Four telecommunications stocks wired for success

These blue-chip telecom stocks are expensive right now but are worth keeping on your radar.

Vikram Barhat 15 December, 2015 | 6:00PM

As digital communication gains prominence in everyday life, services like wireless, cable and internet are increasingly becoming an essential part of human consumption.

Telecom companies that provide these services have been quick to exploit our growing dependence on them. By rapidly expanding their products and services, while promptly adopting new technology, leading carriers have kept pace with emerging trends and managed to thrive in what is broadly regarded as an oligopolistic ecosystem.

After ending 2014 with a decent total return of 13.3%, the S&P/TSX Capped Telecommunication Services Index has posted a more modest 7.8% gain so far in 2015 (as of Dec. 9), though that performance ranks in fourth place among the 10 Canadian sector indexes. Numbers in the United States are a bit more sober, with the S&P 500 Telecommunication Services Index up 1.4% (in U.S. dollar terms) for the year to date, after posting a total return of 3% in 2014.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar Rating
BCE Inc54.94 CAD-1.49
Rogers Communications Inc Class B51.00 CAD-1.68
Verizon Communications Inc58.91 USD-1.52
Vodafone Group PLC ADR13.32 USD-0.75

About Author

Vikram Barhat

Vikram Barhat  Vikram Barhat is a freelance writer.

© Copyright 2020 Morningstar, Inc. All rights reserved.

Terms of Use        Privacy Policy        Cookies