Wireless CPI Pricing Slows But We Are Cautiously Optimistic for May Data Points

研报英文原文证据摘录

Wireless CPI Pricing Slows But We Are Cautiously Optimistic for May Data Points

TD Cowen

Global Research May 19, 2026

VALUATION METHODOLOGY AND RISKS

Valuation Methodology

Communications

Our valuation methodology consists of primarily using a relative value approach. We arrive

at a fair value by applying an EV/EBITDA multiple to the wireless and wireline businesses.

For the Big Three, these EV/EBITDA multiples are adjusted depending on our current forecast

for the Government of Canada 10-year bond yield as compared to its long-term average.

For QBR, CCA, CGO and TRI, these EV/EBITDA multiples are indirectly adjusted based on the

macroeconomic environment and the current competitive dynamic of the industries in which

the company currently operates. We also take into account P/FCF, P/E and the dividend yield,

as applicable.

Investment Risks

Risks include, as applicable: (1) Companies within the telecommunications space are highly

regulated and adjustments to regulations could have a negative impact on business operations;

(2) Interest rates; (3) Increased competition in the wireline and wireless space amongst the

Big Three or from new entrants could negatively impact FCF and profitability; (4) Competitive

dynamics amongst incumbents and/or new technologies and/or product and service offerings

could impact the pricing/demand for current offerings (i.e. 5G wireless services could evolve

into substitutes for fixed-line broadband services); (5) A deteriorating macroeconomic

environment could reduce discretionary spending on wireline and wireless services and,

subsequently, valuation multiples; (6) Potential health risks from wireless devices and/or

transmission towers; (7) Macroeconomic cycles which impact spending decisions made by

clients and employments levels in the U.S.