Enbridge (NYSE:ENB) Stock Rating Lowered by Zacks Research

Key Points

• Zacks Research has downgraded Enbridge from a "strong-buy" rating to a "hold" rating, indicating a more cautious outlook on the stock.
• Despite the downgrade, other analysts have mixed opinions, with some raising their ratings and price targets, resulting in a consensus rating of "Moderate Buy" with a target price of $60.50.
• Enbridge reported a quarterly EPS of $0.47, exceeding expectations, but fell short on revenue with $7.14 billion against estimates of $10.56 billion.

Zacks Research cut shares of Enbridge (NYSE:ENB - Free Report) TSE: ENB from a strong-buy rating to a hold rating in a report issued on Wednesday morning,Zacks.com reports.

Other equities research analysts have also issued reports about the company. Argus raised their price target on Enbridge from $50.00 to $54.00 and gave the stock a "buy" rating in a research note on Tuesday, August 12th. Wall Street Zen upgraded Enbridge from a "sell" rating to a "hold" rating in a research note on Saturday, September 13th. National Bankshares restated a "sector perform" rating on shares of Enbridge in a research note on Tuesday, August 5th. Finally, Jefferies Financial Group raised Enbridge from a "hold" rating to a "buy" rating in a research report on Wednesday, July 23rd. Six equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat, Enbridge currently has a consensus rating of "Moderate Buy" and a consensus price target of $60.50.

Enbridge Stock Performance

ENB traded up $0.37 during midday trading on Wednesday, reaching $49.49. The company had a trading volume of 3,096,103 shares, compared to its average volume of 2,916,895. The company has a quick ratio of 0.65, a current ratio of 0.75 and a debt-to-equity ratio of 1.58. Enbridge has a 1 year low of $39.73 and a 1 year high of $49.55. The business has a 50-day moving average of $47.14 and a two-hundred day moving average of $45.62. The company has a market cap of $107.93 billion, a P/E ratio of 24.38, a P/E/G ratio of 4.52 and a beta of 0.80.

Enbridge (NYSE:ENB - Get Free Report) TSE: ENB last released its earnings results on Friday, August 1st. The pipeline company reported $0.47 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.41 by $0.06. Enbridge had a return on equity of 10.77% and a net margin of 10.11%.The firm had revenue of $7.14 billion during the quarter, compared to analysts' expectations of $10.56 billion. During the same quarter last year, the business posted $0.58 earnings per share. As a group, equities research analysts predict that Enbridge will post 2.14 earnings per share for the current fiscal year.

Enbridge Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, September 1st. Investors of record on Friday, August 15th were issued a dividend of $0.6839 per share. This is an increase from Enbridge's previous quarterly dividend of $0.68. This represents a $2.74 dividend on an annualized basis and a dividend yield of 5.5%. The ex-dividend date of this dividend was Friday, August 15th. Enbridge's dividend payout ratio is 134.98%.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Wealth Enhancement Advisory Services LLC increased its holdings in shares of Enbridge by 6.1% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 438,557 shares of the pipeline company's stock worth $19,431,000 after buying an additional 25,071 shares during the last quarter. Hartline Investment Corp lifted its position in Enbridge by 31.3% during the 1st quarter. Hartline Investment Corp now owns 36,098 shares of the pipeline company's stock worth $1,600,000 after acquiring an additional 8,610 shares in the last quarter. Wellington Management Group LLP lifted its position in Enbridge by 0.7% during the 4th quarter. Wellington Management Group LLP now owns 1,150,521 shares of the pipeline company's stock worth $48,806,000 after acquiring an additional 7,890 shares in the last quarter. JBR Co Financial Management Inc acquired a new position in Enbridge during the 1st quarter worth approximately $330,000. Finally, Raymond James Financial Inc. lifted its position in Enbridge by 0.8% during the 1st quarter. Raymond James Financial Inc. now owns 4,299,977 shares of the pipeline company's stock worth $190,532,000 after acquiring an additional 35,515 shares in the last quarter. 54.60% of the stock is currently owned by institutional investors and hedge funds.

Enbridge Company Profile

Enbridge Inc, together with its subsidiaries, operates as an energy infrastructure company. The company operates through five segments: Liquids Pipelines, Gas Transmission and Midstream, Gas Distribution and Storage, Renewable Power Generation, and Energy Services. The Liquids Pipelines segment operates pipelines and related terminals to transport various grades of crude oil and other liquid hydrocarbons in Canada and the United States.