This telecom dividend giant is overlooked by everyone
Canadian stocks are very popular among investors. This is because this economy is famous for its stability and focus on dividends. Even more interesting for investors may be the fact that relatively unknown stocks can be found here. And we'll take a look at one such stock here.
Don't take my word for it. With a market capitalization of over $40 billion, $BCE is certainly not a small and unknown company. On the other hand, it remains, at least in this country, relatively overshadowed by its competitors - $VZ and $T.
Sector
Before moving on to the company itself, let's take a look at the telecommunications sector, which is often extremely attractive to investors. But it has its risks. This is for several reasons.
Large capital expenditures - Telecom companies must continually invest large sums in building and upgrading networks to keep up with new technologies. This leads to a high debt burden and dependence on debt financing.
Regulation - The telecom market is heavily regulated by the…
Red flag for me: extremely high payout, EPS stagnant/declining, ROI and ROE declining over the long term, debt could be lower too, but that wouldn't bother me as much.
Dividend on the whole fine.
Cool, I'll check it out, I like Canada