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TELUS (TU) To Invest C$17.5B in British Columbia to Boost Jobs

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TELUS Corporation (TU - Free Report) recently committed an investment of C$17.5 billion in British Columbia over the next sfour years. The investment is aimed at boosting network infrastructure, operations and spectrum. The company has committed to an investment of C$70 billion across Canada by 2026.

These endeavors will generate 5,500 employment opportunities across the region, especially in construction, engineering, emerging technologies and other ancillary industries’ verticals.

TELUS will be working on implementing its PureFibre Network in the Lytton and Merritt areas of British Columbia. Apart from these two areas, the company will also bring Coquitlam, Maple Ridge, New Westminster, Parksville, Prince George, Saanich, Squamish and Sydney within its PureFibre Network coverage.

TELUS is also working toward rolling out its 5G standalone network in the region. The 5G network will extend multi-access edge computing capabilities that will aid in developing IoT and industry solutions and creating pioneering new solutions for businesses.

Going forward, TELUS will also launch the 3.5 GHz spectrum in British Columbia in 2022. As a result, residents (even in the remote parts of the region) will be able to access TELUS’ 5G network. TELUS’ 5G fixed wireless network can deliver Internet speeds of 100 Mbps.

TELUS Corporation Price and Consensus

 

TELUS Corporation Price and Consensus

TELUS Corporation price-consensus-chart | TELUS Corporation Quote

 

Launching a high-speed network is likely to help TELUS boost its subscriber base and top-line performance. TELUS Corporation is a leading Canadian telecom service provider based in Vancouver, Canada. The company has launched 5G networks in several places across Canada. It acquired a 100% stake in Mobile Klinik to grow its wireless business. It is well positioned to benefit from the increasing penetration of smart devices, wireless data services and wireline fiber-optic networks.

TELUS recently reported healthy first-quarter 2022 results. It reported adjusted earnings per share of C$0.30 (24 cents) in first-quarter 2022 compared with C$0.27 per share in the prior-year quarter. The bottom line beat the Zacks Consensus Estimate of 23 cents.

Subscriber growth and double-digit revenue growth across the TELUS International, TELUS Health and TELUS Agriculture segments boosted the company’s top-line performance. Quarterly total operating revenues increased 6.4% year over year to C$4,282 million ($3,381 million).

TELUS currently has a Zacks Rank #3 (Hold). Shares of TU have gained 10% compared with the industry’s decline of 1.8% in the past year.

Stocks to Consider

A few better-ranked stocks from the broader technology sector worth consideration are InterDigital (IDCC - Free Report) , Flex (FLEX - Free Report) and Pure Storage (PSTG - Free Report) . InterDigital and Flex sport a Zacks Rank #1 (Strong Buy), while Pure Storage carries a Zacks Rank of 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Flex’s fiscal 2023 earnings is pegged at $2.16 per share, up 6.9% in the past 60 days. The long-term earnings growth rate is pegged at 14.9%.

Flex’s earnings beat the Zacks Consensus Estimate all last four quarters, with the average being 21.1%. Shares of FLEX have declined 9.4% in the past year.

The Zacks Consensus Estimate for Pure Storage fiscal 2023 earnings is pegged at 86 cents per share, unchanged in the past 60 days. The long-term earnings growth rate is 30.9%.

Pure Storage’s earnings beat the Zacks Consensus Estimate all last four quarters, with the average being 99.2%. Shares of PSTG have gained 39.3% in the past year.

The Zacks Consensus Estimate for InterDigital 2022 earnings is pegged at $3.28 per share, up 5.1% in the past 60 days. IDCC’s long-term earnings growth rate is pegged at 15%.

InterDigital’s earnings beat the Zacks Consensus Estimate in all the preceding four quarters, with the average being 141.1%. Shares of IDCC have lost 15.6% of their value in the past year.


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