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Rogers Communications

TSX:RCI.B
Snowflake Description

Established dividend payer and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
RCI.B
TSX
CA$30B
Market Cap
  1. Home
  2. CA
  3. Telecom
Company description

Rogers Communications Inc. operates as a communications and media company in Canada. The last earnings update was 31 days ago. More info.


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RCI.B Share Price and Events
7 Day Returns
8.2%
TSX:RCI.B
1.2%
North America Wireless Telecom
2.5%
CA Market
1 Year Returns
-19%
TSX:RCI.B
7.4%
North America Wireless Telecom
-24.8%
CA Market
RCI.B Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Rogers Communications (RCI.B) 8.2% -8.6% -9.5% -19% -2.4% 34.1%
North America Wireless Telecom 1.2% -9.7% 5.3% 7.4% 7.1% 60%
CA Market 2.5% -20.8% -24.7% -24.8% -22.2% -17%
1 Year Return vs Industry and Market
  • RCI.B underperformed the Wireless Telecom industry which returned 7.4% over the past year.
  • RCI.B outperformed the Market in Canada which returned -24.8% over the past year.
Price Volatility
RCI.B
Industry
5yr Volatility vs Market
Related Companies

RCI.B Value

 Is Rogers Communications undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Rogers Communications to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Rogers Communications.

TSX:RCI.B Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 16 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5.8%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSX:RCI.B
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.4%
Equity Risk Premium S&P Global 5.4%
Wireless Telecom Unlevered Beta Simply Wall St/ S&P Global 0.33
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.333 (1 + (1- 26.5%) (67.33%))
0.664
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.44% + (0.8 * 5.44%)
5.79%

Discounted Cash Flow Calculation for TSX:RCI.B using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Rogers Communications is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

TSX:RCI.B DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 5.79%)
2020 2,171.36 Analyst x11 2,052.48
2021 2,435.55 Analyst x11 2,176.16
2022 2,664.00 Analyst x2 2,249.96
2023 2,829.32 Est @ 6.21% 2,258.76
2024 2,964.44 Est @ 4.78% 2,237.07
2025 3,076.35 Est @ 3.78% 2,194.42
2026 3,170.94 Est @ 3.07% 2,138.05
2027 3,252.88 Est @ 2.58% 2,073.22
2028 3,325.78 Est @ 2.24% 2,003.63
2029 3,392.31 Est @ 2% 1,931.82
Present value of next 10 years cash flows CA$21,315.00
TSX:RCI.B DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$3,392.31 × (1 + 1.44%) ÷ (5.79% – 1.44%)
CA$79,070.83
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$79,070.83 ÷ (1 + 5.79%)10
CA$45,028.56
TSX:RCI.B Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$21,315.00 + CA$45,028.56
CA$66,343.56
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$66,343.56 / 504.93
CA$131.39
TSX:RCI.B Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$131.39
Current discount Discount to share price of CA$58.23
= -1 x (CA$58.23 - CA$131.39) / CA$131.39
55.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Rogers Communications is available for.
Intrinsic value
>50%
Share price is CA$58.23 vs Future cash flow value of CA$131.39
Current Discount Checks
For Rogers Communications to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Rogers Communications's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Rogers Communications's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Rogers Communications's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Rogers Communications's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:RCI.B PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in CAD CA$3.99
TSX:RCI.B Share Price ** TSX (2020-04-03) in CAD CA$58.23
North America Wireless Telecom Industry PE Ratio Median Figure of 9 Publicly-Listed Wireless Telecom Companies 18.68x
Canada Market PE Ratio Median Figure of 497 Publicly-Listed Companies 10.31x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Rogers Communications.

TSX:RCI.B PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:RCI.B Share Price ÷ EPS (both in CAD)

= 58.23 ÷ 3.99

14.59x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Rogers Communications is good value based on earnings compared to the North America Wireless Telecom industry average.
  • Rogers Communications is overvalued based on earnings compared to the Canada market.
Price based on expected Growth
Does Rogers Communications's expected growth come at a high price?
Raw Data
TSX:RCI.B PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 14.59x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts
5.5%per year
North America Wireless Telecom Industry PEG Ratio Median Figure of 8 Publicly-Listed Wireless Telecom Companies 1.71x
Canada Market PEG Ratio Median Figure of 233 Publicly-Listed Companies 0.68x

*Line of best fit is calculated by linear regression .

TSX:RCI.B PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 14.59x ÷ 5.5%

2.67x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Rogers Communications is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Rogers Communications's assets?
Raw Data
TSX:RCI.B PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in CAD CA$18.65
TSX:RCI.B Share Price * TSX (2020-04-03) in CAD CA$58.23
North America Wireless Telecom Industry PB Ratio Median Figure of 15 Publicly-Listed Wireless Telecom Companies 1.4x
Canada Market PB Ratio Median Figure of 2,360 Publicly-Listed Companies 0.99x
TSX:RCI.B PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:RCI.B Share Price ÷ Book Value per Share (both in CAD)

= 58.23 ÷ 18.65

3.12x

* Primary Listing of Rogers Communications.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Rogers Communications is overvalued based on assets compared to the North America Wireless Telecom industry average.
X
Value checks
We assess Rogers Communications's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Wireless Telecom industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Wireless Telecom industry average (and greater than 0)? (1 check)
  5. Rogers Communications has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

RCI.B Future Performance

 How is Rogers Communications expected to perform in the next 1 to 3 years based on estimates from 16 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
5.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Rogers Communications expected to grow at an attractive rate?
  • Rogers Communications's earnings growth is expected to exceed the low risk savings rate of 1.4%.
Growth vs Market Checks
  • Rogers Communications's earnings growth is expected to exceed the Canada market average.
  • Rogers Communications's revenue growth is positive but not above the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:RCI.B Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:RCI.B Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts 5.5%
TSX:RCI.B Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 16 Analysts 1.5%
North America Wireless Telecom Industry Earnings Growth Rate Market Cap Weighted Average 4.1%
North America Wireless Telecom Industry Revenue Growth Rate Market Cap Weighted Average 8.7%
Canada Market Earnings Growth Rate Market Cap Weighted Average 5.1%
Canada Market Revenue Growth Rate Market Cap Weighted Average 3.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:RCI.B Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:RCI.B Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31 15,968 5,407 2,513 3
2021-12-31 15,392 5,078 2,137 16
2020-12-31 14,969 4,772 2,006 16
2020-04-05
TSX:RCI.B Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-12-31 15,073 4,526 2,043
2019-09-30 15,059 4,411 2,077
2019-06-30 15,074 4,410 2,078
2019-03-31 15,050 4,401 2,025
2019-01-01 15,096 4,288 2,059
2018-09-30 14,889 4,379 2,056
2018-06-30 14,766 4,452 1,970
2018-03-31 14,630 4,227 1,960
2017-12-31 14,369 3,938 1,845
2017-09-30 14,148 3,849 1,337
2017-06-30 13,994 3,657 1,049
2017-03-31 13,829 3,955 915

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Rogers Communications's earnings are expected to grow by 5.5% yearly, however this is not considered high growth (20% yearly).
  • Rogers Communications's revenue is expected to grow by 1.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:RCI.B Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below

All data from Rogers Communications Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:RCI.B Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31 4.98 5.25 4.71 2.00
2021-12-31 4.42 4.78 4.08 5.00
2020-12-31 4.13 4.26 4.03 5.00
2020-04-05
TSX:RCI.B Past Financials Data
Date (Data in CAD Millions) EPS *
2019-12-31 3.99
2019-09-30 4.04
2019-06-30 4.04
2019-03-31 3.93
2019-01-01 4.00
2018-09-30 3.99
2018-06-30 3.83
2018-03-31 3.81
2017-12-31 3.58
2017-09-30 2.60
2017-06-30 2.04
2017-03-31 1.78

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Rogers Communications is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Rogers Communications's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the North America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the North America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Rogers Communications has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

RCI.B Past Performance

  How has Rogers Communications performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Rogers Communications's growth in the last year to its industry (Wireless Telecom).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Rogers Communications's year on year earnings growth rate has been positive over the past 5 years.
  • Rogers Communications's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Rogers Communications's 1-year earnings growth is negative, it can't be compared to the North America Wireless Telecom industry average.
Earnings and Revenue History
Rogers Communications's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Rogers Communications Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:RCI.B Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 15,073.00 2,043.00 11.00
2019-09-30 15,059.00 2,077.00 12.00
2019-06-30 15,074.00 2,078.00 15.00
2019-03-31 15,050.00 2,025.00 15.00
2019-01-01 15,096.00 2,059.00 14.00
2018-09-30 14,889.00 2,056.00 13.00
2018-06-30 14,766.00 1,970.00 11.00
2018-03-31 14,630.00 1,960.00 11.00
2017-12-31 14,369.00 1,845.00 12.00
2017-09-30 14,148.00 1,337.00 11.00
2017-06-30 13,994.00 1,049.00 10.00
2017-03-31 13,829.00 915.00 10.00
2016-12-31 13,702.00 835.00 9.00
2016-09-30 13,644.00 1,104.00 10.00
2016-06-30 13,536.00 1,348.00 11.00
2016-03-31 13,484.00 1,317.00 10.00
2015-12-31 13,414.00 1,342.00 11.00
2015-09-30 13,328.00 1,379.00 10.00
2015-06-30 13,196.00 1,247.00 9.00
2015-03-31 13,005.00 1,289.00 8.00
2014-12-31 12,850.00 1,341.00 7.00
2014-09-30 12,727.00 1,364.00 8.00
2014-06-30 12,699.00 1,496.00 9.00
2014-03-31 12,699.00 1,623.00 12.00
2013-12-31 12,706.00 1,669.00 14.00
2013-09-30 12,724.00 1,871.00 18.00
2013-06-30 12,676.00 1,873.00 15.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Whilst Rogers Communications has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.
  • Rogers Communications used its assets more efficiently than the North America Wireless Telecom industry average last year based on Return on Assets.
  • Rogers Communications has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Rogers Communications's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Wireless Telecom industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Rogers Communications has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

RCI.B Health

 How is Rogers Communications's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Rogers Communications's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Rogers Communications's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Rogers Communications's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Rogers Communications's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Rogers Communications Company Filings, last reported 3 months ago.

TSX:RCI.B Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 9,416.00 18,205.00 595.00
2019-09-30 9,643.00 17,987.00 262.00
2019-06-30 8,814.00 18,152.00 404.00
2019-03-31 8,267.00 16,372.00 264.00
2019-01-01 8,156.00 16,545.00 675.00
2018-09-30 7,789.00 15,768.00 57.00
2018-06-30 7,445.00 16,187.00
2018-03-31 7,268.00 16,433.00
2017-12-31 7,496.00 16,039.00 421.00
2017-09-30 6,290.00 16,175.00 423.00
2017-06-30 5,770.00 16,989.00 101.00
2017-03-31 5,342.00 17,119.00 118.00
2016-12-31 5,269.00 16,951.00 91.00
2016-09-30 5,821.00 16,988.00 113.00
2016-06-30 5,925.00 17,182.00 92.00
2016-03-31 5,705.00 17,515.00 116.00
2015-12-31 5,636.00 17,670.00 209.00
2015-09-30 5,748.00 17,357.00 178.00
2015-06-30 5,468.00 16,906.00 125.00
2015-03-31 5,441.00 16,552.00 149.00
2014-12-31 5,481.00 15,629.00 312.00
2014-09-30 5,249.00 15,349.00 198.00
2014-06-30 5,122.00 15,029.00 47.00
2014-03-31 4,918.00 15,104.00 2,286.00
2013-12-31 4,669.00 13,993.00 2,374.00
2013-09-30 4,505.00 12,252.00 844.00
2013-06-30 4,254.00 12,706.00 875.00
  • Rogers Communications's level of debt (193.3%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (285.4% vs 193.3% today).
  • Debt is well covered by operating cash flow (24.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.9x coverage).
X
Financial health checks
We assess Rogers Communications's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Rogers Communications has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

RCI.B Dividends

 What is Rogers Communications's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.43%
Current annual income from Rogers Communications dividends. Estimated to be 3.57% next year.
If you bought CA$2,000 of Rogers Communications shares you are expected to receive CA$69 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Rogers Communications's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (2.75%).
  • Rogers Communications's dividend is below the markets top 25% of dividend payers in Canada (8.52%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:RCI.B Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
North America Wireless Telecom Industry Average Dividend Yield Market Cap Weighted Average of 7 Stocks 5.5%
Canada Market Average Dividend Yield Market Cap Weighted Average of 324 Stocks 4.7%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.3%
Canada Bottom 25% Dividend Yield 25th Percentile 2.7%
Canada Top 25% Dividend Yield 75th Percentile 8.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:RCI.B Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31 2.21 3.00
2021-12-31 2.09 8.00
2020-12-31 2.02 8.00
2020-04-05
TSX:RCI.B Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2020-01-22 2.000 3.248
2019-10-23 2.000 3.145
2019-06-05 2.000 2.952
2019-04-18 2.000 2.894
2019-01-24 2.000 2.792
2018-08-15 1.920 2.792
2018-04-19 1.920 3.046
2018-01-25 1.920 3.308
2017-10-19 1.920 2.942
2017-08-17 1.920 2.965
2017-04-18 1.920 3.049
2017-01-26 1.920 3.353
2016-10-20 1.920 3.682
2016-08-11 1.920 3.440
2016-04-18 1.920 3.712
2016-01-27 1.920 3.849
2015-10-22 1.920 3.821
2015-08-13 1.920 4.175
2015-04-21 1.920 4.404
2015-01-29 1.920 4.378
2014-10-23 1.830 4.095
2014-08-14 1.830 4.216
2014-04-22 1.830 4.223
2014-02-12 1.830 4.176
2013-10-24 1.740 3.704
2013-08-15 1.740 3.974
2013-04-23 1.740 3.888
2013-02-15 1.740 3.465
2012-10-24 1.580 3.536
2012-08-15 1.580 3.923
2012-04-25 1.580 4.259
2012-02-22 1.580 4.076
2011-10-26 1.420 3.752
2011-08-17 1.420 3.881
2011-04-27 1.420 3.869
2011-02-16 1.420 4.113
2010-10-26 1.280 3.600
2010-08-18 1.280 3.321
2010-04-29 1.280 3.527
2010-02-17 1.280 3.698
2009-10-27 1.160 3.590
2009-08-20 1.160 3.937
2009-04-29 1.160 3.817

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Rogers Communications's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.2x coverage).
X
Income/ dividend checks
We assess Rogers Communications's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Rogers Communications afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Rogers Communications has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

RCI.B Management

 What is the CEO of Rogers Communications's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Joe Natale
COMPENSATION CA$11,703,950
AGE 55
TENURE AS CEO 3 years
CEO Bio

Mr. Joseph M. Natale, also known as Joe, is a Co-Founder and Managing Partner of Relay Ventures. Mr. Natale has been Chief Executive Officer, President and Director at Rogers Communications Inc. since April 19, 2017. He is the Founder of Gibraltar Growth Corporation. He served as the Chief Commercial Officer at Telus Communications Inc and served as its Executive Vice-President and President of Business Solutions. Mr. Natale served as an Executive Officer of TELUS Corporation since August 10, 2015. He served as the Chief Executive Officer and President of TELUS Corporation from May 8, 2014 to August 10, 2015. He joined TELUS Corporation in 2003 as President of Business Solutions, leading a team responsible for providing comprehensive telecommunications and information technology solutions to private and public sector business customers across Canada and internationally holding a number of senior positions including President of Enterprise Solutions, President of Consumer Solutions and Chief Commercial Officer. He served as an Executive Vice President at TELUS Corporation from June 16, 2003 to May 8, 2014. and served as its President of Consumer Solutions and Chief Commercial Officer. He served as Chief Commercial Officer of TELUS Consumer Solutions, leading a national team of over 25,000 responsible for providing communications, information and entertainment solutions for consumers and businesses, as well as regulatory and government affairs team. At TELUS, he leads the national sales strategy for corporate and public sector customers and supports the continuous development of relationships with customers and partners to enhance its presence in the national marketplace. In the last 12 years, Mr. Natale has played an integral role in building a national communications company that is recognized worldwide for its financial performance, corporate social responsibility practices and commitment to putting Customers First. He has been the Telecommunications Chair for United Way Toronto's since 2014. He was architect of TELUS' Customers First strategy, the number one company-wide priority since 2010. In 1997, he joined KPMG Consulting. he co-founded, PNO Management Consultants Inc., was acquired by KPMG and he joined after it acquired the company he co-founded, PNO Management Consultants Inc., in 1997. Mr. Natale holds a BASc in Electrical Engineering from the University of Waterloo. There, he held successive senior leadership roles including country leader for Canada, managing partner for the consumer and industrial markets teams and global managing director for the automotive and transportation practice. He has extensive industry and leadership experience in Central Canada and has significant operational strength. In 16 years of management consulting and entrepreneurial experience, he generated significant and sustained revenue growth and built productive relationships with many leading companies. He served as and President of Consumer Solutions at Telus Communications Inc. He served as the President of TELUS Client Solutions at TELUS Corporation since June 16, 2003. He served as Country Leader for Canada and Global Leader for the automotive and transportation markets at BearingPoint Inc. From 2000 to 2003, he served as Senior Vice President of BearingPoint and Managing Director of its Global Automotive and Transportation Practice. He served as Senior Vice-President of BearingPoint from 2001 to October 2002. He joined BearingPoint as a Partner in 1997 and was its Managing Partner of Business Transformation Services since 1999. He co-founded Piller Natale & Oh Management Consultants Inc., and served as its President. He began his career at Accenture in 1987 in strategy and transformation services. He served as Vice Chairman of Celestica Inc. from July 21, 2016 to July 26, 2017 and its Corporate Director from January 25, 2012 to July 26, 2017. He has been a Director of Gibraltar Growth Corporation since November 16, 2015 and served as its Member of Advisory Board. He has been a Director at Soulpepper Theatre Company since 2013. He has been an Independent Director of Livingston International Inc., the operating company of Livingston International Income Fund since February 11, 2002. He serves as a Member of the Advisory Board at Alignvest Acquisition II Corporation. He serves as Member of Advisory Board of Altas Partners LP. He serves as a Director of CARROT Insights Inc. He has been a Trustee of Livingston International Income Fund since January 4, 2002. He serves as a Trustee of The Hospital for Sick Children. He served on the Director of KPMG Canada from 1998 to 1999. He served as a Director of TELUS Corporation since 2014 until August 10, 2015. He is a Member of Royal Conservatory of Music, Canadian Health Industries Partnership and Governing Council of Sunnybrook and Women's Health Science Centre, Toronto. He is actively involved in United Way and other charitable community initiatives. He was a recipient of Caldwell Partners International "Top 40 Under 40" award and is a frequent guest lecturer at the University of Waterloo on the subject of entrepreneurship. Mr. Natale holds a Bachelor of Applied Science (honors) degree in Electrical Engineering from the University of Waterloo. He holds Bachelor of Business Administration degree from the Schulich School of Business at York University. He is a CFA.

CEO Compensation
  • Joe's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Joe's remuneration is about average for companies of similar size in Canada.
Management Team Tenure

Average tenure of the Rogers Communications management team in years:

2
Average Tenure
  • The tenure for the Rogers Communications management team is about average.
Management Team

Joe Natale

TITLE
President
COMPENSATION
CA$12M
AGE
55
TENURE
3 yrs

Tony Staffieri

TITLE
Chief Financial Officer
COMPENSATION
CA$5M
TENURE
8 yrs

Dean Prevost

TITLE
President of Rogers for Business
COMPENSATION
CA$3M
TENURE
2.6 yrs

Brent Johnston

TITLE
President of Wireless Division
COMPENSATION
CA$4M
TENURE
1.8 yrs

Jordan Banks

TITLE
President of Media Division
COMPENSATION
CA$5M
AGE
50
TENURE
0.6 yrs

Glenn Brandt

TITLE
Senior Vice President of Corporate Finance

Jorge Fernandes

TITLE
Chief Technology & Information Officer
COMPENSATION
CA$5M
TENURE
2.2 yrs

Paul Carpino

TITLE
Vice President of Investor Relations

Graeme McPhail

TITLE
Chief Legal & Regulatory Officer and Secretary
TENURE
1.8 yrs

Sevaun Palvetzian

TITLE
Chief Communications Officer
TENURE
0.2 yrs
Board of Directors Tenure

Average tenure and age of the Rogers Communications board of directors in years:

11.7
Average Tenure
61
Average Age
  • The average tenure for the Rogers Communications board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Edward Rogers

TITLE
Non-Independent Chair of the Board
COMPENSATION
CA$1M
AGE
49
TENURE
2.3 yrs

Joe Natale

TITLE
President
COMPENSATION
CA$12M
AGE
55
TENURE
3 yrs

Phil Lind

TITLE
Non-Executive Vice Chair
COMPENSATION
CA$929K
AGE
75
TENURE
29.3 yrs

Melinda Rogers

TITLE
Non-Independent Deputy Chair
COMPENSATION
CA$527K
AGE
48
TENURE
2.3 yrs

John Clappison

TITLE
Independent Lead Director
COMPENSATION
CA$385K
AGE
72
TENURE
2 yrs

Isabelle Marcoux

TITLE
Independent Director
COMPENSATION
CA$284K
AGE
49
TENURE
12 yrs

Loretta Rogers

TITLE
Non-Independent Director
COMPENSATION
CA$258K
AGE
79
TENURE
40.3 yrs

David Peterson

TITLE
Independent Director
COMPENSATION
CA$263K
AGE
75
TENURE
29 yrs

Alan Horn

TITLE
Non-Independent Director
COMPENSATION
CA$304K
AGE
67
TENURE
14.3 yrs

Martha Rogers

TITLE
Non-Independent Director
COMPENSATION
CA$259K
AGE
46
TENURE
11.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
10. Dec 19 Sell Philip Hartling Individual 09. Dec 19 09. Dec 19 -145 CA$64.13 CA$-9,299
29. Oct 19 Buy Bonnie Brooks Individual 29. Oct 19 29. Oct 19 1,500 CA$61.91 CA$92,829
25. Sep 19 Sell Philip Hartling Individual 23. Sep 19 23. Sep 19 -200 CA$65.92 CA$-13,184
23. Aug 19 Buy Brent Johnston Individual 20. Aug 19 20. Aug 19 630 CA$67.57 CA$42,569
01. Aug 19 Sell Anthony Staffieri Individual 30. Jul 19 30. Jul 19 -574 CA$68.76 CA$-39,468
03. Jul 19 Buy Rogers Enterprises, Inc. Company 02. Jul 19 02. Jul 19 106,990 CA$70.10 CA$7,499,999
24. Jun 19 Sell Philip Hartling Individual 20. Jun 19 20. Jun 19 -351 CA$69.75 CA$-24,481
29. Apr 19 Buy Edward Rogers Individual 26. Apr 19 26. Apr 19 297,000 CA$67.60 CA$20,078,032
X
Management checks
We assess Rogers Communications's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Rogers Communications has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

RCI.B News

Simply Wall St News

With EPS Growth And More, Rogers Communications (TSE:RCI.B) Is Interesting

View our latest analysis for Rogers Communications Rogers Communications's Earnings Per Share Are Growing. … Rogers Communications maintained stable EBIT margins over the last year, all while growing revenue 2.1% to CA$15b. … On top of the insider buying, it's good to see that Rogers Communications insiders have a valuable investment in the business.

Simply Wall St -

Is Rogers Communications Inc.'s (TSE:RCI.B) ROE Of 24% Impressive?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Rogers Communications: 24% = CA$2.1b ÷ CA$8.8b (Based on the trailing twelve months to June 2019.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … Does Rogers Communications Have A Good Return On Equity? … Combining Rogers Communications's Debt And Its 24% Return On Equity Rogers Communications does use a significant amount of debt to increase returns.

Simply Wall St -

Rogers Communications Inc. (TSE:RCI.B) Insiders Increased Their Holdings

View our latest analysis for Rogers Communications Rogers Communications Insider Transactions Over The Last Year Over the last year, we can see that the biggest insider purchase was by Chairman of the Board Edward Rogers for CA$20m worth of shares, at about CA$67.60 per share. … TSX:RCI.B Recent Insider Trading, August 12th 2019 Insiders at Rogers Communications Have Sold Stock Recently We have seen a bit of insider selling at Rogers Communications, over the last three months. … Insider Ownership I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders.

Simply Wall St -

What To Know Before Buying Rogers Communications Inc. (TSE:RCI.B) For Its Dividend

(TSE:RCI.B) from a dividend investor's perspective. Owning a strong business and reinvesting the dividends is widely seen as an attractive way of growing your wealth. If you are hoping to live on the income from dividends, it's important to be a lot more stringent with your investments than the average punter. A 2.9% yield is nothing to get excited about, but investors probably think the long payment history suggests Rogers Communications has some staying power. The company also bought back stock equivalent to around 0.6% of market capitalisation this year. There are a few simple ways to reduce the risks of buying Rogers Communications for its dividend, and we'll go through these below. Explore this interactive chart for our latest analysis on Rogers Communications! TSX:RCI.B Historical Dividend Yield, July 31st 2019 Payout ratios Dividends are typically paid from company earnings. If a company pays more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. Comparing dividend payments to a company's net profit after tax is a simple way of reality-checking whether a dividend is sustainable. Looking at the data, we can see that 48% of Rogers Communications's profits were paid out as dividends in the last 12 months. A medium payout ratio strikes a good balance between paying dividends, and keeping enough back to invest in the business. Plus, there is room to increase the payout ratio over time. We also measure dividends paid against a company's levered free cash flow, to see if enough cash was generated to cover the dividend. Last year, Rogers Communications paid a dividend while reporting negative free cash flow. While there may be an explanation, we think this behaviour is generally not sustainable. Is Rogers Communications's Balance Sheet Risky? As Rogers Communications has a meaningful amount of debt, we need to check its balance sheet to see if the company might have debt risks. A rough way to check this is with these two simple ratios: a) net debt divided by EBITDA (earnings before interest, tax, depreciation and amortisation), and b) net interest cover. … For the purpose of this article, we only scrutinise the last decade of Rogers Communications's dividend payments. … While we're not hugely bearish on it, overall we think there are potentially better dividend stocks than Rogers Communications out there.

Simply Wall St -

Should You Be Holding Rogers Communications Inc. (TSE:RCI.B)?

For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Rogers Communications here. … TSX:RCI.B Historical Dividend Yield, July 19th 2019 Next Steps: For Rogers Communications, I've put together three fundamental aspects you should look at: Future Outlook: What are well-informed industry analysts predicting for RCI.B’s future growth? … Take a look at our free research report of analyst consensus for RCI.B’s outlook.

Simply Wall St -

Here's What Rogers Communications Inc.'s (TSE:RCI.B) ROCE Can Tell Us

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Rogers Communications: 0.14 = CA$3.7b ÷ (CA$33b - CA$6.8b) (Based on the trailing twelve months to March 2019.) Therefore, Rogers Communications has an ROCE of 14%. … What Are Current Liabilities, And How Do They Affect Rogers Communications's ROCE? … Due to the way the ROCE equation works, having large bills due in the near term can make it look as though a company has less capital employed, and thus a higher ROCE than usual.

Simply Wall St -

Can You Imagine How Rogers Communications's (TSE:RCI.B) Shareholders Feel About The 61% Share Price Increase?

(TSE:RCI.B) share price is up 61% in the last 5 years, clearly besting than the market return of around 0.5% (ignoring dividends). … During five years of share price growth, Rogers Communications achieved compound earnings per share (EPS) growth of 4.5% per year. … We note that for Rogers Communications the TSR over the last 5 years was 92%, which is better than the share price return mentioned above.

Simply Wall St -

Should Income Investors Look At Rogers Communications Inc. (TSE:RCI.B) Before Its Ex-Dividend?

Some investors rely on dividends for growing their wealth, and if you're one of those dividend sleuths, you might be intrigued to know that Rogers Communications Inc. … Businesses with strong growth prospects usually make the best dividend payers, because it's easier to grow dividends when earnings per share are improving. … Earnings per share have been growing at a steady rate, and Rogers Communications paid out less than half its profits and more than half its free cash flow as dividends over the last year.

Simply Wall St -

Should You Take Comfort From Insider Transactions At Rogers Communications Inc. (TSE:RCI.B)?

So we'll take a look at whether insiders have been buying or selling shares in Rogers Communications Inc. … The Last 12 Months Of Insider Transactions At Rogers Communications. … The good news for Rogers Communications share holders is that an insider was buying at near the current price

Simply Wall St -

What To Know Before Buying Rogers Communications Inc. (TSE:RCI.B) For Its Dividend

(TSE:RCI.B) be an attractive dividend share to own for the long haul? … Investors are often drawn to a company for its dividend. … In this case, Rogers Communications likely looks attractive to investors, given its 3.0% dividend yield and a payment history of over ten years.

Simply Wall St -

RCI.B Company Info

Description

Rogers Communications Inc. operates as a communications and media company in Canada. It operates through three segments: Wireless, Cable, and Media. The Wireless segment offers wireless voice and data communication services to individual consumers, businesses, governments, and other telecommunications service providers; postpaid and prepaid wireless services under the Rogers, Fido, and chatr brands; and wireless devices, services, and applications to consumers and businesses. It provides its services to approximately 10.8 million subscribers. The Cable segment provides high-speed Internet, television, voice communication, and smart home monitoring services to consumers, businesses, governments, and wholesale resellers; and operates a transcontinental fiber-optic network that extends approximately 70,000 route kilometers, which provides voice and data communications and advanced services, including data centers and cloud computing to the enterprise, public sector, and carrier wholesale markets. Its service territory covers approximately 4.4 million homes. The Media segment owns the Toronto Blue Jays league baseball team and the Rogers Centre event venue; and offers television and radio broadcasting, multi-platform shopping experience, digital media, and publishing services. Rogers Communications Inc. was founded in 1960 and is based in Toronto, Canada.

Details
Name: Rogers Communications Inc.
RCI.B
Exchange: TSX
Founded: 1960
CA$29,601,879,926
504,925,318
Website: http://www.rogers.com
Address: Rogers Communications Inc.
333 Bloor Street East,
Toronto,
Ontario, M4W 1G9,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX RCI.B Class B Non-Voting Common Shares The Toronto Stock Exchange CA CAD 30. Nov 1979
NYSE RCI Class B Non-Voting Common Shares New York Stock Exchange US USD 30. Nov 1979
DB RCIB Class B Non-Voting Common Shares Deutsche Boerse AG DE EUR 30. Nov 1979
TSX RCI.A Class A Common Shares The Toronto Stock Exchange CA CAD 13. Dec 1972
OTCPK RCIA.F Class A Common Shares Pink Sheets LLC US USD 13. Dec 1972
Number of employees
Current staff
Staff numbers
25,300
Rogers Communications employees.
Industry
Wireless Telecommunication Services
Telecom
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/05 09:51
End of day share price update: 2020/04/03 00:00
Last estimates confirmation: 2020/04/02
Last earnings filing: 2020/03/05
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.