbridge (ENB) Raises Quarterly Dividend 10% to $0.7380; 9.4% Yield Regarding Enbridge Inc, the dividend discount model StockNews created for the company implies a positive return of 144.53%. 0.68 - 3.29. Enbridge Inc.’s high dividend yield has been flashing red throughout most of 2020, beckoning dividend investors but also signalling discomfort with the company’s connection to a … Prior to 2011, investors received a taxable distribution directly from the Fund. Enbridge Inc (ENB) will begin trading ex-dividend on August 13, 2020. Enbridge and ExxonMobil have been elite dividend stocks over the years. With a terrific payout and stable operations in a difficult year where oil prices remain low, Enbridge is proving to be one of the better dividend stocks to own in 2020. Should you pursue your analysis, this video will bring you more insights. Dividend/Distribution History. I dove deeply into Enbridge’s dividend sustainability in the video below. In the second quarter of 2020, Enbridge’s distributable cash flow (DCF) was up year-over-year which was in fact one of the worst quarters in history for energy companies. Enbridge offers a unique value proposition that brings together a combination of transparent growth, a reliable, low-risk business model and significant dividend income. Dividend. Yield: 9.79%. Warning Sign: If a company dividend payout ratio is too high, its dividend may not be sustainable. 434.40% . After reviewing financial statements, recent news and stories as well as Enbridge’s business model and my investment thesis, I will keep my shares and expect a dividend increase in 2021. Payout Ratio: --PE Ratio: 44.4. Enbridge's dividend track record is remarkable. In general, profits from business operations can be allocated to retained earnings or paid to shareholders in the form of dividends or stock buybacks. CALGARY, AB, Dec. 8, 2020 /PRNewswire/ - Enbridge Inc. (Enbridge or the Company) (TSX: ENB) (NYSE: ENB) announced its 2021 financial guidance and dividend and provided an update on its strategic priorities, which will be further discussed at the Company's virtual investor conference today.. What’s more impressive, though, is that this high-yield stock has also been growing its payout. Thereafter the information depicts dividends declared by ENF. Retained earnings-334.40%. In 2019, Enbridge earned $4.57 per share in distributable income. Dividends are usually paid out of company earnings. With a payout ratio this high, we'd say its dividend is not well covered by earnings. Dividend Definition. Enbridge valuation They think Enbridge’s dividend may be at risk. Stock and Dividend Information. Dividend.com: The #1 Source For Dividend Investing. Stock and Dividend Information. A cash dividend payment of $0.603 per share is scheduled to be paid on September 01, 2020. ENB dividend payout ratio Enbridge Inc paid out 434.4% of its net income over the trailing twelve months. Enbridge Inc. (ENB) ... And with the company guiding for FY 2020 DCF/share at a midpoint of CAD $4.65, the dividend is covered by a payout ratio of 69.7%. NYSE:ENB' s Dividend Payout Ratio Range Over the Past 10 Years Min: 0.68 Med: 1.12 Max: 3.29 Current: 3.29. Market Cap: 69.06B. Consider this: Enbridge has been paying uninterrupted dividends to shareholders for more than six decades. Enbridge expects its 2020 payout ratio, based on its distributable cash flow, to be approximately 68-72%. Enbridge Inc Provides an Increasing Dividend Stream. Warning Sign: If a company dividend payout ratio is too high, its dividend may not be sustainable. The information shown above includes distributions declared by the Fund up to and including 2010. NYSE:ENB' s Dividend Payout Ratio Range Over the Past 10 Years Min: 0.68 Med: 1.12 Max: 3.3 Current: 3.3. Enbridge's dividend payout ratio for the months ended in Sep. 2020 was 1.65. Enbridge last raised its dividend payout by 9.8% and sports an attractive dividend yield of 9.5%. As a result, we should always investigate whether a company can afford its dividend, measured as a percentage of a company's net income after tax. For 2019, Enbridge paid around 65% of its cash flows as dividends. EBBGF's dividend yield, history, payout ratio, proprietary DARS™ rating & much more! If a company is paying more than it earns, then the dividend might become unsustainable - hardly an ideal situation. The company targets a payout ratio of below 65% of its distributable cash flows in the long term. Enbridge Inc ENB Morningstar Rating Rating as of Dec 16, 2020. This year, Enbridge’s payout ratio was expected to stay about the same. Enbridge's dividend payout ratio for the months ended in Jun. ENB dividend dates. Given what most other companies are paying right now, Enbridge stock’s 7.5% yield certainly looks attractive. × Welcome to Dividend.com Please help us personalize your experience. We credit this unique value proposition for delivering excellent returns to shareholders year after year, and we plan to stick with our proven formula. ENB earnings are insufficient to cover ENB's dividend payouts. Common Share Dividends 2018 Enbridge’s target dividend payout is below 65 percent of DCF, providing a healthy balance between returning income to shareholders and retaining income for reinvestment in new growth opportunities. 2020 was 0.99. However, investors are putting today’s capital at risk for tomorrow’s rewards. Free cash flow is the cash a company generates from its daily operating activities minus capital expenditures like investing in new plants or equipment. A lot to like about where the dividend currently stands. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Enbridge Inc are: Relative to all dividend yielding stocks in our set, ENB offers a dividend yield in the top 7.95% of stocks in our set. Let’s take a closer look at this payout to see if it’s sustainable. Dividend Payout Ratio measures how much of a company’s free cash flow is paid out in the form of dividends. 0.68 - 3.3. Lets calculate the the dividend payout ratio for Enbridge Stock. A company’s payout ratio is the percentage of earnings or cash flow (I use cash flow) that it pays out in dividends. These are some of the best growth streaks and dividend growth rates in the country. Payout ratios. Enbridge Dividends FAQ. A quick look at the numbers tells us investors who rely on Enbridge’s dividend for income don’t have much to worry about. In the last year, Enbridge paid out 100% of its profit as dividends. 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