TELUS (TSX:T) Unveils C$2 Billion Investment In Ontario And Quebec Broadband Expansion

TELUS (TSX:T) recently announced a significant $2 billion investment to enhance broadband services in Ontario and Quebec, facilitated by the CRTC's approval of the wholesale fibre-to-the-premise framework. This major initiative aligns with TELUS' long-standing investment strategy, which includes over $70 billion targeting connectivity and economic growth. During the last quarter, TELUS shares rose 7%, a movement that might have been supported by their business expansion announcements. While markets overall have shown mixed signals, with key indexes like the S&P 500 and Nasdaq hitting record highs, TELUS' specific business ventures could have buoyed its share performance.

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The recent announcement by TELUS to invest CA$2 billion in broadband services in Ontario and Quebec is likely to support its ongoing growth narrative. This engagement is expected to bolster customer growth and service diversification, propelling future revenue increments and potential enhancements in profitability. Over the past five years, TELUS' total shareholder return, including dividends, was 28.55%. This performance offers a broader context to the short-term 7% share price rise in the last quarter, reflecting the company's resilience amid competitive pressures.

While TELUS has outperformed the Canadian Telecom industry over the past year, its returns were below the broader Canadian market. The recent expansion initiatives might address some of the existing competitive challenges, possibly elevating revenue and earnings forecasts. Analysts currently have a price target of CA$23.34 for TELUS, which is modestly above the current share price of CA$22.50, indicating expectations of further growth driven by these new investments.

Explore TELUS' analyst forecasts in our growth report.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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