Canadian pipeline giant Enbridge (TSX:ENB)(NYSE:ENB) has been a bit of an underwhelming stock to own this year, as it's up just over 2% thus far in 2026, which pales in comparison to how the broader markets have performed.
Currently trading at around $67 on the TSX, Enbridge stock is about 8% off its 52-week low of $62.42. It could be an appealing time to buy the stock, especially given that it's also yielding 5.8%, which is far above average. Enbridge also has a terrific track record of growing its dividend for 31 consecutive years, making it a compelling option to buy and hold.
Beyond just a generous payout, Enbridge also offers plenty of long-term stability. The company operates a massive, resilient network of pipelines that transports a significant portion of the crude oil and natural gas consumed across North America. This strong dominance in the oil and gas sector effectively gives Enbridge a wide economic moat. Its business model relies heavily on long-term, regulated contracts, ensuring consistent, predictable cash flow regardless of short-term fluctuations in commodity prices or broader economic downturns. Thus, it can be a safe-haven investment to hang on to right now.
When you combine its defensive characteristics, its essential role in North American energy infrastructure, and its lucrative dividend yield, Enbridge serves as a cornerstone investment and can be a pillar to build a portfolio around. Buying the stock at its reduced valuation gives investors a fantastic opportunity to secure a dependable stream of income while holding a stable asset for the long haul.
