BCE INC - BCECN 4.95 PERP (BCE-PR-S.CA) Stock Fundamental Analysis
TSX:BCE-PR-S - Toronto Stock Exchange - CA05534B8693 - Currency: CAD
Taking everything into account, BCE-PR-S scores 4 out of 10 in our fundamental rating. BCE-PR-S was compared to 30 industry peers in the Diversified Telecommunication Services industry. There are concerns on the financial health of BCE-PR-S while its profitability can be described as average. BCE-PR-S has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year BCE-PR-S was profitable.
In the past year BCE-PR-S had a positive cash flow from operations.
BCE-PR-S had positive earnings in each of the past 5 years.
In the past 5 years BCE-PR-S always reported a positive cash flow from operatings.
1.2 Ratios
BCE-PR-S's Return On Assets of 0.54% is in line compared to the rest of the industry. BCE-PR-S outperforms 50.00% of its industry peers.
Looking at the Return On Equity, with a value of 2.26%, BCE-PR-S is in line with its industry, outperforming 50.00% of the companies in the same industry.
BCE-PR-S has a Return On Invested Capital of 5.04%. This is comparable to the rest of the industry: BCE-PR-S outperforms 50.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BCE-PR-S is in line with the industry average of 5.41%.
The last Return On Invested Capital (5.04%) for BCE-PR-S 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
The Profit Margin of BCE-PR-S (1.61%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of BCE-PR-S has declined.
BCE-PR-S's Operating Margin of 22.74% is in line compared to the rest of the industry. BCE-PR-S outperforms 50.00% of its industry peers.
BCE-PR-S's Operating Margin has been stable in the last couple of years.
BCE-PR-S has a Gross Margin (68.27%) which is in line with its industry peers.
BCE-PR-S's Gross Margin has been stable in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BCE-PR-S is creating some value.
The number of shares outstanding for BCE-PR-S remains at a similar level compared to 1 year ago.
The number of shares outstanding for BCE-PR-S has been increased compared to 5 years ago.
The debt/assets ratio for BCE-PR-S is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.52, we must say that BCE-PR-S is in the distress zone and has some risk of bankruptcy.
BCE-PR-S has a Altman-Z score of 0.52. This is comparable to the rest of the industry: BCE-PR-S outperforms 46.67% of its industry peers.
BCE-PR-S has a debt to FCF ratio of 11.06. This is a negative value and a sign of low solvency as BCE-PR-S would need 11.06 years to pay back of all of its debts.
BCE-PR-S has a Debt to FCF ratio of 11.06. This is comparable to the rest of the industry: BCE-PR-S outperforms 60.00% of its industry peers.
BCE-PR-S has a Debt/Equity ratio of 1.95. This is a high value indicating a heavy dependency on external financing.
BCE-PR-S's Debt to Equity ratio of 1.95 is in line compared to the rest of the industry. BCE-PR-S outperforms 56.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.95 | ||
| Debt/FCF | 11.06 | ||
| Altman-Z | 0.52 |
ROIC/WACC1.25
WACC4.02%
2.3 Liquidity
A Current Ratio of 0.64 indicates that BCE-PR-S may have some problems paying its short term obligations.
BCE-PR-S has a Current ratio (0.64) which is comparable to the rest of the industry.
BCE-PR-S has a Quick Ratio of 0.64. This is a bad value and indicates that BCE-PR-S is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of BCE-PR-S (0.61) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for BCE-PR-S have decreased by -3.04% in the last year.
BCE-PR-S 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 -1.23% in the past year.
BCE-PR-S shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.51% yearly.
EPS 1Y (TTM)-3.04%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-7.43%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%-4.59%
3.2 Future
The Earnings Per Share is expected to grow by 6.71% on average over the next years.
BCE-PR-S is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.25% yearly.
EPS Next Y-8.98%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
EPS Next 5Y6.71%
Revenue Next Year-0.1%
Revenue Next 2Y1.06%
Revenue Next 3Y0.85%
Revenue Next 5Y2.25%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 5.62, the valuation of BCE-PR-S can be described as very cheap.
Based on the Price/Earnings ratio, BCE-PR-S is valued a bit cheaper than 66.67% of the companies in the same industry.
BCE-PR-S is valuated cheaply when we compare the Price/Earnings ratio to 25.91, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 6.22, the valuation of BCE-PR-S can be described as very cheap.
BCE-PR-S's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BCE-PR-S is cheaper than 66.67% of the companies in the same industry.
BCE-PR-S is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.85, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.62 | ||
| Fwd PE | 6.22 |
4.2 Price Multiples
BCE-PR-S's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BCE-PR-S is cheaper than 63.33% of the companies in the same industry.
BCE-PR-S's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BCE-PR-S is cheaper than 63.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.37 | ||
| EV/EBITDA | 5.07 |
4.3 Compensation for Growth
A cheap valuation may be justified as BCE-PR-S's earnings are expected to decrease with -2.78% in the coming years.
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-S has a Yearly Dividend Yield of 5.79%, which is a nice return.
BCE-PR-S's Dividend Yield is a higher than the industry average which is at 5.68.
Compared to an average S&P500 Dividend Yield of 2.36, BCE-PR-S pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.79% |
5.2 History
The dividend of BCE-PR-S has a limited annual growth rate of 4.82%.
BCE-PR-S has paid a dividend for at least 10 years, which is a reliable track record.
BCE-PR-S has decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.82%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
898.21% of the earnings are spent on dividend by BCE-PR-S. This is not a sustainable payout ratio.
BCE-PR-S's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP898.21%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
TSX:BCE-PR-S (5/22/2025, 7:00:00 PM)
16.81
-0.01 (-0.06%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners43.19%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap15.50B
Analysts51.82
Price Target18.45 (9.76%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.79% |
Yearly Dividend4.17
Dividend Growth(5Y)4.82%
DP898.21%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.98%
Min EPS beat(2)6.87%
Max EPS beat(2)9.09%
EPS beat(4)2
Avg EPS beat(4)2.81%
Min EPS beat(4)-3.58%
Max EPS beat(4)9.09%
EPS beat(8)4
Avg EPS beat(8)1.71%
EPS beat(12)7
Avg EPS beat(12)2.21%
EPS beat(16)10
Avg EPS beat(16)2.69%
Revenue beat(2)1
Avg Revenue beat(2)-1.98%
Min Revenue beat(2)-4.12%
Max Revenue beat(2)0.17%
Revenue beat(4)1
Avg Revenue beat(4)-1.97%
Min Revenue beat(4)-4.12%
Max Revenue beat(4)0.17%
Revenue beat(8)1
Avg Revenue beat(8)-1.64%
Revenue beat(12)2
Avg Revenue beat(12)-1.27%
Revenue beat(16)2
Avg Revenue beat(16)-1.36%
PT rev (1m)0%
PT rev (3m)-6.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.52%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.15%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)-0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.62 | ||
| Fwd PE | 6.22 | ||
| P/S | 0.64 | ||
| P/FCF | 4.37 | ||
| P/OCF | 2.04 | ||
| P/B | 0.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.07 |
EPS(TTM)2.99
EY17.79%
EPS(NY)2.7
Fwd EY16.08%
FCF(TTM)3.84
FCFY22.87%
OCF(TTM)8.24
OCFY49.01%
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 | 0.52 |
F-Score6
WACC4.02%
ROIC/WACC1.25
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)-3.04%
EPS 3Y-1.59%
EPS 5Y-2.78%
EPS Q2Q%-7.43%
EPS Next Y-8.98%
EPS Next 2Y-5.7%
EPS Next 3Y-2.78%
EPS Next 5Y6.71%
Revenue 1Y (TTM)-1.23%
Revenue growth 3Y1.35%
Revenue growth 5Y0.51%
Sales Q2Q%-4.59%
Revenue Next Year-0.1%
Revenue Next 2Y1.06%
Revenue Next 3Y0.85%
Revenue Next 5Y2.25%
EBIT growth 1Y1.21%
EBIT growth 3Y1.64%
EBIT growth 5Y-0.41%
EBIT Next Year92.66%
EBIT Next 3Y25.9%
EBIT Next 5Y16.03%
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%