Want $1,000 in Dividend Income? Here's How Much You Have to Invest in Enbridge Stock.
Enbridge (NYSE: ENB) is one of the largest crude oil and natural gas pipeline companies in North America. The business is largely immune to the fluctuations in oil and gas prices as Enbridge generates almost 98% of its cash flows from long-term contracts or cost-of-service arrangements. Thanks to this stability in cash flows, Enbridge has been one of the most reliable dividend stocks in the energy sector.
Enbridge has paid regular dividends for more than 69 years now and increased them every year for the past 29 consecutive years. Its dividend grew at a compound annual rate of 10% during the period. If you buy this 6.8%-yielding stock now, you can even earn $1,000 in annual dividend income. Here's how.
Enbridge is based out of Canada and recently declared a quarterly dividend of 0.915 Canadian dollars per share. That equals CA$3.66 per share in annualized dividend, or $2.67 per share at the current exchange rate. So at the stock's trading price of $38.70 a share as of this writing, buying roughly 375 shares, or investing around $14,515 in Enbridge now, can fetch you an annual dividend income of $1,000.
Source Fool.com
