In a recent interview with BNN Bloomberg, David McFadgen, managing director of institutional equity research at ATB Cormark Capital Markets, highlighted Quebecor as his “favourite name in the telecom space,” citing a strategy that mirrors its successful disruption of the landline market two decades ago.

Following its acquisition of Freedom Mobile, Quebecor has introduced roaming-inclusive plans that strike at a traditional profit centre for rivals like Bell and Rogers. Before the pandemic, roaming revenue typically accounted for $400 million to $500 million annually for the incumbents.

“They’re including roaming in all their plans, so they’re hitting the incumbents where it hurts,” McFadgen said. “Canadians can travel the world without worrying about bill shock. It’s very appealing, and the incumbents don’t want to match that because they don’t want to lose that high-margin revenue.”

McFadgen noted that Quebecor is steadily gaining market share, a trend he expects to continue “for many years.”