Doubling of customer complaints drives Rogers stock flat trading near $37.50 resistance

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Rogers up 0.12% at $36.31 today

Highlights

Rogers is initiating a major voluntary buyout for roughly half its staff to drive long-term cost reductions amid recent capex cutbacks.
Restructuring risks short-term charges and operational disruption, as customer complaints have nearly doubled, making Rogers/Shaw the sector's top source of dissatisfaction.
RCI trades in a narrow $35.00–$37.50 range, with mixed technical signals suggesting sideways movement or minor upward bias in the near term.

Cost-cutting drives layoffs as complaints and service risks rise

Rogers has initiated a sweeping voluntary buyout program, offering departure and retirement packages to approximately half its workforce as part of a broader cost-cutting initiative following earlier capital expenditure reductions. This move is expected to lower long-term operating costs, yet brings immediate restructuring charges and creates uncertainties around service quality and network performance due to the significant loss of staff. At the same time, customer dissatisfaction is apparent as complaints reported to the CCTS have nearly doubled, positioning Rogers/Shaw as the leading source of complaints among Canadian telecom providers.

Technical stalemate as bullish signals clash with sell momentum

RCI is currently supported by the MA-20 at $34.57, while resistance is defined by the MA-50 at $37.35 and the MA-200 just overhead at $36.64. The Ichimoku Kijun on the daily timeframe stands at $35.66, serving as a secondary support level. MACD on D1 signals a strong sell bias, whereas the ADX confirms notable trend strength. RSI at 52.73 and CCI at 66.62 indicate mild bullish momentum, but Stoch RSI and Bull/Bear Power (BBP) mark overbought territory and clear buyer dominance. The Awesome Oscillator remains neutral on the daily chart, highlighting a lack of decisive trend direction. The current interplay among these indicators suggests a market in indecision, with marginal upward drift tempered by fading MACD momentum.

Sideways action likely as tight range contains directional risk

Over the coming week, the typical volatility band is set between $35.00 and $37.50, keeping the range relatively tight near current levels. With a moderate chance of upward movement (estimated at 50%), the baseline scenario favors sideways price action between identified support and resistance. Should bullish momentum intensify and price breach $37.50, further gains could materialize; however, prolonged selling would risk a move below the $35.00 support.

Viktoras Karapetjanc, expert at Traders Union, sees Rogers Communications making bold cost adjustments with the voluntary buyout program. He believes this signals management’s strong intent to improve efficiency, though short-term uncertainty and service risks remain. Marginal bullish momentum and market indecision suggest a cautiously optimistic outlook. "If Rogers maintains execution on restructuring without deeper service fallout, the stock has room for a constructive move higher."

Earlier, analysts noted that Rogers was consolidating amid mixed momentum, with upside potential constrained by overbought technical signals. The introduction of broad workforce reductions and a spike in customer complaints now add operational risks to the technical picture, making network stability and service delivery the critical factors to watch if price action tests above resistance in the coming sessions.

Source of Data: Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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