
TSE:BCE
He advocated selling calls a few months ago. It has now come down to a level where it is more compelling. If wire line pricing does not improve, the market will be concerned it about funding its dividend. They are slightly cheaper than their peers. They have a good dividend and they are decent value. Buy a put at $54.
Is their investment into fibre optics and home security going to impact them going forward? He thinks this company is going to $43. Interest rate increases will cause investors looking for yield to leave. The price is too high for current valuations. This is an interest rate sensitive stock and a stampede for the door could begin as GIC rates go higher. Yield 5%.
He normally doesn't pick telcos as top picks, but this one offers increasing cash flow for the next few years. It's the dominant player in this space and will do well. One headwind could be upcoming CRTC spectrum hearings which could present a buying opportunity for new buyers. 5.4% yield. (Analyst's price target is $60.71.)
It has hit a new 52 week low. It is a hedge to financials in your portfolio with the dividend. He wouldn’t be too anxious to sell it yet.