
Rogers Communications (RCI) Stock Forecast & Price Target
Rogers Communications (RCI) Analyst Ratings
Bulls say
Rogers Communications has demonstrated a strong financial position, evidenced by an increase in margins to 59.0% and a steady growth in Internet net additions, rising from 20k to 26k subscribers quarter-over-quarter. Additionally, the company's cable segment is expected to return to positive revenue growth due to balanced Internet subscriber growth and ongoing infrastructure improvements, while its wireless business continues to experience stable average revenue per user (ARPU) despite a competitive pricing environment. Management's commitment to achieving a lower debt/EBITDA ratio, alongside industry-wide revenue growth forecasts, underpins a positive outlook for the company's financial trajectory.
Bears say
Rogers Communications, as of Q4/24, reported a net debt/EBITDA ratio of 4.5x, which, despite being a slight improvement from 4.7x in the previous year, indicates that the company is falling short of its target of 4.2x due to slower adjusted EBITDA growth and challenges in non-core asset divestitures. The company's outlook is further complicated by a decline in mobile phone postpaid net additions, down 62.5%, and an anticipated lower growth environment influenced by increased market competition, pricing pressures, and economic factors. Additionally, the downside scenario forecasts significant multiple compression and a limited growth trajectory, reflecting concerns over competitive losses and execution issues stemming from the integration of Shaw assets.
This aggregate rating is based on analysts' research of Rogers Communications and is not a guaranteed prediction by Public.com or investment advice.
Rogers Communications (RCI) Analyst Forecast & Price Prediction
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