When the market feels uncertain, it’s tempting to sit on the sidelines and wait for things to settle down. But often, the smartest investors are the ones who lean in, especially when it comes to blue-chip stocks offering long-term value. For Canadians looking to invest $3,500 right now, TELUS (TSX:T) stands out as one of the smartest choices on the TSX. With a reliable dividend, strong growth in healthcare and tech, and a customer-first strategy, this is a stock built for long-term success.
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TELUS stock
TELUS isn’t just another telecom. Yes, it provides wireless and internet services to millions of Canadians, but its business has expanded far beyond cell phones and fibre. The company strategically invested in digital healthcare and technology solutions, creating new growth streams that add value well beyond traditional telecom margins. That diversification paid off, especially as demand for virtual care and digital connectivity has continued to rise.
In its most recent earnings report for Q1 2025, TELUS reported consolidated revenue of $5.1 billion, up 3% from the same period last year. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) climbed 4% year over year to $1.7 billion, showing that TELUS is growing not just the top line but also the profitability of its business. Net income attributable to common shareholders was $365 million, or $0.25 per share. The company added 218,000 new customer connections during the quarter, including 39,000 new mobile phones and 29,000 new internet subscribers. These are strong numbers in a competitive industry where growth is often slow and incremental.
More than telecom
What really makes TELUS different from other telecoms is its investment in TELUS Health and TELUS International. TELUS Health now services millions of Canadians with virtual care, digital pharmacy, and health data platforms. In Q1 2025, this segment grew its revenue by 12% and adjusted EBITDA by 30%. That’s substantial growth in a part of the business that didn’t even exist a decade ago. It gives TELUS a foothold in one of the world’s fastest-growing sectors, while still generating cash from its traditional infrastructure backbone.
TELUS International, which provides a digital customer experience and artificial intelligence (AI) solutions for businesses around the world, continues to scale as well. While still a smaller contributor to total revenue, it helps position TELUS as a forward-looking company that’s aligned with digital trends.
Value and income
Another major reason to like TELUS is its dividend. As of today, the stock yields around 7.5%, with a quarterly payout of $0.3636 per share. TELUS has raised its dividend 23 times since 2011, and management recently confirmed they intend to grow it by 3% to 8% annually through at least 2028. And with a payout ratio under 75% of free cash flow, it’s a dividend that looks sustainable.
TELUS also invests heavily in its infrastructure, which keeps customers loyal and future-proofs the business. In 2024, it committed over $3.5 billion to capital expenditures, expanding 5G coverage and fibre networks across Canada. That might seem like a lot, but in telecom, staying ahead in speed and service matters. TELUS has consistently ranked high in customer satisfaction, and its churn rate remains one of the lowest in the industry. That means customers stick around, which supports stable revenue and margin growth over time.
From a valuation standpoint, TELUS looks attractive. The stock is down from its highs, trading at about $22 per share as of writing. That gives investors a chance to buy into a high-quality company at a reasonable price. Its forward price-to-earnings ratio is at 28, while its long-term earnings growth is supported by its expanding business segments and strong free cash flow.
Bottom line
For Canadians thinking about where to park $3,500 for growth and income, TELUS offers a rare combination. It’s stable, diversified, and innovative, with a track record of delivering shareholder returns. Whether you’re investing through a TFSA or RRSP, this is the kind of stock that pays you to be patient. While others debate the direction of the market, TELUS quietly connects homes, supports doctors, and builds digital solutions, turning your investment into long-term value.
