TU Should I Buy
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$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
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Not a good buy right now. TU is pressing into nearby resistance (~14.01) with short-term momentum looking extended (RSI ~74) and MACD still positive but losing thrust. Options show mixed-to-cautious near-term sentiment (heavy put volume vs calls) alongside extremely elevated implied volatility (IV percentile ~98), which often accompanies uncertainty rather than a clean upside setup. Analyst actions have recently skewed more negative (multiple downgrades and a dividend sustainability concern), and there are no strong proprietary signals (AI Stock Picker / SwingMax) to justify chasing at this level for an impatient buyer. If you already own it, this is more of a hold into the next catalyst (earnings 2026-02-12) than an add-now setup.
Trend/Setup: Price is attempting to grind higher but is now close to first resistance (R1 14.014) after moving above pivot (13.695). Moving averages are converging, which typically signals a consolidation/transition phase rather than a strong trending breakout. Momentum: MACD histogram is above zero (0.0612) but positively contracting—bullish momentum is weakening. RSI(6) ~74.5 is effectively overbought/extended (despite the label shown), suggesting limited near-term upside without a pullback. Key levels: Support: 13.70 (pivot) then 13.38 (S1). Resistance: 14.01 (R1) then 14.21 (R2). A clean breakout above 14.01–14.21 would improve the technical picture; failure there raises pullback risk toward 13.70/13.38.
Intellectia Proprietary Trading Signals
Event catalyst ahead: QDEC 2025 earnings on 2026-02-12 (pre-market) with Street EPS est. ~0.18—earnings can reset sentiment if guidance/cash flow is strong.
Narrative/PR tailwind: Recent AI Trust Report positions TELUS as proactive on responsible AI and transparency; modest positive sentiment for brand/enterprise relationships.
Technically, price is holding above the pivot (13.695); a breakout above 14.01–14.21 could trigger momentum buyers.
Analyst concern on dividend sustainability/capital allocation: JPMorgan downgrade highlighted elevated payout ratio and sustainability concerns—this is a meaningful headwind for a telecom often owned for dividends.
Recent downgrades and target cuts cluster (Veritas to Sell; Barclays cut PT; JPM downgraded), which can cap near-term multiple expansion.
Technical positioning is stretched: RSI near overbought and MACD momentum fading while sitting directly under resistance (~14.01).
Options market shows near-term caution: put volume outweighing call volume alongside very high IV suggests traders are paying up for protection or downside bets.
Latest reported quarter: 2025/Q3. Growth/Profitability: Revenue rose to 5.067B (+0.50% YoY), while net income increased to 493M (+76.07% YoY), indicating improved bottom-line performance. Quality/Mixed signals: EPS is shown as 0 (down -100% YoY in the provided snapshot), which is a red flag/mixed indicator versus the net income jump and suggests either one-time items, reporting nuances, or per-share impacts (share count/adjustments). Margins: Gross margin slipped to 44.03% (-0.54% YoY), pointing to slight pressure on core profitability.
Recent trend: Net negative.
