Rogers vs TELUS Which Is More Favorable?

Rogers Communications and TELUS Corporation are two of Canada's largest telecommunications companies, competing in the fiercely competitive telecom market. Investors are often torn between which stock to invest in, as both companies have their strengths and weaknesses. Rogers boasts a strong brand recognition and a long-standing history in the industry, while TELUS is known for its innovative technology and strong customer service. This comparison will explore the financial performance, market positioning, and potential for growth of Rogers vs TELUS stocks.

Rogers or TELUS?

When comparing Rogers 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 Rogers 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. Rogers has a dividend yield of -%, while TELUS has a dividend yield of 5.27%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Rogers 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 Rogers P/E ratio at 39.70 and TELUS's P/E ratio at 35.39. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Rogers P/B ratio is 1.52 while TELUS's P/B ratio is 2.07.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Rogers has seen a 5-year revenue growth of 0.02%, while TELUS's is 0.17%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Rogers's ROE at 3.92% and TELUS's ROE at 5.80%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $105.80 for Rogers and $15.18 for TELUS. Over the past year, Rogers's prices ranged from $96.10 to $138.85, with a yearly change of 44.48%. 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.