(TU) Telus - Ratings and Ratios
Mobile, Internet, TV, Health, Cloud
TU EPS (Earnings per Share)
TU Revenue
Description: TU Telus
TELUS Corporation is a Canadian telecommunications company that offers a range of services, including wireless and wireline communications, internet, television, and data services. The companys Technology Solutions segment provides a broad portfolio of products and services, including network services, healthcare services, and cloud-based solutions, while its Digitally-Led Customer Experiences segment focuses on delivering digital transformation solutions, including artificial intelligence and content management.
From a financial perspective, TELUS has demonstrated steady growth, driven by its diversified service offerings and investments in emerging technologies. Key performance indicators (KPIs) such as revenue growth, EBITDA margin, and customer acquisition costs are crucial in evaluating the companys operational efficiency. Notably, TELUS has been focusing on expanding its 5G network, with a current coverage of over 98% of the Canadian population, and has also been investing in its healthcare and technology businesses to drive future growth.
In terms of valuation, TELUS trades at a premium to its peers, with a forward P/E ratio of 18.55, reflecting its strong growth prospects and stable cash flows. The companys dividend yield is also attractive, with a payout ratio that is sustainable given its cash flow generation capabilities. Return on Equity (RoE) of 7.56% indicates that TELUS is generating returns that are slightly above the industry average, suggesting a relatively efficient use of shareholder capital.
To further evaluate TELUSs investment potential, it is essential to analyze its financial leverage, with a debt-to-equity ratio that is in line with industry norms. The companys ability to maintain a stable capital structure while investing in growth initiatives will be critical in driving long-term shareholder value. Additionally, metrics such as customer churn rate, average revenue per user (ARPU), and capital expenditures as a percentage of revenue will provide valuable insights into TELUSs operational performance and growth prospects.
TU Stock Overview
| Market Cap in USD | 25,077m |
| Sub-Industry | Integrated Telecommunication Services |
| IPO / Inception | 1996-06-11 |
TU Stock Ratings
| Growth Rating | 13.7% |
| Fundamental | 51.0% |
| Dividend Rating | 87.4% |
| Return 12m vs S&P 500 | -5.42% |
| Analyst Rating | 3.56 of 5 |
TU Dividends
| Dividend Yield 12m | 9.24% |
| Yield on Cost 5y | 10.42% |
| Annual Growth 5y | 4.85% |
| Payout Consistency | 96.9% |
| Payout Ratio | 1.6% |
TU Growth Ratios
| Growth Correlation 3m | 41.4% |
| Growth Correlation 12m | 44.9% |
| Growth Correlation 5y | -42.3% |
| CAGR 5y | 3.39% |
| CAGR/Max DD 5y | 0.08 |
| Sharpe Ratio 12m | 0.57 |
| Alpha | 6.09 |
| Beta | -0.006 |
| Volatility | 15.35% |
| Current Volume | 2678.6k |
| Average Volume 20d | 2678.6k |
| Stop Loss | 15.9 (-3.6%) |
| Signal | 1.04 |
Piotroski VR‑10 (Strict, 0-10) 3.0
| Net Income (966.0m TTM) > 0 and > 6% of Revenue (6% = 1.23b TTM) |
| FCFTA 0.04 (>2.0%) and ΔFCFTA 1.86pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -7.66% (prev -16.41%; Δ 8.75pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.08 (>3.0%) and CFO 4.75b > Net Income 966.0m (YES >=105%, WARN >=100%) |
| Net Debt (29.43b) to EBITDA (6.37b) ratio: 4.62 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.86 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (1.52b) change vs 12m ago 2.02% (target <= -2.0% for YES) |
| Gross Margin 62.25% (prev 38.85%; Δ 23.40pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 34.63% (prev 34.74%; Δ -0.11pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 1.66 (EBITDA TTM 6.37b / Interest Expense TTM 1.44b) >= 6 (WARN >= 3) |
Altman Z'' 0.47
| (A) -0.03 = (Total Current Assets 9.32b - Total Current Liabilities 10.89b) / Total Assets 60.63b |
| (B) 0.01 = Retained Earnings (Balance) 630.0m / Total Assets 60.63b |
| (C) 0.04 = EBIT TTM 2.40b / Avg Total Assets 58.97b |
| (D) 0.32 = Book Value of Equity 14.08b / Total Liabilities 44.53b |
| Total Rating: 0.47 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 51.01
| 1. Piotroski 3.0pt = -2.0 |
| 2. FCF Yield 3.46% = 1.73 |
| 3. FCF Margin 10.83% = 2.71 |
| 4. Debt/Equity 2.18 = 0.51 |
| 5. Debt/Ebitda 5.20 = -2.50 |
| 6. ROIC - WACC 0.50% = 0.63 |
| 7. RoE 6.21% = 0.52 |
| 8. Rev. Trend 54.11% = 2.71 |
| 9. Rev. CAGR 2.99% = 0.37 |
| 10. EPS Trend -46.34% = -1.16 |
| 11. EPS CAGR -79.61% = -2.50 |
What is the price of TU shares?
Over the past week, the price has changed by -0.66%, over one month by +1.48%, over three months by +3.79% and over the past year by +10.62%.
Is Telus a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of TU is around 16.85 USD . This means that TU is currently overvalued and has a potential downside of 2.18%.
Is TU a buy, sell or hold?
- Strong Buy: 3
- Buy: 5
- Hold: 9
- Sell: 1
- Strong Sell: 0
What are the forecasts/targets for the TU price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 17 | 2.8% |
| Analysts Target Price | 17 | 2.8% |
| ValueRay Target Price | 17.9 | 8.8% |
Last update: 2025-08-30 04:59
TU Fundamental Data Overview
CCE Cash And Equivalents = 3.68b CAD (last quarter)
P/E Trailing = 34.9787
P/E Forward = 22.2222
P/S = 1.2279
P/B = 2.2929
P/EG = 0.5684
Beta = 0.89
Revenue TTM = 20.42b CAD
EBIT TTM = 2.40b CAD
EBITDA TTM = 6.37b CAD
Long Term Debt = 27.73b CAD (from longTermDebt, last quarter)
Short Term Debt = 5.39b CAD (from shortTermDebt, last quarter)
Debt = 33.12b CAD (Calculated: Short Term 5.39b + Long Term 27.73b)
Net Debt = 29.43b CAD (from netDebt column, last quarter)
Enterprise Value = 63.99b CAD (34.56b + Debt 33.12b - CCE 3.68b)
Interest Coverage Ratio = 1.66 (Ebit TTM 2.40b / Interest Expense TTM 1.44b)
FCF Yield = 3.46% (FCF TTM 2.21b / Enterprise Value 63.99b)
FCF Margin = 10.83% (FCF TTM 2.21b / Revenue TTM 20.42b)
Net Margin = 4.73% (Net Income TTM 966.0m / Revenue TTM 20.42b)
Gross Margin = 62.25% ((Revenue TTM 20.42b - Cost of Revenue TTM 7.71b) / Revenue TTM)
Tobins Q-Ratio = 4.55 (Enterprise Value 63.99b / Book Value Of Equity 14.08b)
Interest Expense / Debt = 1.12% (Interest Expense 371.0m / Debt 33.12b)
Taxrate = 23.62% (from yearly Income Tax Expense: 290.0m / 1.23b)
NOPAT = 1.83b (EBIT 2.40b * (1 - 23.62%))
Current Ratio = 0.86 (Total Current Assets 9.32b / Total Current Liabilities 10.89b)
Debt / Equity = 2.18 (Debt 33.12b / last Quarter total Stockholder Equity 15.22b)
Debt / EBITDA = 5.20 (Net Debt 29.43b / EBITDA 6.37b)
Debt / FCF = 14.98 (Debt 33.12b / FCF TTM 2.21b)
Total Stockholder Equity = 15.55b (last 4 quarters mean)
RoA = 1.59% (Net Income 966.0m, Total Assets 60.63b )
RoE = 6.21% (Net Income TTM 966.0m / Total Stockholder Equity 15.55b)
RoCE = 5.54% (Ebit 2.40b / (Equity 15.55b + L.T.Debt 27.73b))
RoIC = 3.98% (NOPAT 1.83b / Invested Capital 46.02b)
WACC = 3.48% (E(34.56b)/V(67.67b) * Re(5.99%)) + (D(33.12b)/V(67.67b) * Rd(1.12%) * (1-Tc(0.24)))
Shares Correlation 5-Years: 100.0 | Cagr: 2.64%
Discount Rate = 5.99% (= CAPM, Blume Beta Adj.) -> floored to rf + ERP 8.05%
[DCF Debug] Terminal Value 77.14% ; FCFE base≈1.74b ; Y1≈1.61b ; Y5≈1.47b
Fair Price DCF = 17.33 (DCF Value 26.42b / Shares Outstanding 1.52b; 5y FCF grow -9.14% → 3.0% )
Revenue Correlation: 54.11 | Revenue CAGR: 2.99%
Rev Growth-of-Growth: -0.70
EPS Correlation: -46.34 | EPS CAGR: -79.61%
EPS Growth-of-Growth: 7.45
Additional Sources for TU Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle