BCE Inc
TSX:BCE
Intrinsic Value
BCE, Inc. is a telecommunications and media company, which engages in the provision of communication services to residential, business, and wholesale customers. [ Read More ]
The intrinsic value of one BCE stock under the Base Case scenario is 73.17 CAD. Compared to the current market price of 46.65 CAD, BCE Inc is Undervalued by 36%.
Valuation Backtest
BCE Inc
Run backtest to discover the historical profit from buying and selling BCE stocks based on their intrinsic value.
Analyze the historical link between intrinsic value and market price to make more informed investment decisions.
Fundamental Analysis
Positive Earnings, with Strategic Shifts Ahead
2023-Q4 Earnings Call
The company ended the year on a strong note with 5.3% higher adjusted EBITDA, a margin increase to 39.7%, and 7% adjusted EPS growth. For 2024, revenue growth is guided at 0% to 4% and adjusted EBITDA at 1.5% to 4.5%, with a stable margin expected year-over-year. The company is capitalizing on its competitive edge with 3 gigabit speeds in 6.5 million locations, and the most 5G+ spectrum in Canada, purchased at the lowest cost amongst national carriers. Digital media revenue blossomed by 19%, representing 35% of total media revenue. Nonetheless, the company is shifting its focus towards cloud and security services, advanced advertising, and digital transformation due to challenging operating conditions and policy issues. This includes a significant workforce restructuring, reducing CapEx by $1 billion over two years, and a planned sale of 45 radio stations. Dividend growth remains a priority.
Balance Sheet Decomposition
BCE Inc
Current Assets | 7.9B |
Cash & Short-Term Investments | 1.8B |
Receivables | 4.5B |
Other Current Assets | 1.7B |
Non-Current Assets | 64B |
Long-Term Investments | 323m |
PP&E | 30.4B |
Intangibles | 27.6B |
Other Non-Current Assets | 5.8B |
Current Liabilities | 12.1B |
Accounts Payable | 4.7B |
Accrued Liabilities | 332m |
Other Current Liabilities | 7B |
Non-Current Liabilities | 39.6B |
Long-Term Debt | 31.1B |
Other Non-Current Liabilities | 8.5B |
Earnings Waterfall
BCE Inc
Revenue
|
24.7B
CAD
|
Cost of Revenue
|
-7.9B
CAD
|
Gross Profit
|
16.7B
CAD
|
Operating Expenses
|
-11.2B
CAD
|
Operating Income
|
5.5B
CAD
|
Other Expenses
|
-3.4B
CAD
|
Net Income
|
2.1B
CAD
|
Free Cash Flow Analysis
BCE Inc
What is Free Cash Flow?
BCE Profitability Score
Profitability Due Diligence
BCE Inc's profitability score is 56/100. The higher the profitability score, the more profitable the company is.
Score
BCE Inc's profitability score is 56/100. The higher the profitability score, the more profitable the company is.
BCE Solvency Score
Solvency Due Diligence
BCE Inc's solvency score is 26/100. The higher the solvency score, the more solvent the company is.
Score
BCE Inc's solvency score is 26/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
BCE Price Targets Summary
BCE Inc
According to Wall Street analysts, the average 1-year price target for BCE is 56.06 CAD with a low forecast of 51.51 CAD and a high forecast of 60.9 CAD.
Shareholder Return
BCE Price
BCE Inc
Average Annual Return | 6.42% |
Standard Deviation of Annual Returns | 14% |
Max Drawdown | -34% |
Market Capitalization | 42.4B CAD |
Shares Outstanding | 912 274 545 |
Percentage of Shares Shorted | 3.62% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
BCE, Inc. is a telecommunications and media company, which engages in the provision of communication services to residential, business, and wholesale customers. The company is headquartered in Verdun, Quebec and currently employs 49,781 full-time employees. The firm operates through three segments: Bell Wireless, Bell Wireline and Bell Media. The Bell Wireless segment provides wireless voice and data communication products and services to its residential, small and medium-sized business and enterprise customers as well as consumer electronic products across Canada. The Bell Wireline segment provides data, including Internet access and Internet protocol television (IPTV), local telephone, long distance, as well as other communication services and products to its residential, small and medium-sized business and enterprise customers in Ontario, Quebec, the Atlantic provinces and Manitoba. The Bell Media segment provides conventional TV, specialty TV, pay TV, streaming services, digital media services, radio broadcasting services and out-of-home (OOH) advertising services in Canada.
Contact
IPO
Employees
Officers
The intrinsic value of one BCE stock under the Base Case scenario is 73.17 CAD.
Compared to the current market price of 46.65 CAD, BCE Inc is Undervalued by 36%.