Scotiabank Issues Optimistic Estimate for BCE Earnings

Key Points

• Scotiabank raised its FY2026 EPS estimate for BCE to $1.90 from $1.80, above the $1.87 consensus, while maintaining an “Outperform” rating.
• BCE reported quarterly EPS of $0.47, narrowly beating estimates, on revenue of $4.35 billion. The company’s FY2026 EPS guidance is $1.798–$1.919.
• BCE declared a quarterly dividend of $0.4375, or $1.75 annualized, representing a 7.4% yield; analysts collectively rate the stock “Moderate Buy” with a $29.25 consensus price target.

BCE, Inc. (NYSE:BCE - Free Report) TSE: BCE - Investment analysts at Scotiabank lifted their FY2026 earnings per share estimates for BCE in a research note issued on Wednesday, August 19th. Scotiabank analyst M. Yaghi now expects that the utilities provider will earn $1.90 per share for the year, up from their prior estimate of $1.80. Scotiabank has a "Outperform" rating on the stock. The consensus estimate for BCE's current full-year earnings is $1.87 per share.

Several other research firms have also commented on BCE. Canadian Imperial Bank of Commerce reissued an "outperform" rating on shares of BCE in a research note on Friday, July 10th. Bank of America raised shares of BCE from an "underperform" rating to a "buy" rating and raised their target price for the company from $24.50 to $27.00 in a research note on Tuesday, August 11th. Weiss Ratings lowered shares of BCE from a "hold (c)" rating to a "hold (c-)" rating in a report on Thursday. Barclays dropped their price target on BCE from $26.00 to $25.00 and set an "equal weight" rating on the stock in a research report on Thursday, July 16th. Finally, TD Securities upgraded BCE from a "hold" rating to a "buy" rating in a research note on Wednesday, July 1st. Six analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat.com, BCE has an average rating of "Moderate Buy" and a consensus price target of $29.25.

BCE Stock Up 0.0%

Shares of BCE stock opened at $23.72 on Monday. BCE has a 1 year low of $20.87 and a 1 year high of $26.52. The firm has a market cap of $22.12 billion, a price-to-earnings ratio of 4.85 and a beta of 0.51. The company has a 50-day moving average of $22.33 and a 200 day moving average of $24.02. The company has a debt-to-equity ratio of 1.79, a current ratio of 0.73 and a quick ratio of 0.69.

BCE (NYSE:BCE - Get Free Report) TSE: BCE last announced its quarterly earnings data on Thursday, August 6th. The utilities provider reported $0.47 EPS for the quarter, beating the consensus estimate of $0.46 by $0.01. BCE had a return on equity of 12.90% and a net margin of 25.49%.The business had revenue of $4.35 billion during the quarter, compared to analyst estimates of $4.35 billion. BCE has set its FY 2026 guidance at 1.798-1.919 EPS.

BCE Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Stockholders of record on Tuesday, September 15th will be paid a $0.4375 dividend. This represents a $1.75 annualized dividend and a dividend yield of 7.4%. The ex-dividend date is Tuesday, September 15th. BCE's dividend payout ratio is currently 25.97%.

Institutional Investors Weigh In On BCE

Institutional investors have recently made changes to their positions in the company. Caitong International Asset Management Co. Ltd raised its holdings in BCE by 735.3% in the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 1,161 shares of the utilities provider's stock worth $27,000 after acquiring an additional 1,022 shares during the last quarter. Employees Retirement System of Texas purchased a new stake in BCE during the 4th quarter valued at $28,000. Ascentis Independent Advisors purchased a new stake in BCE during the 1st quarter valued at $33,000. Smartleaf Asset Management LLC increased its holdings in shares of BCE by 1,642.0% in the 4th quarter. Smartleaf Asset Management LLC now owns 1,411 shares of the utilities provider's stock worth $33,000 after purchasing an additional 1,330 shares in the last quarter. Finally, Colonial Trust Co SC purchased a new position in shares of BCE in the fourth quarter worth $60,000. Hedge funds and other institutional investors own 41.46% of the company's stock.

BCE Company Profile

BCE Inc NYSE: BCE is a Canadian communications, media and entertainment company that operates through its primary subsidiaries, including Bell Canada and Bell Media. As a large integrated telecommunications provider, BCE delivers a broad range of connectivity services and content to residential, business and wholesale customers across Canada. The company combines network infrastructure with media assets to offer bundled communications and entertainment solutions.

On the services side, BCE provides fixed-line and wireless voice services, mobile data, high-speed internet, fibre and broadband access, and television services through platforms such as Bell Fibe and Bell TV.

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