Enbridge resumed with a Sector Perform at National Bank

National Bank analyst Patrick Kenny resumed coverage of Enbridge with a Sector Perform rating and C$53 price target after the company announced an equity financing to partially fund its $14B acquisition of three U.S. gas utilities from Dominion Energy. Combined with robust population growth rates and constructive allowable ROEs of about 10%, the assets feature an attractive 8% rate base CAGR that is strategically supporting increased visibility surrounding Enbridge’s long-term mid-single digit per share earnings growth trajectory, the analyst tells investors in a research note.