Hydro One Ltd

Sound bite for Twitter is: Dividend Growth Utility. Results of stock price testing is that the stock price is probably expensive. I would say it is a Hold. Debt Ratios are acceptable, but it would be nice if they were improved. The Dividend Payout Ratios (DPR) could improve. The current dividend yield is moderate with dividend growth low. See my spreadsheet on Hydro One Ltd.

Is it a good company at a reasonable price? The dividends are rather low for a utility, but they are increasing. As it seems with a number of utilities I looked at this year, I wish the Debt Ratios, especially the Liquidity Ratios were better and it had less debt. This stock is going to continue and to pay dividends. The only caution I have is that it seems that the current stock price is too high.

I do not own this stock of Hydro One Ltd (TSX-H, OTC-HRNNF). It is a utility stock and has been recommended by various persons. It was on the Money Sense list with a C. Rating in 2022. It appeared in the Stable Dividend Portfolio when Norman Rothery originally wrote about it in December 21, 2022. This stock has not been on the Money Sense list since 2023.

When I was updating my spreadsheet, I noticed that shareholders have done quite well with this stock. Total Return being over 10% per year for 5, 10 and 11 years at 16.87%, 12.60% and 11.58%. However, like other utilities the DPRs are high and the debt is high.

If you had invested in this company in December 2015, for $1,003.05 you would have bought 45 shares at $22.29 per share. In December 2025, after 10 years you would have received $476.36 in dividends. The stock would be worth $2,458.80. Your total return would have been $2,935.16. This would be a total return of 12.60% per year with 9.38% from capital gain and 3.22% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$22.29	$1,003.05	45	10	$476.36	$2,458.80	$2,935.16

The current dividend yield is moderate with dividend growth low. The current dividend yield is moderate (2% to 4% ranges) at 2.25%. The 5 and 9 year median dividend yields are also moderate at 2.94% and 3.63%. The dividend growth is low (below 8%) at 5.6% over the past 5 years. The last dividend increase was 2025 and it was for 6.02%

The Dividend Payout Ratios (DPR) could improve. The DPR for 2025 for Earnings per Share (EPS) is high at 59% with 5 year coverage at 63%. The DPR for 2025 for Adjusted Funds from Operations (AFFO) is high at 99% with 5 year coverage at 96%. The AFFO values are provided by TD Bank. The DPR for 2025 for Funds from Operations (FFO) is good at 30% with 5 year coverage at 31%. The FFO values are provide by the company.

The DPR for 2025 for Adjusted Earnings per Share (AEPS) is high at 59% with 5 year coverage at 63%. The DPR for 2025 for Cash Flow per Share (CFPS) is good at 29% with 5 year coverage at 28%. The DPR for 2025 for Free Cash Flow (FCF) is non-calculable due to reported negative FCFs.

Item	Cur	5 Years
EPS	58.90%	63.08%
AFFO	98.76%	96.46%
FFO	30.00%	31.33%
AEPS	58.90%	63.31%
CFPS	28.91%	28.11%
FCF 1	NC	NC
FCF 2	NC	NC

Debt Ratios are acceptable, but it would be nice if they were improved. The Long Term Debt/Market Cap Ratio for 2025 is fine at 0.55 and currently good at 0.51. The Liquidity Ratio for 2025 is too low at 0.61 and 0.61 currently. If you added in Cash Flow after dividends, the ratios are still low at 1.11 and currently at 1.13. If you add back the debt outstanding currently the ratios are still low at 1.41 and currently at 1.43. I prefer this ratio to be 1.50 or higher, but generally speaking, they tend to be low for utilities. The Debt Ratio for 2025 is fine, but low at 1.47 and 1.47 currently. I prefer these ratios to be at 1.50 or higher. The Leverage and Debt/Equity Ratios for 2025 are too high at 3.14 and 2.13 and currently at 3.14 and 2.13. I prefer these ratios below 3.00 and 2.00, but utilities tend to have a lot of debt.

Type	Year End	Ratio Curr
Lg Term R	0.55	0.51
Intang/GW	0.03	0.03
Liquidity	0.61	0.61
Liq. + CF	1.11	1.13
Liq. + CF+D	1.41	1.43
Debt Ratio	1.47	1.47
Leverage	3.14	3.14
D/E Ratio	2.13	2.13

The Total Return per year is shown below for years of 5 to 11 to the end of 2025. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2020	5	5.56%	16.87%	13.69%	3.18%
2015	10	3.43%	12.60%	9.38%	3.22%
2014	11		11.58%	8.79%	2.79%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 18.28, 20.34 and 22.40. The corresponding 10 year ratios are 17.90, 19.87 and 21.85. The corresponding historical ratios are 17.67, 19.70 and 21.73. The current ratio is 26.02 based on a stock price of $59.27 and EPS estimate for 2026 of $2.28. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 18.28, 20.34 and 22.40. The corresponding 10 year ratios are 17.90, 19.87 and 21.47. The corresponding historical ratios are 17.90, 19.47 and 20.83. The current ratio is 26.11 based on a stock price of $59.27 and AEPS estimate for 2026 of $2.27. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Funds from Operations (FFO) data. The 5-year low, median, and high median Price/ Funds from Operations Ratios are 9.24, 10.28 and 11.33. The corresponding 10 year ratios are 8.42, 9.25 and 10.34. The corresponding historical ratios are 8.10, 8.94 and 10.09. The current ratio is 13.54 based on a stock price of $59.27 and FFO for the last 12 months of $4.38. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $32.82. The 10-year low, median, and high median Price/Graham Price Ratios are 1.06, 1.16 and 1.28. The current ratio is 1.81 based on a stock price of $59.27. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Book Value per Share Ratio of 1.57. The current ratio is 2.81 based on a Book Value of $12,648M, Book Value per Share of $21.09 and a stock price of $59.27. The current ratio is 79% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Cash Flow per Share Ratio of 8.64. The current ratio is 12.86 based on Cash Flow per Share estimate for 2026 of $4.61, Cash Flow of $2,765M and a stock price of $59.27. The current ratio is 49% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get an historical median dividend yield of 3.63%. The current dividend yield is 2.25% based on dividends of $1.3324 and a stock price of $59.27. The current dividend yield is 38% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive.

I get a 10 year median dividend yield of 3.63%. The current dividend yield is 2.25% based on dividends of $1.3324 and a stock price of $59.27. The current dividend yield is 38% below the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively expensive.

The 10-year median Price/Sales (Revenue) Ratio is 2.39. The current ratio is 3.83 based on Revenue estimate for 2026 of $9,292M, Revenue per Share of $15.49 and a stock price of $59.27. The current ratio is 60% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is probably expensive. I would say it is a Hold. The 10 year median dividend yield test says this and it is confirmed by the P/S Ratio test. All the testing I have done shows a stock price that is expensive. I would say it is a Hold.

When I look at analysts’ recommendations, I find Buy (2), Hold (10), Underperform (2) and Sell (1). The consensus is a Hold. The 12 month stock price consensus is $55.53 with a high of $66.00 and low of $46.00. The 12 month stock price consensus implies a total loss of 4.06% with a 6.31% capital loss and 2.25% from dividends based on a current stock price of $59.27.

There is only one entry for 2026 on Stock Chase. The recommendation is Do Not Buy because the low dividend and only operates in Ontario. There were mixed reviews in 2025 from Partial Sell to Hold to Buy. Amy Legate-Wolfe on Motley Fool. She says that Hydro One fits the “sleep better” test perfectly. Joey Frenette on Motley Fool. He says Hydro One stock could hold steady, even in a stormier market. The company put out a Press Release about their fourth quarter of 2025.

Simply Wall Street via Yahoo Finance. They review the stock and discuss if it under or overvalued. Simply Wall Street has two warnings out on this stock of debt is not well covered by operating cash flow; and dividend of 2.28% is not well covered by free cash flows.

Hydro One operates regulated transmission and distribution assets in Ontario. Hydro One operates a small telecom business with annual revenue contributing less than 1% to consolidated results. The province of Ontario holds an approximate 47.5% common equity stake. Its web site is here Hydro One Ltd.

The last stock I wrote about was about was AltaGas Ltd (TSX-ALA, OTC-ATGFF) ... learn more. The next stock I will write about will be Atrium Mortgage Investment Corp (TSX-AI, OTC-AMIVF) ... learn more on Friday, April 10, 2026 around 5 pm. Tomorrow on my other blog I will write about Something to Buy April 2026 .... learn more on Thursday, April 9, 2026 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

AltaGas Ltd

Sound bite for Twitter is: Dividend Growth Utility. Results of stock price testing is that the stock price is relatively expensive. Debt Ratios are mostly fine, but Liquidity Ratio could improve. The Dividend Payout Ratios (DPR) are probably too high expect for Cash Flow. The current dividend yield is moderate with dividend growth moderate. See my spreadsheet on AltaGas Ltd .

Is it a good company at a reasonable price? I know that they cut their dividends in 2019. People who live off their dividends tend to be unforgiving of dividend cuts. I am not. I have kept or invested in stock that cut their dividends. It depends on how I feel about the company. Note that I have had companies that cut dividends before, but overall, my dividend income does go up each year. I am keeping my shares in this company. I would wonder about buy at the present time because the stock price is at an all time high and my testing is showing that the stock price is relatively expensive.

I own this stock of AltaGas Ltd (TSX-ALA, OTC-ATGFF). When I bought this stock in 2009 it was on many dividend growth stock lists. In 2009, I saw that this stock also had good growth in Revenues, Earnings, Dividends, and Stock Prices over the last 5 and 10 years. The stock had a fairly strong balance sheet. I took a small position in this stock, and planned to wait and see how things go with this stock before buying more. I bought more in 2010 and 2012.

When I was updating my spreadsheet, I noticed I have a total return of 10.73% with 5.05% from capital gains and 5.68% from dividends. I notice that this stock has not been on the Money Sense 100 Best Dividend Stocks since 2021. See the last list here.

If you had invested in this company in December 2015, for $1,068.34 you would have bought 26 shares at $82.18 per share. In December 2025, after 10 years you would have received $560.69 in dividends. The stock would be worth $1,814.15. Your total return would have been $2,374.84. This would be a total return of 9.47% per year with 5.44% from capital gain and 4.03% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$82.18	$1,068.34	17	10	$560.69	$1,814.15	$2,374.84

The current dividend yield is moderate with dividend growth moderate. The current dividend yield is moderate (2% to 4% ranges) at 2.72%. The 5 year and historical median dividend yields are moderate at 3.98% and 4.96%. The 10 year median dividend yield is good (5% to 6% ranges) at 5.21%. The dividends have increased ty 5.6% per year over the past 5 years. Note that this company cut their dividends some 56% in 2019. Dividends are still 39% below those of 2018.

The Dividend Payout Ratios (DPR) are probably too high expect for Cash Flow. The DPR for 2025 for Earnings per Share (EPS) is too high at 51% with 5 year coverage at 64%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is too high at 58% with 5 year coverage at 57%. I prefer this percentage to be below 50%. The DPR for 2025 for Cash Flow per Share (CFPS) is good at 18% with 5 year coverage at 12%. The DPR for 2025 for Free Cash Flow (FCF) non-calculable due to negative FCF values.

Item	Cur	5 Years
EPS	50.81%	64.12%
AEPS	56.76%	57.62%
CFPS	15.18%	12.23%
FCF	NC	NC

Debt Ratios are mostly fine, but Liquidity Ratio could improve. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.70 and currently at 0.61. The Liquidity Ratio for 2025 is too low at 0.82 and 0.82 currently. If you added in Cash Flow after dividends, the ratios are still too low at 1.05 and currently at 1.09. I prefer these to be at 1.50 or higher but at least they are over 1.00. The Debt Ratio for 2025 is good at 1.55 and 1.55 currently. The Leverage and Debt/Equity Ratios for 2025 are fine at 2.80 and 1.80 and currently at 2.80 and 1.80.

Type	Year End	Ratio Curr
Lg Term R	0.70	0.61
Intang/GW	0.43	0.37
Liquidity	0.82	0.82
Liq. + CF	1.05	1.09
Liq. + CF + D	1.06	1.10
Debt Ratio	1.55	1.55
Leverage	2.80	2.80
D/E Ratio	1.80	1.80

The Total Return per year is shown below for years of 5 to 26 to the end of 2025. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2020	5	5.59%	21.98%	17.46%	4.52%
2015	10	-3.86%	7.27%	3.08%	4.19%
2010	15	-1.86%	9.89%	4.48%	5.41%
2005	20	-1.88%	7.22%	2.04%	5.18%
2000	25	9.27%	21.96%	8.66%	13.30%
1999	26		18.00%	7.76%	10.24%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 13.97, 16.19, and 18.40. The corresponding 10 year ratios are 13.73, 15.90 and 18.06. The corresponding historical ratios are 13.31, 15.61 and 18.40. The current P/E Ratio is 20.64 based on a stock price of $49.16 and EPS estimate for 2026 of $2.38. The current ratio is above the high ratio for the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 11.93, 14.24 and 16.45. The corresponding 10 year ratios are 12.21, 14.55 and 17.15. The corresponding historical ratios are 12.49, 14.47 and 16.57. The current P/AEPS Ratio is 21.10 based on a stock price of $49.16 and AEPS estimate for 2026 of $2.33. The current ratio is above the high ratio for the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Adjusted Funds from Operations (AFFO) data. The 5-year low, median, and high median Price/ Adjusted Funds from Operations Ratios are 6.15, 7.34, and 8.53. The corresponding 10 year ratios are 5.99, 7.34 and 9.01. The corresponding historical ratios are 7.63, 8.85 and 10.40. The current P/AFFO Ratio is 11.93 based on a stock price of $49.16 and AFFO estimate for 2026 of $4.12. The current ratio is above the high ratio for the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Funds from Operations (FFO) data. The 5-year low, median, and high median Price/Funds from Operations Ratios are 5.36, 6.22 and 7.23. The corresponding 10 year ratios are 5.28, 6.61 and 8.07. The corresponding historical ratios are 6.76, 7.83 and 9.31. The current P/FFO Ratio is 11.12 based on a stock price of $49.16 and FFO for the last 12 months of $4.42. The current ratio is above the high ratio for the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $38.33. The 10-year low, median, and high median Price/Graham Price Ratios are 0.68, 0.84 and 0.97. The current ratio is 1.28 based on a stock price of $49.16. The current ratio is above the high ratio for the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Book Value per Share Ratio of 1.10. The current ratio is 1.75 based on a Book Value of $8,720M, Book Value per Share of $28.02 and a stock price of $49.16. The current ratio is 60% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I also have a Book Value per Share estimate of 28.94. This analyst calculates the Book Value differently than I do and, in this case, the 10 year ratio is 1.01. The current ratio is 1.70 based on a stock price of $49.16, Book Value of $9,005M and Book Value per Share of $28.94. The current ratio is 75% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Cash Flow per Share Ratio of 8.26. The current P/CF Ratio is 10.91 based on Cash Flow per Share estimate for 2026 of $4.51, Cash Flow of $1,402M and a stock price of $49.16. The current ratio is 32% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get an historical median dividend yield of 4.96%. The current dividend yield is 2.72% based on a stock price of $49.16 and dividends of $1.336. The current dividend yield is 45% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. Main problem is that dividends were cut in 2019 by 56%.

I get a 10 year median dividend yield of 5.21%. The current dividend yield is 2.72% based on a stock price of $49.16 and dividends of $1.336. The current dividend yield is 48% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. Main problem is that dividends were cut in 2019 by 56%.

The 10-year median Price/Sales (Revenue) Ratio is 0.84. The current P/S Ratio is 1.07 based on Revenue estimate for 2026 of $14,234M, Revenue per Share of $45.74 and a stock price of $49.16. the current ratio is 29% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is relatively expensive. All my tests come back with the same answer. That is that the stock price is relatively expensive.

When I look at analysts’ recommendations, I find Strong Buy (4), Buy (4), Hold (2) and Underperform (1). The consensus would be a Buy. The 12 month stock price consensus is $49.73 and a high of $53.00 and low of $42.00. The consensus stock price of $49.73 implies a Total Return of 3.88% with 1.16% from capital gains and 2.72% from dividends based on a current stock price of $49.16.

Most analysts on Stock Chase in 2025 liked this stock. There were a couple of Holds. For 2026 there is a Top Pick and a Do Not Buy. The Do Not Buy does not say why. Christopher Liew on Motley Fool thinks this is a stock to buy and hold long term. Robin Brown on Motley Fool thinks this is a good stock to buy and tuck away in your TFSA. The company put out a Press Release about their fourth quarter results for 2025.

Simply Wall Street via Yahoo Finance. I do not know where they get their information on Cash Flow in their sentence of “Based on the last dividend, AltaGas is earning enough to cover the payment, but then it makes up 10,428% of cash flows.” See my paragraph above on DPRs. Simply Wall Street has two warnings of debt is not well covered by operating cash flow; and dividend of 2.75% is not well covered by free cash flows. Simply Wall Street gives it 2 and on half stars out of 5.

AltaGas Ltd owns and operates a diversified basket of energy infrastructure businesses. Business is conducted through given segments: Midstream, Utilities, and Corporate/other. The business generates revenue from customers in both Canada and the United States, with the majority coming from Canadian customers. Its web site is here AltaGas Ltd .

The last stock I wrote about was about was TC Energy Corp (TSX-TRP, NYSE-TRP0) ... learn more. The next stock I will write about will be Hydro One Ltd (TSX-H, OTC-HRNNF) ... learn more on Wednesday, April 8, 2026 around 5 pm. Tomorrow on my other blog I will write about Dividend Stocks April 2026.... learn more on Tuesday, April 1, 2026 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

TC Energy Corp

Sound bite for Twitter is: Dividend Growth Utility. Results of stock price testing is that the stock price is probably expensive. I would rate it as a Hold. Debt Ratios could be improved and debt is high. The Dividend Payout Ratios (DPR) are mainly high. The current dividend yield is moderate with dividend growth low. See my spreadsheet on TC Energy Corp.

Is it a good company at a reasonable price? I must say that I do worry about the DPR and the large debt. However, I will continue to hold this stock. If you look at the chart for this stock you will see it is at an all-time high. I think that the stock price is currently relatively expensive.

I own this stock of TC Energy Corp (TSX-TRP, NYSE-TRP0). When I bought this stock, it was on Mike Higgs' Canadian Dividend Growth Stock list and the other dividend lists that I followed. I bought the stock in 2000 at an opportune time. The company had been cutting their dividend payments in order to re-organize and get the company into shape for long term profitability. This company’s stock fell hard because of this. People who depend on dividends for their income can be an unforgiving lot and can get really upset at company when a trusted company cuts its dividends.

When I was updating my spreadsheet, I noticed I have a total return of 10.81% per year for this stock with 5.66% from capital gains and 5.15% from dividends. This utility also has high DPRs and debt. I also note that Money Sense has not had this stock on their 100 Best Canadian Stock since 2023.

If you had invested in this company in December 2015, for $1,029.09 you would have bought 26 shares at $41.16 per share. In December 2025, after 10 years you would have received $684.18 in dividends. The stock would be worth $1,889.50. Your total return would have been $2,573.68. This would be a total return of 11.24% per year with 6.26% from capital gain and 4.97% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$41.16	$1,029.09	25	10	$684.18	$1,889.50	$2,573.68

The current dividend yield is moderate with dividend growth low. The current dividend yield is moderate (2% to 4% ranges) at 3.98%. The 5 year median dividend yield is good (5% to 6% ranges) at 5.35%. The 10 year and historical median dividend yields are moderate at 4.80% and 4.14%. The dividend increases are low (below 8% per year) at 4.4% per year over the past 5 years. The last dividend increase was in 2026 and it was for 3.24%. There was also another increase at the beginning of 2026 for 3.34%. So far this year, dividends are up around 6.5%.

The Dividend Payout Ratios (DPR) are mainly high. The DPR for 2025 for Earnings per Share (EPS) is too high at 97% with 5 year coverage at 138%. The DPR for 2025 for Funds from Operations (FFO) is good at 44% with 5 year coverage at 52%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is too high at 96% with 5 year coverage at 90%. The DPR for 2025 for Cash Flow per Share (CFPS) is high at 45% with 5 year coverage at 47%. The DPR for 2025 for Free Cash Flow (FCF 1) is too high at 137% with 5 year coverage at 380%. The DPR for 2025 for Free Cash Flow (FCF 2) is too high at 169% with 5 year coverage at 161%. Analysts do see the DPR for Earnings getting better in the future.

Item	Cur	5 Years
EPS	97.19%	138.49%
FFO	43.86%	52.04%
AEPS	96.08%	90.19%
CFPS	44.72%	46.53%
FCF 1	136.99%	380.04%
FCF 2	168.52%	160.82%

Debt Ratios could be improved and debt is high. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.58 and currently at 0.49. The Liquidity Ratio for 2025 is far too low at 0.63 and 0.63 currently. If you added in Cash Flow after Dividends, the ratios are still low at 1.02 and currently at 1.05. If you add back in the debt due this year and handled, the Ratio for 2025 is still low at 1.41 and 1.45 currently. I like to see Liquidity Ratios of 1.50 or higher. The Debt Ratio for 2025 is low at 1.45 and 1.45 currently. I like to see Debt Ratios of 1.50 or higher. The Leverage and Debt/Equity Ratios for 2025 are low at 3.22 and 2.22 and currently at 3.22 and 2.22. I like to see these ratios below 3.00 and 2.00.

Type	Year End	Ratio Curr
Lg Term R	0.58	0.49
Intang/GW	0.17	0.14
Liquidity	0.63	0.63
Liq. + CF	1.02	1.05
Liq. + CF + D	1.41	1.45
Debt Ratio	1.45	1.45
Leverage	3.22	3.22
D/E Ratio	2.22	2.22

The Total Return per year is shown below for years of 5 to 37 to the end of 2025. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2020	5	4.36%	15.49%	9.90%	5.59%
2015	10	6.79%	11.24%	6.26%	4.97%
2010	15	6.27%	9.81%	5.35%	4.47%
2005	20	6.03%	8.02%	4.17%	3.85%
2000	25	6.58%	11.90%	6.73%	5.17%
1995	30	4.60%	9.41%	5.08%	4.33%
1990	35	5.10%	8.71%	4.63%	4.08%
1988	37	4.86%	9.39%	4.98%	4.41%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 18.21, 20.27 and 22.49. The corresponding 10 year ratios are 17.85, 19.63 and 21.17. The corresponding historical ratios are 13.11, 14.94 and 17.30. The current ratio is 22.44 based on a stock price of $88.15 and EPS estimate for 2026 of $3.93. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 12.99, 15.30 and 18.32. The corresponding 10 year ratios are 13.14, 15.53 and 18.56. The corresponding historical ratios are 14.87, 17.32 and 19.25. The current ratio is 24.02 based on a stock price of $88.15 and AEPS estimate for 2026 of $3.67. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $44.35. The 10-year low, median, and high median Price/Graham Price Ratios are 0.97, 1.16 and 1.38. The current ratio is 1.99 based on a stock price of $88.15. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Book Value per Share Ratio of 1.92. The current ratio is 3.70 based on a Book Value of $24,796M, Book Value per Share of $23.82 and a stock price of $88.15. The current ratio is 92% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I also have a Book Value per Share estimate for 2026 of $24.78. This analyst calculates the Book Value differently that I do and, in this case, the 10 year median ratio is 1.70. The current ratio is 3.56 with a Book Value of $25,792M, Book Value per Share of $24.78 and a stock price of $88.15. The current ratio is 85% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Cash Flow per Share Ratio of 7.75. The current ratio is 11.80 based on Cash Flow per Share estimate for 2026 of $7.47, Cash Flow of $7,775M and a stock price of $88.15. This current ratio is 52% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get an historical median dividend yield of 4.14%. The current dividend yield is 3.98% based on dividends of $3.51 and a stock price of $88.15. The current ratio is 3.8% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10 year median dividend yield of 4.80%. The current dividend yield is 3.98% based on dividends of $3.51 and a stock price of $88.15. The current ratio is 17% below the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.

The 10-year median Price/Sales (Revenue) Ratio is 4.41. The current P/S Ratio is 5.66 based on Revenue estimate for 2026 of $16, 206M, Revenue per Share of $15.57 and a stock price of $88.15. The current ratio is 28% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is probably expensive. I would rate it as a Hold. The 10 year dividend yield test says that the stock price is relatively reasonable but above the median. At 17% below the 10-year median ratio it is getting near expensive. The P/S Ratio test says that the stock price is relatively expensive. Other testing puts the stock price as expensive except for the historical median dividend yield test.

When I look at analysts’ recommendations, I find Strong Buy (6), Buy (6), Hold (9), Underperform (2), and Sell (1). The consensus is a Buy. The 12 months stock price consensus is $87.65 with a high of $101.00 and low of $68.00. The 12 month consensus stock price of $87.65 implies a Total Return of $3.41% with a capital loss of 0.57% and dividends of 3.41% based on a current stock price of $88.15.

There are two entries on Stock Chase for 2026 and they both are Holds. Puja Tayal on Motley Fool says to find opportunity amid Trade Tensions. She also mentions this company has gone oil free. Sneha Nahata on Motley Fool say this company is a reliable Canadian energy stock that wins when oil spikes and holds up when prices weaken. The company put out a Press Release about its fourth quarter of 2025.

Simply Wall Street via Yahoo Finance reviews this stock and thinks it is overvalued. They have two warnings of interest payments are not well covered by earnings; and dividend of 4.06% is not well covered by earnings or free cash flows.

TC Energy operates natural gas transmission assets across North America. Segments are determined by country of operation, but both Canadian and US operations are interconnected. Mexican operations are disconnected from the US and only have one customer, the state utility CFE. They also operate power generation assets, with the largest being the Bruce Power nuclear plant. Its web site is here TC Energy Corp.

The last stock I wrote about was about was Enbridge Inc (TSX-ENB, NYSE-ENB) ... learn more. The next stock I will write about will be AltaGas Ltd (TSX-ALA, OTC-ATGFF) ... learn more on Monday, April 6, 2026 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Enbridge Inc

Sound bite for Twitter is: Dividend Growth Utility. Results of stock price testing is that the stock price is probably expensive. Debt Ratios need improving. The Dividend Payout Ratios (DPR) are probably too high, with only AFFO moderate. The current dividend yield is good with dividend growth low. See my spreadsheet on Enbridge Inc.

Is it a good company at a reasonable price? This is a Utility stock but classified as an Energy stock as it transports oil and gas. I do not like their high DPRs and think they need to do something about them and they have been getting lower and analysts expect that the DPR for EPS will be around 107.06 in 2028 and the DPR for AEPS to be around 109.92 in 2028. They have a high debt, but most utilities do. I personally plan to hold on to this stock. It is just off its most recent high and that fits with it being in the expensive range.

I own this stock of Enbridge Inc (TSX-ENB, NYSE-ENB). I first bought this stock in 2005 and then bought more in 2008 and 2009. This stock was on the Dividend Achievers, the Dividend Aristocrats list and also on Mike Higgs’ list of Canadian Dividend Growth stocks. Enbridge is considered to be a low risk stock. The Canadian list is now the Canadian Dividend Aristocrats and Enbridge is on the list. However, it has not been on the Money Sense 100 Best Dividend Stocks since 2023.

When I was updating my spreadsheet, I noticed I have had this stock for 20 years and I have made a total return of 12.91% per year with 7.58% from capital gains and 5.33% from dividends.

When updating my spreadsheet from the annual statement, I saw a couple of things I do not like. First was Revenue per Share is down over the past 10 years by 2.8%. Revenue per share for the past 5 years is up by 8.8%, so that is not bad. Revenue for the past 10 and 5 years is up by 6.6% and 10.4% respectively.

The other thing was the Liquidity Ratio which even after Cash Flow being included is still just 0.82. I would like this to be at 1.50 or higher. When this ratio is below 1.00, it means that Current Assets cannot cover Current Liability. The company does have a sizeable current portion of their long term debt due, but even taking that into consideration, the Liquidity Ratio is just 1.08. This company has never had a good Liquidity Ratio.

If you had invested in this company in December 2015, for $1,012.00 you would have bought 22 shares at $46.00 per share. In December 2025, after 10 years you would have received $685.72 in dividends. The stock would be worth $1,444.96. Your total return would have been $$2,130.68. This would be a total return of 9.27% per year with 3.63% from capital gain and 5.64% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$46.00	$1,012.00	22	10	$685.72	$1,444.96	$2,130.68

The current dividend yield is good with dividend growth low. The current dividend yield is good (5% to 6% ranges) at 5.16%. The 5 and 10 year median dividend yields are good at 6.86% and 6.29%. The historical median dividend yield is moderate (2% to 4% ranges) at 3.90%. The dividend growth is low (below 8% per year) at 3.1% per year over the past 5 years. The last dividend increase was in 2026 and it was for 3%. This company has a 30 year history of increasing dividends and that is why it is on the Canadian Dividend Aristocrats list.

The Dividend Payout Ratios (DPR) are probably too high, with only AFFO moderate. The DPR for 2025 for Earnings per Share (EPS) is too high at 117% with 5 year coverage at 141%. The DPR for 2025 for Adjusted Funds from Operations (AFFO) is good at 66% with 5 year coverage at 65%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is too high at 125% with 5 year coverage at 125%. The DPR for 2025 for Cash Flow per Share (CFPS) is too high at 70% with 5 year coverage at 73%. The DPR for 2025 for Free Cash Flow (FCF 1) is too high at 182% with 5 year coverage at 139%. The DPR for 2025 for Free Cash Flow (FCF 2) is too high at 207% with 5 year coverage at 121%. FCF varies from $3,297M to $4,510M.

Item	Cur	5 Years
EPS	116.72%	141.40%
AFFO	66.02%	65.46%
AEPS	124.83%	125.42%
CFPS	70.86%	73.82%
FCF 1	182.26%	139.91%
FCF 2	206.64%	120.99%

Debt Ratios need improving. The Long Term Debt/Market Cap Ratio for 2025 is fine at 0.69 and currently at 0.60. The Liquidity Ratio for 2025 is too low at 0.63 and 0.63 currently. If you added in Cash Flow after dividends, the ratios are still too low at 0.82 and currently at 0.89. If you add back the current debt that is being taken care of, the ratio just barely back it past 1.00 at 1.08 and currently at 1.17. I like a Liquidity Ratio of 1.50 or higher. Although I must admit this company has had lousy Liquidity Ratios throughout its history. The Debt Ratio for 2025 is low at 1.43 and 1.43 currently. I like to see this ratio at 1.50 or higher. The Leverage and Debt/Equity Ratios for 2025 are too high at 3.31 and 2.31 and currently at 3.31 and 2.31. I like to see these ratios below 3.00 and below 2.00.

Type	Year End	Ratio Curr
Lg Term R	0.69	0.60
Intang/GW	0.27	0.24
Liquidity	0.63	0.63
Liq. + CF	0.82	0.89
Liq. + CF+D	1.08	1.17
Debt Ratio	1.43	1.43
Leverage	3.31	3.31
D/E Ratio	2.31	2.31

The Total Return per year is shown below for years of 5 to 35 to the end of 2025. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2020	5	3.08%	17.33%	10.04%	7.29%
2015	10	7.32%	9.27%	3.63%	5.64%
2010	15	10.44%	11.24%	5.81%	5.42%
2005	20	10.43%	11.58%	6.64%	4.94%
2000	25	10.40%	12.20%	7.44%	4.76%
1995	30	9.41%	16.00%	9.79%	6.20%
1990	35	8.06%	11.15%	7.08%	4.07%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 18.10, 19.92 and 21.74. The corresponding 10 year ratios are 20.33, 24.40 and 27.48. The corresponding historical ratios are 18.10, 19.36 and 23.82. The current ratio is 24.53 based on a stock price of $75.26 and EPS estimate for 2026 of $3.07. The current ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 16.12, 19.07 and 21.19. The corresponding 10 year ratios are 16.06, 18.96 and d 21.97. The corresponding historical ratios are 16.89, 19.21 and 21.97. The current ratio is 25.09 based on a stock price of $75.26 and AEPS estimate for 2026 of $3.00. The current ratio is above high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Adjusted Funds from Operations (AFFO) data. The 5-year low, median, and high median Price/ Adjusted Funds from Operations Ratios are 8.42, 9.64 and 10.99. The corresponding 10 year ratios are 8.80, 10.19 and 11.81. The corresponding historical ratios are 10.12, 11.27 and 13.15. The current ratio is 12.80 based on a stock price of $75.26 and AFFO estimate for 2026 of $5.88. The current ratio is above high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $41.32. The 10-year low, median, and high median Price/Graham Price Ratios are 1.08, 1.26 and 1.48. The current ratio is 1.82 based on a stock price of $75.26. The current ratio is above high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Book Value per Share Ratio of 1.88. The current ratio is 2.98 based on a Book Value of $55,184M, Book Value per Share of $25.29 and a stock price of $75.26. The current ratio is 59% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I also have Book Value per Share estimate for 2026 of $24.99. This analyst calculates the ratio differently than I do and, in this case, the 10 year median ratio is 1.71. The current ratio is 3.01 based on a Book Value of $54,528M, Book Value per Share of $24.99 and a stock price of $75.26. This ratio is 76% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Cash Flow per Share Ratio of 9.63. The current ratio is 11.79 based on Cash Flow per Share estimate for 2026 of $6.39, Cash Flow of $13,952M and a stock price of $24.99. The current ratio is 22% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get an historical median dividend yield of 3.90%. The current dividend yield is 5.16% based on dividends of $3.88 and a stock price of $75.26. The current dividend yield is 32% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median dividend yield of 6.29%. The current dividend yield is 5.16% based on dividends of $3.88 and a stock price of $75.26. The current dividend yield is 18% below the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.

The 10-year median Price/Sales (Revenue) Ratio is 2.10. The current P/S Ratio is 2.67 based on Revenue estimate for 2026 of $61,518M, Revenue per Share of $28.19 and a stock price of $75.26. The current ratio is 27% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is probably expensive. The 10 year median dividend yield test says it is reasonable but above the median. The P/S Ratio test says the stock price is expensive. The 10 year median dividend yield is near expensive. Other tests are saying from reasonable but above the median to expensive. I give it a Hold.

When I look at analysts’ recommendations, I find Strong Buy (5), Buy (3), Hold (11), Underperform (1) and Sell (1). The consensus would be a Buy. The 12 month stock price is $75.76 with a high of $85.00 and low of $66.00. The consensus stock price of $75.76 implies a total return of 5.82% with 0.66% from capital gains and 5.16% from dividends based on a current stock price of $75.26.

All but one analyst on Stock Chase in 2026 says buy. The Do Not Buy says that it overdistributes and he prefer TC Energy for growth. Andrew Walker on Motley says if you are a buy and hold you should be comfortable in buying this stock now even though it is at an all-time high. Jitendra Parashar on Motley Fool says if the market crashes in March, he is buying this stock. The company put at a Press Release about its fourth quarter of 2025.

Simply Wall Street via Yahoo Finance reviews this stock and says that the Fair Value is $73.81. Simply Wall Street has two warnings of interest payments are not well covered by earnings; and dividend of 5.13% is not well covered by earnings or free cash flows.

Enbridge owns extensive midstream assets that transport hydrocarbons across the US and Canada. The company also operates regulated natural gas utilities in the US and Canada, including Canada's largest natural gas distribution company. The firm has a small renewable energy portfolio primarily focused on onshore and offshore wind projects. Its web site is here Enbridge Inc.

The last stock I wrote about was about was H & R Real Estate Trust (TSX-HR.UN, OTC-HRUFF) ... learn more. The next stock I will write about will be TC Energy Corp (TSX-TRP, NYSE-TRP0) ... learn more on Friday, April 3, 2026 around 5 pm. Tomorrow on my other blog I will write about Capital Compounders Newsletter.... learn more on Thursday, April 2, 2026 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

H & R Real Estate Trust

Sound bite for Twitter is: Dividend Paying REIT. Results of stock price testing is that the stock price is could be reasonable. Debt Ratios are fine, but Liquidity could improve. The Dividend Payout Ratios (DPR) are currently fine. The current dividend yield is good with dividend growth flat. See my spreadsheet on H & R Real Estate Trust.

Is it a good company at a reasonable price? The REIT has not really done that well over the years for shareholders. Analysts expect Revenue, AFFO, and FFO to decline by a lot (i.e. 20% – 30%) in 2026. However, they do expect that the share price rises a lot. Simply Wall Street thought it was undervalued and that fits with stock price given by analysts. I think that the reason to buy REITs is the good dividend income. My testing is showing it is reasonable, but I do wonder about making much money with this REIT in the future.

I do not own this stock of H & R Real Estate Trust (TSX-HR.UN, OTC-HRUFF). Before I started blogging, I was following a number of REITs and this is one I had followed. It also used to be on a dividend list I followed.

When I was updating my spreadsheet, I noticed a lot of red on my spreadsheet. A lot is going down including Revenue, FFO, AFFO, EPS, Cash Flow, Book Value, Net Income over the past 5 and 10 years. The item going up is Stock Price. Total Return is up by 8% and 2.6% over the past 5 and 10 years.

If you had invested in this company in December 2015, for $1,002.50 you would have bought 50 shares at $20.05 per share. In December 2025, after 10 years you would have received $690.27 in dividends. The stock would be worth $511.50. Your total return would have been $1,204.77. This would be a total return of 2.59% per year with 6.51% from capital loss and 9.10% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$20.05	$1,002.50	50	10	$690.27	$511.50	$1,201.77

The current dividend yield is good with dividend growth flat. The dividend yield is good (5% to 6% ranges) at 6.09%. The 5, 10 and historical dividend yields are good at 5.48%, 6.07% and 6.21%. Dividends were cut in 2020, 2021 and 2022 and then in 2023 there was a 9.2% dividend increase. Dividends are still 57% below dividends of 2019. Dividends have been flat over the past few years and analysts expect the same in the future. Dividends are down by 4% per year over the past 5 years.

The Dividend Payout Ratios (DPR) are currently fine. The DPR for 2025 for Earnings per Share (EPS) is awful but not important for a REIT. The DPR for 2025 for Adjusted Funds from Operations (AFFO) is good at 60% with 5 year coverage too high at 141%. The DPR for 2025 for Funds from Operations (FFO) is good at 50% with 5 year coverage too high at 115%. The DPR for 2025 for Cash Flow per Share (CFPS) is good at 39% with 5 year coverage too high at 83%. The DPR for 2025 for Free Cash Flow (FCF) is too high at 90% with 5 year coverage at 71%. FCF for 2025 varies from $29M to $238M and I am using $210M

Item	Cur	5 Years
EPS	-21.22%	399.28%
AFFO	60.30%	140.74%
FFO	49.50%	115.06%
CFPS	38.75%	82.66%
FCF	89.97%	71.47%

Debt Ratios are fine, but Liquidity could improve. The Long Term Debt/Market Cap Ratio for 2025 is high at 1.29 and currently at 1.34. However, we need also to look at the Long Term Debt/Covering Assets Ratio for 2025 which is good at 0.49 and currently at 0.49 because this is a more important ratio for a REIT. The Liquidity Ratio for 2025 is low at 1.00 and 1.00 currently. If you added in Cash Flow after dividends, the ratios are still low at 1.16 and currently at 1.16. The Debt Ratio for 2025 is good at 1.83 and 1.83 currently. The Leverage and Debt/Equity Ratios for 2025 are fine at 2.20 and 1.20 and currently at 2.20 and 1.20.

Type	Year End	Ratio Curr
Lg Term R	1.29	1.34
Lg Term R, A	0.49	0.49
Intang/GW	0.00	0.00
Liquidity	1.00	1.00
Liq. + CF	1.16	1.16
Debt Ratio	1.83	1.83
Leverage	2.20	2.20
D/E Ratio	1.20	1.20

The Total Return per year is shown below for years of 5 to 29 to the end of 2025. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2020	5	-4.00%	7.98%	-5.10%	9.63%
2015	10	-5.71%	2.59%	-6.51%	9.37%
2010	15	-0.32%	4.59%	-4.19%	10.10%
2005	20	-2.73%	4.41%	-3.52%	8.77%
2000	25	-1.55%	10.21%	-0.62%	12.13%
1996	29	0.35%	11.36%	0.08%	11.59%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 3.54, 4.24 and 4.94. The corresponding 10 year ratios are 9.09, 9.97 and 10.85. The corresponding historical ratios are 12.16, 12.95 and 17.50. The lower 5 and 10 year ratios are due to earning losses. The current P/E Ratio is 10.84 based on a stock price $9.86 and EPS estimate for 2026 of $0.91. This ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median. However, a P/E Ratio of 10.84 is a rather low P/E Ratio.

I also have Adjusted Funds from Operations (AFFO) data. The 5-year low, median, and high median Price/Adjusted Funds from Operations Ratios are 9.18, 10.86, and 12.55. The corresponding 10 year ratios are 10.17, 12.01 and 14.88. The corresponding historical ratios are 12.63, 13.99 and 15.50. The current P/AFFO Ratio is 13.89 based on a stock price $9.86 and AFFO estimate for 2026 of $0.71. This ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median. I noticed that TD, where I got the AFFO data from expected a 29% drop in AFFO for 2026.

I also have Funds from Operations (FFO) data. The 5-year low, median, and high median Price/Funds from Operations Ratios are 7.53, 8.92 and 10.31. The corresponding 10 year ratios are 8.32, 9.82 and 12.26. The corresponding historical ratios are 9.43, 10.85 and 12.33. The current P/FFO Ratio is 11.88 based on a stock price $9.86 and FFO estimate for 2026 of $0.83. This ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median. I noticed that TD, where I got the FFO data from expected a 31% drop in FFO for 2026.

I get a Graham Price of $17.09 Using FFO in the formula because of earnings losses. The 10-year low, median, and high median Price/Graham Price Ratios are 0.47, 0.56 and 0.68. The current ratio is 0.58 based a stock price of $9.86. This ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10-year median Price/Book Value per Share Ratio of 0.75. The current ratio is 0.63 based on Book Value of $4,135.7M, Book Value per Share of $15.63 and a stock price of $9.86. The current ratio is 16% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10-year median Price/Cash Flow per Share Ratio of 12.64. The current ratio is 13.84 based on Cash Flow for the last 12 months of $188.4M, Cash Flow per Share of $0.71 and a stock price of $9.86. The current ratio is 10% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get an historical median dividend yield of 6.21%. The current dividend yield is 6.09% based on dividends of $0.60 and a stock price of $9.86. The current dividend yield is 2% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10 year median dividend yield of 6.07%. The current dividend yield is 6.09% based on dividends of $0.60 and a stock price of $9.86. The current dividend yield is .2% above the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and below the median.

The 10-year median Price/Sales (Revenue) Ratio is 3.45. The current ratio is 3.49 based on Revenue estimate for 2026 of $748.2M, Revenue per Share of $2.83 and a stock price of $9.86. The current ratio is 1% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median. I noticed that estimate for 2026 is some 24% below revenue for 2025.

Results of stock price testing is that the stock price is could be reasonable. The 10 year median dividend yield test says this. For the P/S Ratio test the difference in ratios from 10 year median to current is just 1%. Most of the testing however is saying that the stock price is reasonable but above the median. Analysts seem to believe that Revenue, AFFO, and FFO will drop this year.

When I look at analysts’ recommendations, I find Strong Buy (3), Buy (2) and Hold (2). The consensus is a Buy. The 12 month stock price consensus is $11.79 with a high of $13.00 and a low of $10.50. The consensus stock price of $11.79 implies a total return of $25.66 with 19.57% from capital gains and $6.09% from dividends. This makes no sense considering Revenue, AFFO and FFO is expected to decline.

Analysts in 2025 on Stock Chase gives this stock a Hold. One thinks it will be bought out. Jitendra Parashar on Motley Fool thought this REIT was appealing because of its dividend. Christopher Liew on Motley Fool thought you should buy for its monthly dividend. The company put out a press release via Newswire about their fourth quarter results for 2025.

Simply Wall Street via Yahoo Finance reviews this stock. They think it is undervalued and that the fair value is $13.86. Simply Wall Street has two warnings of interest payments are not well covered by earnings; and dividend of 7.67% is not well covered by free cash flows.

H&R Real Estate Investment Trust is a real estate investment trust principally involved in the ownership of properties in Canada and the U.S. The REIT has four reportable operating segments- Residential, Industrial, Office and Retail, in two geographical locations -Canada and the United States. Its web site is here H & R Real Estate Trust.

The last stock I wrote about was about was Emera Inc (TSX-EMA, OTC-EMRA) ... learn more. The next stock I will write about will be Enbridge Inc (TSX-ENB, NYSE-ENB) ... learn more on Wednesday, April 1, 2026 around 5 pm. Tomorrow on my other blog I will write about Dividend Monster Portfolio.... learn more on Tuesday, March 31, 2026 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Emera Inc

Sound bite for Twitter is: Dividend Growth Utility. Results of stock price testing is that the stock price is probably on the expensive side. Debt Ratios need improving and debt is too high. The Dividend Payout Ratios (DPR) are too high. The current dividend yield is moderate with dividend growth low. See my spreadsheet on Emera Inc .

Is it a good company at a reasonable price? I still like utility stocks even though the debt can be high and the DPRs high. I plan to keep this stock. I would agree with the analysts that rate it as a Hold. I think that the stock price is probably on the expensive side.

I own this stock of Emera Inc (TSX-EMA, OTC-EMRA). I found this company in Mike Higg’s site. Mike’s site has a spreadsheet showing Dividend Paying Canadian Growth stocks. I first bought this stock in 2005, as I wanted to buy something for my Locked in RRSP. I think that this was an appropriate stock and has good value. I was using up excess cash in my account. I also made additional purchases in 2005, 2011, 2022 and 2023.

When I was updating my spreadsheet, I noticed I have had this stock for just over 20 years and I have made several purchases with a Total Return of 11.77% with 6.66% from capital gains and 5.11% from dividends.

I also noticed that this stock has done so much better than TransAlta over the years. This is especially true where dividends come in. For Dividends, Emera has been a good steady dividend growth stock. TransAlta dividends have been up and down and flat a lot. The exception is the last 10 years where stock price for TransAlta shot up. What I do not like about utilities is the high debt and high DPRs which is what this company has. TransAlta does have been DPRs but dividend is low.

If you had invested in this company in December 2015, for $1,037.52 you would have bought 24 shares at $43.23 per share. In December 2025, after 10 years you would have received $602.04 in dividends. The stock would be worth $1,623.36. Your total return would have been $2,225.40. This would be a total return of 9.29% per year with 4.58% from capital gain and 4.72% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$43.23	$1,037.52	24	10	$602.04	$1,623.36	$2,225.40

The current dividend yield is moderate with dividend growth low. The current dividend yield is moderate (2% to 4% ranges) at 4.10%. The 5, 10 and historical median dividend yields are also moderate at 4.82%, 4.81% and 4.80%. The dividends increases are low (below 8% per year) at 3.3% per year over the past 5 years. The last dividend increase was in 2025 and it was for 1.03%.

The Dividend Payout Ratios (DPR) are too high. The DPR for 2025 for Earnings per Share (EPS) is too high at 86% with 5 year coverage at 97%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is too high at 83% with 5 year coverage at 90%. The DPR for 2025 for Adjusted Funds from Operations (AFFO) is fine at 73% with 5 year coverage too high at 84%. The DPR for 2025 for Dividends paid in cash is better but still too high at 57% with 5 year coverage at 70%. I prefer the ratio to be in the 40% ranges.

The DPR for 2025 for Cash Flow per Share (CFPS) is good at 34% with 5 year coverage at 41%. The DPR for 2025 for Free Cash Flow (FCF 1) is non-calculable due to a negative FCF with 5 year coverage non-calculable due to a negative FCF. The DPR for 2025 for Free Cash Flow (FCF 2) is good at 49% with 5 year coverage a bit high at 55%. FCF for 2025 varies from a negative $1,730M to $1,186M. That is a wide range.

Item	Cur	5 Years
EPS	86.02%	97.43%
AEPS	83.25%	89.76%
AFFO	73.42%	84.04%
Div Pd Cash	56.80%	70.48%
CFPS	34.29%	41.29%
FCF 1	0.00%	-43.49%
FCF 2	48.57%	54.63%

Debt Ratios need improving and debt is too high. The Long Term Debt/Market Cap Ratio for 2025 is fine at 0.90 and currently at 0.87. The Liquidity Ratio for 2025 is far too low at 0.66 and 0.66 currently. If you added in Cash Flow after dividends, the ratios are still far too low at 0.80 and currently at 0.91. Even if you add back in the current portion of the long term debt which is being dealt with the ratio is still below 1.00 and far too low at 0.98 and currently at 0.99. The Debt Ratio for 2025 is fine at 1.43 and 1.43 currently. I prefer this to be 1.50 or higher. The Leverage and Debt/Equity Ratios for 2025 are too high at 3.75 and 2.63 and currently at 3.75 and 2.63. Utility tend to have high debt loads.

Type	Year End	Ratio Curr
Lg Term R	0.90	0.87
Intang/GW	0.27	0.26
Liquidity	0.66	0.66
Liq. + CF	0.80	0.91
Liq. + CF + D	0.98	0.99
Debt Ratio	1.43	1.43
Leverage	3.75	3.75
D/E Ratio	2.63	2.63

The Total Return per year is shown below for years of 5 to 33 to the end of 2025. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2020	5	3.27%	9.24%	4.57%	4.68%
2015	10	5.75%	9.29%	4.58%	4.72%
2010	15	6.30%	9.85%	5.26%	4.59%
2005	20	6.10%	10.65%	6.01%	4.64%
2000	25	5.09%	9.92%	5.51%	4.41%
1995	30	4.48%	10.73%	5.79%	4.94%
1992	33	4.33%	10.94%	5.73%	5.20%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 16.26, 17.86 and 20.46. The corresponding 10 year ratios are 15.91, 18.11 and 20.82. The corresponding historical ratios are 13.76, 15.68 and 17.30. The current P/E Ratio is 20.07 based on EPS estimate for 2026 of $3.56 and a stock price of $71.40. The current P/E Ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 15.15, 17.45 and 19.93. The corresponding 10 year ratios are 16.23, 18.24 and 20.08. The corresponding historical ratios are 15.06, 16.98 and 19.00. The current P/E Ratio is 20.52 based on AEPS estimate for 2026 of $3.48 and a stock price of $71.40. The current P/E Ratio is above the high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Adjusted Funds from Operations (AFFO) data. The 5-year low, median, and high median Price/Adjusted Funds from Operations Ratios are 13.46, 15.24 and 17.47. The corresponding 10 year ratios are 14.92, 15.41 and 16.26. The corresponding historical ratios are 13.46, 15.00 and 16.33. The current P/E Ratio is 16.88 based on AFFO estimate for 2026 of $4.23 and a stock price of $71.40. The current P/E Ratio is above the high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $55.71. The 10-year low, median, and high median Price/Graham Price Ratios are 0.98, 1.08 and 1.21. The current ratio is 1.28 based on a stock price of $71.40. This ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive. This is a good test and one of my favourites.

I get a 10-year median Price/Book Value per Share Ratio of 1.55. The current ratio is 1.80 based on a Book Value of $11,960, Book Value per Share of $39.63 and a stock price of $71.40. The current ratio is 16% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I also have a Book Value per Share estimate for 2026 of $40.01. This analyst calculates the Book Value different from me and here the 10 year median is 1.39. The current ratio is 1.78 based on a Book Value of $12,073M, Book Value per Share of $40.01 and a stock price $71.40. The current ratio is 29% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Cash Flow per Share Ratio of 8.24. The current ratio is 8.49 based on Cash Flow per Share estimate for 2026 of $8.41, Cash Flow of $2,538M, and a stock price of $71.40. The current ratio is 3% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get an historical median dividend yield of 4.80%. The current dividend yield is 4.10% based on dividends of $2.93 and a stock price of $71.40. The current dividend yield is below the historical median dividend yield by 15%. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10 year median dividend yield of 4.81%. The current dividend yield is 4.10% based on dividends of $2.93 and a stock price of $71.40. The current dividend yield is below the historical median dividend yield by 15%. This stock price testing suggests that the stock price is relatively reasonable but above the median.

The 10-year median Price/Sales (Revenue) Ratio is 2.04. The current P/S Ratio is 2.56 based on Revenue estimate for 2026 of $8,419M, Revenue per Share of $27.90 and a stock price of $71.40. The current ratio is 25% above the 10 year median ratio. I get an historical median dividend yield of 4.80%. The current dividend yield is 4.10% based on dividends of $2.93 and a stock price of $71.40. The current dividend yield is below the historical median dividend yield by 15%. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is probably on the expensive side. The dividend yield tests say it is reasonable but above the median. However, this is not confirmed by the P/S Ratio test which says that the stock price is expensive. All the testing is saying that the stock price is reasonable but above the median or expensive.

When I look at analysts’ recommendations, I find Strong Buy (2), Buy (3), Hold (8), Underperform (1), and Sell (1). The consensus would be a Hold. The 12 months stock price consensus is $70.75. The consensus stock price of $70.75 implies a total return 3.19% with a 0.91% capital loss and dividends of 4.10% based on a current stock price of $71.40.

The only entry on Stock Chase for 2026 is a Top Pick. For 2025 there were Buys and Holds. One said Sell because he liked a US utility better. Amy Legate-Wolfe on Motley Fool likes this stock for its dependability. Sneha Nahata on Motley Fool likes this stock for its safe and high yield. The company put out Press Release about their fourth quarter of 2025 results.

Simply Wall Street via Yahoo Finance reviews this stock. They say that the Fair Value moved from $69.00 to $69.82. They have two warnings out of interest payments are not well covered by earnings; and dividend of 4.1% is not well covered by free cash flows.

Emera is a geographically diverse energy and services company investing in electricity generation, transmission, and distribution as well as gas transmission and utility energy services. Emera has operations throughout North America and the Caribbean countries. Its web site is here Emera Inc .

The last stock I wrote about was about was TransAlta Corp (TSX-TA, NSYE-TAC) ... learn more. The next stock I will write about will be H & R Real Estate Trust (TSX-HR.UN, OTC-HRUFF) ... learn more on Monday, March 30, 2026 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.