Q: Hello 5i team,
I currently hold Telus and was thinking of switching to BCE since the dividend is larger. It seems telcos are not doing well over the past few years and was wondering what you think may be the cause of this? Also I was thinking that BCE is at a 10 year low and may be hitting a bottom, so there would be a better chance at appreciation as well as the dividend.
This is also to simply having a telco in my portfolio for exposure and it looks like BCE has a better chance of improving than Telus (TIXT is probably dragging it down).
Thank You,
Andrew
I currently hold Telus and was thinking of switching to BCE since the dividend is larger. It seems telcos are not doing well over the past few years and was wondering what you think may be the cause of this? Also I was thinking that BCE is at a 10 year low and may be hitting a bottom, so there would be a better chance at appreciation as well as the dividend.
This is also to simply having a telco in my portfolio for exposure and it looks like BCE has a better chance of improving than Telus (TIXT is probably dragging it down).
Thank You,
Andrew
5i Research Answer:
We have some comments posted today; both are going to have much of the same influences. We think they can be slowly accumulated. We would be in no big rush. This will provide some comparison of the two. Here are some reasons for the weakness.