BCE INC (BCE) Stock Fundamental Analysis
USA - NYSE:BCE - CA05534B7604 - Common Stock
23.06 USD
-0.05 (-0.22%)
Overall BCE gets a fundamental rating of 4 out of 10. We evaluated BCE against 36 industry peers in the Diversified Telecommunication Services industry. BCE scores excellent on profitability, but there are concerns on its financial health. BCE is valued correctly, but it does not seem to be growing. Finally BCE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year BCE was profitable.
BCE had a positive operating cash flow in the past year.
BCE had positive earnings in each of the past 5 years.
Each year in the past 5 years BCE had a positive operating cash flow.
1.2 Ratios
BCE has a Return On Assets of 0.61%. This is comparable to the rest of the industry: BCE outperforms 58.33% of its industry peers.
The Return On Equity of BCE (2.40%) is better than 61.11% of its industry peers.
The Return On Invested Capital of BCE (7.28%) is better than 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BCE is in line with the industry average of 5.86%.
The last Return On Invested Capital (7.28%) for BCE is above the 3 year average (7.08%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 2.4% | ||
| ROIC | 7.28% |
ROA(3y)2.34%
ROA(5y)3.04%
ROE(3y)7.82%
ROE(5y)9.47%
ROIC(3y)7.08%
ROIC(5y)7.18%
1.3 Margins
BCE has a Profit Margin (1.77%) which is in line with its industry peers.
BCE's Profit Margin has declined in the last couple of years.
BCE has a Operating Margin of 22.50%. This is amongst the best in the industry. BCE outperforms 83.33% of its industry peers.
BCE's Operating Margin has been stable in the last couple of years.
BCE has a Gross Margin of 67.94%. This is amongst the best in the industry. BCE outperforms 86.11% of its industry peers.
BCE'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
BCE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
BCE has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, BCE has more shares outstanding
BCE has a worse debt/assets ratio than last year.
2.2 Solvency
BCE has an Altman-Z score of 0.70. This is a bad value and indicates that BCE is not financially healthy and even has some risk of bankruptcy.
BCE's Altman-Z score of 0.70 is on the low side compared to the rest of the industry. BCE is outperformed by 61.11% of its industry peers.
The Debt to FCF ratio of BCE is 9.25, which is on the high side as it means it would take BCE, 9.25 years of fcf income to pay off all of its debts.
BCE's Debt to FCF ratio of 9.25 is fine compared to the rest of the industry. BCE outperforms 63.89% of its industry peers.
BCE has a Debt/Equity ratio of 1.80. This is a high value indicating a heavy dependency on external financing.
BCE's Debt to Equity ratio of 1.80 is on the low side compared to the rest of the industry. BCE is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 9.25 | ||
| Altman-Z | 0.7 |
ROIC/WACC1.41
WACC5.16%
2.3 Liquidity
A Current Ratio of 0.61 indicates that BCE may have some problems paying its short term obligations.
BCE's Current ratio of 0.61 is on the low side compared to the rest of the industry. BCE is outperformed by 88.89% of its industry peers.
BCE has a Quick Ratio of 0.61. This is a bad value and indicates that BCE is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE has a Quick ratio of 0.57. This is amonst the worse of the industry: BCE underperforms 88.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
The earnings per share for BCE have decreased by -6.84% in the last year.
Measured over the past years, BCE 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 shows a decrease in Revenue. The Revenue has decreased by -0.66% in the last year.
Measured over the past years, BCE shows a small growth in Revenue. The Revenue has been growing by 0.51% on average per year.
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
BCE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.52% yearly.
Based on estimates for the next years, BCE will show a small growth in Revenue. The Revenue will grow by 2.40% on average per year.
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 11.30, the valuation of BCE can be described as reasonable.
Based on the Price/Earnings ratio, BCE is valued cheaply inside the industry as 91.67% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.19. BCE is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 11.76, the valuation of BCE can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BCE indicates a rather cheap valuation: BCE is cheaper than 86.11% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.50, BCE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.3 | ||
| Fwd PE | 11.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCE is valued a bit cheaper than the industry average as 72.22% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, BCE is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.42 | ||
| EV/EBITDA | 6.37 |
4.3 Compensation for Growth
BCE has a very decent profitability rating, which may justify a higher PE ratio.
BCE'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 has a Yearly Dividend Yield of 6.84%, which is a nice return.
Compared to an average industry Dividend Yield of 5.30, BCE pays a better dividend. On top of this BCE pays more dividend than 86.11% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, BCE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.84% |
5.2 History
The dividend of BCE has a limited annual growth rate of 4.82%.
BCE has been paying a dividend for at least 10 years, so it has a reliable track record.
BCE has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.82%
Div Incr Years16
Div Non Decr Years16
5.3 Sustainability
739.72% of the earnings are spent on dividend by BCE. This is not a sustainable payout ratio.
BCE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP739.72%
EPS Next 2Y-4.95%
EPS Next 3Y-3.44%
NYSE:BCE (10/31/2025, 11:39:10 AM)
23.06
-0.05 (-0.22%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners47.57%
Inst Owner Change-0.62%
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap21.50B
Revenue(TTM)24.41B
Net Income(TTM)433.00M
Analysts55
Price Target25.75 (11.67%)
Short Float %2.7%
Short Ratio8.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.84% |
Yearly Dividend2.97
Dividend Growth(5Y)4.82%
DP739.72%
Div Incr Years16
Div Non Decr Years16
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)-0.87%
PT rev (3m)2.04%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)-0.97%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.78%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)2.59%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.3 | ||
| Fwd PE | 11.76 | ||
| P/S | 1.23 | ||
| P/FCF | 7.42 | ||
| P/OCF | 4.02 | ||
| P/B | 1.67 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.37 |
EPS(TTM)2.04
EY8.85%
EPS(NY)1.96
Fwd EY8.5%
FCF(TTM)3.11
FCFY13.48%
OCF(TTM)5.73
OCFY24.85%
SpS18.69
BVpS13.83
TBVpS-6.77
PEG (NY)N/A
PEG (5Y)N/A
Graham Number25.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 2.4% | ||
| ROCE | 9.22% | ||
| ROIC | 7.28% | ||
| ROICexc | 7.35% | ||
| ROICexgc | 13.5% | ||
| 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)7.08%
ROIC(5y)7.18%
ROICexc(3y)7.23%
ROICexc(5y)7.29%
ROICexgc(3y)13.21%
ROICexgc(5y)13.21%
ROCE(3y)9.37%
ROCE(5y)9.44%
ROICexgc growth 3Y1.14%
ROICexgc 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 | 0.7 |
F-Score5
WACC5.16%
ROIC/WACC1.41
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%
BCE INC / BCE FAQ
Can you provide the ChartMill fundamental rating for BCE INC?
ChartMill assigns a fundamental rating of 4 / 10 to BCE.
What is the valuation status of BCE INC (BCE) stock?
ChartMill assigns a valuation rating of 6 / 10 to BCE INC (BCE). This can be considered as Fairly Valued.
How profitable is BCE INC (BCE) stock?
BCE INC (BCE) has a profitability rating of 7 / 10.
What are the PE and PB ratios of BCE INC (BCE) stock?
The Price/Earnings (PE) ratio for BCE INC (BCE) is 11.3 and the Price/Book (PB) ratio is 1.67.
How sustainable is the dividend of BCE INC (BCE) stock?
The dividend rating of BCE INC (BCE) is 7 / 10 and the dividend payout ratio is 739.72%.