
TSE:T
This summary was created by AI, based on 81 opinions in the last 12 months.
Experts have mixed opinions on Telus Corp (T-T), with many expressing concerns about its high dividend yield, which they believe may not be sustainable in the long term. There are worries about the company's significant debt and the saturation in the telecom market, which limits growth potential. The recent appointment of a new CEO has generated hopes for management changes and potential optimization of the balance sheet, including possible dividend cuts, which could improve financial flexibility. Despite these concerns, Telus is often viewed as a solid long-term hold for income-focused investors, with analysts noting its defensive characteristics in a challenging economic climate. Some consider its current valuation appealing, suggesting that it may present an opportunity for investors looking to accumulate shares at a lower price point.
Stable company. Rose last year on hype surrounding investments in agriculture and healthcare, but he likes those investments. Telus is using its tech know-how to expand opportunities in other business-use cases. Core business looks good. Further ahead than BCE on fibre build, capex starting to come down, free cashflow starting to rise. Dividend growth at 7-8% annually is best in sector. At these levels, buy at full weight. Yield is 4.89%.
(Analysts’ price target is $32.53)
Amongst the telecom players, BCE has its 6% dividend, RCI.B has a 3% dividend but perhaps a more robust growth rate and more diversified income stream. Telus is in the middle with a 4% yield. Doesn't know if it has the growth trajectory to give you superior returns. Sure, it'll be fine, but the other two are better bets.