TELUS Corporation (TU) Financial Ratios
28 years of historical data (1998–2025) · Communication Services · Telecommunications Services
EV/EBITDA
↓
8.47
+8% vs avg
5yr avg: 7.85
30Y Low3.5·High8.3
P/FCF
↓
10.86
↓-34% vs avg
5yr avg: 16.45
30Y Low7.3·High96.5
P/B Ratio
↓
1.51
+2% vs avg
5yr avg: 1.49
30Y Low0.5·High3.0
ROE
↓
6.7%
-16% vs avg
5yr avg: 7.9%
30Y Low-3%·High19%
Debt/EBITDA
↑
4.90
+18% vs avg
5yr avg: 4.16
30Y Low1.0·High4.9
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
TU Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
TELUS Corporation trades at 22.7x earnings, 8% above its 5-year average of 21.0x, sitting at the 93rd percentile of its historical range. Compared to the Communication Services sector median P/E of 15.3x, the stock trades at a premium of 49%. On a free-cash-flow basis, the stock trades at 10.9x P/FCF, 34% below the 5-year average of 16.4x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $18.0B | $20.2B | $20.2B | $25.9B | $27.1B | $31.8B | $25.3B | $23.3B | $19.8B | $22.5B | $18.9B |
| Enterprise Value | $38.4B | $49.1B | $49.1B | $52.5B | $51.3B | $52.1B | $40.6B | $37.2B | $33.6B | $35.7B | $31.5B |
| P/E Ratio → | 22.72 | 18.29 | 20.24 | 30.67 | 16.79 | 19.16 | 21.06 | 13.35 | 12.37 | 14.34 | 15.47 |
| P/S Ratio | 1.25 | 0.99 | 1.00 | 1.30 | 1.48 | 1.89 | 1.65 | 1.60 | 1.40 | 1.70 | 1.48 |
| P/B Ratio | 1.51 | 1.22 | 1.20 | 1.50 | 1.53 | 1.98 | 2.57 | 2.84 | 1.91 | 2.72 | 2.38 |
| P/FCF | 10.86 | 8.60 | 13.80 | 20.12 | 23.27 | — | — | 706.35 | 16.72 | 25.92 | 58.67 |
| P/OCF | 5.25 | 4.15 | 4.16 | 5.76 | 5.63 | 7.26 | 5.53 | 5.94 | 4.88 | 5.69 | 5.87 |
P/E links to full P/E history page with 30-year chart
TU EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
TELUS Corporation's enterprise value stands at 8.5x EBITDA, 8% above its 5-year average of 7.9x. The Communication Services sector median is 9.6x, placing the stock at a 12% discount on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.39 | 2.44 | 2.62 | 2.80 | 3.09 | 2.65 | 2.55 | 2.38 | 2.70 | 2.47 |
| EV / EBITDA | 8.47 | 7.64 | 7.17 | 8.16 | 8.00 | 8.28 | 7.40 | 6.70 | 6.56 | 7.48 | 7.43 |
| EV / EBIT | 23.01 | 17.13 | 18.57 | 22.04 | 16.07 | 16.89 | 16.54 | 12.60 | 11.91 | 12.97 | 14.51 |
| EV / FCF | — | 20.87 | 33.60 | 40.77 | 44.04 | — | — | 1127.89 | 28.38 | 41.23 | 97.80 |
TU Profitability
Margins and return-on-capital ratios measuring operating efficiency
TELUS Corporation earns an operating margin of 11.5%, above the Communication Services sector average of 1.6%. ROE of 6.7% is modest. ROIC of 3.9% represents below-average returns on invested capital.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 33.8% | 33.8% | 62.1% | 62.3% | 61.1% | 60.2% | 59.1% | 58.4% | 54.8% | 55.0% | 55.7% |
| Operating Margin | 11.5% | 11.5% | 13.9% | 11.8% | 16.1% | 18.3% | 16.2% | 20.4% | 20.1% | 19.7% | 17.1% |
| Net Profit Margin | 5.4% | 5.4% | 4.9% | 4.2% | 8.8% | 9.8% | 7.9% | 12.0% | 11.4% | 11.1% | 9.6% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.7% | 6.7% | 5.8% | 4.8% | 9.6% | 12.8% | 13.3% | 18.8% | 17.2% | 18.0% | 15.7% |
| ROA | 1.9% | 1.9% | 1.7% | 1.5% | 3.2% | 4.0% | 3.8% | 5.6% | 5.1% | 5.1% | 4.5% |
| ROIC | 3.9% | 3.9% | 4.7% | 4.1% | 5.7% | 7.5% | 7.9% | 9.7% | 9.3% | 9.3% | 8.2% |
| ROCE | 4.8% | 4.8% | 5.9% | 5.1% | 6.9% | 8.9% | 9.1% | 11.2% | 10.8% | 11.1% | 9.7% |
TU Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
TELUS Corporation carries a Debt/EBITDA ratio of 4.9x, which is highly leveraged (36% above the sector average of 3.6x). Net debt stands at $28.8B ($31.5B total debt minus $2.6B cash). Interest coverage of just 1.9x is concerning — the company has limited headroom to absorb earnings volatility before struggling with debt service.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.90 | 1.90 | 1.77 | 1.59 | 1.42 | 1.31 | 1.62 | 1.74 | 1.37 | 1.67 | 1.64 |
| Debt / EBITDA | 4.90 | 4.90 | 4.35 | 4.27 | 3.92 | 3.33 | 2.91 | 2.58 | 2.78 | 2.88 | 3.07 |
| Net Debt / Equity | — | 1.74 | 1.72 | 1.54 | 1.37 | 1.26 | 1.55 | 1.69 | 1.33 | 1.60 | 1.59 |
| Net Debt / EBITDA | 4.49 | 4.49 | 4.23 | 4.13 | 3.77 | 3.22 | 2.79 | 2.50 | 2.70 | 2.78 | 2.97 |
| Debt / FCF | — | 12.27 | 19.80 | 20.64 | 20.76 | — | — | 421.54 | 11.65 | 15.30 | 39.13 |
| Interest Coverage | 1.88 | 1.88 | 1.87 | 1.84 | 3.68 | 3.83 | 3.29 | 4.17 | 4.39 | 4.71 | 4.27 |
TU Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
The current ratio of 0.86x is below 1.0, meaning current liabilities exceed current assets — though the company's $2.6B cash position helps mitigate short-term liquidity concerns. The current ratio has improved from 0.67x to 0.86x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.86 | 0.86 | 0.68 | 0.67 | 0.74 | 0.61 | 0.79 | 0.78 | 0.79 | 0.56 | 0.50 |
| Quick Ratio | 0.81 | 0.81 | 0.61 | 0.62 | 0.67 | 0.55 | 0.72 | 0.70 | 0.72 | 0.48 | 0.44 |
| Cash Ratio | 0.27 | 0.27 | 0.09 | 0.09 | 0.12 | 0.09 | 0.14 | 0.10 | 0.09 | 0.10 | 0.09 |
| Asset Turnover | — | 0.34 | 0.35 | 0.36 | 0.34 | 0.35 | 0.45 | 0.50 | 0.43 | 0.45 | 0.46 |
| Inventory Turnover | 28.18 | 28.18 | 12.14 | 15.57 | 13.23 | 14.95 | 19.62 | 18.01 | 16.94 | 15.70 | 17.71 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
TU Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
TELUS Corporation returns 6.6% to shareholders annually — split between a 6.5% dividend yield and 0.2% buyback yield. The payout ratio exceeds 100% at 146.3%, meaning the company is paying out more than it earns — this level is unsustainable long-term without earnings recovery. The earnings yield of 4.4% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 6.5% | 8.1% | 7.8% | 5.1% | 4.4% | 3.3% | 3.7% | 4.9% | 5.8% | 4.8% | 5.7% |
| Payout Ratio | 146.3% | 146.3% | 157.3% | 156.4% | 73.6% | 63.1% | 77.1% | 65.8% | 71.3% | 74.1% | 87.5% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.4% | 5.5% | 4.9% | 3.3% | 6.0% | 5.2% | 4.7% | 7.5% | 8.1% | 7.0% | 6.5% |
| FCF Yield | 9.2% | 11.6% | 7.2% | 5.0% | 4.3% | — | — | 0.1% | 6.0% | 3.9% | 1.7% |
| Buyback Yield | 0.2% | 0.2% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.5% | 0.0% | 0.9% |
| Total Shareholder Yield | 6.6% | 8.3% | 7.8% | 5.1% | 4.4% | 3.3% | 3.7% | 4.9% | 6.3% | 4.8% | 6.6% |
| Shares Outstanding | — | $1.5B | $1.5B | $1.5B | $1.4B | $1.4B | $1.3B | $1.2B | $1.2B | $1.2B | $1.2B |
Peer Comparison
Compare TU with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 TUYou | $18B | 22.7 | 8.5 | 10.9 | 33.8% | 11.5% | 6.7% | 3.9% | 4.9 |
 BCE | $22B | 4.9 | 6.7 | 9.3 | 68.4% | 22.2% | 31.8% | 6.9% | 3.9 |
 T | $154B | 7.2 | 6.9 | 7.9 | 79.8% | 19.2% | 17.6% | 6.7% | 3.9 |
 VZ | $191B | 11.2 | 7.8 | 9.5 | 45.6% | 21.2% | 16.6% | 8.0% | 4.2 |
 TMUS | $197B | 18.7 | 9.7 | 19.0 | 47.6% | 21.2% | 18.2% | 8.1% | 3.8 |
 S | $5B | -11.0 | — | 66.6 | 73.2% | -30.9% | -29.0% | -16.6% | — |
 LUMN | $8B | -4.7 | 9.8 | 22.8 | 46.5% | -1.5% | — | -0.8% | 6.9 |
 FYBR | $10B | -29.6 | 10.5 | — | 64.5% | 5.9% | -6.3% | 1.7% | 6.1 |
 SHEN | $784M | -20.0 | 12.8 | — | 26.9% | -6.2% | -4.0% | -1.1% | 5.9 |
 CSCO | $471B | 46.9 | 33.6 | 35.5 | 64.9% | 20.8% | 22.1% | 13.0% | 1.9 |
 NOK | $77B | 107.2 | 35.4 | 47.9 | 43.5% | 3.9% | 3.1% | 3.0% | 2.7 |
| Communication Services Median | — | 15.3 | 9.6 | 11.4 | 48.5% | 1.6% | 2.0% | 2.6% | 3.6 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 28 years · Updated daily
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TU — Frequently Asked Questions
Quick answers to the most common questions about buying TU stock.
What is TELUS Corporation's P/E ratio?
TELUS Corporation's current P/E ratio is 22.7x. The historical average is 18.4x. This places it at the 93th percentile of its historical range.
What is TELUS Corporation's EV/EBITDA?
TELUS Corporation's current EV/EBITDA is 8.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 6.3x.
What is TELUS Corporation's ROE?
TELUS Corporation's return on equity (ROE) is 6.7%. The historical average is 11.8%.
Is TU stock overvalued?
Based on historical data, TELUS Corporation is trading at a P/E of 22.7x. This is at the 93th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is TELUS Corporation's dividend yield?
TELUS Corporation's current dividend yield is 6.48% with a payout ratio of 146.3%.
What are TELUS Corporation's profit margins?
TELUS Corporation has 33.8% gross margin and 11.5% operating margin. Operating margin between 10-20% is typical for established companies.
How much debt does TELUS Corporation have?
TELUS Corporation's Debt/EBITDA ratio is 4.9x, indicating high leverage. A ratio above 4x may signal elevated financial risk.