ENBRIDGE INC (ENB.CA) Stock Fundamental Analysis
TSX:ENB - Toronto Stock Exchange - CA29250N1050 - Common Stock - Currency: CAD
Overall ENB gets a fundamental rating of 4 out of 10. We evaluated ENB against 214 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of ENB while its profitability can be described as average. ENB is quite expensive at the moment. It does show a decent growth rate. Finally ENB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ENB was profitable.
ENB had a positive operating cash flow in the past year.
Each year in the past 5 years ENB has been profitable.
Each year in the past 5 years ENB had a positive operating cash flow.
1.2 Ratios
ENB's Return On Assets of 2.68% is in line compared to the rest of the industry. ENB outperforms 57.48% of its industry peers.
ENB's Return On Equity of 8.64% is fine compared to the rest of the industry. ENB outperforms 63.08% of its industry peers.
The Return On Invested Capital of ENB (4.07%) is better than 60.75% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ENB is below the industry average of 7.26%.
The last Return On Invested Capital (4.07%) for ENB is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.68% | ||
| ROE | 8.64% | ||
| ROIC | 4.07% |
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
ENB has a better Profit Margin (9.67%) than 62.62% of its industry peers.
ENB's Profit Margin has declined in the last couple of years.
ENB has a better Operating Margin (17.53%) than 61.22% of its industry peers.
In the last couple of years the Operating Margin of ENB has grown nicely.
Looking at the Gross Margin, with a value of 42.37%, ENB is in line with its industry, outperforming 55.61% of the companies in the same industry.
ENB's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.53% | ||
| PM (TTM) | 9.67% | ||
| GM | 42.37% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ENB is destroying value.
Compared to 1 year ago, ENB has more shares outstanding
Compared to 5 years ago, ENB has more shares outstanding
The debt/assets ratio for ENB is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.85, we must say that ENB is in the distress zone and has some risk of bankruptcy.
ENB has a Altman-Z score (0.85) which is comparable to the rest of the industry.
The Debt to FCF ratio of ENB is 20.56, which is on the high side as it means it would take ENB, 20.56 years of fcf income to pay off all of its debts.
ENB has a Debt to FCF ratio (20.56) which is comparable to the rest of the industry.
ENB has a Debt/Equity ratio of 1.44. This is a high value indicating a heavy dependency on external financing.
ENB has a worse Debt to Equity ratio (1.44) than 73.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.44 | ||
| Debt/FCF | 20.56 | ||
| Altman-Z | 0.85 |
ROIC/WACC0.53
WACC7.73%
2.3 Liquidity
A Current Ratio of 0.73 indicates that ENB may have some problems paying its short term obligations.
ENB's Current ratio of 0.73 is in line compared to the rest of the industry. ENB outperforms 44.86% of its industry peers.
ENB has a Quick Ratio of 0.73. This is a bad value and indicates that ENB is not financially healthy enough and could expect problems in meeting its short term obligations.
ENB has a Quick ratio (0.66) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.04% over the past year.
ENB shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.11% yearly.
ENB shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.51%.
ENB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.32% yearly.
EPS 1Y (TTM)8.04%
EPS 3Y0.6%
EPS 5Y1.11%
EPS Q2Q%12.42%
Revenue 1Y (TTM)22.51%
Revenue growth 3Y4.34%
Revenue growth 5Y1.32%
Sales Q2Q%31.57%
3.2 Future
Based on estimates for the next years, ENB will show a small growth in Earnings Per Share. The EPS will grow by 7.83% on average per year.
Based on estimates for the next years, ENB will show a small growth in Revenue. The Revenue will grow by 6.39% on average per year.
EPS Next Y8.32%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
EPS Next 5Y7.83%
Revenue Next Year22.46%
Revenue Next 2Y11.61%
Revenue Next 3Y9.09%
Revenue Next 5Y6.39%
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.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.71, the valuation of ENB can be described as rather expensive.
ENB's Price/Earnings ratio is in line with the industry average.
ENB's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.48.
With a Price/Forward Earnings ratio of 19.91, ENB is valued on the expensive side.
ENB's Price/Forward Earnings ratio is in line with the industry average.
ENB's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.71 | ||
| Fwd PE | 19.91 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ENB.
ENB's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.12 | ||
| EV/EBITDA | 15.02 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
ENB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.61
PEG (5Y)19.6
EPS Next 2Y7.73%
EPS Next 3Y7.74%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.08%, ENB is a good candidate for dividend investing.
ENB's Dividend Yield is rather good when compared to the industry average which is at 5.75. ENB pays more dividend than 85.05% of the companies in the same industry.
ENB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.08% |
5.2 History
The dividend of ENB has a limited annual growth rate of 4.10%.
ENB has paid a dividend for at least 10 years, which is a reliable track record.
ENB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.1%
Div Incr Years24
Div Non Decr Years24
5.3 Sustainability
142.15% of the earnings are spent on dividend by ENB. This is not a sustainable payout ratio.
ENB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP142.15%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
TSX:ENB (8/8/2025, 7:00:00 PM)
64.69
-0.07 (-0.11%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners53.95%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap141.05B
Analysts72.14
Price Target66.91 (3.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.08% |
Yearly Dividend3.84
Dividend Growth(5Y)4.1%
DP142.15%
Div Incr Years24
Div Non Decr Years24
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.86%
Min EPS beat(2)-0.67%
Max EPS beat(2)6.39%
EPS beat(4)1
Avg EPS beat(4)-1.5%
Min EPS beat(4)-9.75%
Max EPS beat(4)6.39%
EPS beat(8)3
Avg EPS beat(8)-0.03%
EPS beat(12)4
Avg EPS beat(12)-1.51%
EPS beat(16)6
Avg EPS beat(16)-0.67%
Revenue beat(2)2
Avg Revenue beat(2)68.68%
Min Revenue beat(2)28.78%
Max Revenue beat(2)108.58%
Revenue beat(4)4
Avg Revenue beat(4)87.88%
Min Revenue beat(4)28.78%
Max Revenue beat(4)117.73%
Revenue beat(8)5
Avg Revenue beat(8)39.78%
Revenue beat(12)6
Avg Revenue beat(12)23.62%
Revenue beat(16)10
Avg Revenue beat(16)21.8%
PT rev (1m)0.22%
PT rev (3m)1.54%
EPS NQ rev (1m)0.85%
EPS NQ rev (3m)-11.46%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-8.59%
Revenue NY rev (1m)6.52%
Revenue NY rev (3m)6.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.71 | ||
| Fwd PE | 19.91 | ||
| P/S | 2.31 | ||
| P/FCF | 28.12 | ||
| P/OCF | 11.28 | ||
| P/B | 2.07 | ||
| P/tB | 5.2 | ||
| EV/EBITDA | 15.02 |
EPS(TTM)2.98
EY4.61%
EPS(NY)3.25
Fwd EY5.02%
FCF(TTM)2.3
FCFY3.56%
OCF(TTM)5.73
OCFY8.86%
SpS27.95
BVpS31.31
TBVpS12.45
PEG (NY)2.61
PEG (5Y)19.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.68% | ||
| ROE | 8.64% | ||
| ROCE | 5.31% | ||
| ROIC | 4.07% | ||
| ROICexc | 4.11% | ||
| ROICexgc | 5.17% | ||
| OM | 17.53% | ||
| PM (TTM) | 9.67% | ||
| GM | 42.37% | ||
| FCFM | 8.23% |
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-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.44 | ||
| Debt/FCF | 20.56 | ||
| Debt/EBITDA | 6.1 | ||
| Cap/Depr | 139.09% | ||
| Cap/Sales | 12.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.81% | ||
| Profit Quality | 85.09% | ||
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.85 |
F-Score5
WACC7.73%
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)8.04%
EPS 3Y0.6%
EPS 5Y1.11%
EPS Q2Q%12.42%
EPS Next Y8.32%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
EPS Next 5Y7.83%
Revenue 1Y (TTM)22.51%
Revenue growth 3Y4.34%
Revenue growth 5Y1.32%
Sales Q2Q%31.57%
Revenue Next Year22.46%
Revenue Next 2Y11.61%
Revenue Next 3Y9.09%
Revenue Next 5Y6.39%
EBIT growth 1Y17.72%
EBIT growth 3Y7.35%
EBIT growth 5Y3.7%
EBIT Next Year75.25%
EBIT Next 3Y24.1%
EBIT Next 5Y15.89%
FCF growth 1Y-30.74%
FCF growth 3Y69.56%
FCF growth 5Y8.88%
OCF growth 1Y2.84%
OCF growth 3Y10.83%
OCF growth 5Y6.04%