Quebecor logo

Quebecor

QBR-A.TO
62
Telecommunications Services · Communication Services
Price
C$69.19
+0.00 (+0.00%)
Market Cap
C$15.80B
Exchange
Toronto Stock Exchange
Winston Score
62
Winston looking curious
Winston is curious
A decent business — some strong pillars, some weaker.

Winston Score between 40 and 70. The stock passes some quality checks but not all.

Quebecor is a Canadian media and telecommunications company based in Quebec. It runs Videotron, a major cable and wireless provider that sells internet, TV, and mobile phone plans to homes and businesses, mostly in Quebec. Quebecor also owns TVA Group, one of the largest French-language television networks in Canada, along with newspapers and entertainment properties.

The company earns most of its revenue from monthly subscription fees for internet, mobile, and TV services, which creates a steady and predictable income stream. It operates almost entirely in Canada, with its strongest foothold in Quebec, where its French-language focus gives it a natural advantage over English-speaking national competitors. Quebecor expanded its wireless business nationally after acquiring Freedom Mobile in 2023, making it the fourth-largest wireless carrier in Canada — but competing against Rogers, Bell, and Telus outside Quebec is a significant ongoing challenge.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+3.9% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+22.0% YoY

YoY Growth Rate

Steady EPS growth

R&D Spend

$0/ year

0.0% of revenue

Below sector average (12%)

Research and development spending

Insider Activity

92.6%ownership

Insiders own a meaningful stake in the company

Cash Position

Cash flow positive

$317M cash & investments

Quarterly Free Cash Flow

→ Burn rate stable

Company generates more cash than it spends — no dilution risk from fundraising

Winston looking curious
Growth context

Quebecor is growing revenue at 4% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
43.6%
Healthy — 43.6% gross margin
Operating Margin
26.3%
Excellent — 26.3% operating margin
ROCE
3.8%
Weak — 3.8% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+1.9%
Nearly flat sales (1.9% YoY)
EPS YoY
+18.8%
Earnings growing fast (18.8% YoY)

Healthy double-digit earnings growth — what compounders look like.

EPS Consistency
8/8 quarters
Every recent quarter grew earnings vs last year

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Cash Flow

Cash Conversion
231%
Turns 231% of profit into real cash
FCF Margin
24.7%
Converts sales into free cash efficiently (24.7%)

Free cash flow margin above 20%. Out of every $100 in sales, more than $20 is real cash they keep.

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Stability

Debt / Equity
2.60
Heavy debt load (2.60)
Interest Cover
4.72x
Adequate interest coverage (4.7x)

Interest coverage between 3 and 8. Profits cover interest several times over.

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Valuation

P/E Ratio
15.7x
Fair value — P/E 15.7

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

P/E vs Forward
-0.2
SLOWING
Earnings expected to fall — forward P/E higher than today

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Dividends

Dividend Yield
2.21%
Moderate income — 2.21% yield

Standard yield zone for stable dividend payers. A meaningful piece of total return.

Dividend Growth
+11.1%
Dividend growing fast (11.1% YoY)

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