BCE Inc. (BCE.TO)

BCE and Telus Owning either is fine. It's splitting hairs to choose one over the other. Tech stocks are the big focus of investors now. The current 5% dividend yield + 5% dividend growth rate = your likely return. Be patient with them, because these stocks won't leap in a given day. Positives: both are staples, with cell phones indispensible in our lives as people work more from home and are using more data, which adds to their revenue. Also note, they are low-beta stocks, so, they don't rise or fall as much as the wider market, but are safe. They're part of a regulated oligopoly. He'd give a slight edge to Telus because of Telus Health which will become more a part of our lives as we go forward.

She prefers to own a Canadian telco for dividends, especially as this does not qualify for the Canadian dividend tax credit. She owns BCE instead.

They are using Huawei to a great extent. Are they a good investment? There is now better appreciation for their stability during the pandemic. BCE-T is the steady blue chip of the sector while T-T is more of a grower. There is also a lot of insider buying of T-T over the years. He would prefer T-T. He would not be too concerned with use of Huawei. We are now moving away from globalization. There won't be enough impact to dissuade someone from investing in either of them.

Increase dividend? The telcos are in a good spot. Work from home, the thirst for data, and the need to connect will do well for them. Their latest earnings said their pension is fully funded. They are a 5G play as well. He does not know if they will increase the dividend, when the payout ratio is already 85%. At this price level, he would prefer Telus, but you could buy here.

Dividends safe? Regulated businesses stand a better chance to keep dividends whole. BCE and ENB are both regulated entities. Canadian banks have had a history of not cutting dividends, but you never know. It will depend on how long COVID lasts -- if we are still locked down next year, he would be a seller.

telus vs bell He owns and likes both equally. Telus has less competition out west, so they enjoy a duopoly with Shaw. Telus has grown its subscriber base well. They will spin off their international division, maybe next year, and they made an acquisition in Germany. A great capital allocator. Bell has the media side, which distinguishes it from Telus. You can buy either now.