Analysts at TD Newcrest downgrade Enbridge Inc (NYSE: ENB) from “buy” to “hold,” while raising their estimates for the company. The target price for ENB has been raised from C$47 to C$49.

Enbridge has announced a 15% hike in its annual dividend to $1.70 per share, ahead of expectations. ENB has projected an EPS CAGR of 10% through the middle of the forthcoming decade, as it has commercially secured a large number of assets. The company expects its dividend growth going forward to be inline with its EPS growth. The downgrade in rating is based on valuation, TD Newcrest says.

TD Newcrest has raised its EPS estimates for 2010 and 2011 from C$2.54 to C$2.60 and from C$2.66 to C$2.75, respectively, to reflect lower corporate expenses, higher Aux Sable earnings, and an increased contribution from Enbridge Energy Partners.

It was only a few months ago that many experts declared dividend investing dead, after almost all financial companies in the US cut or eliminated their distributions to shareholders. In recent months there has been a slow but steady trend of many companies showing their confidence in the economic rebound by raising distributions. Over the past week several dividend payers announced that their boards of directors have approved increases in cash dividends they send out to their stockholders quarterly. Especially bullish was the fact that most of the companies were established dividend payers with long histories of consistent dividend increases.

The companies which raised distributions are listed below:

You can’t spend earnings! At first glance, this seems like an odd statement, possibly even incorrect. However, it is not only correct, but an important axiom for all types of investors. Through fraud and manipulation financial statements can be made to look quite impressive, but the cash that arrives in your brokerage account is real.