(TU) Telus - NYSE
Sector: Communication Services | Industry: Telecom Services | Exchange: NYSE (USA) | Market Cap: 18.549m USD | Total Return: -21.3% in 12m
Avg Turnover: 70.6M
EPS Trend: -54.1%
Qual. Beats: 0
Rev. Trend: 94.5%
Qual. Beats: 0
Warnings
Altman Z'' 0.22 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
Confidence
TELUS Corporation is a Vancouver-based telecommunications provider operating primarily in Canada through three distinct segments: Technology Solutions, Health, and Digital Experience. The company maintains a traditional integrated telecommunications infrastructure, offering mobile and fixed voice, data, and television services to consumer and business clients.
Beyond core connectivity, the business model leverages vertical integration by applying data analytics and software solutions to specialized sectors such as agriculture, consumer goods, and healthcare administration. As an Integrated Telecommunication Services provider, the company faces high capital expenditure requirements to maintain fiber-optic and 5G network infrastructure, which typically serves as a barrier to entry for new competitors.
The company also provides digitally enabled customer experience management and generative AI solutions to support international enterprise clients. Investors can evaluate these diversified revenue streams and long-term growth trends further on ValueRay. TELUS continues to expand its portfolio through managed IT, cloud-based security, and digital transformation services.
- Wireless subscriber growth and ARPU expansion drive core telecommunications revenue
- TELUS International performance impacts consolidated margins and digital services valuation
- High interest rates increase debt servicing costs for capital-intensive network infrastructure
- Federal regulatory intervention on Canadian roaming and wholesale pricing pressures margins
- TELUS Health expansion into global employee benefits scales high-margin recurring revenue streams
| Net Income: 928.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA 0.19 > 1.0 |
| NWC/Revenue: -17.36% < 20% (prev -18.55%; Δ 1.19% < -1%) |
| CFO/TA 0.07 > 3% & CFO 4.42b > Net Income 928.0m |
| Net Debt (29.8b) to EBITDA (7.43b): 4.02 < 3 |
| Current Ratio: 0.67 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.56b) vs 12m ago 3.03% < -2% |
| Gross Margin: 53.60% > 18% (prev 62.17%; Δ -8.57% > 0.5%) |
| Asset Turnover: 35.01% > 50% (prev 34.99%; Δ 0.01% > 0%) |
| Interest Coverage Ratio: 1.25 > 6 (EBIT TTM 2.19b / Interest Expense TTM 1.75b) |
| A: -0.06 (Total Current Assets 7.19b - Total Current Liabilities 10.7b) / Total Assets 59.0b |
| B: -0.01 (Retained Earnings -407.0m / Total Assets 59.0b) |
| C: 0.04 (EBIT TTM 2.19b / Avg Total Assets 58.5b) |
| D: 0.37 (Book Value of Equity 15.6b / Total Liabilities 42.6b) |
| Altman-Z'' = 0.22 = B |
| DSRI: 1.05 (Receivables 4.45b/4.19b, Revenue 20.5b/20.3b) |
| GMI: 1.16 (GM 62.17% / 53.60%) |
| AQI: 0.99 (AQ_t 0.58 / AQ_t-1 0.59) |
| SGI: 1.01 (Revenue 20.5b / 20.3b) |
| TATA: -0.06 (NI 928.0m - CFO 4.42b) / TA 59.0b) |
| Beneish M = -2.84 (Cap -4..+1) = A |
As of June 20, 2026, the stock is trading at USD 11.54 with a total of 10,139,900 shares traded.
Over the past week, the price has changed by -2.94%,
over one month by -3.83%,
over three months by -10.99% and
over the past year by -21.28%.
Telus has received a consensus analysts rating of 3.56. Therefore, it is recommended to hold TU.
- StrongBuy: 3
- Buy: 5
- Hold: 9
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 17.3 | 50.2% |
Market Cap CAD = 26.2b (18.5b USD * 1.4138 USD.CAD)
P/E Trailing = 27.6279
P/E Forward = 17.8253
P/S = 0.913
P/B = 1.6627
P/EG = 0.9001
Revenue TTM = 20.5b CAD
EBIT TTM = 2.19b CAD
EBITDA TTM = 7.43b CAD
Long Term Debt = 26.0b CAD (from longTermDebt, last quarter)
Short Term Debt = 5.02b CAD (from shortTermDebt, last quarter)
Debt = 31.1b CAD (from shortLongTermDebtTotal, last quarter)
Net Debt = 29.8b CAD (calculated: Debt 31.1b - CCE 1.31b)
Enterprise Value = 56.1b CAD (26.2b + Debt 31.1b - CCE 1.31b)
Interest Coverage Ratio = 1.25 (Ebit TTM 2.19b / Interest Expense TTM 1.75b)
EV/FCF = 27.82x (Enterprise Value 56.1b / FCF TTM 2.01b)
FCF Yield = 3.59% (FCF TTM 2.01b / Enterprise Value 56.1b)
FCF Margin = 9.84% (FCF TTM 2.01b / Revenue TTM 20.5b)
Net Margin = 4.53% (Net Income TTM 928.0m / Revenue TTM 20.5b)
Gross Margin = 53.60% ((Revenue TTM 20.5b - Cost of Revenue TTM 9.50b) / Revenue TTM)
Gross Margin QoQ = 62.80% (prev 28.66%)
Tobins Q-Ratio = 0.95 (Enterprise Value 56.1b / Total Assets 59.0b)
Interest Expense / Debt = 5.61% (Interest Expense 1.75b / Debt 31.1b)
Taxrate = 37.56% (373.0m / 993.0m)
NOPAT = 1.37b (EBIT 2.19b * (1 - 37.56%))
Current Ratio = 0.67 (Total Current Assets 7.19b / Total Current Liabilities 10.7b)
Debt / Equity = 2.00 (Debt 31.1b / totalStockholderEquity, last quarter 15.6b)
Debt / EBITDA = 4.02 (Net Debt 29.8b / EBITDA 7.43b)
Debt / FCF = 14.80 (Net Debt 29.8b / FCF TTM 2.01b)
Total Stockholder Equity = 14.5b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.59% (Net Income 928.0m / Total Assets 59.0b)
RoE = 6.40% (Net Income TTM 928.0m / Total Stockholder Equity 14.5b)
RoCE = 5.40% (EBIT 2.19b / Capital Employed (Equity 14.5b + L.T.Debt 26.0b))
RoIC = 2.61% (NOPAT 1.37b / Invested Capital 52.3b)
WACC = 4.72% (E(26.2b)/V(57.4b) * Re(6.17%) + D(31.1b)/V(57.4b) * Rd(5.61%) * (1-Tc(0.38)))
Discount Rate = 6.17% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 90.80 | Cagr: 2.80%
[DCF] Terminal Value 76.41% ; FCFF base≈1.96b ; Y1≈2.09b ; Y5≈2.51b
[DCF] Fair Price = 5.59 (EV 38.6b - Net Debt 29.8b = Equity 8.73b / Shares 1.56b; r=8.35% [WACC [floored]]; 5y FCF grow 7.80% → 2.50% )
EPS Correlation: -54.12 | EPS CAGR: -5.02% | SUE: -0.81 | # QB: 0
Revenue Correlation: 94.45 | Revenue CAGR: 1.61% | SUE: -0.10 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.15 | Chg30d=+3.27% | Revisions=+33% | Analysts=11
EPS next Quarter (2026-09-30): EPS=0.18 | Chg30d=+6.58% | Revisions=+54% | Analysts=10
EPS current Year (2026-12-31): EPS=0.68 | Chg30d=+1.79% | Revisions=+20% | GrowthEPS=+0.1% | GrowthRev=+1.4%
EPS next Year (2027-12-31): EPS=0.73 | Chg30d=+0.26% | Revisions=-22% | GrowthEPS=+7.1% | GrowthRev=+2.3%
[Analyst] Revisions Ratio: +54%