ENBRIDGE INC - ENBCN 6.696 PERP (ENB-PR-N.CA) Stock Fundamental Analysis
TSX:ENB-PR-N - Toronto Stock Exchange - CA29250N7743 - Currency: CAD
We assign a fundamental rating of 5 out of 10 to ENB-PR-N. ENB-PR-N was compared to 218 industry peers in the Oil, Gas & Consumable Fuels industry. ENB-PR-N has a medium profitability rating, but doesn't score so well on its financial health evaluation. ENB-PR-N is valued quite cheap, while showing a decent growth score. This is a good combination! Finally ENB-PR-N also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
ENB-PR-N had positive earnings in the past year.
ENB-PR-N had a positive operating cash flow in the past year.
ENB-PR-N had positive earnings in each of the past 5 years.
In the past 5 years ENB-PR-N always reported a positive cash flow from operatings.
1.2 Ratios
ENB-PR-N has a better Return On Assets (2.31%) than 60.09% of its industry peers.
ENB-PR-N has a better Return On Equity (7.67%) than 64.22% of its industry peers.
ENB-PR-N has a Return On Invested Capital of 3.85%. This is comparable to the rest of the industry: ENB-PR-N outperforms 56.42% of its industry peers.
ENB-PR-N had an Average Return On Invested Capital over the past 3 years of 3.99%. This is below the industry average of 7.29%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.31% | ||
| ROE | 7.67% | ||
| ROIC | 3.85% |
ROA(3y)2.33%
ROA(5y)2.46%
ROE(3y)7.16%
ROE(5y)7.18%
ROIC(3y)3.99%
ROIC(5y)4.01%
1.3 Margins
Looking at the Profit Margin, with a value of 9.45%, ENB-PR-N is in the better half of the industry, outperforming 67.43% of the companies in the same industry.
In the last couple of years the Profit Margin of ENB-PR-N has declined.
The Operating Margin of ENB-PR-N (18.31%) is better than 64.68% of its industry peers.
ENB-PR-N's Operating Margin has improved in the last couple of years.
ENB-PR-N has a better Gross Margin (45.63%) than 63.30% of its industry peers.
ENB-PR-N's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.31% | ||
| PM (TTM) | 9.45% | ||
| GM | 45.63% |
OM growth 3Y2.88%
OM growth 5Y2.35%
PM growth 3Y-8.55%
PM growth 5Y-2.33%
GM growth 3Y5.15%
GM growth 5Y4.19%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ENB-PR-N is destroying value.
The number of shares outstanding for ENB-PR-N has been increased compared to 1 year ago.
The number of shares outstanding for ENB-PR-N has been increased compared to 5 years ago.
The debt/assets ratio for ENB-PR-N is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.39, we must say that ENB-PR-N is in the distress zone and has some risk of bankruptcy.
ENB-PR-N has a Altman-Z score (0.39) which is in line with its industry peers.
The Debt to FCF ratio of ENB-PR-N is 17.93, which is on the high side as it means it would take ENB-PR-N, 17.93 years of fcf income to pay off all of its debts.
ENB-PR-N's Debt to FCF ratio of 17.93 is fine compared to the rest of the industry. ENB-PR-N outperforms 61.01% of its industry peers.
A Debt/Equity ratio of 1.43 is on the high side and indicates that ENB-PR-N has dependencies on debt financing.
ENB-PR-N's Debt to Equity ratio of 1.43 is on the low side compared to the rest of the industry. ENB-PR-N is outperformed by 73.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 17.93 | ||
| Altman-Z | 0.39 |
ROIC/WACC0.53
WACC7.28%
2.3 Liquidity
A Current Ratio of 0.55 indicates that ENB-PR-N may have some problems paying its short term obligations.
ENB-PR-N has a worse Current ratio (0.55) than 63.76% of its industry peers.
ENB-PR-N has a Quick Ratio of 0.55. This is a bad value and indicates that ENB-PR-N is not financially healthy enough and could expect problems in meeting its short term obligations.
ENB-PR-N's Quick ratio of 0.49 is on the low side compared to the rest of the industry. ENB-PR-N is outperformed by 65.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.55 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.36% over the past year.
Measured over the past 5 years, ENB-PR-N shows a small growth in Earnings Per Share. The EPS has been growing by 1.11% on average per year.
Looking at the last year, ENB-PR-N shows a very strong growth in Revenue. The Revenue has grown by 22.51%.
Measured over the past years, ENB-PR-N shows a small growth in Revenue. The Revenue has been growing by 1.32% on average per year.
EPS 1Y (TTM)0.36%
EPS 3Y0.6%
EPS 5Y1.11%
EPS Q2Q%17.19%
Revenue 1Y (TTM)22.51%
Revenue growth 3Y4.34%
Revenue growth 5Y1.32%
Sales Q2Q%43.54%
3.2 Future
Based on estimates for the next years, ENB-PR-N will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.26% on average per year.
ENB-PR-N is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.28% yearly.
EPS Next Y8.32%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
EPS Next 5Y8.26%
Revenue Next Year14.85%
Revenue Next 2Y9.07%
Revenue Next 3Y7.26%
Revenue Next 5Y0.28%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
ENB-PR-N is valuated cheaply with a Price/Earnings ratio of 7.76.
78.44% of the companies in the same industry are more expensive than ENB-PR-N, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.85. ENB-PR-N is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 7.16, the valuation of ENB-PR-N can be described as very cheap.
ENB-PR-N's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ENB-PR-N is cheaper than 73.39% of the companies in the same industry.
ENB-PR-N's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.77.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.76 | ||
| Fwd PE | 7.16 |
4.2 Price Multiples
ENB-PR-N's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, ENB-PR-N is valued a bit cheaper than 76.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.35 | ||
| EV/EBITDA | 9.76 |
4.3 Compensation for Growth
ENB-PR-N's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of ENB-PR-N may justify a higher PE ratio.
PEG (NY)0.93
PEG (5Y)7.01
EPS Next 2Y7.73%
EPS Next 3Y7.74%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.87%, ENB-PR-N is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 7.45, ENB-PR-N pays a better dividend. On top of this ENB-PR-N pays more dividend than 88.99% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, ENB-PR-N pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.87% |
5.2 History
The dividend of ENB-PR-N has a limited annual growth rate of 4.10%.
ENB-PR-N has been paying a dividend for at least 10 years, so it has a reliable track record.
ENB-PR-N has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.1%
Div Incr Years1
Div Non Decr Years12
5.3 Sustainability
163.51% of the earnings are spent on dividend by ENB-PR-N. This is not a sustainable payout ratio.
ENB-PR-N's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP163.51%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
ENBRIDGE INC - ENBCN 6.696 PERP
TSX:ENB-PR-N (5/1/2025, 7:00:00 PM)
21.73
+0.32 (+1.49%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners54.95%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap47.37B
Analysts71.11
Price Target22.18 (2.07%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.87% |
Yearly Dividend3.84
Dividend Growth(5Y)4.1%
DP163.51%
Div Incr Years1
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.32%
Min EPS beat(2)-1.96%
Max EPS beat(2)-0.67%
EPS beat(4)1
Avg EPS beat(4)-0.15%
Min EPS beat(4)-9.75%
Max EPS beat(4)11.79%
EPS beat(8)2
Avg EPS beat(8)-0.91%
EPS beat(12)3
Avg EPS beat(12)-2.18%
EPS beat(16)6
Avg EPS beat(16)-0.23%
Revenue beat(2)2
Avg Revenue beat(2)113.16%
Min Revenue beat(2)108.58%
Max Revenue beat(2)117.73%
Revenue beat(4)4
Avg Revenue beat(4)82.85%
Min Revenue beat(4)8.67%
Max Revenue beat(4)117.73%
Revenue beat(8)4
Avg Revenue beat(8)33.02%
Revenue beat(12)6
Avg Revenue beat(12)22.01%
Revenue beat(16)9
Avg Revenue beat(16)19.55%
PT rev (1m)-7.68%
PT rev (3m)-7.73%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.57%
EPS NY rev (1m)-1.38%
EPS NY rev (3m)1.33%
Revenue NQ rev (1m)21.34%
Revenue NQ rev (3m)81.24%
Revenue NY rev (1m)-0.75%
Revenue NY rev (3m)46.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.76 | ||
| Fwd PE | 7.16 | ||
| P/S | 0.89 | ||
| P/FCF | 8.35 | ||
| P/OCF | 3.76 | ||
| P/B | 0.72 | ||
| P/tB | 1.92 | ||
| EV/EBITDA | 9.76 |
EPS(TTM)2.8
EY12.89%
EPS(NY)3.03
Fwd EY13.96%
FCF(TTM)2.6
FCFY11.97%
OCF(TTM)5.78
OCFY26.6%
SpS24.53
BVpS30.23
TBVpS11.34
PEG (NY)0.93
PEG (5Y)7.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.31% | ||
| ROE | 7.67% | ||
| ROCE | 5.02% | ||
| ROIC | 3.85% | ||
| ROICexc | 3.89% | ||
| ROICexgc | 4.94% | ||
| OM | 18.31% | ||
| PM (TTM) | 9.45% | ||
| GM | 45.63% | ||
| FCFM | 10.6% |
ROA(3y)2.33%
ROA(5y)2.46%
ROE(3y)7.16%
ROE(5y)7.18%
ROIC(3y)3.99%
ROIC(5y)4.01%
ROICexc(3y)4.07%
ROICexc(5y)4.06%
ROICexgc(3y)5.22%
ROICexgc(5y)5.26%
ROCE(3y)5.22%
ROCE(5y)5.24%
ROICexcg growth 3Y-2.31%
ROICexcg growth 5Y-2.5%
ROICexc growth 3Y-1.04%
ROICexc growth 5Y-1.82%
OM growth 3Y2.88%
OM growth 5Y2.35%
PM growth 3Y-8.55%
PM growth 5Y-2.33%
GM growth 3Y5.15%
GM growth 5Y4.19%
F-Score4
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 17.93 | ||
| Debt/EBITDA | 6.28 | ||
| Cap/Depr | 134.12% | ||
| Cap/Sales | 12.96% | ||
| Interest Coverage | 2.37 | ||
| Cash Conversion | 84.22% | ||
| Profit Quality | 112.21% | ||
| Current Ratio | 0.55 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 0.39 |
F-Score4
WACC7.28%
ROIC/WACC0.53
Cap/Depr(3y)117.17%
Cap/Depr(5y)142.6%
Cap/Sales(3y)11.06%
Cap/Sales(5y)12.95%
Profit Quality(3y)173.15%
Profit Quality(5y)135.79%
High Growth Momentum
Growth
EPS 1Y (TTM)0.36%
EPS 3Y0.6%
EPS 5Y1.11%
EPS Q2Q%17.19%
EPS Next Y8.32%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
EPS Next 5Y8.26%
Revenue 1Y (TTM)22.51%
Revenue growth 3Y4.34%
Revenue growth 5Y1.32%
Sales Q2Q%43.54%
Revenue Next Year14.85%
Revenue Next 2Y9.07%
Revenue Next 3Y7.26%
Revenue Next 5Y0.28%
EBIT growth 1Y10%
EBIT growth 3Y7.35%
EBIT growth 5Y3.7%
EBIT Next Year75.24%
EBIT Next 3Y24.16%
EBIT Next 5Y16.03%
FCF growth 1Y-39.2%
FCF growth 3Y69.56%
FCF growth 5Y8.88%
OCF growth 1Y-11.27%
OCF growth 3Y10.83%
OCF growth 5Y6.04%