Why Enbridge Remains a Top Pick for Income-Focused Investors

Enbridge Inc. (NYSE:ENB) is included among the 11 Best Canadian Dividend Stocks to Buy Now.

Enbridge Inc. (NYSE:ENB)’s main operations revolve around its extensive oil and natural gas pipeline system. The company earns steady cash flow by charging users fees to access its infrastructure, with revenues remaining stable regardless of fluctuations in commodity prices.

In addition to its core pipeline business, Enbridge Inc. (NYSE:ENB) has expanded into regulated natural gas utilities and renewable energy through solar and wind projects. Throughout this growth, the company has maintained an investment-grade credit rating and has kept its dividend payouts within its target range of 60% to 70% of distributable cash flow.

Enbridge Inc. (NYSE:ENB) generated strong cash in the first quarter of 2025. The company’s operating cash flow came in at C$3.1 billion, and its distributable free cash flow was C$3.8 billion for the quarter. Currently, it offers a quarterly dividend of C$0.9425 per share and has a dividend yield of 5.97%, as of July 15. ENB is one of the best dividend Canadian stocks, as the company has raised its payouts for 30 years in a row.

While we acknowledge the potential of ENB as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.