TD COWEN Maintains TELUS (TU) Buy Recommendation

TD Cowen maintained a Buy on TELUS (TU) on Dec. 12, 2025; the consensus one‑year price target is $16.51 (range $13.75–$19.56), implying ~29.15% upside from the $12.78 close. Street estimates project annual revenue of $22,456 million (up 9.83%) and non‑GAAP EPS of $2.02, and options activity (put/call 0.17) reflects a bullish outlook. However, institutional ownership has edged lower—total shares held fell about 2.9% to ~795.6m and 475 funds report positions with several large Canadian banks (RBC, BMO, CIBC, 1832) trimming stakes—suggesting analyst optimism may be partly offset by recent fund rebalancing.

Analysis

TD Cowen maintained a Buy on TELUS (TU) on December 12, 2025, and the consensus one-year price target as of December 6, 2025 is $16.51 (range $13.75–$19.56), implying approximately 29.15% upside from the latest close of $12.78. This analyst view is supported by street projections of annual revenue of $22,456 million (up 9.83%) and projected non-GAAP EPS of $2.02, figures that underpin the bullish price-target dispersion.

Options and sentiment indicators are constructive: the put/call ratio of 0.17 signals pronounced bullish options positioning and the aggregate sentiment score is mildly positive (0.32), suggesting market participants are skewing long despite mixed institutional flows. At the same time, institutional ownership data shows 475 funds hold TU but total shares held fell 2.90% to ~795.6m and six owners exited (−1.25%) in the last quarter, indicating some balance-sheet level rebalancing.

Major Canadian financial holders materially trimmed positions: RBC holds 192,578k shares (12.44%, down from 200,858k; −4.30%) and BMO, CIBC and 1832 Asset Management likewise reduced stakes and portfolio allocations to varying degrees. The juxtaposition of analyst upside and visible institutional trimming creates a risk/return tradeoff—upside per consensus is meaningful, but recent fund behavior warrants monitoring for further sell-side pressure or re-rating catalysts.

Key Decisions for Investors

• Consider initiating or adding a modest, size-limited long position on weakness to capture the ~29% consensus upside while capping exposure relative to portfolio weight (average fund weight in TU is 0.24%),
• Monitor upcoming fund filings and quarterly guidance closely — continued reductions by large holders (RBC, BMO, CIBC) would be a reason to pause or trim exposure,
• If establishing exposure, use downside protection or option overlays given the divergence between analyst targets and shrinking institutional share counts; reduce position if put/call sentiment reverts or price-target revisions turn lower