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Enbridge (ENB) Gains But Lags Market: What You Should Know

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In the latest trading session, Enbridge (ENB) closed at $42.65, marking a +0.21% move from the previous day. The stock lagged the S&P 500's daily gain of 0.34%.

Coming into today, shares of the oil and natural gas transportation and power transmission company had gained 7.34% in the past month. In that same time, the Oils-Energy sector gained 11.77%, while the S&P 500 lost 0.12%.

Wall Street will be looking for positivity from ENB as it approaches its next earnings report date. This is expected to be November 5, 2021. In that report, analysts expect ENB to post earnings of $0.46 per share. This would mark year-over-year growth of 27.78%.

For the full year, our Zacks Consensus Estimates are projecting earnings of $2.23 per share and revenue of $36.58 billion, which would represent changes of +23.2% and +25.05%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for ENB. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ENB is currently a Zacks Rank #2 (Buy).

Investors should also note ENB's current valuation metrics, including its Forward P/E ratio of 19.11. Its industry sports an average Forward P/E of 17.86, so we one might conclude that ENB is trading at a premium comparatively.

Investors should also note that ENB has a PEG ratio of 3.18 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. ENB's industry had an average PEG ratio of 3.69 as of yesterday's close.

The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 60, which puts it in the top 24% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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