Back to top

Image: Bigstock

TELUS Continues to Expand 5G Network in Quebec With C$9.6M Investment

Read MoreHide Full Article

TELUS Corporation (TU - Free Report) recently announced a C$9.6 million investment in Quebec's Chaudière-Appalaches region. This investment will be supported by an additional C$2.7 million from the government of Quebec and C$2.2 million from the Canadian Radio-television and Telecommunications Commission (“CRTC”), enabling the installation of 20 new 5G wireless sites in the area.

The government of Quebec's investment, announced in April 2024, will support the development of 16 new sites to boost cellular coverage in the region. While planning and preparatory work will begin this year, TELUS anticipates that the first sites will be operational by 2025. Additionally, as part of the CRTC Fund, detailed last year, two new wireless sites will be activated in Saint-Pamphile and Saint-Adalbert by the end of the year. The activation of a second site in Saint-Adalbert and another in Saint-Paul-de-Montminy will commence in 2025.

The combined financial contribution will facilitate the implementation and upgrade of TELUS' network, improving wireless connectivity in rural and remote areas. In the fourth quarter of 2023, the company projected a capital expenditure of C$2.6 billion for 2024. This guidance was reaffirmed in the second quarter of 2024, underscoring the company’s commitment to its planned investment strategy for the year.

TELUS Aims to Enhance Innovation & Connectivity Across Quebec

TELUS remains focused on its corporate social responsibility. The company aims to invest C$73 billion in Canada by 2028, including C$10 billion specifically for Quebec. As of June 30, 2024, TELUS provided 5G network coverage to nearly 32 million Canadians, representing more than 86% of the population.

In August, TELUS unveiled new additions to EnContinu+, a streaming bundle tailored specifically for Quebec residents. The new offering aims to boost the entertainment experience for TELUS and Koodo customers. Subscribers can enjoy a diverse selection of content, including French language programs and popular international shows and movies while benefiting from savings of up to 20% on the individual package.

In July, the company announced a C$6.6 million private investment in the North Shore region of Quebec, supported by an additional investment of C$6.8 million from the government of Quebec and C$5.5 million from CRTC for the addition of roughly 10 new 5G wireless sites in this region. 

Since 2023, the TELUS Friendly Future Foundation has contributed nearly $100,000 to local organizations in the Chaudière-Appalaches region, supporting projects that benefit youth. Beneficiaries include the Association Renaissance des Appalaches, Maison de la Famille Nouvelle-Beauce and Alliance Jeunesse des Chutes-de-la-Chaudière.

Vancouver, British Columbia-based TELUS is one of the leading telecom carriers in Canada (the largest in western Canada), with more than C$20 billion in annual revenues and 19 million customer connections. It provides wireless, wireline and Internet communications services for voice and data to businesses and consumers.

TU’s Zacks Rank & Stock Price Performance

TU currently carries a Zacks Rank #3 (Hold). Shares of the company have gained 3.8% in the past year compared with the sub-industry's growth of 6.8%.

Zacks Investment Research
Image Source: Zacks Investment Research

Stocks to Consider

Some better-ranked stocks from the broader technology space are Manhattan Associates, Inc. (MANH - Free Report) , ANSYS, Inc. (ANSS - Free Report) and Adobe Inc. (ADBE - Free Report) .  MANH presently sports a Zacks Rank #1 (Strong Buy), whereas ANSS & ADBE carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Manhattan Associates delivered an earnings surprise of 26.6%, on average, in the trailing four quarters. In the last reported quarter, MANH pulled off an earnings surprise of 22.9%. The Zacks Consensus Estimate for MANH has increased 9.2% in the past 60 days to $4.26.

ANSYS delivered an earnings surprise of 4.8%, on average, in three of the trailing four quarters. In the last reported quarter, ANSS pulled off an earnings surprise of 28.9%. It has a long-term earnings growth expectation of 6.4%.

Adobe delivered an earnings surprise of 2.6%, on average, in the trailing four quarters. In the last reported quarter, ADBE pulled off an earnings surprise of 2.7%. It has a long-term earnings growth expectation of 13%.

Published in