BCE INC - BCECN 4.95 PERP (BCE-PR-J.CA) Stock Fundamental Analysis
TSX:BCE-PR-J - CA05534B6531
19.1 CAD
-0.08 (-0.42%)
Taking everything into account, BCE-PR-J scores 5 out of 10 in our fundamental rating. BCE-PR-J was compared to 30 industry peers in the Diversified Telecommunication Services industry. While BCE-PR-J belongs to the best of the industry regarding profitability, there are concerns on its financial health. BCE-PR-J has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
BCE-PR-J had positive earnings in the past year.
In the past year BCE-PR-J had a positive cash flow from operations.
In the past 5 years BCE-PR-J has always been profitable.
In the past 5 years BCE-PR-J always reported a positive cash flow from operatings.
1.2 Ratios
BCE-PR-J has a better Return On Assets (0.61%) than 70.00% of its industry peers.
BCE-PR-J's Return On Equity of 2.40% is fine compared to the rest of the industry. BCE-PR-J outperforms 70.00% of its industry peers.
BCE-PR-J has a better Return On Invested Capital (5.04%) than 73.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BCE-PR-J is in line with the industry average of 5.44%.
The last Return On Invested Capital (5.04%) for BCE-PR-J 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-J has a Profit Margin of 1.77%. This is in the better half of the industry: BCE-PR-J outperforms 70.00% of its industry peers.
In the last couple of years the Profit Margin of BCE-PR-J has declined.
BCE-PR-J has a Operating Margin of 22.50%. This is in the better half of the industry: BCE-PR-J outperforms 70.00% of its industry peers.
In the last couple of years the Operating Margin of BCE-PR-J has remained more or less at the same level.
BCE-PR-J's Gross Margin of 67.94% is fine compared to the rest of the industry. BCE-PR-J outperforms 76.67% of its industry peers.
BCE-PR-J'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-J is creating some value.
The number of shares outstanding for BCE-PR-J remains at a similar level compared to 1 year ago.
BCE-PR-J has more shares outstanding than it did 5 years ago.
The debt/assets ratio for BCE-PR-J is higher compared to a year ago.
2.2 Solvency
BCE-PR-J has an Altman-Z score of 0.56. This is a bad value and indicates that BCE-PR-J is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.56, BCE-PR-J is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
BCE-PR-J has a debt to FCF ratio of 9.25. This is a negative value and a sign of low solvency as BCE-PR-J would need 9.25 years to pay back of all of its debts.
BCE-PR-J has a better Debt to FCF ratio (9.25) than 73.33% of its industry peers.
A Debt/Equity ratio of 1.80 is on the high side and indicates that BCE-PR-J has dependencies on debt financing.
With a decent Debt to Equity ratio value of 1.80, BCE-PR-J is doing good in the industry, outperforming 80.00% 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
WACC4.29%
2.3 Liquidity
BCE-PR-J has a Current Ratio of 0.61. This is a bad value and indicates that BCE-PR-J is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.61, BCE-PR-J is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
A Quick Ratio of 0.57 indicates that BCE-PR-J may have some problems paying its short term obligations.
BCE-PR-J has a better Quick ratio (0.57) than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
BCE-PR-J 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-J shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.78% on average per year.
BCE-PR-J shows a decrease in Revenue. In the last year, the revenue decreased by -0.66%.
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 1.28% on average over the next years.
BCE-PR-J is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.16% yearly.
EPS Next Y-10.34%
EPS Next 2Y-4.86%
EPS Next 3Y-3.11%
EPS Next 5Y1.28%
Revenue Next Year1.67%
Revenue Next 2Y2.26%
Revenue Next 3Y1.79%
Revenue Next 5Y2.16%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.68 indicates a rather cheap valuation of BCE-PR-J.
Based on the Price/Earnings ratio, BCE-PR-J is valued cheaper than 83.33% of the companies in the same industry.
When comparing the Price/Earnings ratio of BCE-PR-J to the average of the S&P500 Index (26.84), we can say BCE-PR-J is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 6.94, the valuation of BCE-PR-J can be described as very cheap.
BCE-PR-J's Price/Forward Earnings ratio is rather cheap when compared to the industry. BCE-PR-J is cheaper than 83.33% of the companies in the same industry.
BCE-PR-J is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.48, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.68 | ||
| Fwd PE | 6.94 |
4.2 Price Multiples
BCE-PR-J's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BCE-PR-J is cheaper than 80.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BCE-PR-J is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.38 | ||
| EV/EBITDA | 5.2 |
4.3 Compensation for Growth
BCE-PR-J has a very decent profitability rating, which may justify a higher PE ratio.
BCE-PR-J's earnings are expected to decrease with -3.11% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.86%
EPS Next 3Y-3.11%
5. Dividend
5.1 Amount
BCE-PR-J has a Yearly Dividend Yield of 5.13%, which is a nice return.
BCE-PR-J's Dividend Yield is comparable with the industry average which is at 5.14.
Compared to an average S&P500 Dividend Yield of 2.32, BCE-PR-J pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.13% |
5.2 History
The dividend of BCE-PR-J has a limited annual growth rate of 4.82%.
BCE-PR-J 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
BCE-PR-J pays out 739.72% of its income as dividend. This is not a sustainable payout ratio.
BCE-PR-J's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP739.72%
EPS Next 2Y-4.86%
EPS Next 3Y-3.11%
TSX:BCE-PR-J (9/2/2025, 7:00:00 PM)
19.1
-0.08 (-0.42%)
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 Cap17.81B
Analysts53.91
Price Target18.95 (-0.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.13% |
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)-1.56%
PT rev (3m)-2.81%
EPS NQ rev (1m)-0.52%
EPS NQ rev (3m)-4.67%
EPS NY rev (1m)-1.49%
EPS NY rev (3m)-1.49%
Revenue NQ rev (1m)2.84%
Revenue NQ rev (3m)1.45%
Revenue NY rev (1m)1.92%
Revenue NY rev (3m)1.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.68 | ||
| Fwd PE | 6.94 | ||
| 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 EY14.41%
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
WACC4.29%
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-10.34%
EPS Next 2Y-4.86%
EPS Next 3Y-3.11%
EPS Next 5Y1.28%
Revenue 1Y (TTM)-0.66%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%1.33%
Revenue Next Year1.67%
Revenue Next 2Y2.26%
Revenue Next 3Y1.79%
Revenue Next 5Y2.16%
EBIT growth 1Y0.22%
EBIT growth 3Y1.64%
EBIT growth 5Y-0.41%
EBIT Next Year91.5%
EBIT Next 3Y25.46%
EBIT Next 5Y15.75%
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%