New businesses will spur their dividends

Article Excerpt

Enbridge and AltaGas continue to expand their asset bases with new high-quality, rate-regulated projects. The extra cash flow puts them in a strong position to keep rewarding investors with higher dividends. ENBRIDGE INC. $57 is a buy. The company (Toronto symbol ENB; Income-Growth Payer Portfolio, Utilities sector; Shares o/s: 2.2 billion; Market cap: $125.4 billion; Dividend yield: 6.4%; Dividend Sustainability Rating: Highest; www.enbridge.com) operates pipelines that pump oil and natural gas from Western Canada eastward as well as to the U.S. Its network transports 30% of the crude oil produced in North America and 20% of the natural gas consumed in the U.S. The company also distributes gas to 20 million customers across North America. With the March 2024 payment, Enbridge raised your quarterly dividend by 3.1%. Investors now receive $0.915 a share instead of $0.8875. The annual rate of $3.66 yields a high 6.4%. The company has now increased its dividend each of the past 29 years. In the quarter ended June 30, 2024, Enbridge’s revenues…