Video: TC Energy (TRP) Has 7.2% Yield With Strong Natural Gas Demand Tailwinds
June 7, 2024 |
- 7.2% Dividend Yield.
- We expect earnings growth of around 3-4% for the foreseeable future, making it an attractive dividend grower.
- Primarily in natural gas pipelines, spinning off its liquids pipelines.
- Natural gas pipelines are volume based shielding them from the volatility of natural gas prices thus lower business risk.
- On a secular basis we expect strong growth in natural gas demand powered by increased electricity consumption propelled by data centers with artificial intelligence and electric vehicles.
- Green energy sources like solar and wind still need backup natural gas generation to generate power when weather is not permitting or there is a surge in grid demand.