BCE INC - BCECN 2.939 PERP (BCE-PR-M.CA) Stock Fundamental Analysis
TSX:BCE-PR-M - CA05534B6465
19.52 CAD
+0.09 (+0.46%)
Taking everything into account, BCE-PR-M scores 3 out of 10 in our fundamental rating. BCE-PR-M was compared to 30 industry peers in the Diversified Telecommunication Services industry. BCE-PR-M has a medium profitability rating, but doesn't score so well on its financial health evaluation. BCE-PR-M has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
BCE-PR-M had positive earnings in the past year.
In the past year BCE-PR-M had a positive cash flow from operations.
BCE-PR-M had positive earnings in each of the past 5 years.
Each year in the past 5 years BCE-PR-M had a positive operating cash flow.
1.2 Ratios
BCE-PR-M has a worse Return On Assets (0.61%) than 60.00% of its industry peers.
BCE-PR-M's Return On Equity of 2.40% is on the low side compared to the rest of the industry. BCE-PR-M is outperformed by 60.00% of its industry peers.
BCE-PR-M's Return On Invested Capital of 5.04% is in line compared to the rest of the industry. BCE-PR-M outperforms 43.33% of its industry peers.
BCE-PR-M 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 last Return On Invested Capital (5.04%) for BCE-PR-M 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
Looking at the Profit Margin, with a value of 1.77%, BCE-PR-M is doing worse than 60.00% of the companies in the same industry.
In the last couple of years the Profit Margin of BCE-PR-M has declined.
Looking at the Operating Margin, with a value of 22.50%, BCE-PR-M is doing worse than 60.00% of the companies in the same industry.
In the last couple of years the Operating Margin of BCE-PR-M has remained more or less at the same level.
With a Gross Margin value of 67.94%, BCE-PR-M perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
BCE-PR-M'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-M is creating some value.
BCE-PR-M has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for BCE-PR-M has been increased compared to 5 years ago.
The debt/assets ratio for BCE-PR-M is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.56, we must say that BCE-PR-M is in the distress zone and has some risk of bankruptcy.
BCE-PR-M's Altman-Z score of 0.56 is fine compared to the rest of the industry. BCE-PR-M outperforms 63.33% of its industry peers.
BCE-PR-M has a debt to FCF ratio of 9.25. This is a negative value and a sign of low solvency as BCE-PR-M would need 9.25 years to pay back of all of its debts.
BCE-PR-M 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-M has dependencies on debt financing.
BCE-PR-M has a Debt to Equity ratio (1.80) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 9.25 | ||
| Altman-Z | 0.56 |
ROIC/WACC1.17
WACC4.32%
2.3 Liquidity
BCE-PR-M has a Current Ratio of 0.61. This is a bad value and indicates that BCE-PR-M is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE-PR-M has a Current ratio of 0.61. This is in the lower half of the industry: BCE-PR-M underperforms 60.00% of its industry peers.
BCE-PR-M has a Quick Ratio of 0.61. This is a bad value and indicates that BCE-PR-M is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of BCE-PR-M (0.57) is worse than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
BCE-PR-M shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.84%.
BCE-PR-M 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-M 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-M will show a small growth in Earnings Per Share. The EPS will grow by 1.28% on average per year.
The Revenue is expected to grow by 2.16% on average over the next years.
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 6.83 indicates a rather cheap valuation of BCE-PR-M.
BCE-PR-M's Price/Earnings ratio is in line with the industry average.
BCE-PR-M is valuated cheaply when we compare the Price/Earnings ratio to 27.03, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 7.09, the valuation of BCE-PR-M can be described as very cheap.
BCE-PR-M's Price/Forward Earnings is on the same level as the industry average.
BCE-PR-M is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.83 | ||
| Fwd PE | 7.09 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BCE-PR-M is on the same level as its industry peers.
BCE-PR-M's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.48 | ||
| EV/EBITDA | 5.23 |
4.3 Compensation for Growth
BCE-PR-M'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
With a Yearly Dividend Yield of 7.56%, BCE-PR-M is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 7.11, BCE-PR-M pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, BCE-PR-M pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.56% |
5.2 History
The dividend of BCE-PR-M has a limited annual growth rate of 4.82%.
BCE-PR-M has paid a dividend for at least 10 years, which is a reliable track record.
BCE-PR-M has decreased its dividend recently.
Dividend Growth(5Y)4.82%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
739.72% of the earnings are spent on dividend by BCE-PR-M. This is not a sustainable payout ratio.
BCE-PR-M'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-M (8/25/2025, 7:00:00 PM)
19.52
+0.09 (+0.46%)
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 Cap18.20B
Analysts53.91
Price Target19.4 (-0.61%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.56% |
Yearly Dividend4.17
Dividend Growth(5Y)4.82%
DP739.72%
Div Incr Years0
Div Non Decr Years1
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)-1.06%
PT rev (3m)-1.49%
EPS NQ rev (1m)-0.35%
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)1.78%
Revenue NY rev (3m)1.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.83 | ||
| Fwd PE | 7.09 | ||
| P/S | 0.75 | ||
| P/FCF | 4.48 | ||
| P/OCF | 2.43 | ||
| P/B | 1.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.23 |
EPS(TTM)2.86
EY14.65%
EPS(NY)2.75
Fwd EY14.1%
FCF(TTM)4.36
FCFY22.32%
OCF(TTM)8.03
OCFY41.11%
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
WACC4.32%
ROIC/WACC1.17
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%