DESJARDINS SECURITIES Maintains TELUS (TU) Buy Recommendation

Desjardins Securities maintained a Buy on TELUS (TU) on Dec. 10, 2025; the consensus one‑year analyst target as of Dec. 6 is $16.51 (range $13.75–$19.56), implying ~29.2% upside from the $12.78 close. Street projections cited include annual revenue of $22.456 billion (+9.8%) and non‑GAAP EPS of $2.02. Institutional ownership is concentrated (475 funds; Royal Bank of Canada holds 12.44%) but overall institutional shares fell ~2.9% in the past quarter and several large Canadian banks trimmed allocations, while options sentiment (put/call 0.17) remains bullish. The combination of analyst upside, modest buy conviction in options, and recent institutional trimming frames a cautiously constructive near‑term thesis for TU.

Analysis

Desjardins Securities maintained a Buy on TELUS (TU) on December 10, 2025; the consensus one‑year analyst target as of December 6 is $16.51 (range $13.75–$19.56), implying roughly 29.15% upside from the $12.78 close. Street projections cited in the report list projected annual revenue of 22,456MM (a 9.83% increase) and projected non‑GAAP EPS of $2.02, which form the fundamental basis for the bullish analyst view.

Institutional positioning is mixed: 475 funds report holdings (down 6 owners or 1.25% quarter‑over‑quarter) and total institutional shares fell 2.90% to 795,567K shares, while average portfolio weight in TU rose 8.00% to 0.24%. Several large Canadian managers trimmed absolute holdings or allocations—Royal Bank of Canada (192,578K shares, 12.44%, down from 200,858K), BMO, CIBC and others reported quarter‑on‑quarter decreases—which suggests active portfolio reallocation despite analyst optimism.

Options and sentiment signals are constructive but not decisive: a put/call ratio of 0.17 indicates bullish options flow, and the aggregated sentiment score is moderately positive (0.45) with limited market impact (0.3). The juxtaposition of sizable analyst upside and bullish options against recent institutional trimming implies upside is plausible but dependent on near‑term execution against the cited revenue and EPS projections and on whether major holders stabilize their allocations.

Key Decisions for Investors

• Consider initiating or adding a modest, size‑controlled position to capture the ~29% analyst‑implied upside while limiting exposure given recent institutional trimming
• Monitor upcoming results and guidance closely to validate the projected $22,456MM revenue and $2.02 non‑GAAP EPS and be prepared to reassess conviction if the company misses those benchmarks
• Track major holder 13F/manager filings and options flow (put/call ~0.17) for confirmation of retail/derivative conviction and consider hedging or tightening stops if institutional selling persists