TELUS (NYSE:TU) (TSE:T) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research report issued to clients and investors on Tuesday.
According to Zacks, “TELUS’ operating margin remains strained as cable TV operators move from phone services based on ‘circuit-switched’ technology to less costly Voice-over-Internet Protocol. Moreover, capital expenditures in the wireline segment to bring in more business and residential customers directly under fiber optic cable result in substantial outflow of funds. Efforts to offset these expenditures by raising fees have significantly reduced demand for its services as customers tend to switch to lower-priced carriers. However, increasing customer demand for reliable access and fast-data services are expected to support customer growth. TELUS remains focused on strategy execution along with amplifying efforts on cost efficiency for margin accretive customer growth, and investment to support its growth strategy. The stock has outperformed the industry in the past year on average.”
Other equities research analysts have also recently issued reports about the company. Desjardins reaffirmed a “buy” rating on shares of TELUS in a research note on Sunday, October 21st. Barclays reissued a “buy” rating and set a $40.00 target price on shares of TELUS in a research note on Sunday, November 11th. Finally, TD Securities reissued a “buy” rating on shares of TELUS in a research note on Friday, November 9th. Four research analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. TELUS has a consensus rating of “Buy” and a consensus price target of $47.67.
A number of institutional investors and hedge funds have recently added to or reduced their stakes in TU. Bank of New York Mellon Corp lifted its holdings in TELUS by 13.2% during the 2nd quarter. Bank of New York Mellon Corp now owns 265,190 shares of the Wireless communications provider’s stock worth $9,417,000 after buying an additional 30,862 shares during the last quarter. Northern Trust Corp lifted its holdings in TELUS by 99.5% during the 2nd quarter. Northern Trust Corp now owns 523,981 shares of the Wireless communications provider’s stock worth $18,608,000 after buying an additional 261,283 shares during the last quarter. Andra AP fonden purchased a new stake in TELUS during the 3rd quarter worth about $433,000. DORCHESTER WEALTH MANAGEMENT Co lifted its holdings in TELUS by 1.8% during the 3rd quarter. DORCHESTER WEALTH MANAGEMENT Co now owns 141,768 shares of the Wireless communications provider’s stock worth $5,214,000 after buying an additional 2,445 shares during the last quarter. Finally, Baskin Financial Services Inc. lifted its holdings in TELUS by 0.9% during the 3rd quarter. Baskin Financial Services Inc. now owns 269,814 shares of the Wireless communications provider’s stock worth $9,937,000 after buying an additional 2,539 shares during the last quarter. 50.62% of the stock is owned by hedge funds and other institutional investors.
TELUS Company Profile
TELUS Corporation, together with its subsidiaries, provides a range of telecommunications products and services in Canada. It operates through Wireless and Wireline segments. The company's telecommunications products and services comprise wireless and wireline voice and data services; data services, including Internet protocol; television services; hosting, managed information technology, and security and cloud-based services; healthcare solutions; business process outsourcing; and security solutions.
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