This High-Yield Dividend Stock Has $3 Billion in New Growth Opportunities
Enbridge (NYSE: ENB) is a giant North American midstream company with a collection of assets that would be virtually impossible to replace. This energy infrastructure generates reliable fees that support the company's generous 7% dividend yield. The problem is that to grow its cash flow and its dividend, the company has to build more assets. Three new projects, costing around CA$3 billion, will help support growth as they come online over the next five years.
One of the most interesting things about Enbridge's energy business is that it generally sidesteps the ups and downs of commodity prices. That's because it charges fees for the use of its midstream and pipeline assets. It is a reliable business driven by the demand for energy, which remains strong even though the world is slowly shifting toward cleaner alternatives. The actual price of what's following through Enbridge's system isn't all that important.
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Source Fool.com
