ENBRIDGE INC (ENB.CA) Stock Fundamental Analysis
TSX:ENB - Toronto Stock Exchange - CA29250N1050 - Common Stock - Currency: CAD
Taking everything into account, ENB scores 4 out of 10 in our fundamental rating. ENB was compared to 214 industry peers in the Oil, Gas & Consumable Fuels industry. ENB has a medium profitability rating, but doesn't score so well on its financial health evaluation. ENB is quite expensive at the moment. It does show a decent growth rate. ENB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ENB was profitable.
In the past year ENB had a positive cash flow from operations.
In the past 5 years ENB has always been profitable.
In the past 5 years ENB always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.68%, ENB is in line with its industry, outperforming 58.88% of the companies in the same industry.
ENB's Return On Equity of 8.64% is fine compared to the rest of the industry. ENB outperforms 64.02% of its industry peers.
With a decent Return On Invested Capital value of 4.07%, ENB is doing good in the industry, outperforming 61.22% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ENB is below the industry average of 7.31%.
The last Return On Invested Capital (4.07%) for ENB is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.68% | ||
| ROE | 8.64% | ||
| ROIC | 4.07% |
ROA(3y)2.33%
ROA(5y)2.46%
ROE(3y)7.16%
ROE(5y)7.18%
ROIC(3y)3.99%
ROIC(5y)4.01%
1.3 Margins
ENB has a Profit Margin of 9.67%. This is in the better half of the industry: ENB outperforms 64.02% of its industry peers.
ENB's Profit Margin has declined in the last couple of years.
ENB's Operating Margin of 17.53% is fine compared to the rest of the industry. ENB outperforms 61.22% of its industry peers.
ENB's Operating Margin has improved in the last couple of years.
ENB has a Gross Margin (42.37%) which is comparable to the rest of the industry.
ENB's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.53% | ||
| PM (TTM) | 9.67% | ||
| GM | 42.37% |
OM growth 3Y2.88%
OM growth 5Y2.35%
PM growth 3Y-8.55%
PM growth 5Y-2.33%
GM growth 3Y5.15%
GM growth 5Y4.19%
2. Health
2.1 Basic Checks
ENB has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ENB has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ENB has more shares outstanding
The debt/assets ratio for ENB is higher compared to a year ago.
2.2 Solvency
ENB has an Altman-Z score of 0.83. This is a bad value and indicates that ENB is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.83, ENB perfoms like the industry average, outperforming 53.27% of the companies in the same industry.
ENB has a debt to FCF ratio of 20.56. This is a negative value and a sign of low solvency as ENB would need 20.56 years to pay back of all of its debts.
ENB has a Debt to FCF ratio (20.56) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.44 is on the high side and indicates that ENB has dependencies on debt financing.
ENB's Debt to Equity ratio of 1.44 is on the low side compared to the rest of the industry. ENB is outperformed by 73.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.44 | ||
| Debt/FCF | 20.56 | ||
| Altman-Z | 0.83 |
ROIC/WACC0.52
WACC7.77%
2.3 Liquidity
ENB has a Current Ratio of 0.73. This is a bad value and indicates that ENB is not financially healthy enough and could expect problems in meeting its short term obligations.
ENB has a Current ratio (0.73) which is in line with its industry peers.
A Quick Ratio of 0.66 indicates that ENB may have some problems paying its short term obligations.
ENB has a Quick ratio (0.66) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
ENB shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.75%.
Measured over the past 5 years, ENB shows a small growth in Earnings Per Share. The EPS has been growing by 1.11% on average per year.
ENB shows a strong growth in Revenue. In the last year, the Revenue has grown by 43.00%.
The Revenue has been growing slightly by 1.32% on average over the past years.
EPS 1Y (TTM)1.75%
EPS 3Y0.6%
EPS 5Y1.11%
EPS Q2Q%11.96%
Revenue 1Y (TTM)43%
Revenue growth 3Y4.34%
Revenue growth 5Y1.32%
Sales Q2Q%67.62%
3.2 Future
ENB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.83% yearly.
Based on estimates for the next years, ENB will show a small growth in Revenue. The Revenue will grow by 6.39% on average per year.
EPS Next Y8.32%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
EPS Next 5Y7.83%
Revenue Next Year14.97%
Revenue Next 2Y9.15%
Revenue Next 3Y7.36%
Revenue Next 5Y6.39%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.26, the valuation of ENB can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of ENB is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.50, ENB is valued a bit cheaper.
With a Price/Forward Earnings ratio of 19.04, ENB is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as ENB.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.44, ENB is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.26 | ||
| Fwd PE | 19.04 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ENB is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ENB is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.9 | ||
| EV/EBITDA | 14.59 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
ENB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.56
PEG (5Y)19.2
EPS Next 2Y7.73%
EPS Next 3Y7.74%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.60%, ENB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.24, ENB pays a better dividend. On top of this ENB pays more dividend than 91.59% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, ENB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.6% |
5.2 History
The dividend of ENB has a limited annual growth rate of 4.10%.
ENB has paid a dividend for at least 10 years, which is a reliable track record.
ENB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.1%
Div Incr Years24
Div Non Decr Years24
5.3 Sustainability
ENB pays out 142.15% of its income as dividend. This is not a sustainable payout ratio.
ENB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP142.15%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
TSX:ENB (7/18/2025, 7:00:00 PM)
61.88
+0.3 (+0.49%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners53.95%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap134.92B
Analysts72.14
Price Target66.76 (7.89%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.6% |
Yearly Dividend3.84
Dividend Growth(5Y)4.1%
DP142.15%
Div Incr Years24
Div Non Decr Years24
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.86%
Min EPS beat(2)-0.67%
Max EPS beat(2)6.39%
EPS beat(4)1
Avg EPS beat(4)-1.5%
Min EPS beat(4)-9.75%
Max EPS beat(4)6.39%
EPS beat(8)3
Avg EPS beat(8)-0.03%
EPS beat(12)4
Avg EPS beat(12)-1.51%
EPS beat(16)6
Avg EPS beat(16)-0.67%
Revenue beat(2)2
Avg Revenue beat(2)68.68%
Min Revenue beat(2)28.78%
Max Revenue beat(2)108.58%
Revenue beat(4)4
Avg Revenue beat(4)87.88%
Min Revenue beat(4)28.78%
Max Revenue beat(4)117.73%
Revenue beat(8)5
Avg Revenue beat(8)39.78%
Revenue beat(12)6
Avg Revenue beat(12)23.62%
Revenue beat(16)10
Avg Revenue beat(16)21.8%
PT rev (1m)0.46%
PT rev (3m)1.71%
EPS NQ rev (1m)-1.14%
EPS NQ rev (3m)-12.21%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.38%
Revenue NQ rev (1m)5.3%
Revenue NQ rev (3m)-8.59%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.26 | ||
| Fwd PE | 19.04 | ||
| P/S | 2.21 | ||
| P/FCF | 26.9 | ||
| P/OCF | 10.79 | ||
| P/B | 1.98 | ||
| P/tB | 4.97 | ||
| EV/EBITDA | 14.59 |
EPS(TTM)2.91
EY4.7%
EPS(NY)3.25
Fwd EY5.25%
FCF(TTM)2.3
FCFY3.72%
OCF(TTM)5.73
OCFY9.27%
SpS27.95
BVpS31.31
TBVpS12.45
PEG (NY)2.56
PEG (5Y)19.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.68% | ||
| ROE | 8.64% | ||
| ROCE | 5.31% | ||
| ROIC | 4.07% | ||
| ROICexc | 4.11% | ||
| ROICexgc | 5.17% | ||
| OM | 17.53% | ||
| PM (TTM) | 9.67% | ||
| GM | 42.37% | ||
| FCFM | 8.23% |
ROA(3y)2.33%
ROA(5y)2.46%
ROE(3y)7.16%
ROE(5y)7.18%
ROIC(3y)3.99%
ROIC(5y)4.01%
ROICexc(3y)4.07%
ROICexc(5y)4.06%
ROICexgc(3y)5.22%
ROICexgc(5y)5.26%
ROCE(3y)5.22%
ROCE(5y)5.24%
ROICexcg growth 3Y-2.31%
ROICexcg growth 5Y-2.5%
ROICexc growth 3Y-1.04%
ROICexc growth 5Y-1.82%
OM growth 3Y2.88%
OM growth 5Y2.35%
PM growth 3Y-8.55%
PM growth 5Y-2.33%
GM growth 3Y5.15%
GM growth 5Y4.19%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.44 | ||
| Debt/FCF | 20.56 | ||
| Debt/EBITDA | 6.1 | ||
| Cap/Depr | 139.09% | ||
| Cap/Sales | 12.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.81% | ||
| Profit Quality | 85.09% | ||
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.83 |
F-Score5
WACC7.77%
ROIC/WACC0.52
Cap/Depr(3y)117.17%
Cap/Depr(5y)142.6%
Cap/Sales(3y)11.06%
Cap/Sales(5y)12.95%
Profit Quality(3y)173.15%
Profit Quality(5y)135.79%
High Growth Momentum
Growth
EPS 1Y (TTM)1.75%
EPS 3Y0.6%
EPS 5Y1.11%
EPS Q2Q%11.96%
EPS Next Y8.32%
EPS Next 2Y7.73%
EPS Next 3Y7.74%
EPS Next 5Y7.83%
Revenue 1Y (TTM)43%
Revenue growth 3Y4.34%
Revenue growth 5Y1.32%
Sales Q2Q%67.62%
Revenue Next Year14.97%
Revenue Next 2Y9.15%
Revenue Next 3Y7.36%
Revenue Next 5Y6.39%
EBIT growth 1Y17.72%
EBIT growth 3Y7.35%
EBIT growth 5Y3.7%
EBIT Next Year75.25%
EBIT Next 3Y24.1%
EBIT Next 5Y15.89%
FCF growth 1Y-30.74%
FCF growth 3Y69.56%
FCF growth 5Y8.88%
OCF growth 1Y2.84%
OCF growth 3Y10.83%
OCF growth 5Y6.04%