BCE INC - BCECN 4.99 PERP (BCE-PR-T.CA) Stock Fundamental Analysis
TSX:BCE-PR-T - CA05534B8107
19.29 CAD
-0.12 (-0.62%)
BCE-PR-T gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 30 industry peers in the Diversified Telecommunication Services industry. While BCE-PR-T is still in line with the averages on profitability rating, there are concerns on its financial health. BCE-PR-T is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BCE-PR-T was profitable.
In the past year BCE-PR-T had a positive cash flow from operations.
Each year in the past 5 years BCE-PR-T has been profitable.
BCE-PR-T had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BCE-PR-T has a Return On Assets (0.61%) which is comparable to the rest of the industry.
BCE-PR-T has a Return On Equity of 2.40%. This is comparable to the rest of the industry: BCE-PR-T outperforms 46.67% of its industry peers.
BCE-PR-T has a Return On Invested Capital (5.04%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for BCE-PR-T is in line with the industry average of 5.44%.
The 3 year average ROIC (4.90%) for BCE-PR-T 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
BCE-PR-T has a Profit Margin (1.77%) which is in line with its industry peers.
BCE-PR-T's Profit Margin has declined in the last couple of years.
BCE-PR-T has a Operating Margin of 22.50%. This is comparable to the rest of the industry: BCE-PR-T outperforms 46.67% of its industry peers.
In the last couple of years the Operating Margin of BCE-PR-T has remained more or less at the same level.
With a Gross Margin value of 67.94%, BCE-PR-T 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-T has remained more or less at the same level.
| 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
BCE-PR-T has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for BCE-PR-T remains at a similar level compared to 1 year ago.
Compared to 5 years ago, BCE-PR-T has more shares outstanding
The debt/assets ratio for BCE-PR-T 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-T is in the distress zone and has some risk of bankruptcy.
BCE-PR-T has a Altman-Z score of 0.56. This is comparable to the rest of the industry: BCE-PR-T outperforms 53.33% of its industry peers.
The Debt to FCF ratio of BCE-PR-T is 9.25, which is on the high side as it means it would take BCE-PR-T, 9.25 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BCE-PR-T (9.25) is comparable to the rest of the industry.
BCE-PR-T has a Debt/Equity ratio of 1.80. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of BCE-PR-T (1.80) 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
WACC4.3%
2.3 Liquidity
A Current Ratio of 0.61 indicates that BCE-PR-T may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.61, BCE-PR-T is in line with its industry, outperforming 46.67% of the companies in the same industry.
A Quick Ratio of 0.57 indicates that BCE-PR-T may have some problems paying its short term obligations.
With a Quick ratio value of 0.57, BCE-PR-T perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
BCE-PR-T 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-T shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.78% on average per year.
The Revenue has decreased by -0.66% in the past year.
BCE-PR-T 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
BCE-PR-T is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.28% yearly.
BCE-PR-T 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.
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-T is valuated cheaply with a Price/Earnings ratio of 6.74.
The rest of the industry has a similar Price/Earnings ratio as BCE-PR-T.
BCE-PR-T is valuated cheaply when we compare the Price/Earnings ratio to 27.14, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.01 indicates a rather cheap valuation of BCE-PR-T.
BCE-PR-T's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.80. BCE-PR-T is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.74 | ||
| Fwd PE | 7.01 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as BCE-PR-T.
BCE-PR-T's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.43 | ||
| EV/EBITDA | 5.21 |
4.3 Compensation for Growth
A cheap valuation may be justified as BCE-PR-T's earnings are expected to decrease with -3.11% in the coming years.
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-T is a good candidate for dividend investing.
BCE-PR-T's Dividend Yield is a higher than the industry average which is at 7.11.
Compared to an average S&P500 Dividend Yield of 2.34, BCE-PR-T pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.56% |
5.2 History
The dividend of BCE-PR-T has a limited annual growth rate of 4.82%.
BCE-PR-T has paid a dividend for at least 10 years, which is a reliable track record.
BCE-PR-T has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.82%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
739.72% of the earnings are spent on dividend by BCE-PR-T. This is not a sustainable payout ratio.
The dividend of BCE-PR-T is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP739.72%
EPS Next 2Y-4.86%
EPS Next 3Y-3.11%
TSX:BCE-PR-T (8/26/2025, 7:00:00 PM)
19.29
-0.12 (-0.62%)
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 Cap17.99B
Analysts53.91
Price Target21 (8.86%)
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 Years4
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)6.95%
PT rev (3m)5.39%
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 | 6.74 | ||
| Fwd PE | 7.01 | ||
| P/S | 0.74 | ||
| P/FCF | 4.43 | ||
| P/OCF | 2.4 | ||
| P/B | 1 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.21 |
EPS(TTM)2.86
EY14.83%
EPS(NY)2.75
Fwd EY14.27%
FCF(TTM)4.36
FCFY22.58%
OCF(TTM)8.03
OCFY41.6%
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
WACC4.3%
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%