BCE INC - BCECN 5.346 PERP (BCE-PR-Z.CA) Stock Fundamental Analysis
TSX:BCE-PR-Z - Toronto Stock Exchange - CA05534B8289 - Currency: CAD
BCE-PR-Z gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 30 industry peers in the Diversified Telecommunication Services industry. BCE-PR-Z may be in some trouble as it scores bad on both profitability and health. BCE-PR-Z has a valuation in line with the averages, but it does not seem to be growing. BCE-PR-Z also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
BCE-PR-Z had positive earnings in the past year.
In the past year BCE-PR-Z had a positive cash flow from operations.
BCE-PR-Z had positive earnings in each of the past 5 years.
Each year in the past 5 years BCE-PR-Z had a positive operating cash flow.
1.2 Ratios
BCE-PR-Z has a worse Return On Assets (0.54%) than 73.33% of its industry peers.
BCE-PR-Z has a Return On Equity of 2.26%. This is in the lower half of the industry: BCE-PR-Z underperforms 73.33% of its industry peers.
BCE-PR-Z has a Return On Invested Capital of 5.04%. This is in the lower half of the industry: BCE-PR-Z underperforms 73.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BCE-PR-Z is in line with the industry average of 5.41%.
The 3 year average ROIC (4.90%) for BCE-PR-Z is below the current ROIC(5.04%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 1.61%, BCE-PR-Z is doing worse than 73.33% of the companies in the same industry.
In the last couple of years the Profit Margin of BCE-PR-Z has declined.
BCE-PR-Z's Operating Margin of 22.74% is on the low side compared to the rest of the industry. BCE-PR-Z is outperformed by 73.33% of its industry peers.
In the last couple of years the Operating Margin of BCE-PR-Z has remained more or less at the same level.
With a Gross Margin value of 68.27%, BCE-PR-Z is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
BCE-PR-Z'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
BCE-PR-Z has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for BCE-PR-Z remains at a similar level compared to 1 year ago.
Compared to 5 years ago, BCE-PR-Z has more shares outstanding
The debt/assets ratio for BCE-PR-Z is higher compared to a year ago.
2.2 Solvency
BCE-PR-Z has an Altman-Z score of 0.54. This is a bad value and indicates that BCE-PR-Z is not financially healthy and even has some risk of bankruptcy.
BCE-PR-Z's Altman-Z score of 0.54 is fine compared to the rest of the industry. BCE-PR-Z outperforms 70.00% of its industry peers.
The Debt to FCF ratio of BCE-PR-Z is 11.06, which is on the high side as it means it would take BCE-PR-Z, 11.06 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BCE-PR-Z (11.06) is worse than 63.33% of its industry peers.
A Debt/Equity ratio of 1.95 is on the high side and indicates that BCE-PR-Z has dependencies on debt financing.
BCE-PR-Z has a Debt to Equity ratio of 1.95. This is in the lower half of the industry: BCE-PR-Z underperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.95 | ||
| Debt/FCF | 11.06 | ||
| Altman-Z | 0.54 |
ROIC/WACC0.81
WACC6.21%
2.3 Liquidity
BCE-PR-Z has a Current Ratio of 0.64. This is a bad value and indicates that BCE-PR-Z is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.64, BCE-PR-Z is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
BCE-PR-Z has a Quick Ratio of 0.64. This is a bad value and indicates that BCE-PR-Z is not financially healthy enough and could expect problems in meeting its short term obligations.
BCE-PR-Z's Quick ratio of 0.61 is on the low side compared to the rest of the industry. BCE-PR-Z is outperformed by 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
BCE-PR-Z shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.27%.
Measured over the past years, BCE-PR-Z shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.78% on average per year.
Looking at the last year, BCE-PR-Z shows a decrease in Revenue. The Revenue has decreased by -1.23% in the last year.
Measured over the past years, BCE-PR-Z shows a small growth in Revenue. The Revenue has been growing by 0.51% on average per year.
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
Based on estimates for the next years, BCE-PR-Z will show a small growth in Earnings Per Share. The EPS will grow by 7.92% on average per year.
The Revenue is expected to grow by 1.90% on average over the next years.
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
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
The Price/Earnings ratio is 6.36, which indicates a rather cheap valuation of BCE-PR-Z.
BCE-PR-Z's Price/Earnings ratio is in line with the industry average.
BCE-PR-Z's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.32.
BCE-PR-Z is valuated cheaply with a Price/Forward Earnings ratio of 7.08.
60.00% of the companies in the same industry are cheaper than BCE-PR-Z, based on the Price/Forward Earnings ratio.
BCE-PR-Z's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.36 | ||
| Fwd PE | 7.08 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BCE-PR-Z indicates a slightly more expensive valuation: BCE-PR-Z is more expensive than 60.00% of the companies listed in the same industry.
60.00% of the companies in the same industry are cheaper than BCE-PR-Z, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.98 | ||
| EV/EBITDA | 5.27 |
4.3 Compensation for Growth
A cheap valuation may be justified as BCE-PR-Z'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
With a Yearly Dividend Yield of 6.75%, BCE-PR-Z is a good candidate for dividend investing.
BCE-PR-Z's Dividend Yield is rather good when compared to the industry average which is at 6.43. BCE-PR-Z pays more dividend than 86.67% of the companies in the same industry.
BCE-PR-Z's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.75% |
5.2 History
The dividend of BCE-PR-Z has a limited annual growth rate of 4.82%.
BCE-PR-Z has been paying a dividend for at least 10 years, so it has a reliable track record.
BCE-PR-Z has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.82%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
BCE-PR-Z pays out 898.21% of its income as dividend. This is not a sustainable payout ratio.
The dividend of BCE-PR-Z 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-Z (6/13/2025, 7:00:00 PM)
19.13
+0.13 (+0.68%)
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 Cap17.63B
Analysts52.73
Price Target21.7 (13.43%)
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 Years0
Div Non Decr Years11
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)9.62%
PT rev (3m)9.08%
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 | 6.36 | ||
| Fwd PE | 7.08 | ||
| P/S | 0.72 | ||
| P/FCF | 4.98 | ||
| P/OCF | 2.32 | ||
| P/B | 1.02 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.27 |
EPS(TTM)3.01
EY15.73%
EPS(NY)2.7
Fwd EY14.13%
FCF(TTM)3.84
FCFY20.1%
OCF(TTM)8.24
OCFY43.07%
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 | 0.54 |
F-Score6
WACC6.21%
ROIC/WACC0.81
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%