BCE INC - BCECN 5.496 PERP (BCE-PR-F.CA) Stock Fundamental Analysis
TSX:BCE-PR-F - Toronto Stock Exchange - CA05534B7455 - Currency: CAD
Overall BCE-PR-F gets a fundamental rating of 3 out of 10. We evaluated BCE-PR-F against 30 industry peers in the Diversified Telecommunication Services industry. BCE-PR-F has a bad profitability rating. Also its financial health evaluation is rather negative. BCE-PR-F has a expensive valuation and it also scores bad on growth. Finally BCE-PR-F also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
BCE-PR-F had positive earnings in the past year.
In the past year BCE-PR-F had a positive cash flow from operations.
In the past 5 years BCE-PR-F has always been profitable.
BCE-PR-F had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BCE-PR-F has a worse Return On Assets (0.54%) than 76.67% of its industry peers.
BCE-PR-F has a Return On Equity of 2.26%. This is in the lower half of the industry: BCE-PR-F underperforms 76.67% of its industry peers.
BCE-PR-F's Return On Invested Capital of 5.04% is on the low side compared to the rest of the industry. BCE-PR-F is outperformed by 76.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BCE-PR-F is in line with the industry average of 5.41%.
The last Return On Invested Capital (5.04%) for BCE-PR-F 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
BCE-PR-F has a worse Profit Margin (1.61%) than 76.67% of its industry peers.
In the last couple of years the Profit Margin of BCE-PR-F has declined.
BCE-PR-F's Operating Margin of 22.74% is on the low side compared to the rest of the industry. BCE-PR-F is outperformed by 76.67% of its industry peers.
In the last couple of years the Operating Margin of BCE-PR-F has remained more or less at the same level.
BCE-PR-F's Gross Margin of 68.27% is on the low side compared to the rest of the industry. BCE-PR-F is outperformed by 70.00% of its industry peers.
In the last couple of years the Gross Margin of BCE-PR-F 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
BCE-PR-F has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for BCE-PR-F remains at a similar level compared to 1 year ago.
Compared to 5 years ago, BCE-PR-F has more shares outstanding
The debt/assets ratio for BCE-PR-F is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.55, we must say that BCE-PR-F is in the distress zone and has some risk of bankruptcy.
BCE-PR-F has a better Altman-Z score (0.55) than 73.33% of its industry peers.
The Debt to FCF ratio of BCE-PR-F is 11.06, which is on the high side as it means it would take BCE-PR-F, 11.06 years of fcf income to pay off all of its debts.
BCE-PR-F has a worse Debt to FCF ratio (11.06) than 66.67% of its industry peers.
BCE-PR-F has a Debt/Equity ratio of 1.95. This is a high value indicating a heavy dependency on external financing.
BCE-PR-F's Debt to Equity ratio of 1.95 is on the low side compared to the rest of the industry. BCE-PR-F is outperformed by 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.95 | ||
| Debt/FCF | 11.06 | ||
| Altman-Z | 0.55 |
ROIC/WACC0.82
WACC6.17%
2.3 Liquidity
BCE-PR-F has a Current Ratio of 0.64. This is a bad value and indicates that BCE-PR-F is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE-PR-F's Current ratio of 0.64 is on the low side compared to the rest of the industry. BCE-PR-F is outperformed by 73.33% of its industry peers.
A Quick Ratio of 0.61 indicates that BCE-PR-F may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.61, BCE-PR-F is doing worse than 73.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for BCE-PR-F have decreased by -2.27% in the last year.
The Earnings Per Share has been decreasing by -2.78% on average over the past years.
BCE-PR-F shows a decrease in Revenue. In the last year, the revenue decreased by -1.23%.
Measured over the past years, BCE-PR-F 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-F 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-F 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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
The Price/Earnings ratio is 6.52, which indicates a rather cheap valuation of BCE-PR-F.
BCE-PR-F's Price/Earnings ratio is a bit more expensive when compared to the industry. BCE-PR-F is more expensive than 60.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.15. BCE-PR-F is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.26, which indicates a rather cheap valuation of BCE-PR-F.
Based on the Price/Forward Earnings ratio, BCE-PR-F is valued a bit more expensive than 63.33% of the companies in the same industry.
BCE-PR-F is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.60, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.52 | ||
| Fwd PE | 7.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCE-PR-F is valued a bit more expensive than 63.33% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BCE-PR-F is valued a bit more expensive than the industry average as 63.33% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.11 | ||
| EV/EBITDA | 5.33 |
4.3 Compensation for Growth
BCE-PR-F's earnings are expected to decrease with -2.78% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
5. Dividend
5.1 Amount
BCE-PR-F has a Yearly Dividend Yield of 6.62%, which is a nice return.
BCE-PR-F's Dividend Yield is rather good when compared to the industry average which is at 6.33. BCE-PR-F pays more dividend than 90.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, BCE-PR-F pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.62% |
5.2 History
The dividend of BCE-PR-F has a limited annual growth rate of 4.82%.
BCE-PR-F has been paying a dividend for at least 10 years, so it has a reliable track record.
As BCE-PR-F did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)4.82%
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
898.21% of the earnings are spent on dividend by BCE-PR-F. This is not a sustainable payout ratio.
BCE-PR-F's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP898.21%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
TSX:BCE-PR-F (6/30/2025, 7:00:00 PM)
19.64
-0.15 (-0.76%)
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 Cap18.10B
Analysts52.73
Price Target22.81 (16.14%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.62% |
Yearly Dividend4.17
Dividend Growth(5Y)4.82%
DP898.21%
Div Incr Years0
Div Non Decr Years5
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)3.98%
PT rev (3m)12.7%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.93%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.52 | ||
| Fwd PE | 7.26 | ||
| P/S | 0.74 | ||
| P/FCF | 5.11 | ||
| P/OCF | 2.38 | ||
| P/B | 1.04 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.33 |
EPS(TTM)3.01
EY15.33%
EPS(NY)2.7
Fwd EY13.76%
FCF(TTM)3.84
FCFY19.58%
OCF(TTM)8.24
OCFY41.95%
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 | 0.55 |
F-Score6
WACC6.17%
ROIC/WACC0.82
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%