BCE Inc. (BCE.TO)

With Verizon (VZ-N) talking about coming into Canada, which telco would be the safest bet, Bell Canada (BCE-T) Telus (T-T) or Rogers (RCI.B-T)? Interestingly enough, Sprint in the US just announced that they are offering “guaranteed for life” unlimited data so there is a bit of competition in the US. BCE is probably the safest with Rogers having the most exposure. It is difficult to say what is going to happen with Verizon. The chart on this one shows the stock has dropped back but he wouldn’t be too concerned about that. There is a level of support at around the $40-$41 range.

She doesn’t own anything in the telecom space. They have all pulled back on the potential threat of Verizon entering into the Canadian market. If that does happen, she expects there will be a lot of instability in the market. If you own and have profits, she would take some profits at this time. Nothing wrong with the company. Dividend is definitely safe.

Took a big hit over the last couple of weeks because of Verizon looking at Wynd and Mobilicity. Feels that a good part of this is reflected in the price. This will pressure the wireless business for all 3 Cdn telcos. The least impact will be on Bell (BCE-T), so if you are really concerned about that and happy with the 5% dividend, consider buying a half position now and by your other half when you know Verizon has come.

(Top Pick Jun 27/12, Up 7.97%) Dividend growth, steady cash flow, a great core holding with 5% yield. Astral deal fits.

Bell Canada (BCE-T) or AT&T? It all depends on what kind of account you are using. If it is a cash account, he would rather buy BCE and get benefit from the dividend tax credit and not worry about the currency. Likes Canadian telcos. You’re not going to make a fortune.

Telecoms dropped like a rock in the last week of the correction. Prefers this to Rogers.

The pullback in this stock was very aggressive. He had a feeling that the Astral deal was going to go through. Also, the issue with Verizon was well overdone. Yield of 5.56%.

Similar to ’07 when it was at low levels and was a terrific buying opportunity. BCE-T and T-T are the top performing telecom stocks in the world. BCE is in a sweet spot as they catch up to Rogers. Have great media properties. Sees them growing the dividend (5.7%) every year going forward. Fears about Verizon coming into Canada are overblown if they are even true. This one would be least affected if a big player did come in. Thinks the Astra deal will be approved tomorrow.

Believes that the problems on telecoms are based on concerns of competition. Also, there was an issue with so many people into the big dividend yielders that there has been a lot of profit-taking. Feels this one is still pretty safe. Pays a nice dividend.

His favourite telco in Canada. Likes its diversification into the broadcasting business. Thinks the selloff in the interest sensitives are probably overdone in the short term.

A good business. Has pulled back. The whole sector pulled back because of rising interest rates. Wait for a larger pullback to get it.

It has broken support levels and is in a downward trend. It is below its 20 day moving average and underperforming the TSE, so you don’t want to be there right now. Right now, it is not attractive. Seasonal strength is in the summer (Jul-Oct) but he is not seeing signs for BCE yet.

(A Top Pick June 8/12. Up 14.4%.) Still likes it and still expects dividend increases.

The whole interest-rate sensitive area is coming off pretty fast and hard but this one was so close to his risk management level that he felt it was a really good time to add more.

(A Top Pick Jan 3/13. Up 9.14%.) Solid, Canadian infrastructure company. Feels good about the dividend policy going forward. Recently seeing some signs of consolidation and cooperation in the telecom industry. Still likes.