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BCE Inc. (BCE $33.68)
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Rogers Communications Inc. Class B Non-voting Shares (RCI.B $49.00)
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TELUS Corporation (T $22.55)
Q: Good morning,
I was looking to buy some of a Canadian telecom stock and was wondering if you had any preference between Rogers, Telus, and Bell?
Thanks
Good morning,
Follow up to my previous question. Which company do you think would perform best in a higher inflation environment? Also do you think the the Telecom sector could perform well in an inflationary environment and what other sectors besides hard assets would perform well.
Thank you very much.
I was looking to buy some of a Canadian telecom stock and was wondering if you had any preference between Rogers, Telus, and Bell?
Thanks
Good morning,
Follow up to my previous question. Which company do you think would perform best in a higher inflation environment? Also do you think the the Telecom sector could perform well in an inflationary environment and what other sectors besides hard assets would perform well.
Thank you very much.
5i Research Answer:
Our preference would still be towards Telus T. It is has less in the way of legacy issues and is generally higher growth than the others. It recently raised its dividend. In terms of inflation, much depends on rates. If rates rise to fight inflation, the sector is not likely to do well. Other than hard assets, few sectors will prosper in inflation. Industrial companies, assuming they have pricing power and there is no recession, may offer some potential under such conditions.