Telecom Services. Scored on the same transparent model behind the daily rankings.
★
TU
TELUS Corporation · Telecom Services
27.2Score
$7.72Oct 9 close$12.2B
1Y Target$10.33Analyst consensus · 3 analysts
5Y Target$18.07Compound horizon
10Y Target$32.30Long-dated conviction
FCF$1.4bTTM · 06/26C+
FCF $1.4b — respectable but not differentiating · Trailing twelve months to 06/26 (operating cash flow − capex).
Rev+0.6%FY YoYC
Revenue +0.6% — flat, mature phase or headwinds present · Latest fiscal year vs the prior one, from SEC filings — a trailing-twelve-month comparison couldn't be assembled from this company's filings.
D/E2.24C
D/E 2.24 — more levered than most Communication Services peers (≈90th pctile)
P/S*0.9xA-
P/S 0.9x — cheaper than most Communication Services peers (≈25th pctile)
PEG13.44D
PEG 13.44 — very expensive; pricing in best-case scenarios
* P/S replaces P/E — no positive earnings to divide by
Targets: 1-year is analyst consensus where covered, 5- and 10-year are model estimates; the DCF is a cross-check, not a target. Methodology
Quality-growth score · 27.2
Quality49.7
Growth19.5
Value24.1
Why this score
Diluting shareholders
Cut its dividend
Foreign reporter (CAD)
Entry · Margin of safety
52-week rangeNear 52-week low
50% off the 12-month high
vs DCF fair value49% belowest. fair value ~$15
What the price assumes: free cash flow shrinking about 14% next year, then recovering toward 4% a year by year ten — vs a starting rate of ~1% our model takes as the middle of three readings — analyst estimates, last year's revenue growth, and the company's own multi-year record.
Quality signals
Gross profitability30% · B+gross profit ÷ total assets — not in the score
ROIC3.9% · Creturn on invested capital — leads the quality score
Model-generatedFrom reported fundamentals, checked against the figures above · Editorial standards
Why now
Telecom Services · market cap $12.2b. Down 50% from 52-week high of $15.41 — deep drawdown territory. 3 sell-side analysts rate this a Hold with a mean 1-yr target of $10.33 (implying +34% upside).
Moat
Higher-variance name — the moat signals on the quantitative card are modest, so the durability case rests on execution (turning current growth into durable earnings power) or an un-monetized asset (IP / network effects / first-mover position) rather than an entrenched competitive position.
Risk
D/E 2.24 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Down 50% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Dividend payout 283% of earnings on a 6.6% yield — distribution coverage is thin; one earnings stumble could force a dividend cut.
Horizon
1-3 yr $10.33 (3-analyst consensus) — catalyst-driven; binary events dominate. 5 yr $18.07 — requires the platform / technology to reach commercial scale. 10 yr $32.30 — return distribution heavily skewed.
TU vs the Top Picks average
Pillar
TU
Book avg
Diff
Quality
50
83
-33
Growth
20
89
-69
Value
24
76
-52
Average of today's Top 30 (mean score 82.6); size and sector limits also decide the book.
Score history · TU
Trend
-28.3 over 82 daily scores
From 55.5 (Jun 22) → 27.2 (now)
One point per daily run; read From → To for the actual range.
TU at a glance
Same audited fundamentals as the score, unless a card says otherwise.
Analyst estimate revisions
30-day change
-0.6%
90-day change
-23.8%
Forward EPS estimate
$0.54
Over the last 90 days, what analysts expect TU to earn is materially lower (-23.8%). The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.
Estimates move both ways and are not part of the Bull Rankings score. Biggest movers →
Position sizing · TU
$
%
%
Shares to buy
259
Position size
$1,999
4.0% of portfolio
Stop price
$5.79
25% below $7.72
$ at risk if stopped
$499.87
budget $500.00 · 1% of portfolio
Math only: excludes commissions, slippage and gap risk. Inputs stay in your browser.
TELUS Corporation (TU): score, valuation & FAQ
TELUS Corporation (TU) is a Telecom Services company that scores 27.2 out of 100 on the Bull Rankings quality-growth model — a weak reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.
Its strongest graded signals are P/S (A-), while PEG (D) rate weaker. On valuation, TU sits about 49% below our discounted-cash-flow fair value (a margin of safety) — the current price implies free cash flow shrinking about 14% next year, then recovering toward 4% a year by year ten.
Is TU a good stock to buy?
Bull Rankings scores TU 27.2 out of 100 on its quality-growth model, which is a weak reading. That is driven by P/S (A-). A score is a quantitative screen of TELUS Corporation's fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
Why does TU score 27.2 on Bull Rankings?
The score leans on quality at 49.7 out of 100, with growth the weakest pillar at 19.5 — the three combine geometrically, so a weak one cannot be papered over by a strong one. TU earns its highest marks on P/S (A-), and is held back by PEG (D). Each signal is graded against sector-aware thresholds rather than one absolute bar, so TU is measured against Telecom Services peers, not against the market as a whole.
Is TU overvalued or undervalued?
Based on $7.72, TU sits about 49% below our discounted-cash-flow fair value (a margin of safety) — the current price implies free cash flow shrinking about 14% next year, then recovering toward 4% a year by year ten. Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in TU?
D/E 2.24 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Down 50% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Dividend payout 283% of earnings on a 6.6% yield — distribution coverage is thin; one earnings stumble could force a dividend cut.