Topic: Dividend Stocks

ENCANA CORP. $15 – Toronto symbol ECA

ENCANA CORP. $15 (Toronto symbol ECA; Conservative Growth Portfolio, Resources sector; Shares outstanding: 741.1 million; Market cap: $11.1 billion; Price-to-sales ratio: 1.6; Dividend yield: 2.1%; TSINetwork Rating: Average; www.encana.com) has completed its $7.1-billion U.S. purchase of Athlon Energy, which produces oil (80% of output) and gas (20%) in Texas’s Midland Basin.

The company will devote 80% of its 2015 capital spending to its oil properties, which would remain profitable even if oil declines to between $35 and $50 U.S. a barrel.

Encana is a buy.

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