BCE Stock Valuation

BCE
 Stock
  

USD 48.03  0.37  0.78%   

What is the value of BCE today? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as BCE, is its stock price multiplied by the total number of shares outstanding, calculating BCE's enterprise value requires a different approach. It uses BCE's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
BCE Inc shows a prevailing Real Value of $49.75 per share. The current price of the entity is $48.03. At this time, the entity appears to be fairly valued. Our model approximates the value of BCE Inc from evaluating the entity fundamentals such as shares outstanding of 911.9 M, and Profit Margin of 12.34 % as well as inspecting its technical indicators and Probability Of Bankruptcy. In general, we favor purchasing undervalued instruments and exiting overvalued instruments since, at some future date, asset prices and their ongoing real values will blend.
  
BCE Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as BCE's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

BCE Most Recent Valuation Data

Price Book
3.1
EPS Estimate Next Quarter
0.57
Price Sales
1.84
Forward Annual Dividend Yield
0.0567
EBITDA
8.7 B
Dividend Share
3.64
Fairly Valued
Today 48.03
Please note that BCE's price fluctuation is very steady at this time. Calculation of the real value of BCE Inc is based on 3 months time horizon. Increasing BCE's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for BCE Inc is useful when determining the fair value of the BCE stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of BCE. Since BCE is currently traded on the exchange, buyers and sellers on that exchange determine the market value of BCE Stock. However, BCE's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
49.75
Real Value
51.49
Upside
Estimating the potential upside or downside of BCE Inc helps investors to forecast how BCE stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of BCE more accurately as focusing exclusively on BCE's fundamentals will not take into account other important factors:
Earnings
Estimates (7)
LowProjected EPSHigh
2.432.502.56
Details
Hype
Prediction
LowEstimated ValueHigh
46.2948.0349.77
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
2.072.252.43
Details
9 Analysts
Consensus
LowTarget PriceHigh
47.7153.1159.00
Details

BCE Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining BCE's current stock value. Our valuation model uses many indicators to compare BCE value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across BCE competition to find correlations between indicators driving BCE's intrinsic value. More Info.
BCE Inc is rated third in price to earning category among related companies. It is rated second in five year return category among related companies reporting about  0.26  of Five Year Return per Price to Earning. The ratio of Price to Earning to Five Year Return for BCE Inc is roughly  3.78 . Comparative valuation analysis is a catch-all model that can be used if you cannot value BCE by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for BCE's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the BCE's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates BCE's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in BCE and how it compares across the competition.

About BCE Valuation

The stock valuation mechanism determines the current worth of BCE Inc on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of BCE Inc. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of BCE Inc based exclusively on its fundamental and basic technical indicators. By analyzing BCE's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of BCE's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of BCE. We calculate exposure to BCE's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to BCE's related companies.
Fiscal Year End
December
Industry
Telecom Services
Concentration
Integrated Telecommunication Services
Full Time Employees
49.8 K
Service Category
Diversified Telecommunication Services
Employer Id Number
98-0134477
BCE Inc., a telecommunications and media company, provides wireless, wireline, Internet, and television services to residential, business, and wholesale customers in Canada. BCE Inc. was founded in 1880 and is headquartered in Verdun, Canada. BCE operates under Telecom Services classification in the United States and is traded on New York Stock Exchange. It employs 49781 people.
BCE's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether BCE's value is low or high relative to the company's performance and growth projections. Determining the market value of BCE can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of BCE represents a small ownership stake in the entity. As a stockholder of BCE, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

BCE Dividends Analysis For Valuation

There are various types of dividends BCE can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of BCE shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from BCE Inc directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When BCE pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of BCE by the value of the dividends paid out.

BCE Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as BCE does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio0.43
Earnings Quarterly Growth-4.70%
Revenue Growth3.20%
Payout Ratio117.64%
Enterprise Value To Ebitda9.07
Earnings Growth-6.00%
Enterprise Value To Revenue3.29
Continue to Trending Equities. Note that the BCE Inc information on this page should be used as a complementary analysis to other BCE's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.

Complementary Tools for BCE Stock analysis

When running BCE Inc price analysis, check to measure BCE's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy BCE is operating at the current time. Most of BCE's value examination focuses on studying past and present price action to predict the probability of BCE's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move BCE's price. Additionally, you may evaluate how the addition of BCE to your portfolios can decrease your overall portfolio volatility.
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Is BCE's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of BCE. If investors know BCE will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about BCE listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
(0.06) 
Market Capitalization
43.7 B
Quarterly Revenue Growth YOY
0.032
Return On Assets
0.0511
Return On Equity
14.84
The market value of BCE Inc is measured differently than its book value, which is the value of BCE that is recorded on the company's balance sheet. Investors also form their own opinion of BCE's value that differs from its market value or its book value, called intrinsic value, which is BCE's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because BCE's market value can be influenced by many factors that don't directly affect BCE's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between BCE's value and its price as these two are different measures arrived at by different means. Investors typically determine BCE value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, BCE's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.