SJRWF - Shaw Communications: Declining Wireless Revenue Not A Concern
Investment Thesis
Shaw Communications (SJR) (SJRWF) (TSX:SJR.B) delivered mixed Q2 F2019 with growth in wireline revenue but a decline in wireless revenue. However, its wireless segment should continue to perform well as the decline in revenue was primary due to handset subsidy (introduction of iPhone in its offering) last year. Excluding equipment revenue, Shaw’s wireless service revenue actually increased by 26.1% year over year. In addition, Shaw continued to grow its wireless subscriber adds in Q2 F2019. Therefore, we believe it is a good investment choice for investors seeking capital appreciation