BCE INC - BCECN 4.7 PERP (BCE-PR-B.CA) Stock Fundamental Analysis
Canada - TSX:BCE-PR-B - CA05534B6952
19 CAD
-0.1 (-0.52%)
We assign a fundamental rating of 5 out of 10 to BCE-PR-B. BCE-PR-B was compared to 31 industry peers in the Diversified Telecommunication Services industry. While BCE-PR-B belongs to the best of the industry regarding profitability, there are concerns on its financial health. BCE-PR-B has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
BCE-PR-B had positive earnings in the past year.
In the past year BCE-PR-B had a positive cash flow from operations.
BCE-PR-B had positive earnings in each of the past 5 years.
BCE-PR-B had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of BCE-PR-B (0.61%) is better than 64.52% of its industry peers.
Looking at the Return On Equity, with a value of 2.40%, BCE-PR-B is in the better half of the industry, outperforming 64.52% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 5.04%, BCE-PR-B is in the better half of the industry, outperforming 67.74% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for BCE-PR-B is in line with the industry average of 5.44%.
The last Return On Invested Capital (5.04%) for BCE-PR-B is above the 3 year average (4.90%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 2.4% | ||
| ROIC | 5.04% |
ROA(3y)2.34%
ROA(5y)3.04%
ROE(3y)7.82%
ROE(5y)9.47%
ROIC(3y)4.9%
ROIC(5y)4.97%
1.3 Margins
Looking at the Profit Margin, with a value of 1.77%, BCE-PR-B is in the better half of the industry, outperforming 64.52% of the companies in the same industry.
In the last couple of years the Profit Margin of BCE-PR-B has declined.
With a decent Operating Margin value of 22.50%, BCE-PR-B is doing good in the industry, outperforming 64.52% of the companies in the same industry.
BCE-PR-B's Operating Margin has been stable in the last couple of years.
The Gross Margin of BCE-PR-B (67.94%) is better than 67.74% of its industry peers.
BCE-PR-B's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.5% | ||
| PM (TTM) | 1.77% | ||
| GM | 67.94% |
OM growth 3Y0.29%
OM growth 5Y-0.91%
PM growth 3Y-61.33%
PM growth 5Y-44.58%
GM growth 3Y-0.23%
GM growth 5Y-0.19%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BCE-PR-B is creating some value.
BCE-PR-B has about the same amout of shares outstanding than it did 1 year ago.
BCE-PR-B has more shares outstanding than it did 5 years ago.
The debt/assets ratio for BCE-PR-B is higher compared to a year ago.
2.2 Solvency
BCE-PR-B has an Altman-Z score of 0.56. This is a bad value and indicates that BCE-PR-B is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of BCE-PR-B (0.56) is worse than 67.74% of its industry peers.
The Debt to FCF ratio of BCE-PR-B is 9.25, which is on the high side as it means it would take BCE-PR-B, 9.25 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 9.25, BCE-PR-B is doing good in the industry, outperforming 67.74% of the companies in the same industry.
BCE-PR-B has a Debt/Equity ratio of 1.80. This is a high value indicating a heavy dependency on external financing.
BCE-PR-B has a Debt to Equity ratio of 1.80. This is in the better half of the industry: BCE-PR-B outperforms 77.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 9.25 | ||
| Altman-Z | 0.56 |
ROIC/WACC1.2
WACC4.2%
2.3 Liquidity
A Current Ratio of 0.61 indicates that BCE-PR-B may have some problems paying its short term obligations.
With a decent Current ratio value of 0.61, BCE-PR-B is doing good in the industry, outperforming 64.52% of the companies in the same industry.
BCE-PR-B has a Quick Ratio of 0.61. This is a bad value and indicates that BCE-PR-B is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE-PR-B has a Quick ratio of 0.57. This is in the better half of the industry: BCE-PR-B outperforms 64.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
BCE-PR-B shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.84%.
Measured over the past years, BCE-PR-B shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.78% on average per year.
The Revenue has decreased by -0.66% in the past year.
The Revenue has been growing slightly by 0.51% on average over the past years.
EPS 1Y (TTM)-6.84%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-19.23%
Revenue 1Y (TTM)-0.66%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%1.33%
3.2 Future
The Earnings Per Share is expected to grow by 1.52% on average over the next years.
BCE-PR-B is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.40% yearly.
EPS Next Y-10.6%
EPS Next 2Y-4.95%
EPS Next 3Y-3.44%
EPS Next 5Y1.52%
Revenue Next Year1.6%
Revenue Next 2Y2.23%
Revenue Next 3Y1.74%
Revenue Next 5Y2.4%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 6.64, the valuation of BCE-PR-B can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of BCE-PR-B indicates a rather cheap valuation: BCE-PR-B is cheaper than 80.65% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of BCE-PR-B to the average of the S&P500 Index (27.42), we can say BCE-PR-B is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 6.92, the valuation of BCE-PR-B can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BCE-PR-B indicates a somewhat cheap valuation: BCE-PR-B is cheaper than 77.42% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of BCE-PR-B to the average of the S&P500 Index (22.94), we can say BCE-PR-B is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.64 | ||
| Fwd PE | 6.92 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BCE-PR-B indicates a somewhat cheap valuation: BCE-PR-B is cheaper than 74.19% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, BCE-PR-B is valued a bit cheaper than the industry average as 74.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.36 | ||
| EV/EBITDA | 5.19 |
4.3 Compensation for Growth
The decent profitability rating of BCE-PR-B may justify a higher PE ratio.
BCE-PR-B's earnings are expected to decrease with -3.44% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.95%
EPS Next 3Y-3.44%
5. Dividend
5.1 Amount
BCE-PR-B has a Yearly Dividend Yield of 5.26%, which is a nice return.
Compared to an average industry Dividend Yield of 5.26, BCE-PR-B has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, BCE-PR-B pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.26% |
5.2 History
The dividend of BCE-PR-B has a limited annual growth rate of 4.82%.
BCE-PR-B has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.82%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
739.72% of the earnings are spent on dividend by BCE-PR-B. This is not a sustainable payout ratio.
The dividend of BCE-PR-B is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP739.72%
EPS Next 2Y-4.95%
EPS Next 3Y-3.44%
TSX:BCE-PR-B (10/17/2025, 7:00:00 PM)
19
-0.1 (-0.52%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners47.57%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap17.72B
Analysts55
Price Target21.4 (12.63%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.26% |
Yearly Dividend4.17
Dividend Growth(5Y)4.82%
DP739.72%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.79%
Min EPS beat(2)-12.22%
Max EPS beat(2)10.64%
EPS beat(4)2
Avg EPS beat(4)0.98%
Min EPS beat(4)-12.22%
Max EPS beat(4)10.64%
EPS beat(8)4
Avg EPS beat(8)0.86%
EPS beat(12)6
Avg EPS beat(12)1.28%
EPS beat(16)9
Avg EPS beat(16)1.85%
Revenue beat(2)1
Avg Revenue beat(2)0.21%
Min Revenue beat(2)-0.87%
Max Revenue beat(2)1.28%
Revenue beat(4)2
Avg Revenue beat(4)-0.35%
Min Revenue beat(4)-1.99%
Max Revenue beat(4)1.28%
Revenue beat(8)2
Avg Revenue beat(8)-0.99%
Revenue beat(12)3
Avg Revenue beat(12)-0.8%
Revenue beat(16)3
Avg Revenue beat(16)-0.98%
PT rev (1m)4.28%
PT rev (3m)3.86%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)-2.94%
EPS NY rev (1m)-0.29%
EPS NY rev (3m)-1.78%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)2.33%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.64 | ||
| Fwd PE | 6.92 | ||
| P/S | 0.73 | ||
| P/FCF | 4.36 | ||
| P/OCF | 2.37 | ||
| P/B | 0.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.19 |
EPS(TTM)2.86
EY15.05%
EPS(NY)2.75
Fwd EY14.46%
FCF(TTM)4.36
FCFY22.93%
OCF(TTM)8.03
OCFY42.24%
SpS26.17
BVpS19.37
TBVpS-9.48
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 2.4% | ||
| ROCE | 9.22% | ||
| ROIC | 5.04% | ||
| ROICexc | 5.09% | ||
| ROICexgc | 9.35% | ||
| OM | 22.5% | ||
| PM (TTM) | 1.77% | ||
| GM | 67.94% | ||
| FCFM | 16.64% |
ROA(3y)2.34%
ROA(5y)3.04%
ROE(3y)7.82%
ROE(5y)9.47%
ROIC(3y)4.9%
ROIC(5y)4.97%
ROICexc(3y)5.01%
ROICexc(5y)5.05%
ROICexgc(3y)9.15%
ROICexgc(5y)9.15%
ROCE(3y)9.37%
ROCE(5y)9.44%
ROICexcg growth 3Y1.14%
ROICexcg growth 5Y-3.03%
ROICexc growth 3Y0.85%
ROICexc growth 5Y-2.9%
OM growth 3Y0.29%
OM growth 5Y-0.91%
PM growth 3Y-61.33%
PM growth 5Y-44.58%
GM growth 3Y-0.23%
GM growth 5Y-0.19%
F-Score5
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 9.25 | ||
| Debt/EBITDA | 3.08 | ||
| Cap/Depr | 67.52% | ||
| Cap/Sales | 14.02% | ||
| Interest Coverage | 3.06 | ||
| Cash Conversion | 70.88% | ||
| Profit Quality | 938.11% | ||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 0.56 |
F-Score5
WACC4.2%
ROIC/WACC1.2
Cap/Depr(3y)97.8%
Cap/Depr(5y)98.75%
Cap/Sales(3y)19.56%
Cap/Sales(5y)19.53%
Profit Quality(3y)656.86%
Profit Quality(5y)446%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.84%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-19.23%
EPS Next Y-10.6%
EPS Next 2Y-4.95%
EPS Next 3Y-3.44%
EPS Next 5Y1.52%
Revenue 1Y (TTM)-0.66%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%1.33%
Revenue Next Year1.6%
Revenue Next 2Y2.23%
Revenue Next 3Y1.74%
Revenue Next 5Y2.4%
EBIT growth 1Y0.22%
EBIT growth 3Y1.64%
EBIT growth 5Y-0.41%
EBIT Next Year94.58%
EBIT Next 3Y26.41%
EBIT Next 5Y15.82%
FCF growth 1Y117.69%
FCF growth 3Y-4.23%
FCF growth 5Y-6.84%
OCF growth 1Y3.74%
OCF growth 3Y-3.43%
OCF growth 5Y-1.95%