TELUS (TSX:T)(NYSE:TU) is one the largest telecommunications companies in Canada. In fact, there is very little room to move in on the company, along with its peers, in our country. It operates through wireless and wireline segments, providing services and products to 15.4 million customers across the country.
Telus has a price-to-earnings ratio of 27.9, a price-to-book ratio of 2.8, a dividend yield of 4.7%, and a market capitalization of $34 billion. The company has a solid return on equity of 10.83% in the last year, and relative strength index of 44 as of writing.
The company recently had its initial public offering (IPO) for TELUS International, which focuses more on the technology aspect of its online presence. The company actually broke the record for the largest tech IPO in TSX history! This international expansion gives investors even more opportunity to see high growth from this stock.
With media, health care, financial services, e-commerce, gaming, and more under its radar, the company has the means to see high growth during this next decade, as more services become online. And again, the stock is ahead of its competitors that are still playing catch up to create the fast wireline services offered by Telus — especially now that it’s become an internationally known company.
Just look at the history of Telus stock for an idea of how far you could grow from this stock. Shares are up 475% in the last two decades for a compound annual growth rate (CAGR) of 9.14%. If you’re a long-term holder of Telus stock buying this as a millennial, you could see around 1,000% in returns by the time you retire — especially if you reinvest dividends! Yet it’s likely that this stock will soar even higher in the years to come, as the other companies continue to try and put in wireline for 5G.
Meanwhile, you can look forward to years of solid dividends from this company with a payout history of over two decades, reinvesting as you go.