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BCEBCE Inc.
$20.87$19.5B
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  4. Financial Ratios

BCE Inc. (BCE) Financial Ratios

Latest Ratios: P/E Ratio 4.4x · EV/EBITDA 6.4x · ROE 31.8%. (1996–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

BCE Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$19.5B$22.1B$21.1B$35.9B$40.1B$47.2B$38.7B$41.8B$35.5B$43.0B$37.6B
Enterprise Value$48.1B$62.9B$57.9B$71.3B$71.9B$76.6B$59.2B$61.9B$59.5B$62.6B$58.2B
P/E Ratio →4.373.51128.7817.2714.7517.4016.9213.7512.1315.0012.98
P/S Ratio1.130.900.871.461.662.011.692.281.511.891.73
P/B Ratio1.180.951.221.751.782.062.312.531.722.212.11
P/FCF8.406.728.2611.2916.8143.3311.1710.4910.5812.9313.10
P/OCF3.963.163.034.526.505.894.995.254.815.845.66

P/E links to full P/E history page with 30-year chart

BCE EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—2.572.372.892.973.272.593.382.542.762.68
EV / EBITDA6.425.905.476.857.057.746.718.036.246.756.63
EV / EBIT12.626.6321.4614.7414.2615.1713.3914.4711.8212.1711.27
EV / FCF—19.0922.6122.4230.1470.3117.0815.5517.7318.8520.28

BCE Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin68.4%68.4%68.4%30.1%68.4%68.9%69.6%31.9%41.8%42.1%69.1%
Operating Margin22.2%22.2%22.7%22.3%22.7%22.5%—23.8%23.5%23.9%24.3%
Net Profit Margin26.4%26.4%1.4%9.2%11.9%12.1%11.5%13.4%12.5%13.2%14.0%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE31.8%31.8%1.8%10.5%12.6%14.3%15.8%13.2%14.6%16.0%17.2%
ROA8.4%8.4%0.5%3.2%4.2%5.0%5.6%4.8%5.2%5.7%6.2%
ROIC6.9%6.9%7.6%7.5%7.7%8.9%—8.1%9.9%10.5%10.5%
ROCE8.6%8.6%9.4%9.3%9.5%10.7%—10.2%12.0%12.8%13.5%

BCE Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity1.761.762.211.761.421.291.231.231.181.041.20
Debt / EBITDA3.853.853.623.473.133.002.342.632.562.192.44
Net Debt / Equity—1.752.121.721.411.281.221.221.161.011.15
Net Debt / EBITDA3.823.823.473.403.122.972.322.612.512.122.34
Debt / FCF—12.3714.3511.1313.3326.985.915.067.145.927.17
Interest Coverage5.345.341.553.194.404.543.823.584.715.015.33

BCE Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio0.580.580.600.650.570.680.640.520.560.520.57
Quick Ratio0.550.550.570.610.510.630.590.480.510.490.53
Cash Ratio0.020.020.130.150.010.030.030.010.040.060.08
Asset Turnover—0.310.330.340.350.350.480.400.410.410.43
Inventory Turnover19.8519.8518.3537.1011.6515.1120.2237.9531.6034.6016.64
Days Sales Outstanding———————————

BCE Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield7.9%9.8%17.1%9.7%6.1%6.6%7.7%6.7%7.5%5.8%6.1%
Payout Ratio33.7%33.7%1050.3%154.0%85.2%110.3%112.9%114.6%91.5%83.9%76.0%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield22.9%28.5%0.8%5.8%6.8%5.7%5.9%7.3%8.2%6.7%7.7%
FCF Yield11.9%14.9%12.1%8.9%5.9%2.3%9.0%9.5%9.4%7.7%7.6%
Buyback Yield0.8%1.0%1.1%0.0%0.7%0.0%0.0%0.0%0.5%0.0%0.3%
Total Shareholder Yield8.7%10.8%18.2%9.7%6.8%6.6%7.7%6.7%8.0%5.8%6.4%
Shares Outstanding—$929M$912M$912M$912M$907M$904M$901M$899M$895M$870M

Key Metrics

Growth RegimeMixed
ProfitabilityStrained
Balance SheetStrained
Cash FlowMixed
Top Statement Risk

Regulatory and Interest Rate Exposure

Market Pricing Reflects Utility Stagnation

According to current market data, BCE trades at a forward P/E of 8.82, which, when compared to its historical averages and peer group, suggests that investors are pricing the company as a mature, low-growth utility rather than a dynamic telecommunications provider with significant upside potential.

The low PEG ratio of 0.22 appears to indicate that the market is heavily discounting future growth, likely due to the company's stagnant revenue profile and high capital intensity. Investors should monitor whether this valuation floor holds if regulatory pressures further compress the margins of the core wireline business.

Capital Efficiency Constrained by Infrastructure

Based on reported figures, BCE's ROIC has remained consistently low, hovering near 1.5% to 1.9% over the last ten quarters, which suggests that the massive capital outlays required for fiber network expansion are failing to generate returns that exceed the company's cost of capital.

This persistent underperformance in capital efficiency implies that the company's aggressive investment strategy may be value-destructive in the current high-interest-rate environment. The inability to drive higher returns on invested capital warrants further investigation into whether the fiber-to-the-home strategy can eventually achieve the necessary scale to improve profitability.

Working Capital Dynamics Reveal Operational Friction

As reported in financial statements, BCE's cash conversion cycle has shown extreme volatility, swinging from -142 days to 22 days, which indicates significant inconsistencies in managing accounts payable and inventory relative to the company's massive, multi-year infrastructure buildout and ongoing operational requirements.

The erratic nature of these efficiency metrics suggests that the company may be using its supplier leverage to manage short-term cash flow, which could be unsustainable. Analysts should scrutinize whether these fluctuations are indicative of structural operational challenges or merely timing differences in large-scale capital project payments.

Debt Burden Limits Strategic Financial Flexibility

According to recent quarterly filings, BCE's debt-to-EBITDA ratio has remained elevated, frequently exceeding 14.0x, which suggests that the company's reliance on debt to fund its dividend and infrastructure investments has created a highly leveraged balance sheet that is vulnerable to interest rate volatility.

The high debt load relative to operating earnings indicates that the company has limited room for error, especially if regulatory mandates force a reduction in service pricing. Investors should monitor the interest coverage ratio, which has shown signs of deterioration, potentially threatening the long-term sustainability of the dividend.

Dividend Yield Obscures Structural Capital Risks

The dividend yield of 7.2% is the most commonly misapplied metric for BCE, as it frequently distracts retail investors from the underlying reality that the payout is being supported by debt rather than consistent, organic free cash flow generation from core operations.

Relying on the dividend yield as a proxy for safety ignores the significant capital expenditure requirements and the potential for regulatory-driven margin compression. A more appropriate metric for assessing the company's health would be the free cash flow payout ratio, which provides a clearer view of whether the dividend is truly covered by operational success.

Download Financial Ratios Data

Includes 30+ ratios · 30 years · Updated daily

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BCE — Frequently Asked Questions

Quick answers to the most common questions about buying BCE stock.

What is BCE Inc.'s P/E ratio?

BCE Inc.'s current P/E ratio is 4.4x. The historical average is 17.5x. This places it at the 14th percentile of its historical range.

What is BCE Inc.'s EV/EBITDA?

BCE Inc.'s current EV/EBITDA is 6.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 5.6x.

What is BCE Inc.'s ROE?

BCE Inc.'s return on equity (ROE) is 31.8%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 13.9%.

Is BCE stock overvalued?

Based on historical data, BCE Inc. is trading at a P/E of 4.4x. This is at the 14th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is BCE Inc.'s dividend yield?

BCE Inc.'s current dividend yield is 7.90% with a payout ratio of 33.7%.

What are BCE Inc.'s profit margins?

BCE Inc. has 68.4% gross margin and 22.2% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does BCE Inc. have?

BCE Inc.'s Debt/EBITDA ratio is 3.9x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.