TSE:BCE

BCE Inc. (BCE.TO)

34.41
-0.08 (0.23%)
as of Jun 11, 2026, 2:30:30 pm Market Open.
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Investor Insights
star iconJun 11, 2026, 12:00 am

This summary was created by AI, based on 45 opinions in the last 12 months.

BCE Inc. has been facing significant challenges, including a recent dividend cut aimed at bolstering cash flow for investments, particularly in the U.S. market. Expert reviews highlight that while the stock offers a decent dividend yield of approximately 5%, it's viewed more as an income-generating asset rather than a growth opportunity. Concerns regarding competitive pressures in the telecommunications sector, especially with increasing competition from players like Freedom Mobile and regulatory hurdles, have emerged as notable headwinds. Many analysts maintain a cautious outlook, suggesting that the stock could stabilize in the long term but may not witness substantial upside in the near future. Overall, while there are opportunities for operational improvements and strategic pivots, uncertainty remains about BCE's ability to reclaim previous growth trajectories.

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Consensus
Cautious
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Valuation
Fair Value
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Similar
Telus, T
SELL
Telcos have been frustrating. Big capex cycle, and then the pandemic. He hates buying a stock just because it has a yield. Suggests switching to the utilities sector with similar yield but more consistent dividend and earnings growth.
BUY
The company will benefit from the rural broadband project. Yield is close to 6%. The payout ratio is okay at around 75%. They will have to spend to receive more income, but the media providers are internet providers in Canada. If you decide to cut the cord, you still need internet. The work from home trend will increase internet use as well.
COMMENT
He has considered switching his position to Telus. He still likes BCE. Performance over the last decade has been significant. Going forward, dividend growth will not be as strong although yield is higher than competitors.
BUY ON WEAKNESS
The dividend is safe. All telcos are good at increasing their dividend yearly. BCE pays 5.9%. She buys this below $55. A solid income stock.
TOP PICK

A necessary service, no matter when a Covid vaccine is ready. We love our phone, internet, and Netflix. We're using more bandwith all the time and have to store more data. Legacy businesses are being replaced by 5G and fibre optic. Great and reliable dividend. Good addition to any portfolio. Yield is 5.92%. (Analysts’ price target is $60.66)

BUY
Well-positioned for the effects of the pandemic. Network is incredibly robust in the downturn. Generating free cash, and the whole sector is starting to increase dividends.
BUY
BCE vs. Telus The dividends are as safe as it gets, bolstered by the work-from-home trend and people using more data. Telus has a home security monitoring which ties in with their connected internet of things theme, and a telehealth business which will likely grow in coming years. Both companies are good and even in quality--can't choose one. It's splitting hairs.
COMMENT

A risky telco? He does not own RCI in his portfolios. The dividends are secure, but he prefers BCE and T. They are all facing similar challenges. He thinks RCI has not been as good at controlling costs.

HOLD
7% 2027 debenture All BCE securities are rock-solid credit. Nothing to worry about even in this environment and he owns these bonds in their portfolios. Zero worry.
BUY

BCE and Telus Owning either is fine. It's splitting hairs to choose one over the other. Tech stocks are the big focus of investors now. The current 5% dividend yield + 5% dividend growth rate = your likely return. Be patient with them, because these stocks won't leap in a given day. Positives: both are staples, with cell phones indispensible in our lives as people work more from home and are using more data, which adds to their revenue. Also note, they are low-beta stocks, so, they don't rise or fall as much as the wider market, but are safe. They're part of a regulated oligopoly. He'd give a slight edge to Telus because of Telus Health which will become more a part of our lives as we go forward.

BUY
Telephone companies are going to benefit from the stay-at-home phenomenon. People would not give up their cell phones but they might take a lower package. BCE-T is a fairly good place to be but they will have to do a lot of CAP-X for 5 G, although it will be a benefit in the long term.
COMMENT

She prefers to own a Canadian telco for dividends, especially as this does not qualify for the Canadian dividend tax credit. She owns BCE instead.

BUY

They are using Huawei to a great extent. Are they a good investment? There is now better appreciation for their stability during the pandemic. BCE-T is the steady blue chip of the sector while T-T is more of a grower. There is also a lot of insider buying of T-T over the years. He would prefer T-T. He would not be too concerned with use of Huawei. We are now moving away from globalization. There won't be enough impact to dissuade someone from investing in either of them.

BUY

Increase dividend? The telcos are in a good spot. Work from home, the thirst for data, and the need to connect will do well for them. Their latest earnings said their pension is fully funded. They are a 5G play as well. He does not know if they will increase the dividend, when the payout ratio is already 85%. At this price level, he would prefer Telus, but you could buy here.

BUY
T-T vs. BCE-T. Why do you own a telco – for income or for growth. These are about as good as it gets for income. Demand for their products is pretty resilient. There might be better opportunities for growth out there. He likes both of them.
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