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T

TELUSTSX:T Stock Report

Last Price

CA$29.60

Market Cap

CA$40.3b

7D

-0.6%

1Y

12.1%

Updated

20 Jan, 2022

Data

Company Financials +
T fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance1/6
Financial Health3/6
Dividends3/6

T Stock Overview

TELUS Corporation, together with its subsidiaries, provides a range of telecommunications and information technology products and services in Canada.

TELUS Competitors

Cisco Systems

NasdaqGS:CSCO

US$245.0b

Comcast

NasdaqGS:CMCS.A

US$229.5b

Oracle

NYSE:ORCL

US$220.9b

Accenture

NYSE:ACN

US$216.6b

Price History & Performance

Summary of all time highs, changes and price drops for TELUS
Historical stock prices
Current Share PriceCA$29.60
52 Week HighCA$30.06
52 Week LowCA$24.93
Beta0.54
1 Month Change-0.37%
3 Month Change6.21%
1 Year Change12.08%
3 Year Change27.97%
5 Year Change34.06%
Change since IPO173.76%

Recent News & Updates

Dec 22
TELUS (TSE:T) Will Be Hoping To Turn Its Returns On Capital Around

TELUS (TSE:T) Will Be Hoping To Turn Its Returns On Capital Around

There are a few key trends to look for if we want to identify the next multi-bagger. Ideally, a business will show two...

Dec 07
TELUS (TSE:T) Has Announced That It Will Be Increasing Its Dividend To CA$0.33

TELUS (TSE:T) Has Announced That It Will Be Increasing Its Dividend To CA$0.33

TELUS Corporation ( TSE:T ) will increase its dividend on the 4th of January to CA$0.33. The announced payment will...

Shareholder Returns

TCA TelecomCA Market
7D-0.6%0.5%-0.6%
1Y12.1%-3.6%17.7%

Return vs Industry: T exceeded the Canadian Telecom industry which returned -3.6% over the past year.

Return vs Market: T underperformed the Canadian Market which returned 17.7% over the past year.

Price Volatility

Is T's price volatile compared to industry and market?
T volatility
T Average Weekly Movement1.4%
Telecom Industry Average Movement6.1%
Market Average Movement9.8%
10% most volatile stocks in CA Market17.6%
10% least volatile stocks in CA Market3.7%

Stable Share Price: T is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: T's weekly volatility (1%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
199378,100Darren Entwistlehttps://www.telus.com

TELUS Corporation, together with its subsidiaries, provides a range of telecommunications and information technology products and services in Canada. It operates through Wireless and Wireline segments. The Wireless segment offers a range of telecommunications products and services.

TELUS Fundamentals Summary

How do TELUS's earnings and revenue compare to its market cap?
T fundamental statistics
Market CapCA$40.28b
Earnings (TTM)CA$1.27b
Revenue (TTM)CA$16.42b

31.7x

P/E Ratio

2.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
T income statement (TTM)
RevenueCA$16.42b
Cost of RevenueCA$10.51b
Gross ProfitCA$5.91b
ExpensesCA$4.64b
EarningsCA$1.27b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.93
Gross Margin36.00%
Net Profit Margin7.74%
Debt/Equity Ratio118.2%

How did T perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

131%

Payout Ratio

Valuation

Is TELUS undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: T (CA$29.6) is trading below our estimate of fair value (CA$80.95)

Significantly Below Fair Value: T is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: T is poor value based on its PE Ratio (31.7x) compared to the North American Telecom industry average (15.3x).

PE vs Market: T is poor value based on its PE Ratio (31.7x) compared to the Canadian market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: T is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: T's PB Ratio (2.7x) is in line with the CA Telecom industry average.


Future Growth

How is TELUS forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

16.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: T's forecast earnings growth (16% per year) is above the savings rate (1.6%).

Earnings vs Market: T's earnings (16% per year) are forecast to grow faster than the Canadian market (10.8% per year).

High Growth Earnings: T's earnings are forecast to grow, but not significantly.

Revenue vs Market: T's revenue (6% per year) is forecast to grow faster than the Canadian market (5.7% per year).

High Growth Revenue: T's revenue (6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: T's Return on Equity is forecast to be low in 3 years time (13.5%).


Past Performance

How has TELUS performed over the past 5 years?

-0.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: T has high quality earnings.

Growing Profit Margin: T's current net profit margins (7.7%) are lower than last year (8.7%).


Past Earnings Growth Analysis

Earnings Trend: T's earnings have declined by 0.3% per year over the past 5 years.

Accelerating Growth: T's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: T had negative earnings growth (-3.3%) over the past year, making it difficult to compare to the Telecom industry average (22.2%).


Return on Equity

High ROE: T's Return on Equity (8.2%) is considered low.


Financial Health

How is TELUS's financial position?


Financial Position Analysis

Short Term Liabilities: T's short term assets (CA$5.9B) do not cover its short term liabilities (CA$7.4B).

Long Term Liabilities: T's short term assets (CA$5.9B) do not cover its long term liabilities (CA$24.2B).


Debt to Equity History and Analysis

Debt Level: T's net debt to equity ratio (106.5%) is considered high.

Reducing Debt: T's debt to equity ratio has reduced from 151.5% to 118.2% over the past 5 years.

Debt Coverage: T's debt is well covered by operating cash flow (24.1%).

Interest Coverage: T's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet


Dividend

What is TELUS current dividend yield, its reliability and sustainability?

4.42%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: T's dividend (4.42%) is higher than the bottom 25% of dividend payers in the Canadian market (1.58%).

High Dividend: T's dividend (4.42%) is low compared to the top 25% of dividend payers in the Canadian market (4.59%).


Stability and Growth of Payments

Stable Dividend: T's dividends per share have been stable in the past 10 years.

Growing Dividend: T's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (130.9%), T's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: T's dividends in 3 years are not forecast to be well covered by earnings (97.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.0yrs

Average management tenure


CEO

Darren Entwistle (57 yo)

22yrs

Tenure

CA$16,036,973

Compensation

Mr. Darren Entwistle, B.A., M.B.A., LLD, has been the Chief Executive Officer and President of TELUS Corporation since August 2015. Mr. Entwistle serves as the Chief Executive Officer and President at Telu...


CEO Compensation Analysis

Compensation vs Market: Darren's total compensation ($USD12.86M) is above average for companies of similar size in the Canadian market ($USD5.92M).

Compensation vs Earnings: Darren's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: T's management team is seasoned and experienced (6 years average tenure).


Board Members

Experienced Board: T's board of directors are considered experienced (7.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: T insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.4%.


Top Shareholders

Company Information

TELUS Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: TELUS Corporation
  • Ticker: T
  • Exchange: TSX
  • Founded: 1993
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Implied Market Cap: CA$40.279b
  • Shares outstanding: 1.36b
  • Website: https://www.telus.com

Number of Employees


Location

  • TELUS Corporation
  • 510 West Georgia Street
  • 7th Floor
  • Vancouver
  • British Columbia
  • V6B 0M3
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/20 23:57
End of Day Share Price2022/01/20 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.