Enbridge (ENB) Provides a Glimpse of Financial Guidance

Enbridge Inc. ENB recently provided a glimpse of its financial guidance and dividend payout for 2022.

Before getting into the guidance for next year, it’s worth mentioning that Enbridge continues to expect adjusted earnings before interest, income taxes and depreciation (EBITDA) for 2021 in the band of C$13.9 billion to C$14.3 billion. ENB also reiterated its projections for this year’s distributable cash flow (DCF) per share in the range of C$4.7 to C$5.

For 2022, Enbridge is projecting EBITDA in the band of C$15 to C$15.6 billion and DCF per share in the range of C$5.2 to C$5.5. The metrics for next year thus suggest an improvement as compared to this year. Through 2024, Enbridge expects average annual DCF per share growth of 5% to 7%.

Enbridge has a strong commitment toward returning capital to shareholders. It has raised its quarterly dividend by 3% to 86 Canadian cents per share. Thus, Enbridge has increased its 2022 dividend (C$3.44 annualized), thereby marking a dividend increase for 27 straight years. Enbridge also intends to establish a share buyback program through which it will be able to repurchase C$1.5 billion of outstanding shares.

Overall, the attractive financial outlook is establishing the fact that Enbridge’s business model is robust with minimal exposure to coronavirus-induced commodity price volatility and volume risks.

Enbridge Inc Price

Enbridge Inc Price

Enbridge Inc price | Enbridge Inc Quote

Currently, Enbridge carries a Zacks Rank #3 (Hold). Meanwhile, a few better-ranked players in the energy space include Whiting Petroleum Corporation WLL, Continental Resources, Inc. CLR and Callon Petroleum Company CPE. While Continental Resources carries a Zacks Rank #2 (Buy), Whiting Petroleum and Callon Petroleum sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Whiting Petroleum is a leading upstream energy company and is the top producer of crude oil in North Dakota. With oil price improving at a healthy pace, Whiting Petroleum expects to continue generating handsome cashflows while maintaining a healthy balance sheet.

Headquartered in Denver, CO, Whiting Petroleum has witnessed upward earnings estimate revisions for 2021 in the past 30 days. Looking at the price chart, WLL has gained 176.9% year to date, outpacing the 99% rise of the composite stocks belonging to the industry.

Continental Resources is also a leading upstream energy company, with proven reserves in North Dakota and Oklahoma. The oil inventories of Continental Resources are among the best in the industry.

Headquartered in Oklahoma City, Continental Resources has witnessed upward earnings estimate revisions for 2021 in the past 30 days. Considering the price chart, CLR has gained 186.1% so far this year, outpacing the 98.9% improvement of the composite stocks belonging to the industry.

Callon Petroleum is also a leading exploration and production company with a strong presence in prolific unconventional resources that comprise Permian Basin and Eagle Ford Shale play.

CPE has witnessed upward earnings estimate revisions for 2021 in the past 30 days. Looking at the price chart, Callon Petroleum has gained 308.2% year to date, outpacing the 98.9% improvement of the composite stocks belonging to the industry.

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