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ENBRIDGE INC - ENBCN 5.288 PERP (ENB-PR-Y.CA) Stock Fundamental Analysis

TSX:ENB-PR-Y - Toronto Stock Exchange - CA29250N6836 - Currency: CAD

19  -0.1 (-0.52%)

Fundamental Rating

4

Overall ENB-PR-Y gets a fundamental rating of 4 out of 10. We evaluated ENB-PR-Y against 214 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of ENB-PR-Y while its profitability can be described as average. ENB-PR-Y is cheap, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

In the past year ENB-PR-Y was profitable.
ENB-PR-Y had a positive operating cash flow in the past year.
ENB-PR-Y had positive earnings in each of the past 5 years.
In the past 5 years ENB-PR-Y always reported a positive cash flow from operatings.
ENB-PR-Y.CA Yearly Net Income VS EBIT VS OCF VS FCFENB-PR-Y.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 5B 10B

1.2 Ratios

ENB-PR-Y has a Return On Assets of 3.05%. This is comparable to the rest of the industry: ENB-PR-Y outperforms 59.20% of its industry peers.
ENB-PR-Y has a Return On Equity of 9.55%. This is in the better half of the industry: ENB-PR-Y outperforms 67.66% of its industry peers.
ENB-PR-Y has a Return On Invested Capital (3.61%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for ENB-PR-Y is below the industry average of 7.73%.
Industry RankSector Rank
ROA 3.05%
ROE 9.55%
ROIC 3.61%
ROA(3y)2.71%
ROA(5y)2.65%
ROE(3y)7.8%
ROE(5y)7.26%
ROIC(3y)3.72%
ROIC(5y)3.76%
ENB-PR-Y.CA Yearly ROA, ROE, ROICENB-PR-Y.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 2 4 6 8

1.3 Margins

ENB-PR-Y has a better Profit Margin (12.95%) than 69.15% of its industry peers.
ENB-PR-Y's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 19.72%, ENB-PR-Y is in the better half of the industry, outperforming 68.16% of the companies in the same industry.
ENB-PR-Y's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 48.94%, ENB-PR-Y is in the better half of the industry, outperforming 67.16% of the companies in the same industry.
In the last couple of years the Gross Margin of ENB-PR-Y has grown nicely.
Industry RankSector Rank
OM 19.72%
PM (TTM) 12.95%
GM 48.94%
OM growth 3Y0.93%
OM growth 5Y6.39%
PM growth 3Y20.57%
PM growth 5Y19.79%
GM growth 3Y2.95%
GM growth 5Y6.79%
ENB-PR-Y.CA Yearly Profit, Operating, Gross MarginsENB-PR-Y.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 10 20 30 40 50

2

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ENB-PR-Y is destroying value.
Compared to 1 year ago, ENB-PR-Y has less shares outstanding
ENB-PR-Y has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ENB-PR-Y has about the same debt to assets ratio.
ENB-PR-Y.CA Yearly Shares OutstandingENB-PR-Y.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 500M 1B 1.5B 2B
ENB-PR-Y.CA Yearly Total Debt VS Total AssetsENB-PR-Y.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 50B 100B 150B

2.2 Solvency

ENB-PR-Y has an Altman-Z score of 0.41. This is a bad value and indicates that ENB-PR-Y is not financially healthy and even has some risk of bankruptcy.
ENB-PR-Y has a Altman-Z score of 0.41. This is in the lower half of the industry: ENB-PR-Y underperforms 62.69% of its industry peers.
The Debt to FCF ratio of ENB-PR-Y is 13.61, which is on the high side as it means it would take ENB-PR-Y, 13.61 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of ENB-PR-Y (13.61) is better than 65.67% of its industry peers.
ENB-PR-Y has a Debt/Equity ratio of 1.34. This is a high value indicating a heavy dependency on external financing.
ENB-PR-Y's Debt to Equity ratio of 1.34 is on the low side compared to the rest of the industry. ENB-PR-Y is outperformed by 71.64% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.34
Debt/FCF 13.61
Altman-Z 0.41
ROIC/WACC0.59
WACC6.16%
ENB-PR-Y.CA Yearly LT Debt VS Equity VS FCFENB-PR-Y.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 20B 40B 60B

2.3 Liquidity

ENB-PR-Y has a Current Ratio of 0.62. This is a bad value and indicates that ENB-PR-Y is not financially healthy enough and could expect problems in meeting its short term obligations.
ENB-PR-Y has a worse Current ratio (0.62) than 69.15% of its industry peers.
ENB-PR-Y has a Quick Ratio of 0.62. This is a bad value and indicates that ENB-PR-Y is not financially healthy enough and could expect problems in meeting its short term obligations.
ENB-PR-Y has a Quick ratio of 0.54. This is in the lower half of the industry: ENB-PR-Y underperforms 63.68% of its industry peers.
Industry RankSector Rank
Current Ratio 0.62
Quick Ratio 0.54
ENB-PR-Y.CA Yearly Current Assets VS Current LiabilitesENB-PR-Y.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 5B 10B 15B 20B

3

3. Growth

3.1 Past

ENB-PR-Y shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.24%.
The Earnings Per Share has been growing slightly by 0.88% on average over the past years.
The Revenue has been growing slightly by 6.07% in the past year.
The Revenue has been decreasing by -1.21% on average over the past years.
EPS 1Y (TTM)-3.24%
EPS 3Y4.71%
EPS 5Y0.88%
EPS Q2Q%-11.29%
Revenue 1Y (TTM)6.07%
Revenue growth 3Y3.75%
Revenue growth 5Y-1.21%
Sales Q2Q%51.18%

3.2 Future

ENB-PR-Y is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.80% yearly.
Based on estimates for the next years, ENB-PR-Y will show a small growth in Revenue. The Revenue will grow by 1.98% on average per year.
EPS Next Y-0.45%
EPS Next 2Y4.93%
EPS Next 3Y4.79%
EPS Next 5Y5.8%
Revenue Next Year3.29%
Revenue Next 2Y-9.96%
Revenue Next 3Y-4.42%
Revenue Next 5Y1.98%

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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
ENB-PR-Y.CA Yearly Revenue VS EstimatesENB-PR-Y.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10B 20B 30B 40B 50B
ENB-PR-Y.CA Yearly EPS VS EstimatesENB-PR-Y.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1 2 3 4

7

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 7.06, the valuation of ENB-PR-Y can be described as very cheap.
82.59% of the companies in the same industry are more expensive than ENB-PR-Y, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 28.12. ENB-PR-Y is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 6.19, the valuation of ENB-PR-Y can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ENB-PR-Y indicates a somewhat cheap valuation: ENB-PR-Y is cheaper than 79.60% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 94.77. ENB-PR-Y is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 7.06
Fwd PE 6.19
ENB-PR-Y.CA Price Earnings VS Forward Price EarningsENB-PR-Y.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as ENB-PR-Y.
89.55% of the companies in the same industry are more expensive than ENB-PR-Y, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 5.91
EV/EBITDA 9.23
ENB-PR-Y.CA Per share dataENB-PR-Y.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

The decent profitability rating of ENB-PR-Y may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)8
EPS Next 2Y4.93%
EPS Next 3Y4.79%

6

5. Dividend

5.1 Amount

ENB-PR-Y has a Yearly Dividend Yield of 5.85%, which is a nice return.
ENB-PR-Y's Dividend Yield is rather good when compared to the industry average which is at 6.59. ENB-PR-Y pays more dividend than 81.09% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.29, ENB-PR-Y pays a better dividend.
Industry RankSector Rank
Dividend Yield 5.85%

5.2 History

The dividend of ENB-PR-Y is nicely growing with an annual growth rate of 10.75%!
ENB-PR-Y has paid a dividend for at least 10 years, which is a reliable track record.
ENB-PR-Y has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)10.75%
Div Incr Years1
Div Non Decr Years4
ENB-PR-Y.CA Yearly Dividends per shareENB-PR-Y.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.2 0.4 0.6 0.8 1

5.3 Sustainability

ENB-PR-Y pays out 129.64% of its income as dividend. This is not a sustainable payout ratio.
ENB-PR-Y's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP129.64%
EPS Next 2Y4.93%
EPS Next 3Y4.79%
ENB-PR-Y.CA Yearly Income VS Free CF VS DividendENB-PR-Y.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 0 2B -2B 4B 6B 8B
ENB-PR-Y.CA Dividend Payout.ENB-PR-Y.CA Dividend Payout, showing the Payout Ratio.ENB-PR-Y.CA Dividend Payout.PayoutRetained Earnings

ENBRIDGE INC - ENBCN 5.288 PERP

TSX:ENB-PR-Y (2/7/2025, 7:00:00 PM)

19

-0.1 (-0.52%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)11-01 2024-11-01/bmo
Earnings (Next)02-14 2025-02-14/amc
Inst Owners54.84%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap41.39B
Analysts71.54
Price Target18.94 (-0.32%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 5.85%
Yearly Dividend3.45
Dividend Growth(5Y)10.75%
DP129.64%
Div Incr Years1
Div Non Decr Years4
Ex-Date02-14 2025-02-14 (0.3305)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.86%
Min EPS beat(2)-9.75%
Max EPS beat(2)-1.96%
EPS beat(4)1
Avg EPS beat(4)-1.75%
Min EPS beat(4)-9.75%
Max EPS beat(4)11.79%
EPS beat(8)2
Avg EPS beat(8)-2.66%
EPS beat(12)3
Avg EPS beat(12)-3.06%
EPS beat(16)6
Avg EPS beat(16)-0.74%
Revenue beat(2)2
Avg Revenue beat(2)107.08%
Min Revenue beat(2)96.43%
Max Revenue beat(2)117.73%
Revenue beat(4)3
Avg Revenue beat(4)51.72%
Min Revenue beat(4)-15.94%
Max Revenue beat(4)117.73%
Revenue beat(8)3
Avg Revenue beat(8)18.94%
Revenue beat(12)6
Avg Revenue beat(12)13.79%
Revenue beat(16)8
Avg Revenue beat(16)11.98%
PT rev (1m)-3.78%
PT rev (3m)5.8%
EPS NQ rev (1m)0.62%
EPS NQ rev (3m)-1.5%
EPS NY rev (1m)-1.11%
EPS NY rev (3m)-2.91%
Revenue NQ rev (1m)0.57%
Revenue NQ rev (3m)-40.45%
Revenue NY rev (1m)0.93%
Revenue NY rev (3m)19.17%
Valuation
Industry RankSector Rank
PE 7.06
Fwd PE 6.19
P/S 0.85
P/FCF 5.91
P/OCF 3.25
P/B 0.63
P/tB 1.56
EV/EBITDA 9.23
EPS(TTM)2.69
EY14.16%
EPS(NY)3.07
Fwd EY16.17%
FCF(TTM)3.21
FCFY16.92%
OCF(TTM)5.85
OCFY30.81%
SpS22.29
BVpS30.2
TBVpS12.18
PEG (NY)N/A
PEG (5Y)8
Profitability
Industry RankSector Rank
ROA 3.05%
ROE 9.55%
ROCE 5.13%
ROIC 3.61%
ROICexc 3.65%
ROICexgc 4.63%
OM 19.72%
PM (TTM) 12.95%
GM 48.94%
FCFM 14.42%
ROA(3y)2.71%
ROA(5y)2.65%
ROE(3y)7.8%
ROE(5y)7.26%
ROIC(3y)3.72%
ROIC(5y)3.76%
ROICexc(3y)3.78%
ROICexc(5y)3.8%
ROICexgc(3y)4.91%
ROICexgc(5y)4.96%
ROCE(3y)5.3%
ROCE(5y)5.35%
ROICexcg growth 3Y1.83%
ROICexcg growth 5Y4.01%
ROICexc growth 3Y2.35%
ROICexc growth 5Y4.46%
OM growth 3Y0.93%
OM growth 5Y6.39%
PM growth 3Y20.57%
PM growth 5Y19.79%
GM growth 3Y2.95%
GM growth 5Y6.79%
F-Score5
Asset Turnover0.24
Health
Industry RankSector Rank
Debt/Equity 1.34
Debt/FCF 13.61
Debt/EBITDA 6.08
Cap/Depr 116.17%
Cap/Sales 11.84%
Interest Coverage 250
Cash Conversion 87.77%
Profit Quality 111.37%
Current Ratio 0.62
Quick Ratio 0.54
Altman-Z 0.41
F-Score5
WACC6.16%
ROIC/WACC0.59
Cap/Depr(3y)142.49%
Cap/Depr(5y)149.35%
Cap/Sales(3y)12.47%
Cap/Sales(5y)12.63%
Profit Quality(3y)142.42%
Profit Quality(5y)127.27%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.24%
EPS 3Y4.71%
EPS 5Y0.88%
EPS Q2Q%-11.29%
EPS Next Y-0.45%
EPS Next 2Y4.93%
EPS Next 3Y4.79%
EPS Next 5Y5.8%
Revenue 1Y (TTM)6.07%
Revenue growth 3Y3.75%
Revenue growth 5Y-1.21%
Sales Q2Q%51.18%
Revenue Next Year3.29%
Revenue Next 2Y-9.96%
Revenue Next 3Y-4.42%
Revenue Next 5Y1.98%
EBIT growth 1Y6.29%
EBIT growth 3Y4.71%
EBIT growth 5Y5.11%
EBIT Next Year71%
EBIT Next 3Y23.69%
EBIT Next 5Y16.27%
FCF growth 1Y68.66%
FCF growth 3Y30.86%
FCF growth 5Y24.19%
OCF growth 1Y34.11%
OCF growth 3Y13.23%
OCF growth 5Y6.22%