BCE INC - BCECN 5.08 PERP (BCE-PR-C.CA) Stock Fundamental Analysis
TSX:BCE-PR-C - Toronto Stock Exchange - CA05534B7869 - Currency: CAD
Taking everything into account, BCE-PR-C scores 3 out of 10 in our fundamental rating. BCE-PR-C was compared to 30 industry peers in the Diversified Telecommunication Services industry. Both the profitability and financial health of BCE-PR-C have multiple concerns. BCE-PR-C has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally BCE-PR-C also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
BCE-PR-C had positive earnings in the past year.
In the past year BCE-PR-C had a positive cash flow from operations.
Each year in the past 5 years BCE-PR-C has been profitable.
Each year in the past 5 years BCE-PR-C had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.54%, BCE-PR-C is doing worse than 66.67% of the companies in the same industry.
BCE-PR-C has a Return On Equity of 2.26%. This is in the lower half of the industry: BCE-PR-C underperforms 66.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.04%, BCE-PR-C is doing worse than 66.67% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for BCE-PR-C is in line with the industry average of 5.41%.
The last Return On Invested Capital (5.04%) for BCE-PR-C is above the 3 year average (4.90%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 2.26% | ||
| 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 1.61%, BCE-PR-C is doing worse than 66.67% of the companies in the same industry.
BCE-PR-C's Profit Margin has declined in the last couple of years.
BCE-PR-C has a worse Operating Margin (22.74%) than 66.67% of its industry peers.
In the last couple of years the Operating Margin of BCE-PR-C has remained more or less at the same level.
With a Gross Margin value of 68.27%, BCE-PR-C is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of BCE-PR-C has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.74% | ||
| PM (TTM) | 1.61% | ||
| GM | 68.27% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BCE-PR-C is still creating some value.
BCE-PR-C has about the same amout of shares outstanding than it did 1 year ago.
BCE-PR-C has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, BCE-PR-C has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.54, we must say that BCE-PR-C is in the distress zone and has some risk of bankruptcy.
BCE-PR-C has a Altman-Z score of 0.54. This is in the better half of the industry: BCE-PR-C outperforms 63.33% of its industry peers.
BCE-PR-C has a debt to FCF ratio of 11.06. This is a negative value and a sign of low solvency as BCE-PR-C would need 11.06 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.06, BCE-PR-C is in line with its industry, outperforming 43.33% of the companies in the same industry.
BCE-PR-C has a Debt/Equity ratio of 1.95. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.95, BCE-PR-C is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.95 | ||
| Debt/FCF | 11.06 | ||
| Altman-Z | 0.54 |
ROIC/WACC1.21
WACC4.18%
2.3 Liquidity
A Current Ratio of 0.64 indicates that BCE-PR-C may have some problems paying its short term obligations.
BCE-PR-C's Current ratio of 0.64 is on the low side compared to the rest of the industry. BCE-PR-C is outperformed by 63.33% of its industry peers.
A Quick Ratio of 0.61 indicates that BCE-PR-C may have some problems paying its short term obligations.
The Quick ratio of BCE-PR-C (0.61) is worse than 63.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for BCE-PR-C have decreased by -2.27% in the last year.
Measured over the past years, BCE-PR-C shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.78% on average per year.
Looking at the last year, BCE-PR-C shows a decrease in Revenue. The Revenue has decreased by -1.23% in the last year.
Measured over the past years, BCE-PR-C shows a small growth in Revenue. The Revenue has been growing by 0.51% on average per year.
EPS 1Y (TTM)-2.27%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-4.17%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%-1.35%
3.2 Future
Based on estimates for the next years, BCE-PR-C will show a small growth in Earnings Per Share. The EPS will grow by 7.91% on average per year.
Based on estimates for the next years, BCE-PR-C will show a small growth in Revenue. The Revenue will grow by 1.89% on average per year.
EPS Next Y-8.98%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
EPS Next 5Y7.91%
Revenue Next Year-0.1%
Revenue Next 2Y1.06%
Revenue Next 3Y0.85%
Revenue Next 5Y1.89%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.25 indicates a rather cheap valuation of BCE-PR-C.
BCE-PR-C's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.51, BCE-PR-C is valued rather cheaply.
The Price/Forward Earnings ratio is 6.96, which indicates a rather cheap valuation of BCE-PR-C.
BCE-PR-C's Price/Forward Earnings ratio is in line with the industry average.
BCE-PR-C's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.58.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.25 | ||
| Fwd PE | 6.96 |
4.2 Price Multiples
BCE-PR-C's Enterprise Value to EBITDA ratio is in line with the industry average.
BCE-PR-C's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.89 | ||
| EV/EBITDA | 5.24 |
4.3 Compensation for Growth
A cheap valuation may be justified as BCE-PR-C's earnings are expected to decrease with -2.78% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.91%, BCE-PR-C is a good candidate for dividend investing.
BCE-PR-C's Dividend Yield is a higher than the industry average which is at 6.53.
BCE-PR-C's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.91% |
5.2 History
The dividend of BCE-PR-C has a limited annual growth rate of 4.82%.
BCE-PR-C has been paying a dividend for at least 10 years, so it has a reliable track record.
BCE-PR-C has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.82%
Div Incr Years2
Div Non Decr Years10
5.3 Sustainability
898.21% of the earnings are spent on dividend by BCE-PR-C. This is not a sustainable payout ratio.
The dividend of BCE-PR-C is growing, but earnings are growing more, so the dividend growth is sustainable.
DP898.21%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
TSX:BCE-PR-C (7/14/2025, 7:00:00 PM)
18.81
+0.01 (+0.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners47.35%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap17.34B
Analysts53.64
Price Target21.09 (12.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.91% |
Yearly Dividend4.17
Dividend Growth(5Y)4.82%
DP898.21%
Div Incr Years2
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.87%
Min EPS beat(2)9.09%
Max EPS beat(2)10.64%
EPS beat(4)2
Avg EPS beat(4)3.75%
Min EPS beat(4)-3.58%
Max EPS beat(4)10.64%
EPS beat(8)4
Avg EPS beat(8)2.18%
EPS beat(12)7
Avg EPS beat(12)2.52%
EPS beat(16)10
Avg EPS beat(16)2.92%
Revenue beat(2)1
Avg Revenue beat(2)-0.35%
Min Revenue beat(2)-0.87%
Max Revenue beat(2)0.17%
Revenue beat(4)1
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-1.99%
Max Revenue beat(4)0.17%
Revenue beat(8)1
Avg Revenue beat(8)-1.24%
Revenue beat(12)2
Avg Revenue beat(12)-1%
Revenue beat(16)2
Avg Revenue beat(16)-1.16%
PT rev (1m)1.82%
PT rev (3m)10.16%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)-1.78%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.29%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)-0.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.25 | ||
| Fwd PE | 6.96 | ||
| P/S | 0.71 | ||
| P/FCF | 4.89 | ||
| P/OCF | 2.28 | ||
| P/B | 1 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.24 |
EPS(TTM)3.01
EY16%
EPS(NY)2.7
Fwd EY14.37%
FCF(TTM)3.84
FCFY20.44%
OCF(TTM)8.24
OCFY43.8%
SpS26.39
BVpS18.8
TBVpS-10.47
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 2.26% | ||
| ROCE | 9.21% | ||
| ROIC | 5.04% | ||
| ROICexc | 5.13% | ||
| ROICexgc | 9.46% | ||
| OM | 22.74% | ||
| PM (TTM) | 1.61% | ||
| GM | 68.27% | ||
| FCFM | 14.57% |
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-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.95 | ||
| Debt/FCF | 11.06 | ||
| Debt/EBITDA | 3.2 | ||
| Cap/Depr | 80.2% | ||
| Cap/Sales | 16.65% | ||
| Interest Coverage | 2.95 | ||
| Cash Conversion | 71.77% | ||
| Profit Quality | 906.39% | ||
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 0.54 |
F-Score6
WACC4.18%
ROIC/WACC1.21
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)-2.27%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-4.17%
EPS Next Y-8.98%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
EPS Next 5Y7.91%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%-1.35%
Revenue Next Year-0.1%
Revenue Next 2Y1.06%
Revenue Next 3Y0.85%
Revenue Next 5Y1.89%
EBIT growth 1Y1.21%
EBIT growth 3Y1.64%
EBIT growth 5Y-0.41%
EBIT Next Year91.5%
EBIT Next 3Y25.46%
EBIT Next 5Y15.47%
FCF growth 1Y39.2%
FCF growth 3Y-4.23%
FCF growth 5Y-6.84%
OCF growth 1Y-2.7%
OCF growth 3Y-3.43%
OCF growth 5Y-1.95%