Upside case
Bull case
$20-15.6%
The bull case prices BCE at 8x on FY1 earnings, assuming continued execution and no meaningful deceleration in the core business.
Analysis OverviewHoldUpdated May 1, 2026
BCE Inc. (BCE) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Hold
Covering
21
analysts
6 bullish · 2 bearish · 21 covering BCE
Strong Buy
0
Buy
6
Hold
13
Sell
2
Strong Sell
0
Consensus Target
$26
+7.3% vs today
Scenario Range
$14 – $20
Model bear to bull value window
Coverage
21
Published analyst ratings
Valuation Context
9.3x
Forward P/E · Market cap $22.6B
BCE price targets
Three scenarios for where BCE stock could go
Current
~$24
Confidence
48 / 100
Updated
May 1, 2026
Where we are now
Current · $24
Bear
$14
Base
$26
Bull
$20
Market caseClosest to today
Base case
$26+6.8%
This is close to how the market is already pricing BCE — at roughly 10x forward earnings. No dramatic re-rating needed, just steady execution on the core business.
Stress case
Bear case
$14-43.2%
If investor confidence fades or macro conditions deteriorate, a 4x multiple contraction could push BCE down roughly 43% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
BCE Inc.
BCE · NYSECommunication ServicesTelecommunications ServicesDecember year-end
BCE is Canada's largest telecommunications and media company, providing wireless, wireline internet, TV, and media services nationwide. It generates revenue primarily from wireless services (~40% of total), wireline broadband and TV (~45%), and media advertising and content (~15%). The company's competitive advantage lies in its extensive national network infrastructure — including fiber and wireless spectrum — which creates high barriers to entry and supports its bundled service offerings.
Market Cap
$22.6B
Revenue TTM
$24.4B
Net Income TTM
$6.3B
Net Margin
25.8%
BCE Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
50%Exceptional
12 quarters tracked
Revenue Beat Rate
45%Exceptional
vs consensus estimates
Avg EPS Surprise
+2.0%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q2 2025
Q3 2025
Q4 2025
Q1 2026
Last 4 Quarters
EPS beats: 3 of 4Q2 2025
EPS
$0.48/$0.44
Revenue
$4.2B/$5.9B
Q3 2025
EPS
$0.46/$0.52
Revenue
$4.5B/$5.9B
Q4 2025
EPS
$0.57/$0.52
Revenue
$4.3B/$6.5B
Q1 2026
EPS
$0.49/$0.45
Revenue
$4.7B/$4.8B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q2 2025 | $0.48/$0.44 | +9.1% | $4.2B/$5.9B | -29.8% |
| Q3 2025 | $0.46/$0.52 | -11.5% | $4.5B/$5.9B | -24.6% |
| Q4 2025 | $0.57/$0.52 | +9.6% | $4.3B/$6.5B | -33.8% |
| Q1 2026 | $0.49/$0.45 | +8.9% | $4.7B/$4.8B | -2.1% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$24.9B
+1.9% YoY
FY2
$25.0B
+0.5% YoY
EPS Outlook
FY1
$5.20
-23.4% YoY
FY2
$5.33
+2.5% YoY
Trailing FCF (TTM)$3.0B
FCF Margin: 12.4%
Next Earnings
May 7, 2026
Expected EPS
$0.43
Expected Revenue
$4.4B
BCE beat EPS estimates in 3 of 4 tracked quarters. A strong delivery record supports forward estimate credibility.
BCE Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2021
Total disclosed revenue $14.5B
Product Mix
Latest annual revenue by segment or product family
Service, Data
54.3%
+2.3% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
Segment breakdown not available for this company.
Service, Data is the largest disclosed segment at 54.3% of FY 2021 revenue, up 2.3% YoY.
BCE Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Significantly Undervalued
Fair value est. $69 — implies +186.4% from today's price.
Upside to Fair Value
186.4%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
BCE
4.9x
vs
S&P 500
25.2x
81% discount
vs Communication Services Trailing P/E
BCE
4.9x
vs
Communication Services
15.5x
69% discount
vs BCE 5Y Avg P/E
Today
4.9x
vs
5Y Average
36.3x
87% discount
Forward PE
9.3x
S&P 500
19.1x
-51%
Communication Services
13.1x
-29%
5Y Avg
—
—
Trailing PE
4.9x
S&P 500
25.2x
-81%
Communication Services
15.5x
-69%
5Y Avg
36.3x
-87%
PEG Ratio
0.22x
S&P 500
1.75x
-87%
Communication Services
0.66x
-66%
5Y Avg
—
—
EV/EBITDA
6.7x
S&P 500
15.3x
-56%
Communication Services
8.7x
-23%
5Y Avg
6.6x
+2%
Price/FCF
9.3x
S&P 500
21.3x
-56%
Communication Services
11.6x
-19%
5Y Avg
17.3x
-46%
Price/Sales
1.3x
S&P 500
3.1x
-60%
Communication Services
1.0x
+20%
5Y Avg
1.4x
-9%
Dividend Yield
7.12%
S&P 500
1.88%
+279%
Communication Services
3.38%
+111%
5Y Avg
9.87%
-28%
| Metric | BCE | S&P 500 | Communication Services | 5Y Avg BCE |
|---|---|---|---|---|
| Forward PE | 9.3x | 19.1x-51% | 13.1x-29% | — |
| Trailing PE | 4.9x | 25.2x-81% | 15.5x-69% | 36.3x-87% |
| PEG Ratio | 0.22x | 1.75x-87% | 0.66x-66% | — |
| EV/EBITDA | 6.7x | 15.3x-56% | 8.7x-23% | 6.6x |
| Price/FCF | 9.3x | 21.3x-56% | 11.6x-19% | 17.3x-46% |
| Price/Sales | 1.3x | 3.1x-60% | 1.0x+20% | 1.4x |
| Dividend Yield | 7.12% | 1.88% | 3.38% | 9.87% |
BCE trades above S&P 500 benchmarks on 0 of 6 measured multiples — appears modestly priced relative to the S&P 500 on most measures.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolBCE Financial Health
Verdict
Exceptional
BCE earns 43.9% operating margin on regulated earnings, 7.1% dividend yield. Utilities carry higher leverage than industrials as a structural feature of the business model.
Regulated Operations
Revenue, regulated margins, and earnings
Revenue (TTM)
Trailing-twelve-month sales base
$24.4B
Revenue Growth
TTM vs prior year
+0.2%
Operating Margin
Operating income divided by revenue
43.9%
Net Margin
Net income divided by revenue
25.8%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$6.78
Operating Margin
Operating income over revenue — primary regulated earnings signal
43.9%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
6.9%
ROA
Return on assets, trailing twelve months
8.3%
Cash & Equivalents
Liquid assets on the balance sheet
$320M
Net Debt
Total debt minus cash
$40.7B
Debt Serviceability
Net debt as a multiple of annual free cash flow
13.4× FCF
Regulated utilities typically operate at 3–5× net debt/FCF — this is structural, not a risk flag.
ROE *
Return on equity, trailing twelve months
30.7%
* Elevated by buyback-compressed equity — compare ROIC (6.9%) for an undistorted picture of capital efficiency.
Shareholder Returns
How capital is returned to owners
Total shareholder yield
7.8%
Dividend
7.1%
Buyback
0.7%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$216M
Dividend / Share
Annualized trailing dividend per share
$2.34
Payout Ratio
Share of earnings distributed as dividends
34.6%
Shares Outstanding
Declining as buybacks retire shares
933M
All figures from the trailing twelve months. Utilities operate with structural leverage (3–5× net debt/FCF) due to regulated, predictable cash flows.
Open full ratios pageBCE Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 29, 2026
High Risk
High Debt Load
BCE carries a substantial amount of debt, with a target Net Debt Leverage Ratio of approximately 3.8x adjusted EBITDA by the end of 2025. This high leverage, combined with a higher interest rate environment, significantly impacts the company's bottom line and is a primary driver for projected declines in Adjusted Earnings Per Share (Adjusted EPS) growth.
High Risk
CRTC Decisions
A significant risk stems from decisions made by the Canadian Radio-television and Telecommunications Commission (CRTC), particularly a ruling mandating wholesale access to BCE's fiber-to-the-home (FTTH) network. This regulatory intervention has altered the economics of network investment, leading BCE to reduce its capital expenditures, which could slow long-term revenue growth and pressure margins.
Medium
Dividend Sustainability
Concerns exist about BCE's dividend sustainability due to high debt levels, limited growth, and shrinking margins. The company has already implemented a dividend cut, which was a direct consequence of financial pressures.
Medium
Subscriber Churn
Increased customer churn in the wireless segment, driven by greater competition and promotional offers, has led to a significant drop in net postpaid mobile phone subscribers. This trend poses a risk to BCE's revenue stability and growth.
Medium
Competitive Pricing
BCE faces ongoing competitive pricing pressures in its wireless and broadband segments. A potential price war in the Canadian telecom sector is a growing concern, directly impacting BCE's margins and revenue quality.
Lower
Bell Media Performance
The Bell Media segment faces operational risks, including a decline in Adjusted EBITDA due to lower operating revenue. This decline is partly due to a shift away from traditional advertising and ongoing competitive pricing pressures.
Lower
Legacy Media Decline
Secular declines in legacy broadcast media and continued weakness in traditional TV advertising mean BCE's media businesses face long-term margin compression and revenue headwinds that may not be fully offset by digital gains.
Lower
Liquidity Concerns
Standard liquidity measures for BCE are noted as being low, which is typical for companies with significant infrastructure debt. However, this remains a point of caution for investors.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why BCE Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 29, 2026
Strong Financial Performance
BCE reported earnings per share (EPS) of C$0.69 in a recent quarter, demonstrating profitability amidst modest revenue growth. For the full year 2025, the company grew free cash flow by 10% to $3.2 billion and expanded its adjusted EBITDA margin to 43.6%, the highest in over 30 years.
Investment in AI and Fiber Optics
BCE is investing in strategic growth areas such as AI and fiber optics, with a fully contracted 300 MW AI data center in Saskatchewan expected to generate significant revenue and EBITDA. The company aims for a $2 billion revenue target from AI solutions by 2028, further driving growth.
Attractive Dividend Yield
BCE offers a strong dividend yield, appealing to income-focused investors. Despite recent stock declines, the company's valuation remains attractive, with a potential upside of approximately 24.92% based on recent price targets.
Positive Analyst Sentiment
Multiple analysts have issued 'buy' ratings for BCE, reflecting confidence in its future performance. The consensus price target suggests room for growth in the stock price, indicating a generally positive outlook.
Strong Market Position
As a major Canadian telecommunications company, BCE benefits from reliable cash flows and a robust market presence. Its integrated model, combining network infrastructure with media assets, allows it to offer bundled solutions, enhancing its competitive advantage.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
BCE Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$24.23
52W Range Position
58%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$21.04
+15.2% from the low
52-Week High
$26.52
-8.6% from the high
1 Month
-0.12%
3 Month
-3.39%
YTD
+2.4%
1 Year
+12.2%
3Y CAGR
-20.4%
5Y CAGR
-12.9%
10Y CAGR
-6.2%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
BCE vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
9.3x
vs 11.1x median
-16% below peer median
Revenue Growth
+1.9%
vs +3.7% median
-50% below peer median
Net Margin
25.8%
vs 12.4% median
+107% above peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
BCE BCE BCE Inc. | $22.6B | 9.3x | +1.9% | 25.8% | Hold | +7.3% |
T T AT&T Inc. | $178.4B | 11.1x | +1.4% | 16.9% | Hold | +15.1% |
VZ VZ Verizon Communications Inc. | $200.1B | 9.6x | +2.6% | 12.4% | Hold | +8.7% |
TMU TMUS T-Mobile US, Inc. | $209.0B | 18.4x | +5.2% | 11.6% | Buy | +31.5% |
TU TU TELUS Corporation | $20.0B | 19.5x | +3.7% | 5.4% | Buy | +76.2% |
RCI RCI Rogers Communications Inc. | $19.7B | 10.6x | +9.1% | 33.7% | Hold | +1.5% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
BCE Dividend and Capital Return
BCE returns 7.8% total yield, led by a 7.12% dividend. Buybacks add another 0.7%.
Dividend SustainableFCF Adequate
Total Shareholder Yield
7.8%
Dividend + buyback return per year
Buyback Yield
0.7%
Dividend Yield
7.12%
Payout Ratio
34.6%
How BCE Splits Its Return
Div 7.12%
Dividend 7.12%Buybacks 0.7%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$2.34
Growth Streak
Consecutive years of dividend increases
0Y
3Y Div CAGR
-16.2%
5Y Div CAGR
-7.9%
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$216M
Estimated Shares Retired
9M
Approx. Share Reduction
1.0%
Shares Outstanding
Current diluted share count from the screening snapshot
933M
At 1.0%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $0.32 | — | — | — |
| 2025 | $1.65 | -43.0% | 1.0% | 10.8% |
| 2024 | $2.90 | +1.2% | 1.1% | 18.2% |
| 2023 | $2.86 | +1.8% | 0.0% | 9.7% |
| 2022 | $2.81 | +0.7% | 0.7% | 6.8% |
FAQ
7 questionsBCE Investor Questions
Common questions answered from live analyst data and company financials.
01Is BCE Inc. (BCE) stock a buy or sell in 2026?
BCE Inc. (BCE) is rated Hold by Wall Street analysts as of 2026. Of 21 analysts covering the stock, 6 rate it Buy or Strong Buy, 13 rate it Hold, and 2 rate it Sell or Strong Sell. The consensus 12-month price target is $26, implying +7.3% from the current price of $24. The bear case scenario is $14 and the bull case is $20.
02What is the BCE stock price target for 2026?
The Wall Street consensus price target for BCE is $26 based on 21 analyst estimates. The high-end target is $26 (+7.3% from today), and the low-end target is $26 (+7.3%). The base case model target is $26.
03Is BCE Inc. (BCE) stock overvalued in 2026?
BCE trades at 9.3x times forward earnings. The stock currently trades at a discount to the broader market. Based on current multiples versus the peer group, the relative model signals significantly undervalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for BCE Inc. (BCE) stock in 2026?
The primary risks for BCE in 2026 are: (1) High Debt Load — BCE carries a substantial amount of debt, with a target Net Debt Leverage Ratio of approximately 3. (2) CRTC Decisions — A significant risk stems from decisions made by the Canadian Radio-television and Telecommunications Commission (CRTC), particularly a ruling mandating wholesale access to BCE's fiber-to-the-home (FTTH) network. (3) Dividend Sustainability — Concerns exist about BCE's dividend sustainability due to high debt levels, limited growth, and shrinking margins. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is BCE Inc.'s revenue and earnings forecast?
Analyst consensus estimates BCE will report consensus revenue of $24.9B (+1.9% year-over-year) and EPS of $5.20 (-23.4% year-over-year) for the upcoming fiscal year. The following year, analysts project $25.0B in revenue.
06When does BCE Inc. (BCE) report its next earnings?
BCE Inc. is expected to report its next earnings on approximately 2026-05-07. Consensus expects EPS of $0.43 and revenue of $4.4B. Over recent quarters, BCE has beaten EPS estimates 50% of the time.
07How much free cash flow does BCE Inc. generate?
BCE Inc. (BCE) generated $3.0B in free cash flow over the trailing twelve months — a free cash flow margin of 12.4%. BCE returns capital to shareholders through dividends (7.1% yield) and share repurchases ($216M TTM).