BCE INC - BCECN 4.94 PERP (BCE-PR-A.CA) Stock Fundamental Analysis
Canada - TSX:BCE-PR-A - CA05534B7943
20.1 CAD
-0.01 (-0.05%)
Overall BCE-PR-A gets a fundamental rating of 3 out of 10. We evaluated BCE-PR-A against 31 industry peers in the Diversified Telecommunication Services industry. BCE-PR-A may be in some trouble as it scores bad on both profitability and health. BCE-PR-A has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BCE-PR-A was profitable.
BCE-PR-A had a positive operating cash flow in the past year.
In the past 5 years BCE-PR-A has always been profitable.
BCE-PR-A had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of BCE-PR-A (0.61%) is worse than 67.74% of its industry peers.
BCE-PR-A has a worse Return On Equity (2.40%) than 67.74% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.04%, BCE-PR-A is doing worse than 64.52% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BCE-PR-A is in line with the industry average of 5.44%.
The last Return On Invested Capital (5.04%) for BCE-PR-A 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
BCE-PR-A's Profit Margin of 1.77% is on the low side compared to the rest of the industry. BCE-PR-A is outperformed by 67.74% of its industry peers.
In the last couple of years the Profit Margin of BCE-PR-A has declined.
The Operating Margin of BCE-PR-A (22.50%) is worse than 67.74% of its industry peers.
In the last couple of years the Operating Margin of BCE-PR-A has remained more or less at the same level.
The Gross Margin of BCE-PR-A (67.94%) is worse than 64.52% of its industry peers.
BCE-PR-A'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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BCE-PR-A is still creating some value.
BCE-PR-A has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for BCE-PR-A has been increased compared to 5 years ago.
Compared to 1 year ago, BCE-PR-A has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.57, we must say that BCE-PR-A is in the distress zone and has some risk of bankruptcy.
BCE-PR-A has a better Altman-Z score (0.57) than 67.74% of its industry peers.
The Debt to FCF ratio of BCE-PR-A is 9.25, which is on the high side as it means it would take BCE-PR-A, 9.25 years of fcf income to pay off all of its debts.
BCE-PR-A has a worse Debt to FCF ratio (9.25) than 64.52% of its industry peers.
BCE-PR-A has a Debt/Equity ratio of 1.80. This is a high value indicating a heavy dependency on external financing.
BCE-PR-A has a Debt to Equity ratio (1.80) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 9.25 | ||
| Altman-Z | 0.57 |
ROIC/WACC1.16
WACC4.33%
2.3 Liquidity
BCE-PR-A has a Current Ratio of 0.61. This is a bad value and indicates that BCE-PR-A is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.61, BCE-PR-A is not doing good in the industry: 67.74% of the companies in the same industry are doing better.
BCE-PR-A has a Quick Ratio of 0.61. This is a bad value and indicates that BCE-PR-A is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.57, BCE-PR-A is doing worse than 67.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
BCE-PR-A 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-A 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-A shows a decrease in Revenue. The Revenue has decreased by -0.66% in the last 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.
Based on estimates for the next years, BCE-PR-A 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
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
A Price/Earnings ratio of 7.03 indicates a rather cheap valuation of BCE-PR-A.
The rest of the industry has a similar Price/Earnings ratio as BCE-PR-A.
Compared to an average S&P500 Price/Earnings ratio of 27.90, BCE-PR-A is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.32, the valuation of BCE-PR-A can be described as very cheap.
The rest of the industry has a similar Price/Forward Earnings ratio as BCE-PR-A.
The average S&P500 Price/Forward Earnings ratio is at 23.36. BCE-PR-A is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.03 | ||
| Fwd PE | 7.32 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BCE-PR-A is on the same level as its industry peers.
BCE-PR-A's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.61 | ||
| EV/EBITDA | 5.28 |
4.3 Compensation for Growth
A cheap valuation may be justified as BCE-PR-A's earnings are expected to decrease with -3.44% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.95%
EPS Next 3Y-3.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.48%, BCE-PR-A is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.61, BCE-PR-A pays a bit more dividend than its industry peers.
BCE-PR-A's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.48% |
5.2 History
The dividend of BCE-PR-A has a limited annual growth rate of 4.82%.
BCE-PR-A has been paying a dividend for at least 10 years, so it has a reliable track record.
BCE-PR-A has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.82%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
739.72% of the earnings are spent on dividend by BCE-PR-A. This is not a sustainable payout ratio.
The dividend of BCE-PR-A 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-A (10/6/2025, 7:00:00 PM)
20.1
-0.01 (-0.05%)
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 Cap18.74B
Analysts55
Price Target22.3 (10.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.48% |
Yearly Dividend4.17
Dividend Growth(5Y)4.82%
DP739.72%
Div Incr Years0
Div Non Decr Years11
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)5.89%
PT rev (3m)4.49%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.33%
EPS NY rev (1m)-0.29%
EPS NY rev (3m)-1.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.58%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.03 | ||
| Fwd PE | 7.32 | ||
| P/S | 0.77 | ||
| P/FCF | 4.61 | ||
| P/OCF | 2.5 | ||
| P/B | 1.04 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.28 |
EPS(TTM)2.86
EY14.23%
EPS(NY)2.75
Fwd EY13.66%
FCF(TTM)4.36
FCFY21.67%
OCF(TTM)8.03
OCFY39.93%
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 | 0.57 |
F-Score5
WACC4.33%
ROIC/WACC1.16
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%