The Motley Fool

5G Investing Opportunity: Here Is the Best TSX Stock

Image source: Getty Images

As most people know by now, 5G is going to be the next big technological innovation, and with it will come major advances like we’ve never seen before.

Every few years we’re accustomed to seeing an upgrade to mobile networks and the speed at which phones and the internet work. With 5G though and the speeds that are possible, we have never seen anything like it.

The new and improved download and upload speeds and capacity to connect many more devices to mobile networks will create opportunities that weren’t possible until now.

And as with any new technology and new developments coming to market, there will be a tonne of potential for investors to profit off the introduction of 5G.

It’s one of the safest and most dependable investments that you can make is in a telecom company given that the 5G network won’t work without these major companies and the infrastructure that they’re building out.

One of the most important factors of the infrastructure for 5G is the fiber networks that the Canadian telecoms have been investing in making these fiber investments today all that much more important.

Companies have recently been installing high-speed fiber all over the country in a bid to improve the services they offer and bring them to you at faster speeds.

Even now, companies are earning a return on their fiber investments; the more fiber they lay, the better positioned they will be when 5G is finally brought to market.

One of the best stocks positioned for 5G in Canada is easily Telus Corp (TSX:T)(NYSE:TU).

Telus is already a top long-term stock for investors. It’s a low beta company that can protect your capital extremely well, is one of the most reliable companies on the Canadian Dividend Aristocrats list and can be expected to return consistent growth for investors for years to come.

The Canadian wireless marketplace is well under penetrated compared to the U.S or some of our European peers, which would have already set Telus up with a long runway for growth.

But with the introduction of 5G right around the corner and the new technology that will come with it, Telus is poised to see huge growth for decades to come.

The company is an incredible investment, especially for income-seekers, as it’s already paid out more than $16 billion since 2004 through its share buybacks and attractive dividend that’s yielding more than 4.6% today.

It’s a massive $30 billion company capable of protecting and growing your wealth, and is trading at an extremely attractive valuation at just 17.2 times its trailing 12-month earnings.

Telus was already one off the best TSX stocks you could own, even if there was no introduction of 5G coming. However, with the introduction of 5G right around the corner, Telus has become one of the greatest opportunities for major growth, while still protecting your capital and returning cash to you each quarter through its attractive dividend.

The 10 Best Stocks to Buy This Month

Renowned Canadian investor Iain Butler just named 10 stocks for Canadians to buy TODAY. So if you’re tired of reading about other people getting rich in the stock market, this might be a good day for you.

Because Motley Fool Canada is offering a full 65% off the list price of their top stock-picking service, plus a complete membership fee back guarantee on what you pay for the service. Simply click here to discover how you can take advantage of this.

Click Here to Learn More Today!

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Daniel Da Costa has no position in any of the stocks mentioned.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss an important event.

Iain Butler and the Stock Advisor Canada team only publish their new “buy alerts” twice a month, and only to an exclusively small group.

This is your chance to get in early on what could prove to be very special investment advice.

Enter your email address below to get started now, and join the other thousands of Canadians who have already signed up for their chance to get the market-beating advice from Stock Advisor Canada.