Freedom vs TELUS Which Performs Better?

Freedom vs TELUS stocks is a comparison between two prominent telecommunications companies in Canada. While both companies operate in the same industry, they have unique approaches to business operations and market strategies. Freedom Mobile is known for its focus on providing affordable and flexible phone plans, while TELUS is recognized for its strong customer service and innovative technology offerings. Investors looking to diversify their portfolio may consider evaluating the performance and potential growth of these two stocks to make informed investment decisions.

Freedom or TELUS?

When comparing Freedom and TELUS, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Freedom and TELUS.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Freedom has a dividend yield of -%, while TELUS has a dividend yield of 3.8%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Freedom reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, TELUS reports a 5-year dividend growth of -7.77% year and a payout ratio of 163.92%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Freedom P/E ratio at 22.48 and TELUS's P/E ratio at 36.77. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Freedom P/B ratio is 6.08 while TELUS's P/B ratio is 2.15.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Freedom has seen a 5-year revenue growth of 13.26%, while TELUS's is 0.17%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Freedom's ROE at 29.56% and TELUS's ROE at 5.80%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $126.90 for Freedom and $15.45 for TELUS. Over the past year, Freedom's prices ranged from $64.00 to $131.17, with a yearly change of 104.96%. TELUS's prices fluctuated between $14.63 and $18.68, with a yearly change of 27.68%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.