William Blair Has Positive View of Telus Digital Q2 Earnings

Key Points

• William Blair has increased its Q2 2026 earnings estimates for Telus Digital to $0.10 per share, up from a prior estimate of $0.09.
• Despite the upward revision in earnings estimates, several analysts have downgraded the stock's ratings, with an average target price now at $3.84.
• The company reported a quarterly earnings result of $0.06 per share, exceeding analysts' expectations, and achieving a revenue of $711.33 million.

Telus Digital (NYSE:TIXT - Free Report) - Equities researchers at William Blair increased their Q2 2026 earnings per share (EPS) estimates for Telus Digital in a report released on Monday, August 4th. William Blair analyst M. Nolan now anticipates that the company will earn $0.10 per share for the quarter, up from their previous estimate of $0.09. The consensus estimate for Telus Digital's current full-year earnings is $0.32 per share.

Several other brokerages also recently weighed in on TIXT. Barclays decreased their price target on Telus Digital from $5.00 to $3.00 and set an "equal weight" rating for the company in a report on Friday, April 25th. Scotiabank increased their price target on Telus Digital from $3.00 to $3.40 and gave the stock a "sector perform" rating in a report on Tuesday, June 17th. Wall Street Zen downgraded Telus Digital from a "buy" rating to a "hold" rating in a report on Sunday, July 20th. National Bank Financial downgraded Telus Digital from an "outperform" rating to a "sector perform" rating and set a $4.00 price target for the company. in a report on Monday, July 21st. Finally, National Bankshares downgraded Telus Digital from an "outperform" rating to a "sector perform" rating and increased their price target for the stock from $3.50 to $4.00 in a report on Monday, July 21st. Ten investment analysts have rated the stock with a hold rating, one has given a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average target price of $3.69.

Telus Digital Stock Performance

Shares of TIXT stock traded up $0.10 during trading hours on Tuesday, hitting $3.80. The stock had a trading volume of 765,075 shares, compared to its average volume of 788,623. The firm has a market capitalization of $1.05 billion, a PE ratio of -2.73 and a beta of 0.90. Telus Digital has a twelve month low of $2.13 and a twelve month high of $4.60. The stock's 50 day moving average is $3.63 and its 200 day moving average is $3.18. The company has a debt-to-equity ratio of 0.85, a current ratio of 0.84 and a quick ratio of 0.86.

Telus Digital (NYSE:TIXT - Get Free Report) last posted its quarterly earnings data on Friday, August 1st. The company reported $0.06 earnings per share for the quarter, beating the consensus estimate of $0.05 by $0.01. The business had revenue of $711.33 million during the quarter, compared to the consensus estimate of $660.87 million. Telus Digital had a positive return on equity of 1.99% and a negative net margin of 14.09%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Mackenzie Financial Corp increased its position in Telus Digital by 31.1% during the 4th quarter. Mackenzie Financial Corp now owns 10,868,451 shares of the company's stock worth $42,673,000 after purchasing an additional 2,578,241 shares in the last quarter. QV Investors Inc. increased its position in Telus Digital by 25.8% during the 2nd quarter. QV Investors Inc. now owns 7,614,325 shares of the company's stock worth $27,623,000 after purchasing an additional 1,561,690 shares in the last quarter. Scheer Rowlett & Associates Investment Management Ltd. increased its position in Telus Digital by 2.5% during the 2nd quarter. Scheer Rowlett & Associates Investment Management Ltd. now owns 3,667,490 shares of the company's stock worth $13,394,000 after purchasing an additional 87,750 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its position in Telus Digital by 209.4% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 2,095,220 shares of the company's stock worth $8,222,000 after purchasing an additional 1,418,119 shares in the last quarter. Finally, Medina Value Partners LLC purchased a new stake in Telus Digital during the 4th quarter worth about $8,211,000. Institutional investors and hedge funds own 59.55% of the company's stock.

About Telus Digital

TELUS Digital Inc design, builds, and delivers digital solutions for customer experience (CX) in the Asia-Pacific, the Central America, Europe, Africa, North America, and internationally. The company provides digital experience solutions, such as AI and bots, omnichannel CX, enterprise mobility solutions, cloud contact center, big data analytics, platform transformation, and UX/UI design; and customer experience solutions, including work anywhere/work from home, contact center outsourcing, technical support, sales growth and customer retention, healthcare/patient experience, and debt collection.