In today's "Ask a Fool", a reader writes in to complain about Enbridge,'s (NYSE:ENB) astronomical price-to-earnings ratio! Can the price of this stock really be justified?
Enbridge, a Canadian energy delivery company, has been growing at 17% for the last five years, but its EPS has been shrinking. So what explains its incredible price multiple? Investors may be looking for value beyond the company's earnings -- and they might be right to do so.
Tune in to hear the Motley Fool's energy sector analysts explain what to look for in an energy stock's P/E, and tell us whether you agree or not in the comments below.
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Joel South has no position in any stocks mentioned. Taylor Muckerman has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.