
TSE:T
This summary was created by AI, based on 83 opinions in the last 12 months.
Telus Corp has seen a turbulent time recently, largely driven by concerns over its dividend sustainability amidst high debt levels and a challenging telecom environment marked by price competition and regulatory hurdles. A significant dividend cut has been anticipated, leading many experts to fear that the current yield, which hovers around 7-11%, may not be sustainable in the long term. Analysts are divided, with some viewing the incoming CEO as a potential catalyst for positive changes, while others remain skeptical about the company's future growth prospects. Overall, investors are advised to either hold on for now or accumulate shares gradually as they watch for improvements in cash flow and debt management. The long-term outlook may be promising if Telus can successfully monetize non-core assets and stabilize its financial position.
He likes the telcos and prefers BCE. Telcos pay big yields, are stable yields and enjoy an oligopoly in Canada. Shaw is selling to Rogers (pending approval). Quebecor wants spectrum outside Quebec. And all companies are investing heavily in 5G. Once this is complete, the telcos will be golden. He loves this space. Telus is good, but lacks the media assets of BCE, which is a disadvantage.
Benefits whether Shaw deal goes through or not. Either Rogers has wasted a year spinning its wheels, or there will be fewer operators and Shaw was a stiff competitor. Great place to be. Issued debt, so they are cashed up, but this put pressure on the stock. Nice entry point, with still room to move. Yield is 4.68%. (Analysts’ price target is $29.44)