BCE Valuation

BCE Inc

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25.720

-0.02(-0.078%)1D

Overview
Forecast
Valuation
Earnings

BCE Relative Valuation

BCE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, BCE is overvalued; if below, it's undervalued.

Historical Valuation

BCE Inc (BCE) is now in the Undervalued zone, suggesting that its current forward PE ratio of 13.15 is considered Undervalued compared with the five-year average of 17.14. The fair price of BCE Inc (BCE) is between 28.57 to 36.90 according to relative valuation methord. Compared to the current price of 25.72 USD , BCE Inc is Undervalued By 9.99%.

Relative Value

Fair Zone

28.57-36.90

Current Price：25.72

9.99%

Undervalued

13.15

Trailing

Forward

6.70

EV/EBITDA

BCE Inc. (BCE) has a current EV/EBITDA of 6.70. The 5-year average EV/EBITDA is 8.19. The thresholds are as follows: Strongly Undervalued below 6.67, Undervalued between 6.67 and 7.43, Fairly Valued between 8.95 and 7.43, Overvalued between 8.95 and 9.72, and Strongly Overvalued above 9.72. The current Forward EV/EBITDA of 6.70 falls within the Undervalued range.

13.71

EV/EBIT

BCE Inc. (BCE) has a current EV/EBIT of 13.71. The 5-year average EV/EBIT is 15.46. The thresholds are as follows: Strongly Undervalued below 12.90, Undervalued between 12.90 and 14.18, Fairly Valued between 16.73 and 14.18, Overvalued between 16.73 and 18.01, and Strongly Overvalued above 18.01. The current Forward EV/EBIT of 13.71 falls within the Undervalued range.

1.31

BCE Inc. (BCE) has a current PS of 1.31. The 5-year average PS is 2.03. The thresholds are as follows: Strongly Undervalued below 1.19, Undervalued between 1.19 and 1.61, Fairly Valued between 2.44 and 1.61, Overvalued between 2.44 and 2.86, and Strongly Overvalued above 2.86. The current Forward PS of 1.31 falls within the Undervalued range.

4.54

P/OCF

BCE Inc. (BCE) has a current P/OCF of 4.54. The 5-year average P/OCF is 6.22. The thresholds are as follows: Strongly Undervalued below 4.05, Undervalued between 4.05 and 5.14, Fairly Valued between 7.31 and 5.14, Overvalued between 7.31 and 8.39, and Strongly Overvalued above 8.39. The current Forward P/OCF of 4.54 falls within the Undervalued range.

9.98

P/FCF

BCE Inc. (BCE) has a current P/FCF of 9.98. The 5-year average P/FCF is 15.24. The thresholds are as follows: Strongly Undervalued below 7.79, Undervalued between 7.79 and 11.52, Fairly Valued between 18.97 and 11.52, Overvalued between 18.97 and 22.70, and Strongly Overvalued above 22.70. The current Forward P/FCF of 9.98 falls within the Undervalued range.

BCE Inc (BCE) has a current Price-to-Book (P/B) ratio of 2.27. Compared to its 3-year average P/B ratio of 2.68 , the current P/B ratio is approximately -15.27% higher. Relative to its 5-year average P/B ratio of 2.84, the current P/B ratio is about -20.02% higher. BCE Inc (BCE) has a Forward Free Cash Flow (FCF) yield of approximately 11.51%. Compared to its 3-year average FCF yield of 7.59%, the current FCF yield is approximately 51.70% lower. Relative to its 5-year average FCF yield of 7.09% , the current FCF yield is about 62.37% lower.

2.27

P/B

Median3y

2.68

Median5y

2.84

11.51

FCF Yield

Median3y

7.59

Median5y

7.09

Competitors Valuation Multiple

The average P/S ratio for BCE's competitors is 1.07, providing a benchmark for relative valuation. BCE Inc Corp (BCE) exhibits a P/S ratio of 1.31, which is 22.00% above the industry average. Given its robust revenue growth of 1.33%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Frontier Communications Parent Inc

Lumen Technologies Inc

Cogent Communications Holdings Inc

1.76

-5.45%

1.85B

Performance Decomposition

Market capitalization of BCE decreased by 26.51% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 10.06 to 10.58.

The secondary factor is the Revenue Growth, contributed 1.33%to the performance.

Overall, the performance of BCE in the past 1 year is driven by Margin Expansion. Which is more sustainable.

1.33%

6.01B → 6.09B

Revenue Growth

5.17%

10.06 → 10.58

Margin Expansion

-33.01%

113.01 → 75.70

P/E Change

-26.51%