TORONTO, July 3, 2026, 09:16 (EDT)
- TELUS Corporation (TSE:T; NYSE:TU) dropped 3.6% to C$14.46 on July 2. The S&P/TSX Composite added 0.31%.
- The C$0.4184 quarterly payout gives an annualized yield near 11.6% at that close.
- Toronto was open for trading on Friday, but TELUS’s New York shares saw no regular action, with U.S. markets shut for Independence Day.
TELUS Corporation (TSE:T; NYSE:TU) opened Friday trading with the stock mostly reacting to its dividend, not this week’s CEO news. TSX shares ended July 2 at C$14.46, a 3.6% slide. The quarterly payout is C$0.4184, putting the yield around 11.6% at that price. With a telecom yield over 11%, questions on cash flow are front and center.
TMX Group’s 2026 market calendar shows Canada Day, July 1, as a holiday on Canadian exchanges. July 3 is listed as a U.S. holiday, with special settlement rules for USD-denominated issues. NYSE and Nasdaq stayed closed for the U.S. Independence Day holiday, leaving the Toronto board as the main price for TELUS on Friday.
TELUS trailed the S&P/TSX Composite by 3.91 points and fell 3.01 behind BCE Inc. (TSE:BCE) on July 2, Trading Economics data showed. There wasn’t broad index selling that day.
| Instrument | July 2 close/level | Day move | 12-month move |
|---|---|---|---|
| TELUS Corporation (TSE:T) | C$14.46 | fell 3.60% | down 34.33% over 12 months |
| BCE Inc. (TSE:BCE) | C$30.37 | slipped 0.59% | off 1.43% for the year |
| S&P/TSX Composite | 34,967 | up 0.31% on the day | gained 29.34% in 12 months |
| S&P/TSX 60 | 2,056 | added 0.26% | rose 27.73% since last year |
The stock dropped 15.44% over the past four weeks, data from Trading Economics showed. According to Investing.com, shares traded between C$14.28 and C$15.25 on July 2, with a 52-week range of C$14.28 to C$23.18. The session’s close was 1.3% above the yearly low and 37.6% off the high.
Victor Dodig took over as TELUS CEO on July 1, following Darren Entwistle’s retirement the day before. Dodig said he plans to meet with employees, customers and investors “to listen, to learn” and to bring “discipline and focus.” The shares fell in Toronto on the first trading day with Dodig in charge. TELUS
TELUS stopped raising its dividend in December and says future payments are still up to the board, which reviews them every quarter. On its dividend page, TELUS says it targets paying out 60% to 75% of free cash flow to common shareholders.
| Payout marker | Figure |
|---|---|
| Closed July 2 | C$14.46 |
| Quarterly dividend on July 2 | C$0.4184 |
| Dividend annualized | C$1.6736 |
| Yield at July 2 close | 11.6% |
| TELUS payout long-term target | 60%-75% of free cash flow |
TELUS is pointing to its latest numbers as the stock drops. The company said in May that first-quarter cash from operations hit C$1.05 billion, with free cash flow up 19% to C$583 million. TELUS kept its 2026 outlook for service revenue growth of 2% to 4%, adjusted EBITDA growth of 2% to 4%, and about C$2.45 billion in free cash flow alongside C$2.3 billion in capex.
| TELUS operating marker | Company figure |
|---|---|
| Q1 mobile and fixed adds | 262,000 |
| Q1 adjusted EBITDA | C$1.8 billion |
| Q1 free cash flow | C$583 million |
| 2026 free cash flow goal | about C$2.45 billion |
| 2026 capex goal | about C$2.3 billion |
| Net debt/EBITDA plan | 3.3x or less by end-2026; 3.0x or below by end-2027 |
Doug French, who was EVP and CFO in May, said TELUS would keep the dividend steady and lower the discount on its dividend reinvestment plan to 1.75%. He linked the move to a goal of at least 10% compounded annual free cash flow growth through 2028 and a push toward lower leverage.
