Q: Currently down 15% on both. Make any sense to take a loss On tellus to double down On bell? Or hold or better some other suggestions for more recovery potential.?Tks. Larry
5i Research Answer:
Telecom is a tough business to be in due to the capital intensity and its commodity-like product. That said, within the universe of telco, we like BCE most, we think it is priced well with too much concern currently on the dividend. We would still prefer to own both for diversification rather than bet on one. However, we also think there are better opportunities in the current market for investors that are outside of the telcos, such as ENB, BAM, TRI.