1 Dividend Giant I’d Buy and Never Sell

Enbridge’s 5% yield and 31-year dividend-growth streak are exactly why many investors file it under “buy, hold, and ignore the noise.”

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Key Points
  • Enbridge earns mostly fee-based, contract, and regulated cash flow from pipelines, gas utilities, and energy infrastructure across North America.
  • Q1 2026 results and guidance suggest the dividend is supported by distributable cash flow, with a $40 billion secured backlog.
  • Debt, rates, and regulatory hurdles are real risks, but the business is built for steady long-term income.

Some stocks belong in the “never sell” pile. Not because they never fall or offer perfect growth, but because they keep serving a purpose through market cycles, rate swings, recessions, commodity scares, and all the noise that makes investors second-guess good decisions.

Enbridge (TSX: ENB) fits that role for many investors. If I had to pick one Canadian dividend giant to buy and tuck away for the long haul, this would be it.

A worker drinks out of a mug in an office.

Source: Getty Images

ENB

Enbridge stock moves energy across North America. Its network includes liquids pipelines, natural gas pipelines, gas utilities, and renewable power assets. The company connects producers, refiners, utilities, exporters, and households.

That gives the business a different feel from a traditional energy stock. Enbridge stock still earns most of its money from long-term contracts, regulated assets, or fee-based systems. So, while the stock can move with energy headlines, the business has more stability than many investors expect from the sector.

The dividend sits at the centre of the appeal. Enbridge stock currently pays $0.97 per share each quarter, or $3.88 annually, yielding just over 5% at writing. Even better, the company raised its dividend for 2026, marking 31 consecutive years of annual increases. That kind of record doesn’t happen by accident. It takes scale, discipline, and cash flow that can handle rough patches.

Into earnings

The latest results back up the case. In the first quarter of 2026, Enbridge stock reported adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $5.81 billion and adjusted earnings of $2.1 billion, or $0.98 per share. Management also reaffirmed its full-year guidance and increased its secured backlog to $40 billion. That backlog gives investors a useful look at future growth, not just today’s payout.

The company expects 2026 adjusted EBITDA of $20.2 billion to $20.8 billion and distributable cash flow per share of $5.70 to $6.10. Compared with the annual dividend of $3.88, that leaves room for the payout while still funding projects and managing debt. For income investors, that balance matters more than chasing a dividend yield that looks high but rests on shaky ground.

Considerations

There are a few reasons Enbridge stock still has high demand even moving forward. Artificial intelligence (AI) and data centres keep grabbing headlines, but those facilities need energy around the clock. Enbridge stock has exposure to natural gas infrastructure and utilities, which could benefit as North America builds more power capacity. The company also completed the Dominion utility acquisitions, adding scale in U.S. gas distribution. That gives Enbridge stock more regulated cash flow and another way to grow beyond traditional pipelines.

That said, the company carries a lot of debt, and higher interest rates can raise financing costs. Pipeline projects can face regulatory delays and public opposition. Energy policy can shift. Investors also need to watch whether growth spending creates enough return to justify the capital.

But those risks look manageable for a long-term investor who understands what they own. Enbridge stock isn’t trying to become a fast-growth tech stock. It’s trying to keep expanding critical energy infrastructure, generate reliable cash flow, and send a large portion of that cash back to shareholders. That’s exactly why I’d buy it and hold on.

Bottom line

Enbridge stock can do a lot of work inside a portfolio. Reinvest the dividends, and the share count can build year after year. Take the cash later, and it can help fund retirement income. Either way, investors get paid while they wait, even while starting at $7,000.

COMPANYRECENT PRICENUMBER OF SHARESANNUAL DIVIDENDANNUAL TOTAL PAYOUTFREQUENCYTOTAL INVESTMENT
ENB$76.2191$3.88$353.08Quarterly$6,935.11

For me, that’s the kind of dividend giant worth owning through the noise — not for a quick trade, but for years.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Enbridge. The Motley Fool has a disclosure policy.

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