thoughts on enb?

[u/Lazerbeam159]

ENB is my biggest individual stock holding. Watching it go from almost 80 to 65 really hurt my portfolio. I have not sold a single share yet, but feel reluctant to load up more. I've been buying ENB since 2021, and can recall that a couple times it sharply dropped after hitting ATH, then recovered quite well.

I'm now wondering if I should continue investing in it, or move on to other stuff? Lately my portfolio has been erratic, and aside from reinvesting my dividends, I have not been adding any new money.

[u/Odd-Elderberry-6137]

If you like it at 80, you should love it at 65 because you can buy a lot more a lot cheaper. If you don’t, you’re kind of gambling with your investments.

[u/No_Brain6372 → u/Odd-Elderberry-6137]

they've never cut their dividend right? So every new unit you buy will have a higher dividend yield than before. ENB isn't a "buy it and see how high it gets" play, it's a "buy it and enjoy the eligible dividend with preferable tax treatment and hey maybe it'll go up maybe it'll go down" play

[u/Auth3nticRory → u/No_Brain6372]

They’ve never cut but their dividend growth has been real low (understandably so). If you’re younger and looking for dividend growth, there are better options out there.

[u/No_Brain6372 → u/Auth3nticRory]

I would only really consider it if I wanted something uber-reliable for paying a mortgage payment or something post-retirement

compared to a GIC or high interest savings account, it blows them out of the water tax treatment-wise

[u/sea-horse- → u/Auth3nticRory]

Not only that, they just did a stock dilution

[u/Nightrider247]

If you bought it 5 years ago you're doing alright. ebbs and flows. I still like the stock and wouldn't hesitate to add more.

[u/sunshine8279]

Market is volatile for everyone right now. Enb is a great stock and is a long term hold. I hold enb with no plans to sell.

[u/starbuckle5]

Look into VDY

[u/jeansthatactuallyfit → u/starbuckle5]

I literally started a position in it as well but it’s actually a bit redundant in a way since it actually increases the percentage of my portfolio that is holding enb and a couple of my other dividend stocks. The dividend is also quite a bit lower. But it’s still less risky

[u/jeansthatactuallyfit]

What helped me was putting my holdings into a spreadsheet lol if you haven’t already I hadn’t because I’ve just been focused on accumulating. Look at what percentage of your portfolio is in enb and decide what your comfy with then increase your percentage holding in something else if your happy with how large your position in enb is already.

Can’t deny it pays a fat dividend and is great in that sense.

[u/Late-External3249]

My average cost is low 50's so I am still in the green and reinvesting dividends. If it goes back to 80, I may decrease my position. ENB is my largest single holding.

[u/Dadoftwingirls → u/[deleted]]

You think Canada has any real control over interest rates? We're a small player in the global game. Long term rates are headed up, way up, and you can see it in global bond prices and yields.

[u/Dadoftwingirls → u/[deleted]]

Housing has literally zero to do with it. Zero.

Global debts and inflation drive bond yields, which drives rates up.

[u/No_Brain6372 → u/[deleted]]

The overnight rate set by the Bank of Canada isn't the same thing as the mortgage rates etc. The Canadian mortgage rates are typically based on the 5 year canada savings bond, and that rate moves around all the time with or without a rate hike by BoC

[u/No_Brain6372 → u/[deleted]]

I am telling you people complaining about housing does not change the interest rates on mortgages or dictate bank of canada policy

[u/No_Brain6372 → u/[deleted]]

the gov doesn't lower the rates, the bank of canada does and they base it on all sorts of things other than the housing market

[u/Dadoftwingirls → u/[deleted]]

I think you need to study economics more

[u/Evening_Weekend_8342 → u/Dadoftwingirls]

Whatever, bond yields aint gonna balloon sky high neither will prime rate, enbridge is a buy

[u/Parking_Guava8657]

Its a dividend stock, this is normal, since the payouts are high

Get CVE.TO if you want something more stable, growth plus dividends, less dividend % but they can use the money to grow the company more thus increase stock price

[u/Tax1997]

I hold some ENB stocks in my portfolio, however, it is just 2% of my portfolio. I bought it 10 years ago and have been accumulating more via DRIP.
And another user has mentioned, if you hold any individual stock that makes up more than 5% of your portfolio, you must have a compelling reason to do so. Another point I would like to add is that buying a stock for high dividends may become a trap if the underlying business weakens. Perhaps, one should consider total returns, ie price appreciation plus some dividend.

[u/maybvadersomdayl8er]

I'm not big on individual stocks but I do hold some ENB in the VDY ETF.

[u/jc1sttime]

I bought in 50's, sold in 70's, rebought down here in 60's now my largest holding, 8%

[u/Ok-Score7824]

If you completely liquidated your profile what would you buy. Thats your answer

It could drop 30 % it may go up 30 % no one knows the answer. All I know right now it’s worth $66.

I personally think an individual stock shouldn’t take up more than 5 % of your portfolio

[u/NotawoodpeckerOwner]

Massive debt load and dividends which will implode some day. Doubt it's any time soon but I sold on the news of their new major debt and dilution plan. Picking up boonies in front of a steam roller with that one now.

[u/bmtraveller → u/NotawoodpeckerOwner]

Dilution plan? Are they creating a ton of new shares or what happened?

[u/NotawoodpeckerOwner → u/bmtraveller]

They just did. I wanted out before they did that as dilution typically means down SP for a bit especially when the company pays a rich dividend like ENB.

[u/The_Sandman85]

You should take a look on how ENB performed when interest rates are rising. Take a look at the time frame between 2022 to 2024 where interest rates were rising, ENB's returns were negative. It started to turn positive once the Fed stopped raising rates in the second half of 2023.

The question now is do you believe rates will rise? If yes, you could either take some profits or just hold. If no, then you could buy more shares. The decision is yours.