Why is TELUS Corp. ?
1
Positive results in Jun 25
- DIVIDEND PER SHARE(HY) Highest at CAD 4.96
- INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
- DIVIDEND PAYOUT RATIO(Y) Highest at 9,050%
2
With ROE of 9.58%, it has a very attractive valuation with a 2.18 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -1.93%, its profits have fallen by -1.8%
3
High Institutional Holdings at 52.76%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -1.93% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in each of the last 3 annual periods
How much should you hold?
- Overall Portfolio exposure to TELUS Corp. should be less than 10%
- Overall Portfolio exposure to Telecom - Equipment & Accessories should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is TELUS Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
TELUS Corp.
-15.5%
-2.00
19.26%
S&P/TSX 60
19.1%
1.54
14.62%
Quality key factors
Factor
Value
Sales Growth (5y)
6.61%
EBIT Growth (5y)
2.93%
EBIT to Interest (avg)
4.03
Debt to EBITDA (avg)
3.39
Net Debt to Equity (avg)
1.70
Sales to Capital Employed (avg)
0.47
Tax Ratio
24.47%
Dividend Payout Ratio
233.27%
Pledged Shares
0
Institutional Holding
55.16%
ROCE (avg)
7.68%
ROE (avg)
9.96%
Valuation Key Factors 
Factor
Value
P/E Ratio
22
Industry P/E
Price to Book Value
2.11
EV to EBIT
18.82
EV to EBITDA
8.20
EV to Capital Employed
1.41
EV to Sales
2.86
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
7.47%
ROE (Latest)
9.58%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
9What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at CAD 4.96
INTEREST COVERAGE RATIO(Q)
The company hardly has any interest cost
DIVIDEND PAYOUT RATIO(Y)
Highest at 9,050%
CASH AND EQV(HY)
Highest at CAD 4,696 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 34.12%
NET PROFIT(Q)
Highest at CAD 640 MM
-3What is not working for the Company
DEBT-EQUITY RATIO
(HY)
Highest at 193.39 %
EPS(Q)
Lowest at CAD 0
Here's what is working for TELUS Corp.
Dividend per share
Highest at CAD 4.96 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (CAD)
Net Profit
Highest at CAD 640 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
Net Profit
At CAD 640 MM has Grown at 91.57%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
Cash and Eqv
Highest at CAD 4,696 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Inventory Turnover Ratio
Highest at 34.12%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Dividend Payout Ratio
Highest at 9,050%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for TELUS Corp.
Debt-Equity Ratio
Highest at 193.39 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
EPS
Lowest at CAD 0
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (CAD)






