TC Energy (TRP) has been upgraded by CIBC from Neutral to Sector Outperform, a move driven by improved project execution and a reduced risk profile. The firm raised its price target from C\$71 to C\$76, signaling growing confidence in the company’s strategic direction and operational performance.
📌 A standout reason for the upgrade is the progress of the Southeast Gateway Pipeline (SGP) project in Mexico. The pipeline, now nearing completion and tracking under budget, is expected to be a significant earnings contributor. This development has bolstered the company’s growth narrative and highlighted management’s effective cost control and execution capabilities.
📌 Over the past year, TC Energy’s stock has gained nearly 60%, reflecting investor optimism and strong market momentum. Trading near its 52-week high, the stock appears to be benefiting from a combination of favorable project milestones and broader energy infrastructure tailwinds.
📌 On the income side, TC Energy continues to deliver for dividend-focused investors. The company has a 25-year streak of dividend increases, currently paying a quarterly dividend of \$0.85 per share. This represents an annualized yield of 4.76%, offering an attractive stream of income backed by stable, regulated assets.
📌 CIBC’s upgrade not only reflects confidence in TC Energy’s current trajectory but also reinforces its status as a core holding for investors seeking a blend of income and infrastructure-led growth.