TD Cowen analyst Vince Valentini maintained a Buy rating on Telus today and set a price target of C$26.00.
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Vince Valentini has given his Buy rating due to a combination of factors including Telus’s strategic initiatives and financial performance. The company has set ambitious targets, such as achieving $2 billion in AI-related revenue by 2028, which demonstrates a forward-looking growth strategy. Additionally, Telus has shown resilience with its stock price declining by 9% since September, yet it still maintains a robust 8.1% yield, which is attractive to investors, especially in a declining interest rate environment.
Moreover, Valentini highlights the company’s strong infrastructure investments, particularly in upgraded FTTH, which justifies a premium valuation compared to its peers. Despite some reliance on debt or share issuance to fund dividends, the analyst sees minimal risk of dividend cuts and anticipates continued annual growth of 3%. These factors, combined with stable Q3/25 results and consistent guidance for 2025, reinforce the Buy rating.
In another report released today, RBC Capital also maintained a Buy rating on the stock with a C$24.00 price target.