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TSE:T

Telus Corp (T.TO)

13.48
-0.08 (0.59%)
as of Aug 26, 2026, 1:50:54 pm Market Open.
1394 watching
0
Investor Insights
star iconAug 25, 2026, 12:00 am

This summary was created by AI, based on 84 opinions in the last 12 months.

Telus Corp (T-T) faces significant scrutiny from analysts following a recent 55% cut in its dividend, which, while easing immediate concerns, leads to questions about long-term sustainability. Experts highlight the company’s challenges, particularly its high payout ratio and the competition in the Canadian telecom industry. While some view Telus as a stable income provider, the lack of organic growth and potential for further dividend cuts weigh heavily on sentiment. The transition to a new CEO raises hopes for restructuring and asset sales, but many analysts suggest caution due to the broader economic pressures affecting the telecom sector. Overall, while Telus holds value for income-focused investors, concerns about revenue stagnation and high debt persist, leading to a complex outlook for the company.

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Consensus
cautious
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Valuation
fair value
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Similar
BCE, BCE
BUY
He thinks the telecoms are defensive and they have held up well as a whole. The valuations are not as rich as the utilities (around 16 times earnings). He would own T here. He favours the Canadian telcos as they have a higher dividend in general.
BUY

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.

WATCH
He likes it a lot. It has a nice yield and its fair market value is 60% higher than the current stock price. The dividend is quite secure and they have a nice balance sheet. The business they are in may not be perfectly stable but it is pretty stable and he thinks the company will come through. $20 is the worse he can see for it.
COMMENT
BCE vs T? Both are great companies and will benefit for the thirst for more data after the crisis. Both are beneficiaries of 5G. T has their Health business and international activity and thinks it is the better buy right now.
TOP PICK
The variance in their earnings, even if the COVID crisis continues, is only 4-6% he feels. They are pretty COVID proof and he likes the dividend. He likes their International and Health products they are developing. Yield 5.1% (Analysts’ price target is $25.96)
BUY

T-T, BCE-T, RCI.B-T, SJR.B-T. Telecom is the sector he is the most bullish on. It's his biggest position. It is the sector that is the most resilient. Online traffic has increased dramatically. T-T would not be the top of his telecom list. He would prefer SJR.B-T, BCE-T, and RCI.B-T because of their media businesses.

TOP PICK
The work from home trend will allow them to get through this successfully. During the last financial crisis they managed to continue to grow and he expects that to happen again. They issued shares back in February, which allowed them to raise cash and likely maintain the dividend. A qqulity company you can hold for the long term. Yield 5.38% (Analysts’ price target is $26.69)
HOLD
Significant equity offering. Will have lots of 5G spending in next 3-4 years. Dividend is safe. Will continue to increase dividend, though dividend growth is slowing as with all telecoms. Yield is 4.5%.
HOLD

Telecoms? Rogers is an interesting name. He owns BCE instead. A push for lower cell phone rates along with greater investment in 5G networks are key headwinds in this sector. Telcoms will face a lot spending to build up 5G, which will impact the financials for the next few years. He likes the dividend they pay, however. If your time horizon is long, then holding is fine.

BUY
Had a large uptick in the first half of 2019, then fell, then jumped up again in October 2019, but since then has done nothing. May to September is seasonality. Chart shows the same, consistent pattern in past years. Hold off on telcos until seasonality. Pays a 4.6% dividend.
STRONG BUY

He likes it on a longer term basis because of their diversification. They have been quietly investing in these businesses and not getting a lot of credit. Their spending on fiber to the home is much more advanced than BCE-T's is. They don't own a content business.

HOLD
Like the other Canadian telcos, the stock has bounced back as the outlook on interest rates changed. Telus is fine here and he expects a high single digit return, including the dividend.
COMMENT
Support at $49. Telcos are a bond proxy, and Telus is the best. Be cautious with this, because interest rates may rise in 2020.
WAIT
All the telcoms in Canada have been excellent places to be as of late. Lower interest rates helped them this year. As interest rates start to go back up, the share prices in this space are vulnerable to weakness. He is not prepared to guess where rates are going. He would wait to buy.
HOLD
Stay with it. Everything looks good. Capital expenditures look lower. Yield combined with growth looks good.
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