BCE INC - BCECN 4.7 PERP (BCE-PR-E.CA) Stock Fundamental Analysis
Canada - TSX:BCE-PR-E - CA05534B7521
19.1 CAD
+0.05 (+0.26%)
We assign a fundamental rating of 4 out of 10 to BCE-PR-E. BCE-PR-E was compared to 31 industry peers in the Diversified Telecommunication Services industry. While BCE-PR-E is still in line with the averages on profitability rating, there are concerns on its financial health. BCE-PR-E is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BCE-PR-E was profitable.
BCE-PR-E had a positive operating cash flow in the past year.
Each year in the past 5 years BCE-PR-E has been profitable.
In the past 5 years BCE-PR-E always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.61%, BCE-PR-E is in line with its industry, outperforming 54.84% of the companies in the same industry.
With a Return On Equity value of 2.40%, BCE-PR-E perfoms like the industry average, outperforming 54.84% of the companies in the same industry.
BCE-PR-E has a Return On Invested Capital (5.04%) which is comparable to the rest of the industry.
BCE-PR-E had an Average Return On Invested Capital over the past 3 years of 4.90%. This is in line with the industry average of 5.44%.
The 3 year average ROIC (4.90%) for BCE-PR-E is below the current ROIC(5.04%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 1.77%, BCE-PR-E is in line with its industry, outperforming 54.84% of the companies in the same industry.
BCE-PR-E's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 22.50%, BCE-PR-E perfoms like the industry average, outperforming 54.84% of the companies in the same industry.
BCE-PR-E's Operating Margin has been stable in the last couple of years.
BCE-PR-E has a Gross Margin of 67.94%. This is comparable to the rest of the industry: BCE-PR-E outperforms 58.06% of its industry peers.
BCE-PR-E'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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BCE-PR-E is creating some value.
Compared to 1 year ago, BCE-PR-E has about the same amount of shares outstanding.
Compared to 5 years ago, BCE-PR-E has more shares outstanding
The debt/assets ratio for BCE-PR-E is higher compared to a year ago.
2.2 Solvency
BCE-PR-E has an Altman-Z score of 0.56. This is a bad value and indicates that BCE-PR-E is not financially healthy and even has some risk of bankruptcy.
BCE-PR-E has a Altman-Z score (0.56) which is comparable to the rest of the industry.
The Debt to FCF ratio of BCE-PR-E is 9.25, which is on the high side as it means it would take BCE-PR-E, 9.25 years of fcf income to pay off all of its debts.
BCE-PR-E has a Debt to FCF ratio (9.25) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.80 is on the high side and indicates that BCE-PR-E has dependencies on debt financing.
With a decent Debt to Equity ratio value of 1.80, BCE-PR-E is doing good in the industry, outperforming 67.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 9.25 | ||
| Altman-Z | 0.56 |
ROIC/WACC1.18
WACC4.27%
2.3 Liquidity
BCE-PR-E has a Current Ratio of 0.61. This is a bad value and indicates that BCE-PR-E is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE-PR-E has a Current ratio (0.61) which is comparable to the rest of the industry.
A Quick Ratio of 0.57 indicates that BCE-PR-E may have some problems paying its short term obligations.
BCE-PR-E has a Quick ratio of 0.57. This is comparable to the rest of the industry: BCE-PR-E outperforms 54.84% 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-PR-E have decreased by -6.84% in the last year.
BCE-PR-E shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.78% yearly.
The Revenue has decreased by -0.66% in the past year.
BCE-PR-E shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.51% yearly.
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
Based on estimates for the next years, BCE-PR-E will show a small growth in Earnings Per Share. The EPS will grow by 1.52% on average per year.
The Revenue is expected to grow by 2.40% on average over the next years.
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
BCE-PR-E is valuated cheaply with a Price/Earnings ratio of 6.68.
BCE-PR-E's Price/Earnings ratio is a bit cheaper when compared to the industry. BCE-PR-E is cheaper than 67.74% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.90, BCE-PR-E is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 6.95, the valuation of BCE-PR-E can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BCE-PR-E indicates a somewhat cheap valuation: BCE-PR-E is cheaper than 67.74% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.36. BCE-PR-E is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.68 | ||
| Fwd PE | 6.95 |
4.2 Price Multiples
BCE-PR-E's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BCE-PR-E is cheaper than 64.52% of the companies in the same industry.
BCE-PR-E's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BCE-PR-E is cheaper than 64.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.38 | ||
| EV/EBITDA | 5.2 |
4.3 Compensation for Growth
A cheap valuation may be justified as BCE-PR-E'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
BCE-PR-E has a Yearly Dividend Yield of 4.48%, which is a nice return.
Compared to an average industry Dividend Yield of 4.61, BCE-PR-E has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, BCE-PR-E pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.48% |
5.2 History
The dividend of BCE-PR-E has a limited annual growth rate of 4.82%.
BCE-PR-E has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.82%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
739.72% of the earnings are spent on dividend by BCE-PR-E. This is not a sustainable payout ratio.
The dividend of BCE-PR-E 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-E (10/6/2025, 7:00:00 PM)
19.1
+0.05 (+0.26%)
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 Cap17.81B
Analysts55
Price Target19.86 (3.98%)
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 Years0
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)5.42%
PT rev (3m)0.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.67%
EPS NY rev (1m)-0.29%
EPS NY rev (3m)-1.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.45%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.68 | ||
| Fwd PE | 6.95 | ||
| P/S | 0.73 | ||
| P/FCF | 4.38 | ||
| P/OCF | 2.38 | ||
| P/B | 0.99 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.2 |
EPS(TTM)2.86
EY14.97%
EPS(NY)2.75
Fwd EY14.38%
FCF(TTM)4.36
FCFY22.81%
OCF(TTM)8.03
OCFY42.02%
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 | 0.56 |
F-Score5
WACC4.27%
ROIC/WACC1.18
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%