Enbridge(ENB) The Motley Fool·2025-03-22 10:20Core Viewpoint - Income-seeking investors should not solely focus on high dividend yields when making investment decisions, as consistency and reliability of dividends are also crucial factors to consider [1][2]. Group 1: Dividend Yields and Comparisons - Energy Transfer (ET) currently offers a distribution yield of 6.9%, which is higher than Enterprise Products Partners (EPD) at 6.3% and Enbridge (ENB) at 5.9% [1]. - Despite the higher yield from Energy Transfer, investors may want to consider the stability and historical performance of Enterprise and Enbridge, which have consistently increased their distributions over the years [5][6]. Group 2: Historical Performance and Reliability - Energy Transfer cut its dividend by 50% during the 2020 pandemic, which negatively impacted income-focused investors who relied on consistent dividend payments [3][4]. - In contrast, Enterprise has increased its distribution for 26 consecutive years, while Enbridge has done so for 30 consecutive years, demonstrating a commitment to returning cash flow to investors [6][7]. Group 3: Investment Considerations - Investors should recognize that while the yields from Enterprise and Enbridge are attractive, the growth of these dividends is expected to be in the low to mid-single digits over time, which may still satisfy income-focused investors [8]. - Energy Transfer, while not a poor business, has shown less reliability in prioritizing investor returns compared to Enterprise and Enbridge, which have maintained strong financial positions and investment-grade-rated balance sheets [9][10].