Quebecor Inc Cl A MV (QBR.A) AI Stock Analysis

• Market Cap: C$13.25B
• Dividend Yield: 2.7%
• Average Volume (3M): 3.76K
• Price to Earnings (P/E): 13.9
• Beta (1Y): -0.16
• Revenue Growth: -0.29%
• EPS Growth: 15.30%
• Country: CA
• Employees: 11,417
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 0.99
• Shares Outstanding: 74,836,270
• 10 Day Avg. Volume: 4,459
• 30 Day Avg. Volume: 3,757
• PEG Ratio: 0.90
• Price to Book (P/B): 4.52
• Price to Sales (P/S): 2.09
• P/FCF Ratio: 8.35
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 4.19
• Revenue Forecast (FY): C$5.75B

• Rating: 71 Outperform
• Price Target: C$64.00 ▲(16.92% Upside)
• Action: Reiterated Date: 03/02/26
• Date: Action: Reiterated 03/02/26

The score is primarily supported by strong profitability and improving cash generation, reinforced by a positive earnings call highlighting telecom operating momentum and shareholder returns. The main offsets are leverage-related balance-sheet risk and technically overbought momentum signals, with valuation appearing fair rather than clearly discounted.

Positive Factors

High margins & profitability

Consistently strong EBITDA and net margins indicate durable underlying profitability in the core telecom operations. High margins support internal funding for network investment and shareholder returns, provide cushioning against cyclical ad weakness in media, and improve resilience to competitive pricing pressure.

Strong free cash flow generation

Material and improving free cash flow provides structural capacity for dividends, buybacks and debt reduction while funding measured CapEx. Reliable FCF underpins management’s 30–50% payout framework and gives flexibility to prioritize deleveraging or strategic investments over time.

Telecom subscriber & ARPU momentum

Renewed net additions and rising mobile service revenue reflect improving demand and better monetization after the Freedom acquisition. Subscriber and ARPU gains drive recurring revenue durability, support scale economics, and help sustain telecom margins over the medium term.

Negative Factors

Elevated leverage

Meaningful leverage amplifies returns but raises sensitivity to refinancing costs and earnings volatility. Even with improvement the balance sheet constrains strategic optionality, increases interest expense exposure, and could limit pace of buybacks or incremental M&A during adverse credit cycles.

Media segment structural headwinds

Conventional TV and advertising face secular declines from digital competitors. Media profitability gains include one-offs and remain fragile, reducing diversification benefits. Ongoing structural pressure may require continued restructuring or investment, weighing on consolidated earnings durability.

CapEx needs and cash conversion variability

Higher network investment and volatile working-capital swings make FCF conversion less predictable. Persistent CapEx to support 5G and wireline expansion may compress distributable cash in some years and slow deleveraging, limiting steady increases in shareholder distributions long term.

Quebecor Inc Cl A MV Business Overview & Revenue Model

Company Description

Quebecor Inc., together with its subsidiaries, operates in the telecommunications, media, and sports and entertainment businesses in Canada. Its Telecommunications segment offers television distribution, Internet access, mobile and wireline telephony, business solutions, and over-the-top video services; and Helix, a technology platform that provides entertainment and home management with features, including voice remote, ultra-intelligent Wi-Fi, and support for home automation. The company's Media segment is involved in the operation of over-the-air television network and specialty television services; provides soundstage and equipment rental, and post-production services for the film and television industries; prints, publishes, and distributes daily newspapers; operates news and entertainment digital platforms and a music streaming service; publishes and distributes magazines; produces and distributes audiovisual content; and operates an out-of-home advertising business. Its Sports and Entertainment segment engages in the show production, sporting, and cultural events management; publishing and distribution of books; distribution and production of music; and operation of two Quebec Major Junior Hockey League teams. Quebecor Inc. was incorporated in 1965 and is headquartered in Montreal, Canada.

How the Company Makes Money

Quebecor generates revenue primarily through its telecommunications segment, which includes subscription fees from cable and internet services, as well as mobile services offered through Videotron. This segment represents a significant portion of the company's earnings. In addition to telecommunications, Quebecor earns revenue from its media operations, which include advertising sales across its various platforms, subscription fees for its television channels, and revenue from digital content distribution. The company also leverages strategic partnerships with content creators and advertisers, enhancing its ability to monetize its media assets. Overall, Quebecor's diverse revenue streams, coupled with its established market presence in Quebec, contribute to its financial performance.

Quebecor Inc Cl A MV Financial Statement Overview

Summary

Strong profitability (net margin ~13% in 2024 and ~15% in 2025; EBITDA margin ~40%+) and improving operating/free cash flow, but the balance sheet remains a meaningful constraint due to elevated leverage despite improvement (debt-to-equity ~2.9x in 2025).

Income Statement

Revenue has trended higher over the last several years (2022–2025), though growth slowed meaningfully after the 2023 step-up (2024 was low-single-digit; 2025 shows a very large re-acceleration per the provided growth figure). Profitability is a key strength: recent net margins are solid (~13% in 2024 and ~15% in 2025) with consistently strong EBITDA margins (~40%+). A notable watch-out is volatility in gross margin (very high in 2021–2024 but much lower in 2025), which could reflect mix changes or one-time items and bears monitoring despite stronger net income in 2025.

Balance Sheet

Leverage remains the main constraint. Total debt is sizable (roughly $7.5–$8.2B in 2023–2025) and debt relative to equity is elevated, even though it has improved materially from very high levels in 2020–2022 to ~2.9x in 2025 (helped by rising equity). Returns on equity are strong across the period, but they are also amplified by leverage, leaving the balance sheet more sensitive to refinancing conditions and earnings volatility than a lower-debt peer.

Cash Flow

Cash generation is generally strong and improving: operating cash flow rose from about $1.46B (2023) to ~$2.06B (2025) and free cash flow expanded meaningfully to ~$1.42B in 2025 after a softer 2024. Free cash flow is consistently positive in most years (with a notable deficit in 2021), and in 2025 it covered a substantial portion of net income, supporting financial flexibility. The main weakness is variability in conversion over time (including the 2021 free-cash-flow shortfall), which suggests working-capital and/or capital spending swings can materially impact cash available to shareholders and debt reduction.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.68B	5.64B	5.43B	4.53B	4.55B
Gross Profit	1.54B	3.12B	2.99B	2.63B	2.66B
EBITDA	2.39B	2.35B	2.18B	1.89B	1.89B
Net Income	856.00M	747.50M	650.50M	599.70M	578.40M
Balance Sheet
Total Assets	12.81B	13.00B	12.74B	10.63B	10.76B
Cash, Cash Equivalents and Short-Term Investments	195.80M	61.80M	11.10M	6.60M	64.70M
Total Debt	7.50B	8.00B	8.17B	6.83B	6.86B
Total Liabilities	10.08B	10.73B	10.90B	9.14B	9.38B
Stockholders Equity	2.63B	2.16B	1.73B	1.36B	1.26B
Cash Flow
Free Cash Flow	1.42B	820.60M	898.90M	653.10M	-265.40M
Operating Cash Flow	2.06B	1.72B	1.46B	1.26B	1.18B
Investing Cash Flow	-675.80M	-921.90M	-2.68B	-631.30M	-1.54B
Financing Cash Flow	-1.29B	-712.20M	1.18B	-812.60M	281.90M

Quebecor Inc Cl A MV Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 54.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:QBR.A, the sentiment is Positive. The current price of 54.74 is above the 20-day moving average (MA) of 54.28, above the 50-day MA of 52.42, and above the 200-day MA of 45.63, indicating a bullish trend. The MACD of 1.97 indicates Negative momentum. The RSI at 68.54 is Neutral, neither overbought nor oversold. The STOCH value of 83.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:QBR.A.

Quebecor Inc Cl A MV Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RCI.B	75 Outperform	C$29.61B	4.04	49.46%	3.94%	2.75%	342.54%
CCA	72 Outperform	C$3.01B	7.99	10.26%	5.69%	-2.22%	-2.36%
QBR.A	71 Outperform	C$13.25B	13.87	35.34%	2.70%	-0.29%	15.30%
BCE	63 Neutral	C$33.07B	4.71	32.54%	7.42%	0.11%	7109.23%
CGO	62 Neutral	C$695.44M	5.38	10.16%	5.98%	-2.14%	4.40%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
T	57 Neutral	$29.10B	24.88	7.12%	9.49%	2.42%	24.37%

Quebecor Inc Cl A MV Corporate Events

Quebecor Lifts Profit, Cash Flow and Dividend on Telecom Growth and Network Expansion

Quebecor reported 2025 revenues of $5.68 billion and adjusted EBITDA of $2.39 billion, with free cash flow jumping 27.3% to $1.43 billion and adjusted net income rising 17.8% to $879.7 million. Net income attributable to shareholders reached $856.0 million, while the company maintained the lowest net debt leverage ratio among major Canadian telecoms and raised its quarterly dividend by 14.3%.

Operationally, the Telecommunications segment delivered higher revenues and adjusted EBITDA, driven by a 7.6% net increase in mobile connections and steady Internet growth. Videotron, Freedom and Fizz advanced major network and service expansions, including wider Helix and GIGA Internet coverage, 5G+ spectrum rollout and the launch of Fizz TV, while consistently ranking highly in customer-experience surveys and complaint metrics, reinforcing Quebecor’s competitive position in Canada’s telecom market.

The most recent analyst rating on ($TSE:QBR.A) stock is a Hold with a C$55.00 price target. To see the full list of analyst forecasts on Quebecor Inc Cl A MV stock, see the TSE:QBR.A Stock Forecast page.