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Shaw Communications downgraded to Hold from Buy at Canaccord

Canaccord analyst Aravinda Galappatthige downgraded Shaw Communications (SJR) to Hold from Buy with a C$40.50 price target following the recent run-up in the stock following the Tribunal decision. Among the Canadian Telecom sector, Telus (TU) is Galappatthige’s sector pick for the year ahead, citing its "notably superior growth credentials," an expected upswing in free cash flow on the back of a step down in capex and its "generally solid execution." With respect to Rogers (RCI), Galappatthige believes there may still be some near-term upside as the Shaw transaction heads toward a final closing, the analyst added.

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