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Quebecor Inc Cl A MV (TSE:QBR.A)
TSX:QBR.A
Canadian Market
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Quebecor Inc Cl A MV (QBR.A) AI Stock Analysis

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TSE:QBR.A

Quebecor Inc Cl A MV

(TSX:QBR.A)

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Neutral 67 (OpenAI - 4o)
Rating:67Neutral
Price Target:
C$44.00
â–²(8.64% Upside)
Quebecor Inc. shows strong financial performance with robust cash flow and profitability, supported by effective debt management. The telecom segment's growth and reasonable valuation enhance the stock's appeal. However, high leverage and challenges in the media segment present potential risks.

Quebecor Inc Cl A MV (QBR.A) vs. iShares MSCI Canada ETF (EWC)

Quebecor Inc Cl A MV Business Overview & Revenue Model

Company DescriptionQuebecor 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 MoneyQuebecor Inc. generates revenue primarily through its telecommunications sector, which includes Videotron, a major provider of cable television, internet, and mobile services in Quebec. The company earns money from subscription fees for these services. Additionally, Quebecor's media division, which includes television networks, newspapers, and digital media platforms, contributes to its revenue through advertising and content distribution fees. The company also benefits from strategic partnerships and investments in the sports and entertainment industries, which provide additional streams of income through event hosting, ticket sales, and related activities.

Quebecor Inc Cl A MV Earnings Call Summary

Earnings Call Date:Aug 07, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Neutral
Quebecor reported strong operational and financial results, with significant growth in the telecom segment and effective debt reduction strategies. However, challenges remain in the media segment with declining advertising revenues and wireline service revenue pressures.
Q2-2025 Updates
Positive Updates
Strong Operational and Financial Results
Quebecor reported solid operational results with key performance indicators improving in Q2 2025. Cash flows from operating activities increased by $146 million or 37% to $538 million.
Telecom Segment Growth
Mobile service revenues increased by $26 million or 6%, driven by the addition of 346,000 net new lines over 12 months. The company also improved its mobile ARPU from $34.31 to $34.35 sequentially.
Debt Reduction and Strong Balance Sheet
Quebecor reduced its debt by $192 million, improving its net debt-to-EBITDA ratio to 3.20x, the lowest in the Canadian industry.
Media Segment Market Leadership
Group TVA remains #1 in market share in Quebec, despite challenges in the media landscape.
Negative Updates
Media Segment Challenges
EBITDA for Group TVA decreased by $11 million due to a one-time favorable adjustment in 2024 and the absence of major foreign production at MELS studio. The segment faces declining audiences and advertising revenues.
Wireline Revenue Decline
Wireline service revenues continued to decrease, though at a slower rate, with competition from aggressive pricing by competitors like Bell in Quebec.
Stock-Based Compensation Impact
EBITDA was down $20 million or 3% primarily due to a $24.2 million increase in stock-based compensation.
Company Guidance
During the second quarter of 2025, Quebecor Inc. reported strong financial performance with cash flows from operating activities increasing by $146 million or 37% to $538 million. EBITDA, excluding stock-based compensation, rose by $4 million or 1% to $605 million, while net operating results improved by $22 million or 11% to $227 million. The company reduced its debt by $192 million, achieving a net debt-to-EBITDA ratio of 3.20x, the lowest in the Canadian industry. Capital expenditures totaled over $152 million, supporting network improvements and growth projects. Additionally, mobile service revenues grew by $26 million or 6%, driven by the addition of 346,000 net new lines over the past year. Meanwhile, Quebecor's Media segment faced challenges, with Group TVA's EBITDA decreasing by $11 million due to external factors. Despite these challenges, Quebecor maintained strong liquidity with over $755 million available and continued to focus on its competitive positioning and operational efficiency.

Quebecor Inc Cl A MV Financial Statement Overview

Summary
Quebecor Inc Cl A MV demonstrates strong profitability and operational efficiency with impressive margins, though faces challenges with high leverage. The cash flow position is stable, supporting ongoing operations and capital expenditures effectively. Despite a slight recent decline in revenue, the company maintains a solid financial foundation in the telecommunications sector.
Income Statement
65
Positive
The TTM (Trailing-Twelve-Months) gross profit margin stands robust at 55.48%, indicating strong profitability. The net profit margin is healthy at 13.62%, reflecting effective cost management. However, revenue growth has slowed recently, with a 0.35% decline in the latest annual report, suggesting market saturation or competitive pressures. The EBIT and EBITDA margins are impressive at 25.54% and 41.54%, respectively, highlighting operational efficiency.
Balance Sheet
55
Neutral
The debt-to-equity ratio is high at 3.60, indicating significant leverage, which poses a potential risk in volatile markets. However, the return on equity is strong at 34.54%, showcasing effective utilization of shareholder funds. The equity ratio is moderate at 17.09%, suggesting reliance on both equity and debt financing.
Cash Flow
70
Positive
The free cash flow growth rate is moderate at 9.12% annually, reflecting stable cash generation. The operating cash flow to net income ratio is 2.29, indicating robust cash generation relative to accounting profit. The free cash flow to net income ratio is 1.17, showing sufficient free cash flow to cover net income, despite high capital expenditures.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.64B5.43B4.53B4.55B4.32B
Gross Profit3.12B2.99B2.63B2.66B2.59B
EBITDA2.35B2.18B1.89B1.89B1.92B
Net Income747.50M650.50M599.70M578.40M607.20M
Balance Sheet
Total Assets13.00B12.74B10.63B10.76B9.86B
Cash, Cash Equivalents and Short-Term Investments61.80M11.10M6.60M64.70M136.70M
Total Debt8.00B8.17B6.83B6.86B6.10B
Total Liabilities10.73B10.90B9.14B9.38B8.65B
Stockholders Equity2.16B1.73B1.36B1.26B1.11B
Cash Flow
Free Cash Flow820.60M898.90M653.10M-265.40M778.40M
Operating Cash Flow1.72B1.46B1.26B1.18B1.43B
Investing Cash Flow-921.90M-2.68B-631.30M-1.54B-713.90M
Financing Cash Flow-712.20M1.18B-812.60M281.90M-602.00M

Quebecor Inc Cl A MV Technical Analysis

Technical Analysis Sentiment
Negative
Last Price40.50
Price Trends
50DMA
40.86
Negative
100DMA
39.78
Positive
200DMA
36.59
Positive
Market Momentum
MACD
0.55
Positive
RSI
46.18
Neutral
STOCH
32.12
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:QBR.A, the sentiment is Negative. The current price of 40.5 is below the 20-day moving average (MA) of 42.03, below the 50-day MA of 40.86, and above the 200-day MA of 36.59, indicating a neutral trend. The MACD of 0.55 indicates Positive momentum. The RSI at 46.18 is Neutral, neither overbought nor oversold. The STOCH value of 32.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:QBR.A.

Quebecor Inc Cl A MV Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
26.75B17.3613.56%4.06%1.87%71.51%
75
Outperform
26.75B17.7213.56%3.95%1.87%71.51%
73
Outperform
33.97B34.116.35%7.40%2.56%21.28%
69
Neutral
2.81B8.4710.46%5.54%-0.76%-1.21%
67
Neutral
C$10.09B13.3434.50%3.29%-1.02%4.71%
59
Neutral
30.18B70.663.33%8.87%-0.66%-78.79%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:QBR.A
Quebecor Inc Cl A MV
40.50
8.24
25.54%
BCE
BCE
23.49
-9.23
-28.21%
RCI
Rogers Communication
35.75
-2.10
-5.55%
TU
Telus
16.07
0.47
3.01%
TSE:RCI.A
Rogers Comm Cl A
50.62
-3.79
-6.97%
CGEAF
Cogeco Communications
48.14
1.68
3.62%

Quebecor Inc Cl A MV Corporate Events

Business Operations and StrategyFinancial Disclosures
Quebecor Inc. Strengthens Market Position with Robust Q2 2025 Results
Positive
Aug 7, 2025

Quebecor Inc. reported strong financial results for the second quarter of 2025, with a significant increase in cash flows from operating activities and adjusted income. The company continues to enhance its market position through strategic expansions, such as the rollout of 5G+ technology and the introduction of new products like the Roam Beyond Travel Data eSIM. These efforts have resulted in increased customer connections and a reduction in net debt, positioning Quebecor as a leader among Canadian telecommunications providers.

The most recent analyst rating on ($TSE:QBR.A) stock is a Buy with a C$36.00 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.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 18, 2025