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TSE:T

Telus Corp (T.TO)

13.42
-0.15 (1.07%)
as of Aug 26, 2026, 6:06:57 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.

consensus icon
Consensus
cautious
valuation icon
Valuation
fair value
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Similar
BCE, BCE
BUY
Subscriber numbers on their wireless where extremely strong. Solid growth. Good value at these levels.
HOLD
Once the dust clears on where the next generation of wireless is going, this will be one of the prominent players. He prefers Rogers (RCI.B-T) in this space.
HOLD
Had execution issues such as wireless growth and cost of new customers. Biggest problem is their CDMA wireless technology as opposed to global GSM. Will have to build an overlay network requiring a large outlay. When an announcement is made, stock will probably drop and that would be the time to Buy.
DON'T BUY
A lot of people will be looking at this one because they have lost BCE and they want something in the telco sector. Could be looking at 6 months of more negative news than positive. Talking of changing from a CDMA network to a GSM and there will be a lot of different viewpoints on what this will cost. There is also the threat of a new wireless entrant coming in.
HOLD
(Market Call Minute.)
TOP PICK
5.95% bond maturing Apr 15/15. 200 basis points above Canada’s and are investment grade. Issued after all the kafuffle about the Bell debentures so there were a couple of corporate issues with 2 provisos. If there’s a change of control and/or the investment falls below investment grade the company must buy these back at 101.
DON'T BUY
Wire line and wireless companies are having a difficult time right now across North America. Expect this will continue in the short run.
PAST TOP PICK
(A Top Pick July 16/07. Down 31%.) Not a bad looking company, but ROE is falling. Sold his holdings.
BUY
Outlook for 4-5 years is not stellar, but not bad either. Has been beaten down because of the Spectrum auction for wireless. Doesn't see competition happening soon or eroding margins very fast. Likes the dividend yield.
PAST TOP PICK
(A Top Pick May 9/07. Down 19%.) Sold his holdings last summer before the big drop. Was concerned that they would have to to upgrade to the GSM.
COMMENT
Increase in stock relies on many factors including wireless business, where the Source license will go and also what happens to Bell Canada (BCE-T). If the BCE deal goes through, what will the new management have on the telecom landscape.
BUY
(Market Call Minute.) 3.9% yield. Getting some traction in its wireless.
BUY
On the assumption that the Bell Canada (BCE-T) deal does get done, there will be a lot of money that has been designated for the Telecom area and will have to be redeployed. Feels the competitive landscape will be changing too. Good long-term holding.
PAST TOP PICK
(A Top Pick Nov 24/06. Down 15%.) Was potentially going to convert to an income trust but, more importantly, there were private equity shops circling the company and potentially privatize it. With the credit crunch, this was put on the shelf. At these levels, he would prefer to own BCE (BCE-T).
COMMENT
People do not believe the valuation on the Telcos and that is one reason why the stock is low. There are also new entrants coming in on the cellular side.
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