BCE INC - BCECN 4.76 PERP (BCE-PR-N.CA) Stock Fundamental Analysis
TSX:BCE-PR-N - Toronto Stock Exchange - CA05534B6382 - Currency: CAD
BCE-PR-N gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 26 industry peers in the Diversified Telecommunication Services industry. BCE-PR-N has a medium profitability rating, but doesn't score so well on its financial health evaluation. BCE-PR-N has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
BCE-PR-N had positive earnings in the past year.
In the past year BCE-PR-N had a positive cash flow from operations.
Each year in the past 5 years BCE-PR-N has been profitable.
BCE-PR-N had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.54%, BCE-PR-N is in line with its industry, outperforming 46.67% of the companies in the same industry.
With a Return On Equity value of 2.26%, BCE-PR-N perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
BCE-PR-N has a Return On Invested Capital of 5.04%. This is comparable to the rest of the industry: BCE-PR-N outperforms 46.67% of its industry peers.
BCE-PR-N had an Average Return On Invested Capital over the past 3 years of 4.90%. This is significantly below the industry average of 10.80%.
The last Return On Invested Capital (5.04%) for BCE-PR-N is above the 3 year average (4.90%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 2.26% | ||
| 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-N has a Profit Margin (1.61%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of BCE-PR-N has declined.
With a Operating Margin value of 22.74%, BCE-PR-N perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
In the last couple of years the Operating Margin of BCE-PR-N has remained more or less at the same level.
With a Gross Margin value of 68.27%, BCE-PR-N perfoms like the industry average, outperforming 53.33% of the companies in the same industry.
In the last couple of years the Gross Margin of BCE-PR-N has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.74% | ||
| PM (TTM) | 1.61% | ||
| GM | 68.27% |
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
BCE-PR-N has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
BCE-PR-N has about the same amout of shares outstanding than it did 1 year ago.
BCE-PR-N has more shares outstanding than it did 5 years ago.
BCE-PR-N has a worse debt/assets ratio than last year.
2.2 Solvency
BCE-PR-N has an Altman-Z score of 0.53. This is a bad value and indicates that BCE-PR-N is not financially healthy and even has some risk of bankruptcy.
BCE-PR-N has a Altman-Z score (0.53) which is in line with its industry peers.
The Debt to FCF ratio of BCE-PR-N is 11.06, which is on the high side as it means it would take BCE-PR-N, 11.06 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 11.06, BCE-PR-N perfoms like the industry average, outperforming 56.67% of the companies in the same industry.
A Debt/Equity ratio of 1.95 is on the high side and indicates that BCE-PR-N has dependencies on debt financing.
The Debt to Equity ratio of BCE-PR-N (1.95) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.95 | ||
| Debt/FCF | 11.06 | ||
| Altman-Z | 0.53 |
ROIC/WACC0.82
WACC6.16%
2.3 Liquidity
BCE-PR-N has a Current Ratio of 0.64. This is a bad value and indicates that BCE-PR-N is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE-PR-N has a Current ratio (0.64) which is comparable to the rest of the industry.
BCE-PR-N has a Quick Ratio of 0.64. This is a bad value and indicates that BCE-PR-N is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE-PR-N's Quick ratio of 0.61 is in line compared to the rest of the industry. BCE-PR-N outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for BCE-PR-N have decreased by -2.27% in the last year.
BCE-PR-N shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.78% yearly.
BCE-PR-N shows a decrease in Revenue. In the last year, the revenue decreased by -1.23%.
BCE-PR-N shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.51% yearly.
EPS 1Y (TTM)-2.27%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-4.17%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%-1.35%
3.2 Future
BCE-PR-N is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.92% yearly.
Based on estimates for the next years, BCE-PR-N will show a small growth in Revenue. The Revenue will grow by 1.90% on average per year.
EPS Next Y-8.98%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
EPS Next 5Y7.92%
Revenue Next Year-0.1%
Revenue Next 2Y1.06%
Revenue Next 3Y0.85%
Revenue Next 5Y1.9%
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-N is valuated cheaply with a Price/Earnings ratio of 5.93.
Compared to the rest of the industry, the Price/Earnings ratio of BCE-PR-N indicates a somewhat cheap valuation: BCE-PR-N is cheaper than 63.33% of the companies listed in the same industry.
BCE-PR-N is valuated cheaply when we compare the Price/Earnings ratio to 26.35, which is the current average of the S&P500 Index.
BCE-PR-N is valuated cheaply with a Price/Forward Earnings ratio of 6.61.
Based on the Price/Forward Earnings ratio, BCE-PR-N is valued a bit cheaper than 63.33% of the companies in the same industry.
BCE-PR-N is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.19, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.93 | ||
| Fwd PE | 6.61 |
4.2 Price Multiples
BCE-PR-N's Enterprise Value to EBITDA is on the same level as the industry average.
BCE-PR-N's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.65 | ||
| EV/EBITDA | 5.16 |
4.3 Compensation for Growth
BCE-PR-N's earnings are expected to decrease with -2.78% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
5. Dividend
5.1 Amount
BCE-PR-N has a Yearly Dividend Yield of 6.75%, which is a nice return.
Compared to an average industry Dividend Yield of 20.03, BCE-PR-N pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.40, BCE-PR-N pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.75% |
5.2 History
The dividend of BCE-PR-N has a limited annual growth rate of 4.82%.
BCE-PR-N has paid a dividend for at least 10 years, which is a reliable track record.
BCE-PR-N has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.82%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
BCE-PR-N pays out 898.21% of its income as dividend. This is not a sustainable payout ratio.
The dividend of BCE-PR-N is growing, but earnings are growing more, so the dividend growth is sustainable.
DP898.21%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
TSX:BCE-PR-N (6/19/2025, 7:00:00 PM)
17.86
-0.07 (-0.39%)
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 Cap16.46B
Analysts52.73
Price Target20.67 (15.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.75% |
Yearly Dividend4.17
Dividend Growth(5Y)4.82%
DP898.21%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.87%
Min EPS beat(2)9.09%
Max EPS beat(2)10.64%
EPS beat(4)2
Avg EPS beat(4)3.75%
Min EPS beat(4)-3.58%
Max EPS beat(4)10.64%
EPS beat(8)4
Avg EPS beat(8)2.18%
EPS beat(12)7
Avg EPS beat(12)2.52%
EPS beat(16)10
Avg EPS beat(16)2.92%
Revenue beat(2)1
Avg Revenue beat(2)-0.35%
Min Revenue beat(2)-0.87%
Max Revenue beat(2)0.17%
Revenue beat(4)1
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-1.99%
Max Revenue beat(4)0.17%
Revenue beat(8)1
Avg Revenue beat(8)-1.24%
Revenue beat(12)2
Avg Revenue beat(12)-1%
Revenue beat(16)2
Avg Revenue beat(16)-1.16%
PT rev (1m)10.07%
PT rev (3m)11.62%
EPS NQ rev (1m)-1.76%
EPS NQ rev (3m)-1.93%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.42%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)-0.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.93 | ||
| Fwd PE | 6.61 | ||
| P/S | 0.68 | ||
| P/FCF | 4.65 | ||
| P/OCF | 2.17 | ||
| P/B | 0.95 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.16 |
EPS(TTM)3.01
EY16.85%
EPS(NY)2.7
Fwd EY15.14%
FCF(TTM)3.84
FCFY21.53%
OCF(TTM)8.24
OCFY46.13%
SpS26.39
BVpS18.8
TBVpS-10.47
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 2.26% | ||
| ROCE | 9.21% | ||
| ROIC | 5.04% | ||
| ROICexc | 5.13% | ||
| ROICexgc | 9.46% | ||
| OM | 22.74% | ||
| PM (TTM) | 1.61% | ||
| GM | 68.27% | ||
| FCFM | 14.57% |
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-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.95 | ||
| Debt/FCF | 11.06 | ||
| Debt/EBITDA | 3.2 | ||
| Cap/Depr | 80.2% | ||
| Cap/Sales | 16.65% | ||
| Interest Coverage | 2.95 | ||
| Cash Conversion | 71.77% | ||
| Profit Quality | 906.39% | ||
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 0.53 |
F-Score6
WACC6.16%
ROIC/WACC0.82
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)-2.27%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-4.17%
EPS Next Y-8.98%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
EPS Next 5Y7.92%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%-1.35%
Revenue Next Year-0.1%
Revenue Next 2Y1.06%
Revenue Next 3Y0.85%
Revenue Next 5Y1.9%
EBIT growth 1Y1.21%
EBIT growth 3Y1.64%
EBIT growth 5Y-0.41%
EBIT Next Year91.5%
EBIT Next 3Y25.46%
EBIT Next 5Y14.93%
FCF growth 1Y39.2%
FCF growth 3Y-4.23%
FCF growth 5Y-6.84%
OCF growth 1Y-2.7%
OCF growth 3Y-3.43%
OCF growth 5Y-1.95%