After peaking in 2022, Canadian telecom stocks have hit a rough patch. The country’s Big Three players — BCE (TSX:BCE), Rogers Communications (TSX:RCI.B), and TELUS (TSX:T) — have delivered disappointing returns, badly underperforming the broader Canadian market. In contrast, a smaller but increasingly dominant rival, Quebecor (TSX:QBR.B), has surged ahead.
So, which telecom stock is the best to buy right now? The answer is becoming increasingly clear.
Big telecoms under pressure
Over the last few years, major Canadian telecoms have been squeezed by a combination of tighter government regulations, rising competition from Quebecor, elevated interest rates, and a saturated market offering limited growth. As a result, investor sentiment has turned sour — and the numbers show it.
From 2022 to mid-2024, while the Bank of Canada (BoC) raised the policy interest rate to a punishing 5.0%, the Big Three telecoms delivered an average return of -16.7%. During the same time, Quebecor returned 17.4%, and the broader market (as measured by the iShares S&P/TSX 60 Index ETF) returned 12.9%.
Even after the BoC began cutting rates in June 2024 — bringing it down to 2.5% as of this month — the Big Three continued to struggle. Their average return since the start of the rate-cutting cycle is now an eye-watering -21.9%, with BCE dragging the average down after slashing its dividend by over 50% in May 2025. Excluding BCE, Rogers and TELUS still posted an average return of -14.2%, compared to Quebecor’s incredible 82% and the broader market’s 55%.
Comparing the fundamentals
Here’s a quick snapshot of the four telecom players based on their second-quarter (Q2) 2025 debt levels and earnings strength:
| Company | Debt-to-Equity (Q2) | Debt-to-Assets (Q2) | Interest Coverage Ratio (TTM) |
| BCE | 2.56x | 53% | 1.76x |
| Quebecor | 3.15x | 59% | 3.82x |
| Rogers | 4.04x | 59% | 2.02x |
| TELUS | 2.18x | 55% | 1.66x |
Despite having higher leverage, Quebecor’s interest coverage ratio — a key measure of debt sustainability — is the healthiest in the group. This gives it the flexibility to invest in growth and weather economic downturns more effectively.
Quebecor also benefits from being smaller and nimbler. With trailing 12-month (TTM) revenue of $5.6 billion, it’s about a quarter the size of BCE, but it has grown revenue 23% since 2021. By comparison, BCE’s revenue grew just 4.1% over the same period.
So, which stock is the best buy now?
Each of the Big Three has its appeal. TELUS offers a hefty 7.6% dividend, attractive for income-seeking investors. Rogers trades at a 13% discount and could represent a turnaround opportunity. BCE is now trading at a 10% discount and yields 5.5%, but its dividend cut has shaken investor trust.
However, if you’re looking for better growth prospects, Quebecor is probably the best Canadian telecom stock to buy. Its outperformance in a challenging environment, solid financial metrics, and continued expansion into the wireless market make it a relatively attractive option.
While the Big Three may eventually recover, Quebecor is already proving it can deliver — and investors have taken notice.
The only thing that might hold interested investors back from Quebecor is that the stock is fairly valued today, with little margin of safety. Perhaps waiting for weakness in a market correction is a safer way to go.
