BCE INC (BCE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BCE - CA05534B7604 - Common Stock
23.605 USD
+0.23 (+0.96%)
Taking everything into account, BCE scores 5 out of 10 in our fundamental rating. BCE was compared to 37 industry peers in the Diversified Telecommunication Services industry. BCE scores excellent on profitability, but there are concerns on its financial health. BCE has a correct valuation and a medium growth rate. BCE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year BCE was profitable.
In the past year BCE had a positive cash flow from operations.
Each year in the past 5 years BCE has been profitable.
BCE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BCE has a Return On Assets of 7.85%. This is amongst the best in the industry. BCE outperforms 91.89% of its industry peers.
BCE's Return On Equity of 27.48% is amongst the best of the industry. BCE outperforms 91.89% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.52%, BCE is in the better half of the industry, outperforming 72.97% of the companies in the same industry.
BCE had an Average Return On Invested Capital over the past 3 years of 7.08%. This is in line with the industry average of 6.52%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.85% | ||
| ROE | 27.48% | ||
| ROIC | 6.52% |
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
With an excellent Profit Margin value of 25.21%, BCE belongs to the best of the industry, outperforming 94.59% of the companies in the same industry.
In the last couple of years the Profit Margin of BCE has declined.
With an excellent Operating Margin value of 22.38%, BCE belongs to the best of the industry, outperforming 86.49% of the companies in the same industry.
In the last couple of years the Operating Margin of BCE has remained more or less at the same level.
BCE has a Gross Margin of 67.92%. This is amongst the best in the industry. BCE outperforms 86.49% of its industry peers.
BCE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.38% | ||
| PM (TTM) | 25.21% | ||
| GM | 67.92% |
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 is creating some value.
Compared to 1 year ago, BCE has about the same amount of shares outstanding.
BCE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for BCE is higher compared to a year ago.
2.2 Solvency
BCE has an Altman-Z score of 0.71. This is a bad value and indicates that BCE is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of BCE (0.71) is worse than 62.16% of its industry peers.
BCE has a debt to FCF ratio of 10.36. This is a negative value and a sign of low solvency as BCE would need 10.36 years to pay back of all of its debts.
BCE's Debt to FCF ratio of 10.36 is fine compared to the rest of the industry. BCE outperforms 64.86% of its industry peers.
A Debt/Equity ratio of 1.57 is on the high side and indicates that BCE has dependencies on debt financing.
With a Debt to Equity ratio value of 1.57, BCE is not doing good in the industry: 62.16% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 10.36 | ||
| Altman-Z | 0.71 |
ROIC/WACC1.27
WACC5.15%
2.3 Liquidity
BCE has a Current Ratio of 0.58. This is a bad value and indicates that BCE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.58, BCE is doing worse than 89.19% of the companies in the same industry.
BCE has a Quick Ratio of 0.58. This is a bad value and indicates that BCE is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.55, BCE is not doing good in the industry: 86.49% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
The earnings per share for BCE have decreased by -3.65% in the last year.
The Earnings Per Share has been decreasing by -2.78% on average over the past years.
Looking at the last year, BCE shows a small growth in Revenue. The Revenue has grown by 0.11% 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)-3.65%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%5.33%
Revenue 1Y (TTM)0.11%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%1.31%
3.2 Future
BCE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.21% yearly.
Based on estimates for the next years, BCE will show a small growth in Revenue. The Revenue will grow by 2.13% on average per year.
EPS Next Y-9.15%
EPS Next 2Y-5.41%
EPS Next 3Y-3.3%
EPS Next 5Y1.21%
Revenue Next Year1.43%
Revenue Next 2Y2.23%
Revenue Next 3Y1.9%
Revenue Next 5Y2.13%
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
With a Price/Earnings ratio of 11.13, the valuation of BCE can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of BCE indicates a rather cheap valuation: BCE is cheaper than 86.49% of the companies listed in the same industry.
BCE is valuated cheaply when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
BCE is valuated reasonably with a Price/Forward Earnings ratio of 11.88.
Based on the Price/Forward Earnings ratio, BCE is valued cheaply inside the industry as 81.08% of the companies are valued more expensively.
BCE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.13 | ||
| Fwd PE | 11.88 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCE is valued a bit cheaper than the industry average as 70.27% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BCE indicates a somewhat cheap valuation: BCE is cheaper than 75.68% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.62 | ||
| EV/EBITDA | 6.64 |
4.3 Compensation for Growth
BCE has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as BCE's earnings are expected to decrease with -3.30% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.41%
EPS Next 3Y-3.3%
5. Dividend
5.1 Amount
BCE has a Yearly Dividend Yield of 6.27%, which is a nice return.
BCE's Dividend Yield is rather good when compared to the industry average which is at 2.41. BCE pays more dividend than 86.49% of the companies in the same industry.
BCE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.27% |
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
43.52% of the earnings are spent on dividend by BCE. This is a bit on the high side, but may be sustainable.
BCE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.52%
EPS Next 2Y-5.41%
EPS Next 3Y-3.3%
NYSE:BCE (12/30/2025, 3:51:05 PM)
23.605
+0.23 (+0.96%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners47.22%
Inst Owner Change1.39%
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap22.01B
Revenue(TTM)24.49B
Net Income(TTM)6.17B
Analysts65.45
Price Target26.7 (13.11%)
Short Float %2.65%
Short Ratio8.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.27% |
Yearly Dividend3.04
Dividend Growth(5Y)4.82%
DP43.52%
Div Incr Years16
Div Non Decr Years16
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.44%
Min EPS beat(2)-12.22%
Max EPS beat(2)9.34%
EPS beat(4)3
Avg EPS beat(4)4.21%
Min EPS beat(4)-12.22%
Max EPS beat(4)10.64%
EPS beat(8)5
Avg EPS beat(8)2.18%
EPS beat(12)6
Avg EPS beat(12)1.77%
EPS beat(16)10
Avg EPS beat(16)2.48%
Revenue beat(2)1
Avg Revenue beat(2)-0.07%
Min Revenue beat(2)-1.42%
Max Revenue beat(2)1.28%
Revenue beat(4)2
Avg Revenue beat(4)-0.21%
Min Revenue beat(4)-1.42%
Max Revenue beat(4)1.28%
Revenue beat(8)2
Avg Revenue beat(8)-0.91%
Revenue beat(12)3
Avg Revenue beat(12)-0.85%
Revenue beat(16)3
Avg Revenue beat(16)-0.9%
PT rev (1m)1.57%
PT rev (3m)2.79%
EPS NQ rev (1m)0.28%
EPS NQ rev (3m)-0.42%
EPS NY rev (1m)1.61%
EPS NY rev (3m)1.62%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)-0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.13 | ||
| Fwd PE | 11.88 | ||
| P/S | 1.23 | ||
| P/FCF | 7.62 | ||
| P/OCF | 4.13 | ||
| P/B | 1.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.64 |
EPS(TTM)2.12
EY8.98%
EPS(NY)1.99
Fwd EY8.42%
FCF(TTM)3.1
FCFY13.13%
OCF(TTM)5.72
OCFY24.24%
SpS19.18
BVpS17.59
TBVpS-6.43
PEG (NY)N/A
PEG (5Y)N/A
Graham Number28.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.85% | ||
| ROE | 27.48% | ||
| ROCE | 8.25% | ||
| ROIC | 6.52% | ||
| ROICexc | 6.57% | ||
| ROICexgc | 12.28% | ||
| OM | 22.38% | ||
| PM (TTM) | 25.21% | ||
| GM | 67.92% | ||
| FCFM | 16.15% |
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-Score6
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 10.36 | ||
| Debt/EBITDA | 3.32 | ||
| Cap/Depr | 65.44% | ||
| Cap/Sales | 13.68% | ||
| Interest Coverage | 2.91 | ||
| Cash Conversion | 68.91% | ||
| Profit Quality | 64.08% | ||
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.55 | ||
| Altman-Z | 0.71 |
F-Score6
WACC5.15%
ROIC/WACC1.27
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)-3.65%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%5.33%
EPS Next Y-9.15%
EPS Next 2Y-5.41%
EPS Next 3Y-3.3%
EPS Next 5Y1.21%
Revenue 1Y (TTM)0.11%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%1.31%
Revenue Next Year1.43%
Revenue Next 2Y2.23%
Revenue Next 3Y1.9%
Revenue Next 5Y2.13%
EBIT growth 1Y-0.47%
EBIT growth 3Y1.64%
EBIT growth 5Y-0.41%
EBIT Next Year94.99%
EBIT Next 3Y26.65%
EBIT Next 5Y16.23%
FCF growth 1Y77.12%
FCF growth 3Y-4.23%
FCF growth 5Y-6.84%
OCF growth 1Y-3.63%
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 5 / 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 11.13 and the Price/Book (PB) ratio is 1.34.
How sustainable is the dividend of BCE INC (BCE) stock?
The dividend rating of BCE INC (BCE) is 8 / 10 and the dividend payout ratio is 43.52%.