At this time, the company appears to be overvalued. TELUS International has a current Real Value of C$4.16 per share. The regular price of the company is C$5.49. Our model measures the value of TELUS International from examining the company fundamentals such as shares outstanding of 113 M, and Return On Equity of -0.057 as well as evaluating its technical indicators and probability of bankruptcy. Key fundamental drivers impacting TELUS International's valuation include:
Price Book
0.5611
Enterprise Value
3.4 B
Enterprise Value Ebitda
6.5919
Price Sales
0.5629
Forward PE
8.7489
Overvalued
Today 5.49
Please note that TELUS International's price fluctuation is unstable at this time. Calculation of the real value of TELUS International is based on 3 months time horizon. Increasing TELUS International's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since TELUS International is currently traded on the exchange, buyers and sellers on that exchange determine the market value of TELUS Stock. However, TELUS International's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical
Market 5.49
Real 4.16
Hype 5.46
Naive 5.6
The intrinsic value of TELUS International's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence TELUS International's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of TELUS International helps investors to forecast how TELUS stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of TELUS International more accurately as focusing exclusively on TELUS International's fundamentals will not take into account other important factors:
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use TELUS International's intrinsic value based on its ongoing forecasts of TELUS International's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against TELUS International's closest peers.
TELUS International Cash
131.78 Million
TELUS Valuation Trend
Knowing TELUS International's actual value is paramount for traders when making sound investment determinations. Using both TELUS International's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
TELUS International Total Value Analysis
TELUS International is at this time estimated to have takeover price of 3.35 B with market capitalization of 1.5 B, debt of 116 M, and cash on hands of 174 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the TELUS International fundamentals before making investing decisions based on enterprise value of the company
About 38.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 0.56. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. TELUS International has Price/Earnings To Growth (PEG) ratio of 1.78. The entity recorded a loss per share of 0.66. The firm last dividend was issued on the 9th of March 2023. TELUS International may be sliding down financialy. It has an above-average chance of going through some form of financial crunch next quarter.
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The recent return on assets of TELUS suggests not a very effective usage of assets in July.
Covid
TELUS International Ownership Allocation
TELUS International shows a total of 113 Million outstanding shares. TELUS International maintains noticeable amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how many assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.
TELUS International Profitability Analysis
The company reported the revenue of 2.66 B. Net Loss for the year was (61 M) with profit before overhead, payroll, taxes, and interest of 387 M.
About TELUS International Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of TELUS International. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of TELUS International based exclusively on its fundamental and basic technical indicators. By analyzing TELUS International's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of TELUS International's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of TELUS International. We calculate exposure to TELUS International's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of TELUS International's related companies.
When determining whether TELUS International is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if TELUS Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Telus International Stock. Highlighted below are key reports to facilitate an investment decision about Telus International Stock:
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in TELUS International. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
To learn how to invest in TELUS Stock, please use our How to Invest in TELUS International guide.You can also try the Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Please note, there is a significant difference between TELUS International's value and its price as these two are different measures arrived at by different means. Investors typically determine if TELUS International is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, TELUS International's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.