Enbridge Stock – The 7% Dividend Stock That People Love Right Now
Enbridge (TSX:ENB)(NYSE:ENB) stock now pays a dividend of nearly 8%. Investors are paying attention like never before, but should you?
Enbridge (TSX:ENB)(NYSE:ENB) is a Canadian icon. It’s a giant in the pipeline industry. With a recent slide in the share price, however, the dividend yield is now above 7%.
This could be your shot to buy a blue-chip stock with an incredible income stream. Knowing that the company has raised the payout every year since 1995 should give you comfort regarding its sustainability.
Should you jump in?
Know these facts right now
If you want to secure a 7% annual dividend yield, you need to move fast. Let’s get straight to the facts.
Enbridge is North America’s biggest pipeline company. It transports nearly 20% of the continent’s crude oil, plus a big chunk of the natural gas. Historically, this has been a great business.
Pipelines are like toll roads: once constructed, the cash flow comes streaming in. Initial construction costs can reach several million dollars per kilometre.
With a pipeline network spanning multiple countries, just imagine how difficult it would be to replicate Enbridge’s asset base. It would easily…
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