But the fact remains, Enbridge has raised dividends for 2.5 decades and has grown its dividend at a 16% clip annually over the last 5 years. We should also look at the company’s dividend history. This translates into $3.24 dividend per share on an annualized basis for 2020. If you’re a dividend investor, especially with holdings in oil and gas, you’re probably a little nervous about whether or not your stocks could be next to cut or suspend its dividend. A rate cut is a plus for dividend payers because lower yields on so-called “safe” investments, like Treasuries, drive more buyers to dividend stocks. Enbridge’s dividend has normally been over 5%, and so it’s normally been a high-paying dividend stock. There’s nothing better to an income investor than the sight of dividends rolling into your account. An analysis of Enbridge’s dividend must go a little deeper than just the numbers. I suspect they are doing this so Investors won’t jump ship but this is not sustainable right? Enbridge's stock price has reflected that fear of a dividend cut. I recently wrote about why ENB is a good buy right now for long term investors looking for income. – simply click the link below to grab your free copy of our new report…. Enbridge is a pipeline company and pipelines are the cheapest way to move energy. About Enbridge: Should You Fear A Dividend Cut? However, it’s conceivable that it may play a role in the company’s decision-making process. At the time of writing, Enbridge stock trades at $36.25 per share and provides a dividend yield of 9%. If it’s going to announce a dividend suspension or cut, it’s likely going to happen this coming week. Reply. It’s not a great reason to decide to keep the dividend intact. Will Enbridge’s dividend be cut? Dec. 4, 2020 5:58 AM ET | | About: Enbridge Inc. (ENB) by: The Dividend Guy. A look at Enbridge Inc (TSE:ENB)’s dividend cover. 11/24/2017 10:07 am […] – These could potentially be strong, dominant pipeline companies. CALGARY -- Enbridge Inc. raised its dividend as it released its latest financial guidance. Dividends are usually paid out of company profits, so if a company pays out more than it earned then its dividend is usually at greater risk of being cut. Enbridge has paid dividends for over 65 years to its shareholders. An analysis of Enbridge’s dividend must go a little deeper than just the numbers. They see a high payout ratio and assume the dividend is close to being cut. Looking at the universe of stocks we cover at Dividend Channel, on 2/13/20, Enbridge Inc (Symbol: ENB) will trade ex-dividend, for its quarterly dividend of $0.81, payable on 3/1/20. And given the challenging socioeconomic environment we are in now, going after high dividend yields can seem quite risky. Log in. The current quarterly dividend is CA$0.81 per share, or CA$3.24 per year. Payout Estimate. Dividends are typically paid out of company income, so if a company pays out more than it earned, its dividend is usually at a higher risk of being cut. For unhealthy companies, the virus will be the excuse to cut. It has raised its dividend every year since 1996. Should you pursue your analysis, this video will bring you more insights. The longer the pandemic drags on, the more of a strain it’ll put on the finances of oil and gas stocks like Enbridge. And given the direction of the industry, it’s hard to envision … The longer the pandemic drags on, the more of a strain it’ll put on the finances of oil and gas stocks like Enbridge. Enbridge (ENB) Declares $0.81 Quarterly Dividend; 10.5% Yield Enbridge (ENB) Declares $0.7380 Quarterly Dividend; 7.8% Yield Enbridge (ENB) Raises Quarterly Dividend 10% … Eventually, the company was not able to issue new debt and the dividend was cut. Enbridge Inc’s net gearing ratio is 98.5% - above the 50% threshold. However, recent moves announced by the company suggest that management is looking for ways to cut costs, which could mean a possible dividend cut could be on the horizon. I am thinking of bailing ASAP what do you think? *Exceptions to the above: September 1, 2013 Enbridge Inc. Common Share Dividend: Please note that a portion of the $0.3150 September 1, 2013 Enbridge Inc. Common Share dividend was not designated as an “eligible dividend” pursuant to Subsection 89(14) of the Income Tax Act. which shouldn’t come as much of a surprise to investors, A Weak Canadian Dollar Could Make These 3 Stocks Skyrocket, Why Enbridge Stock Price Lagged the TSX by 1.7% in March, TSX Stocks: 2 Canadian Heavyweights Yielding 8%. The Calgary-based company owns and operates pipelines in the U.S. and Canada. I don’t suspect management is going to want to end that impressive streak. ENB's next quarterly dividend payment will be made to shareholders of record on Monday, March 1. Currently, Enbridge pays investors a quarterly dividend of … Enbridge avoids layoffs, but… On June 17, Enbridge announced that close to 800 employees took leaves of absence, moved to part-time, or accepted early retirement packages. appeared first on The Motley Fool Canada. Like us on Facebook to see similar stories. Find the latest dividend history for Enbridge Inc Common Stock (ENB) at Nasdaq.com. Your email address will not be published. Enbridge Inc. (ENB.TO) pays an annual dividend of C$3.17 per share, with a dividend yield of 7.47%. However, if you take the dividend cut in 2016 and the less-than-promised 5% hike in 2020 into account, those wishing to err on the side of caution will probably still end up preferring Enbridge. New Russian weapons add to simmering tensions over a lingering territorial dispute in Asia. As one of the largest pipeline companies, Enbridge probably has a wide moat due to its scale and network. Thanks If there’s no improvement and no reason … We now know why. Review ENB (XNYS) dividend yield and history, to decide if ENB is the best investment for you. Enbridge expects these projects to increase cash flow by $2.5 billion which will allow it to keep increasing dividends over the next few years. Enbridge (NYSE: ENB) should be one of those companies. A sustained distribution/dividend that has never been cut; Dividend/Distribution History. But did you know that dividends from Canadian-based companies are eligible for special tax credits? Shareholders of record on Friday, February 12th will be paid a dividend of 0.835 per share on Monday, March 1st. At this point, Enbridge has increased its dividend annually for a quarter of a century. The pipeline company says it will start paying a quarterly dividend of 81 cents, effective March 1, up from its previous rate of 73.8 cents. August is the time when investors might expect to see the company make an announcement related to its dividend. ENB's next quarterly dividend payment will be made to shareholders of record on Monday, March 1. But given the risk that exists in the industry today, dividend investors may be better off looking for more stable investments where commodity prices won’t heavily impact their investments or dividend income. This represents a $3.34 dividend on an annualized basis and a dividend yield of 7.88%. The oil and gas giant has its annual shareholders meeting on May 5 and it will discuss its first-quarter results of 2020 on May 7. Low oil prices combined with the coronavirus pandemic have sent many stocks in the industry into a tailspin. Factors such as rising interest rates, the widening of the heavy oil discount and the Federal Energy Regulatory Commission's proposed tax disallowance have caused investors to retreat from the stock. 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