Topic: How To Invest

Dividend Advisor Hotline – Friday, December 8, 2017

Article Excerpt

ENBRIDGE INC., $49.34, Toronto symbol ENB, operates pipelines that pump oil and natural gas from Western Canada to eastern Canada and the U.S. It also distributes gas to over 2 million consumers in Ontario, Quebec, New Brunswick and New York State. In February 2017, the company completed its all-stock purchase of Spectra Energy. That firm operates crude oil and natural gas pipelines in the U.S. and Canada. The company also owns oil and gas storage facilities. Thanks to the extra cash flow from Spectra, Enbridge plans to raise its quarterly dividend by 10.0%. Starting with the March 2018 payment, investors will receive $0.671 a share, up from $0.61. The new annual rate of $2.684 yields a high 5.4%. The company, in fact, plans to raise the annual dividend rate by 10% each year through 2020. However, that’s a drop from its previous plan to increase that rate by 10% to 12% each year from 2018 to 2024. Enbridge also announced that it will spend…