(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 | 24,019m |
| Sector | Communication Services |
| Industry | Telecom Services |
| GiC Sub-Industry | Integrated Telecommunication Services |
| IPO / Inception | 1996-06-11 |
TU Stock Ratings
| Growth Rating | -0.47 |
| Fundamental | 51.6% |
| Dividend Rating | 87.6 |
| Rel. Strength | -18.8 |
| Analysts | 3.56 of 5 |
| Fair Price Momentum | 16.84 USD |
| Fair Price DCF | 17.02 USD |
TU Dividends
| Dividend Yield 12m | 9.40% |
| Yield on Cost 5y | 10.54% |
| Annual Growth 5y | 4.85% |
| Payout Consistency | 96.9% |
| Payout Ratio | 1.6% |
TU Growth Ratios
| Growth Correlation 3m | 52.8% |
| Growth Correlation 12m | 31.4% |
| Growth Correlation 5y | -39.4% |
| CAGR 5y | 3.00% |
| CAGR/Max DD 5y | 0.07 |
| Sharpe Ratio 12m | -0.22 |
| Alpha | 0.82 |
| Beta | -0.006 |
| Volatility | 20.03% |
| Current Volume | 2225.7k |
| Average Volume 20d | 3265.2k |
| Stop Loss | 15.5 (-3.2%) |
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 0.10 (>3.0%) and CFO 5.83b > Net Income 966.0m (YES >=105%, WARN >=100%) |
| Net Debt (33.12b) to EBITDA (5.20b) ratio: 6.37 <= 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 2.62% (target <= -2.0% for YES) |
| Gross Margin 62.48% (prev 38.85%; Δ 23.63pp) >=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 2.07 (EBITDA TTM 5.20b / Interest Expense TTM 1.07b) >= 6 (WARN >= 3) |
Altman Z'' 0.45
| (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 2.23b / Avg Total Assets 58.97b |
| (D) 0.31 = Book Value of Equity 14.16b / Total Liabilities 45.41b |
| Total Rating: 0.45 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 51.57
| 1. Piotroski 3.0pt = -2.0 |
| 2. FCF Yield 3.81% = 1.91 |
| 3. FCF Margin 10.83% = 2.71 |
| 4. Debt/Equity 1.88 = 0.95 |
| 5. Debt/Ebitda 5.51 = -2.50 |
| 6. ROIC - WACC 0.48% = 0.60 |
| 7. RoE 6.21% = 0.52 |
| 8. Rev. Trend 54.11% = 2.71 |
| 9. Rev. CAGR 2.73% = 0.34 |
| 10. EPS Trend -46.35% = -1.16 |
| 11. EPS CAGR -76.76% = -2.50 |
As of August 13, 2025, the stock is trading at USD 16.02 with a total of 2,225,700 shares traded.
Over the past week, the price has changed by +1.71%, over one month by -2.79%, over three months by +2.47% and over the past year by +4.98%.
Neither. Based on ValueRay´s Fundamental Analyses, Telus is currently (August 2025) neither a good nor a bad stock to buy. It has a ValueRay Fundamental Rating of 51.57 and therefor a neutral outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of TU is around 16.84 USD . This means that TU is currently overvalued and has a potential downside of 5.12%.
Telus has received a consensus analysts rating of 3.56. Therefor, it is recommend to hold TU.
- Strong Buy: 3
- Buy: 5
- Hold: 9
- Sell: 1
- Strong Sell: 0
According to our own proprietary Forecast Model, TU Telus will be worth about 17.9 in August 2026. The stock is currently trading at 16.02. This means that the stock has a potential upside of +11.49%.
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 17 | 5.8% |
| Analysts Target Price | 17.2 | 7.2% |
| ValueRay Target Price | 17.9 | 11.5% |
TU Fundamental Data Overview
CCE Cash And Equivalents = 3.68b CAD (last quarter)
P/E Trailing = 33.5106
P/E Forward = 20.4499
P/S = 1.1761
P/B = 2.1612
P/EG = 0.6035
Beta = 0.89
Revenue TTM = 20.42b CAD
EBIT TTM = 2.23b CAD
EBITDA TTM = 5.20b CAD
Long Term Debt = 27.73b CAD (from longTermDebt, last quarter)
Short Term Debt = 922.0m CAD (from shortTermDebt, last quarter)
Debt = 28.65b CAD (Calculated: Short Term 922.0m + Long Term 27.73b)
Net Debt = 33.12b CAD (from netDebt column, last quarter)
Enterprise Value = 58.01b CAD (33.04b + Debt 28.65b - CCE 3.68b)
Interest Coverage Ratio = 2.07 (Ebit TTM 2.23b / Interest Expense TTM 1.07b)
FCF Yield = 3.81% (FCF TTM 2.21b / Enterprise Value 58.01b)
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 = 62.48% ((Revenue TTM 20.42b - Cost of Revenue TTM 7.66b) / Revenue TTM)
Tobins Q-Ratio = 4.10 (Enterprise Value 58.01b / Book Value Of Equity 14.16b)
Interest Expense / Debt = 0.01% (Interest Expense 4.00m / Debt 28.65b)
Taxrate = 23.62% (from yearly Income Tax Expense: 290.0m / 1.23b)
NOPAT = 1.70b (EBIT 2.23b * (1 - 23.62%))
Current Ratio = 0.86 (Total Current Assets 9.32b / Total Current Liabilities 10.89b)
Debt / Equity = 1.88 (Debt 28.65b / last Quarter total Stockholder Equity 15.22b)
Debt / EBITDA = 5.51 (Net Debt 33.12b / EBITDA 5.20b)
Debt / FCF = 12.96 (Debt 28.65b / 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 = 5.14% (Ebit 2.23b / (Equity 15.55b + L.T.Debt 27.73b))
RoIC = 3.69% (NOPAT 1.70b / Invested Capital 46.02b)
WACC = 3.21% (E(33.04b)/V(61.69b) * Re(5.99%)) + (D(28.65b)/V(61.69b) * Rd(0.01%) * (1-Tc(0.24)))
Shares Correlation 5-Years: 100.0 | Cagr: 2.23%
Discount Rate = 5.99% (= CAPM, Blume Beta Adj.) -> floored to rf + ERP 8.05%
[DCF Debug] Terminal Value 76.75% ; FCFE base≈1.74b ; Y1≈1.61b ; Y5≈1.47b
Fair Price DCF = 17.02 (DCF Value 25.95b / Shares Outstanding 1.52b; 5y FCF grow -9.14% → 2.90% )
Revenue Correlation: 54.11 | Revenue CAGR: 2.73%
Revenue Growth Correlation: -17.27%
EPS Correlation: -46.35 | EPS CAGR: -76.76%
EPS Growth Correlation: 27.86%
Additional Sources for TU Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle