A Dividend Giant I’d Buy Over Telus Stock Right Now

Telus (TSX:T) is one of Canada’s big telecom stocks. That means it generates a reliable revenue stream and pays a handsome dividend. But lately, Telus stock has come under scrutiny.

That’s because Telus suspended its semi-annual dividend hikes, prompting investors to look elsewhere for growth rather than investing in Telus stock. Telus remains a reliable telecom, but dividend freezes raise questions about its growth trajectory.

One alternative for investors to consider is Toronto-Dominion Bank (TSX:TD). Here’s why the bank stock may be the better option over Telus stock at this juncture.

Meet TD Bank

TD is one of the big bank stocks. In fact, it’s the second largest of the big banks in Canada. TD operates large segments both in Canada and the U.S., with the domestic business providing stability and the international segment catering to growth.

That duopoly of stability and growth is something investors will appreciate when compared to Telus stock.

TD’s international growth in the U.S. is an intriguing option on its own. The bank expanded that segment in the years following the Great Recession by stitching together a series of smaller acquisitions.

Today, that branch network outnumbers its domestic counterpart by branch count and extends from Maine to Florida along the east coast.

More importantly, that segment caters to millions of customers and accounts for billions in loans and deposits.

That’s not to say that TD’s domestic segment should be dismissed. The Canadian banking segment accounts for the bulk of the bank’s revenue and allows it to invest in growth and pay out a very handsome dividend (more on that in a moment)

In the most recent quarterly update, the domestic segment posted net income of $1.9 billion, on record revenue of $5.3 billion.

Between the diversified and defensive business model, ample growth potential and the stellar results, there are more than a few reasons to buy TD over Telus stock.

The real reason you want to invest in TD

One of the main reasons investors love TD as an investment is its quarterly dividend. The bank is a beacon of stability in this area, with over 165 years of uninterrupted payments behind it.

Further, TD has provided annual upticks to its dividend, without fail, for well over a decade. In fact, the most recent uptick was announced this month, which was a 2.9% uptick.

As of the time of writing, TD’s dividend carries a yield of 3.4%. Prospective investors should note that TD’s payout comes in between 40–50%, giving it a more sustainable appeal when compared to Telus stock.

Will you purchase TD over Telus Stock now?

No stock is without risk. Investors recently learned this lesson when Telus announced it was freezing its popular semi-annual dividend increase. This left Telus stockholders seeking better options like TD.

TD strikes a perfect balance between defensive appeal, growth prospects, reliable revenue generation and a stable dividend.

Buy it, hold it, and watch your well-diversified portfolio grow.

The post A Dividend Giant I’d Buy Over Telus Stock Right Now appeared first on The Motley Fool Canada.

Should you invest $1,000 in TELUS right now?

Before you buy stock in TELUS, consider this:

The Motley Fool Stock Advisor Canada analyst team identified what they believe are the 15 best stocks for investors to buy now… and TELUS wasn’t one of them. The 15 stocks that made the cut could potentially produce monster returns in the coming years.

Consider MercadoLibre, which we first recommended on January 8, 2014 … if you invested $1,000 in the “eBay of Latin America” at the time of our recommendation, you’d have $21,105.89!*

Now, it’s worth noting Stock Advisor Canada’s total average return is 95%* – a market-crushing outperformance compared to 72%* for the S&P/TSX Composite Index. Don’t miss out on our top 15 list, available when you join Stock Advisor Canada.

See the 15 Stocks #start_btn6 { background: #0e6d04 none repeat scroll 0 0; color: #fff; font-size: 1.2em; font-family: 'Montserrat', sans-serif; font-weight: 600; height: auto; line-height: 1.2em; margin: 30px 0; max-width: 350px; text-align: center; width: auto; box-shadow: 0 1px 0 rgba(0, 0, 0, 0.5), 0 1px 0 #fff inset, 0 0 2px rgba(0, 0, 0, 0.2); border-radius: 5px; } #start_btn6 a { color: #fff; display: block; padding: 20px; padding-right:1em; padding-left:1em; } #start_btn6 a:hover { background: #FFE300 none repeat scroll 0 0; color: #000; } @media (max-width: 480px) { div#start_btn6 { font-size:1.1em; max-width: 320px;} } margin_bottom_5 { margin-bottom:5px; } margin_top_10 { margin-top:10px; }

* Returns as of November 17th, 2025

More reading

• 3 Dividend Stocks Worth Holding Forever
• Tax Loss Selling: What to Sell and What to Buy in December 2025
• Why Is Everyone Talking About Telus’s Dividend All of a Sudden?
• What’s Going on With TD Bank After Q4 Earnings
• Best Canadian Stocks to Buy With $7,000 Right Now

Fool contributor Demetris Afxentiou has positions in Toronto-Dominion Bank. The Motley Fool recommends TELUS. The Motley Fool has a disclosure policy.