Updating Emera Inc.

Article Excerpt

EMERA INC. $42 (Toronto symbol EMA; Income-Growth Payer Portfolio, Utilities sector; Shares outstanding: 227.8 million; Market cap: $9.6 billion; Dividend yield: 5.4%; Dividend Sustainability Rating: Highest; www.emera.com) owns 100% of Nova Scotia Power, that province’s main electricity supplier. This business supplies 20% of Emera’s earnings. The remaining 80% of earnings come from the company’s investments in several power plants and gas pipelines in the U.S. and the Caribbean. Emera last raised its quarterly payment in November 2017. Shareholders now receive $0.565 a share, up 8.1% from $0.5225. The current annual rate of $2.26 yields a high 5.4%. The company recently completed its Maritime Link undersea cable. The project cost $1.6 billion and will transmit electricity from the province of Newfoundland & Labrador to Nova Scotia. Emera will also soon complete the Labrador Island Link, which will transmit power from a new hydroelectric facility at Muskrat Falls, Labrador, to the island of Newfoundland. Emera will invest up to $650 million for 59% of the project. Nalcor…