Shaw Communications Inc. (SJR.B) Dips -1.16% on Jan 10

January 10, 2018 - By Kurt Siggers

Shares of Shaw Communications Inc. (TSE:SJR.B) last traded at 28.03, representing a move of -1.16%, or -0.33 per share, on volume of 282,424 shares. After opening the trading day at 28.27, shares of Shaw Communications Inc. traded in a close range. Shaw Communications Inc. currently has a total float of 477.12 million shares and on average sees 864,964 shares exchange hands each day. The stock now has a 52-week low of 26.48 and high of 30.44.

What Drives The Canadian Economy?

Canada is an important aspect of the North American economy. While the US is relatively bigger, it still has interesting potentials to drive economic growth in the region.
With a thriving equity market, any nation has the capacity to carry out long-term prospects. In Canada, for example, there is the Toronto Stock Exchange (TSX). The benchmark index is the S&P/TSX Composite Index, replacing the TSE 300 Index.

Facts About the S&P/TSX Composite Index

The S&P/TSX Composite Index is a free-float market-capitalization-weighted index like most leading indices in the world. This means that its components are the most actively traded stocks on the TSX, excluding those that are held by inside traders, venture capitalists, and government entities. Stocks held by these stakeholders are not frequently traded, which is why it is useless to include them on indices. Shaw Communications Inc. is one of the stocks traded on it.

The S&P/TSX Composite Index had recorded its all-time high of 15,657.63 in September 2014, thanks to the gains in crude oil prices that primarily led the surge in the Energy and Financials sectors’ the two biggest sectors on the weighted index. Meanwhile, it had recorded its all-time low of 217.50 in February 1950. As of October 31, 2014, more than 1,500 companies are listed on the TSX. By the end of May, the TSX already had a market capitalization of $2.78 trillion. The regular trading session on the TSX begins at 9:30 a.m. and ends at 4:00 p.m. There is also a post-market session that lasts from 4:15 p.m. until 5:00 p.m.

What Makes Up the S&P/TSX Composite Index

There are numerous requirements in order for companies to be included in the S&P/TSX Composite Index. For starters, of course, they need to be listed on the TSX. Consequently, they must operate in accordance to all existing Canadian corporate laws. As Shaw Communications Inc. is still listed, this means that the stock complies with all laws.

In order to become a component of the S&P/TSX Composite Index, a stock must weigh at least 0.05% of the index. Prior to rebalancing, it must have traded an average of C$1 in the preceding three months and at least C$1 in the last three sessions leading to the month of review. Moreover, its trading volume must weigh at least 0.025% of the overall trading volume of all eligible stocks.

About 250 companies make up the S&P/TSX Composite Index. The Financials and Energy sectors alone account for 56% of it, with the former making up 36% and the latter making up 20%. The next biggest sectors include the Materials, Industrial, and Consumer Discretionary sectors.

Because the Organization of the Petroleum Exporting Countries (OPEC) has recently decided to cut oil production rate to lift oil prices, the Energy sector of the S&P/TSX Composite Index is poised for potential gains. Professional analysts might be interested how this will affect Shaw Communications Inc..

Investing on the TSX is an ideal way to bet on the Canadian economy. With a promising long-term growth, investors will surely benefit from valuable returns be it in the near term or the longer term.

More notable recent Shaw Communications Inc. (TSE:SJR.B) news were published by: Nasdaq.com which released: “Shaw Communications (SJR) Q1 Earnings: What’s in Store?” on January 09, 2018, also Business.Financialpost.com with their article: “‘Master company builder’ Jim Shaw, former head of Shaw Communications, dies at …” published on January 04, 2018, Nasdaq.com published: “Shaw Communications Inc. (SJR) Ex-Dividend Date Scheduled for December 14, 2017” on December 13, 2017. More interesting news about Shaw Communications Inc. (TSE:SJR.B) were released by: Business.Financialpost.com and their article: “Will Freedom Mobile shake up the wireless market? We’re about to find out” published on January 09, 2018 as well as Zacks.com‘s news article titled: “Here’s Why You Should Sell Shaw Communications (SJR) Now” with publication date: December 28, 2017.

Shaw Communications Inc. operates as a diversified communications firm in Canada and the United States. The company has market cap of $14.09 billion. The firm operates through Consumer, Business Network Services, Business Infrastructure Services, and Wireless divisions. It has a 16.41 P/E ratio. The Consumer segment provides cable telecommunications services, including video, Internet, WiFi and phone, and satellite video services.

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