Current Price
$56.50
PE Ratio (TTM)
21.9x
Intrinsic Value
$49.21
-14.8% margin of safety
COMPETITIVE MOAT
↑Extensive Infrastructure Network
Enbridge operates a vast, integrated network of pipelines and storage facilities across North America. This scale creates significant barriers to entry for competitors seeking to replicate its reach and capacity.
↑Long-Term Contracts
The company secures revenue through long-term, fee-based contracts with shippers. This provides predictable cash flows and insulates it from volatile commodity prices.
↑Essential Service Provider
Enbridge's infrastructure is critical for transporting vital energy resources. Demand for its services is largely inelastic, ensuring consistent utilization of its assets.
INVESTMENT RISKS
↓Regulatory and Environmental Scrutiny
The midstream sector faces increasing regulatory oversight and environmental activism. Potential project delays, increased compliance costs, or outright cancellations pose significant risks.
↓Interest Rate Sensitivity
As a capital-intensive business with substantial debt, Enbridge is sensitive to rising interest rates. Higher borrowing costs can impact profitability and dividend sustainability.
↓Geopolitical Instability
While not directly involved in production, geopolitical events like the U.S.-Iran situation can indirectly impact energy demand and pricing, potentially affecting contract volumes or renewal terms.
Base case
ENB base case PE valuation
A base case PE valuation for ENB estimates a fair value of about $49.21 per share, against a current price of $56.5. The model assumes 2.0% annual earnings growth, a 22x target PE multiple, and a 10% discount rate.
Intrinsic Value
$49.21
Margin of safety
-14.8%
Expected annual return
-2.7%
Base case assumptions: 2.0% annual earnings growth, 22x target PE, 10% discount rate, 5 year projection. Data as of 2026-06-12.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the ENB PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Enbridge Inc. respond.
Open PE Calculator for ENBCompany Overview
Enbridge Inc. functions as a prominent entity within the energy infrastructure sector. Its operations are structured across five distinct business units: Liquids Pipelines, Gas Transmission and Midstream, Gas Distribution and Storage, Renewable Power Generation, and Energy Services. The Liquids Pipelines division is responsible for managing a network of pipelines and associated terminal facilities that facilitate the movement of diverse grades of crude oil and other liquid hydrocarbon products throughout Canada and the United States. Meanwhile, the Gas Transmission and Midstream segment focuses its capital on natural gas pipelines, along with gathering and processing infrastructure, also spanning Canada and the United States. Through its Gas Distribution and Storage segment, Enbridge manages natural gas utility services for residential, commercial, and industrial clients primarily in Ontario, in addition to overseeing natural gas distribution and energy transportation endeavors in Quebec. The Renewable Power Generation division develops and runs power generation facilities utilizing renewable sources like wind, solar, geothermal, and waste heat recovery, alongside transmission assets across both North America and Europe. Finally, the Energy Services unit delivers energy marketing solutions to refiners, producers, and various other clients, complemented by physical commodity marketing and logistical support services in Canada and the United States. Originally incorporated as IPL Energy Inc., the company adopted its current name, Enbridge Inc., in October of 1998. Established in 1949, Enbridge Inc. maintains its primary corporate offices in Calgary, Canada.
Financial Metrics — ENB PE Stock Valuation Data
PE Ratio (TTM)
21.9x
PEG Ratio
0.93
Earnings Yield
4.57%
ROE (TTM)
11.1%
Revenue/Share (TTM)
$38.30
Dividend Yield
4.84%
Debt/Equity
1.69x
Frequently Asked Questions
What is the PE ratio of ENB?
The trailing twelve-month PE ratio of ENB reflects how much investors pay per dollar of Enbridge Inc.'s earnings. This metric is most useful when compared to Oil & Gas Midstream peers and the company's own historical range.
Is ENB overvalued based on PE ratio?
ENB's PE of 21.9x combined with a PEG ratio of 0.93 provides a growth-adjusted perspective. A PEG below 1.0 suggests ENB may be undervalued relative to its earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Oil & Gas Midstream, a DCF analysis may be more appropriate.
How do I value ENB stock using PE ratio?
To value Enbridge Inc. using PE: (1) Compare the current PE (21.9x) against the Oil & Gas Midstream median to assess relative pricing, (2) check the PEG ratio (0.93) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of ENB?
ENB's PEG ratio is 0.93, calculated by dividing the PE ratio (21.9x) by the expected earnings growth rate. A PEG below 1.0 is traditionally considered a sign of undervaluation — the market may not be fully pricing in the growth potential. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for ENB stock valuation?
PE ratio gives a quick relative read — how ENB is priced versus Oil & Gas Midstream peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See ENB DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Energy valuationsP/E and DCF value ENB with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-06-12. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.