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BCE Inc (BCE) Fair Value & Analysis

Communication Services · US · Market cap $19.8B

BI BCE Inc logo BCE Inc BCE · US
Price$22.77
Fair Value$48.43
Upside+112.7%
Quality56/100
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Weak Growth
Highly profitable · 26.1% net margin
High debt · generates free cash flow
8.16% dividend yield
Ranks above peers (13/15)
Wide moat 76/100
Evidence: High Range $35.70 – $78.34 Share as image

Fair value as of: Jul 16, 2026

From 24 valuation models · updated 22 days ago

Share price +6.4% over the past month.

A solid business, screening 113% undervalued on our models.

What matters now

  • The price is below even our cautious bear case ($35.70). The market is more pessimistic than our downside scenario.
  • Solid quality (56/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range ($35.70 to $78.34) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

$43.82 $19.54 Fair Value $48.43 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

60‑month range $19.54 – $43.82 · fair‑value band $35.70 – $78.34 · the $22.77 price screens below the $48.43 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

BCE Inc (BCE) currently trades at $22.77, while our model-based Fair Value estimate is $48.43, implying the stock looks roughly 112.7% undervalued today. We read business quality at 56/100 (solid quality), in the Communication Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, BCE Inc generated revenue of $24.7B at a net margin of 26.1%. Revenue grew 4.0% year over year. It earns a return on equity of 31.5%. Net debt stands at $40.7B. Fundamentals as of Jul 16, 2026

Our scenario range runs from $35.70 (bear case) to $78.34 (bull case); at $22.77, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. Analysts expect earnings well below the last reported figure (earnings in transition, for example expiring patents or contracts); a fair value that looks fair on trailing earnings may then be too optimistic. The share trades about 14% below its 52-week high and 11% above its 52-week low, currently below its 200-day average. For context, the median of 10 Communication Services peers we cover trades at 32% fair-value upside, at 113%, BCE screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF $12.27 $34.27 80
Residual Income $46.13 $62.51 $377.11 76
Rev-Margin DCF $2.82 $22.78 $47.77 74
All 24 models by family
DCF Models
FCF DCF $11.15 $35.66 38
Owner Earnings $49.48 $80.08 $139.59 31
5Y Revenue Exit $2.82 $22.18 $50.72 39
5Y EBITDA Exit $36.36 $79.23 $136.52 41
5Y P/E Exit $32.31 $72.33 $120.37 38
10Y Revenue Exit $16.31 $35.52 36
10Y EBITDA Exit $21.48 $53.98 $91.64 37
10Y P/E Exit $18.99 $49.43 $81.08 35
Earnings-Based
Graham-Dodd $47.11 $79.39 $96.67 54
EPV $6.08 $13.28 $19.57 59
Dividend Discount
Gordon GGM $21.44 $26.68 $32.18 70
DDM Multi-Stage $21.44 $28.81 $37.88 61
Multiples
P/E Multiple $103.91 $138.55 $173.19 63
P/S Multiple $49.20 $65.60 $82.00 58
P/B Multiple $55.54 $74.06 $92.57 55
EV/EBIT $41.38 $67.53 $93.69 53
EV/EBITDA $74.35 $111.49 $148.64 54
EV/Revenue $8.83 $28.51 $48.19 43
Asset-Based
NCAV (Graham) $12.34 $16.54 $24.69 50
Growth DCF
Growth DCF $12.27 $34.27 80
Rev-Margin DCF $2.82 $22.78 $47.77 74
Economic Profit
Residual Income $46.13 $62.51 $377.11 76
ROIC Compounder $6.08 $13.28 $19.57 72
Growth Earnings
Growth-Adj P/E $73.51 $105.02 $136.53 68

Widest divergence: Growth Earnings ($105.02) versus Growth DCF ($12.27). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) $24.7B
Revenue growth (YoY) +4.0%
Net margin 26.1%
Return on equity 31.5%
Free cash flow $3.3B FY2025
P/E ratio 5.0
More key figures
Operating margin 21.3%
EPS (TTM) $4.91
Dividend yield 7.0%
EPS growth (YoY) -2.9%
Net debt $40.7B FY2025

Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 56/100

Of which business quality 51 · Market factors (momentum, volatility) 50

Profitability 61
Margins and returns on capital today
Quality Growth 61
Are margins and returns improving?
Cashflow 54
Earnings quality: real cash, not paper profit
Fin. Strength 14
Balance sheet, leverage, solvency risk
Investment 65
Disciplined investing over empire-building
Low Volatility 91
Calm price path (market factor)
Momentum 32
Price trend over the last 3–12 months (market factor)
52W Momentum 36
Distance to the 52-week high (market factor)
Net Issuance 70
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

BCE Inc., a communications company, provides wireless, wireline, internet, streaming services, and television (TV) services to residential, business, and wholesale customers in Canada. The company operates through three segments: Bell Communication and Technology Services Canada, Bell Communication and Technology Services United States, and Bell Media.

Full company description

BCE Inc., a communications company, provides wireless, wireline, internet, streaming services, and television (TV) services to residential, business, and wholesale customers in Canada. The company operates through three segments: Bell Communication and Technology Services Canada, Bell Communication and Technology Services United States, and Bell Media. The Bell Communication and Technology Services Canada segment provides wireless products and services, including mobile data and voice plans, streaming services, and devices; wireline products and services comprising data, including internet access, internet protocol television, cloud-based services, and AI-driven and business solutions, as well as voice, and other communication services and products, satellite TV and connectivity services for residential, small and medium-sized business, and large enterprise customers. This segment also buys and sells local telephone, long distance, and data and other services to resellers and other carriers. The Bell Communication and Technology Services United States segment provides wireline communication products and services comprising data, including broadband Internet, commercial ethernet, dedicated Internet-non-switched access, and other data transport networking options; and voice, including traditional and voice over Internet protocol voice services, such as local, long distance, and unified communications as a service and video products to residential, business, and wholesale customers. The Bell Media segment provides a portfolio of video, audio, out-of-home advertising, and digital media services. BCE Inc. was founded in 1880 and is headquartered in Verdun, Canada.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

BCE Inc reported revenue of $24.5B in FY2025 versus $23.4B in FY2021, a compound +1.1%/yr. Reported net income was $6.5B in FY2025, compounding +22.8%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
$24.5B
Latest YoY
+0.2%
Avg. growth/yr (3Y)
+0.4%
Avg. growth/yr (5Y)
+1.3%
Avg. growth/yr (40Y)
+1.5%
Revenue +1.1%/yr
FY21 $23.4B
FY22 $24.2B
FY23 $24.7B
FY24 $24.4B
FY25 $24.5B
Net income +22.8%/yr
FY21 $2.8B
FY22 $2.9B
FY23 $2.3B
FY24 $344M
FY25 $6.5B

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Cite: Fair Value Calculator (2026). "BCE Inc Fair Value". https://www.fairvalue-calculator.com/stock/BCE

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Telecom Services · 252 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 56 · Above median
Fair Value upside +113% · Top 25%
Return on equity (TTM) 31% · Top 25%
Return on assets 4% · Above median
Net margin (TTM) 26% · Top 25%
Operating margin (TTM) 21% · Top 25%
Revenue growth 4% · Above median
Dividend yield (TTM) 8.2% · Top 25%
Debt / equity 1.52× · Higher than 75% of peers

Valuation Multiples vs Telecom Services median · lower = cheaper

P/E (TTM) 4.5× · Cheaper than 75% of peers
P/B 0.86× · Cheaper than median
P/S (TTM) 0.80× · Cheaper than median
P/FCF 6.0× · Pricier than median
EV/EBITDA 6.3× · Cheaper than median
PEG 0.22× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 100 · sector 29
FUTURE 20 · sector 15
PAST 100 · sector 28
HEALTH 24 · sector 89
DIVIDEND 100 · sector 73

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Telecom Services stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
China Mobile Limited 600941 ¥89.98 ¥109.88 +22%
T-Mobile US, Inc TMUS $187.61 $172.67 -8%
Bharti Airtel Limited BHARTIARTL ₹1,922 ₹941.55 -51%
China Telecom Corporation 601728 ¥6.01 ¥8.36 +39%
América Móvil, S.A. AMXB 23.07 MXN 30.35 MXN +32%
Vodafone Group VODN 259.50 MXN 507.27 MXN +95%
Advanced Info Service Public Company ADVANC 379.00 THB 286.77 THB -24%
Chunghwa Telecom Co 2412 133.50 TWD 100.00 TWD -25%
China Unicom (Hong Kong) Limited 0762 HK$6.50 HK$13.03 +100%
Telefónica, S.A TEFN 75.67 MXN 111.01 MXN +47%

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Frequently asked questions

Is BCE Inc (BCE) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of $48.43 versus a price of $22.77, about +113% (undervalued).
What is the fair value of BCE?
Our model-based fair value for BCE Inc is $48.43 (as of Jul 16, 2026), built from audited fundamentals. The current price is $22.77.
What is the quality score of BCE?
BCE Inc has a Quality Score of 56/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of BCE Inc (BCE)?
BCE Inc reported trailing-twelve-month revenue of about $24.7B (latest available figure, as of Jul 16, 2026).
What is the net profit margin of BCE?
The net profit margin of BCE Inc is about 26.1%, meaning it keeps roughly 26.1% of revenue as net income. Based on the latest reported figures.
Does BCE Inc pay a dividend?
BCE Inc currently shows a dividend yield of about 6.98% relative to its recent price (as of Jul 16, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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