Enbridge Inc. (ENB.TO): Almost Half Way There In a Quarter of the Time

First-page research excerpt

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31 Jul 2026 08:29:59 ET │ 11 pages

Enbridge Inc. (ENB.TO)

Almost Half Way There In a Quarter of the Time

CITI'S TAKE

Buy

Price (30 Jul 26 16:00)

C$77.68

Target price

C$77.00

Expected share price return

-0.9%

Expected dividend yield

5.0%

Expected total return

4.1%

Market Cap

C$169,656M

US$121,084M

ENB reported adj EBITDA of C$4.78bln, beating the C$4.67bln Citi

estimate and C$4.71bln Street mean (FactSet). ENB continued to add to

the growth backlog, which now sits at C$41bln. The Line 5 relocation

($1.0bln) was the primary addition, more than offsetting EHOT entering

service. Several LNG-driven announcements with the Bay Runner Twin

sanctioned (Whistler JV) and an announced option to acquire the TTC

Pipeline (connects Tres Palacios to Freeport LNG). Otherwise, the

opportunity set continues to develop ahead of schedule. ENB has

sanctioned ~C$9bln YTD and pointed to being on track to sanction up to

C$20bln through 2027. Among these opportunities, ENB highlighted a

successful open season for an Algonquin expansion (Project Beacon).

MLO2 continues to progress with ENB actually pointing to a growing

opportunity set with regard to the project. Finally, Blackcomb began

commissioning - earlier than we anticipated, though slides still point to

4Q26 completion.

Spiro DounisAC

Douglas Irwin

Implications — We expect a relatively neutral reaction. Capital program additions

are a positive, but ENB signaled the Line 5 relocation on the last earnings call. A

slight beat on the quarter is also positive though annual guidance is unchanged and

beats alone have yet to be enough to garner a positive reaction on prints. Every

segment but Renewables beat our estimates. Mainline drove the beat in Liquids and

the US drove the Gas Transmission beat vs our estimates. MLO 2 evolving into a

broader suite of expansion opportunities will likely be in focus for the call. The timing

of the FID has been pushed out and may apparently be due to the project being

scoped at a higher level. The news comes as several crude egress solutions compete

for market share on the next wave of WCSB growth.

EPS (C$)

Q1

Q2

Q3

Q4

FY

FC Cons

2025A

1.03A

0.65A

0.46A

0.88A

3.01A

3.02A

2026E

0.97A

0.58E

0.51E

…