BCE stock: fair value
BCEThe fair value of BCE under our model is $35.28, the price is 39% below.
The fair value is an estimate from our model, not a price target.
Daily figure as of 13 Nov 2026
Valuation signal
Significantly undervaluedIn our model the price counts as cheap below $29.40 and expensive above $44.10 (uncertainty low, based on the price swings of the past year).
The two parts of the fair value come to $42.58 (cash-flow model) and $27.97 (industry comparison), and the gap between them shows how uncertain the estimate is. The price is below both.
Calculated with a cost of equity of 8.2%. At 9.2% the fair value would be $31.72, at 7.2% it would be $40.61.
Where the number comes from
Half from the cash-flow model, half from earnings times the industry P/E (16.3).
Ten-year cash-flow model from smoothed free cash flow and its past growth until it reaches 3.2%. Discounted at 8.2% (floor: government bond yield 3.2% plus 5 percentage points, since beta 1.07 times the risk premium would give less); no analyst estimates were available.
Calculate with your own assumptionsThe calculation step by step
With these figures the cash flow model arrives at $42.58 per share: free cash flow for the next ten years, each year discounted to today at 8.2%, plus the terminal value for the years after. The table explains the calculation; it is not a recommendation.
Calculation as a table
| Year | Free cash flow | Source | Discount factor | Present value (discounted at 8.2%) |
|---|---|---|---|---|
| 2026 | $1.96B | extrapolated at 3.8% | 0.9246 | $1.81B |
| 2027 | $2.03B | extrapolated at 3.6% | 0.8550 | $1.74B |
| 2028 | $2.1B | extrapolated at 3.5% | 0.7905 | $1.66B |
| 2029 | $2.17B | extrapolated at 3.4% | 0.7310 | $1.59B |
| 2030 | $2.25B | extrapolated at 3.3% | 0.6759 | $1.52B |
| 2031 | $2.32B | extrapolated at 3.3% | 0.6249 | $1.45B |
| 2032 | $2.39B | extrapolated at 3.2% | 0.5778 | $1.38B |
| 2033 | $2.47B | extrapolated at 3.2% | 0.5343 | $1.32B |
| 2034 | $2.55B | extrapolated at 3.2% | 0.4940 | $1.26B |
| 2035 | $2.63B | extrapolated at 3.2% | 0.4568 | $1.2B |
| Step | Value |
|---|---|
| Sum of present values (ten years) | $14.93B |
| Terminal value: cash flow 2035 × (1 + 3.2%) / (8.2% − 3.2%) | $54.24B |
| Present value of terminal value (× 0.4568) | $24.78B |
| Equity value (sum plus present value of terminal value) | $39.71B |
| Shares (diluted) | 932.50M |
| Value per share (equity value divided by shares) | $42.58 |
| Earnings per share, last twelve months | $1.71 |
| × 16.3 (industry P/E) | $27.97 |
| Fair value (average of both parts) | $35.28 |
The model uses free cash flow after interest, which belongs to shareholders, discounted at the cost of equity. Net debt is therefore not deducted again.
Data status and sources
- Score
- Daily value of 13 Nov 2026, recalculated nightly
- Price
- Closing price of 12 Nov 2026
- Latest annual report
- Fiscal year 2025, period end 31 Dec 2025
- Currency
- Amounts in US dollars, converted at the ECB reference rate of 12 Nov 2026 ($1 = CA$1.4249)
- Source
- Financial statements, ratios and prices from Financial Modeling Prep (FMP), based on the company's reports. MEQIRI calculates the score and fair value from them.
Mandatory disclosures for this rating
- ; time horizon around 12 months
- Rated Neutral, published since 7 Nov 2026 (in the score history since 12 Jun 2026)
- Valuation signal Undervalued since 7 Nov 2026
- End-of-day prices, metrics cached for up to 24 hours
- Score and fair value are estimates from a disclosed model. They are not facts and not a price target.
- Produced by SSM Ventures UG (haftungsbeschränkt), responsible person Sven Brostmeyer, Managing Director, automatically according to the disclosed model.
- Not investment advice. Losses up to and including a total loss are possible. Personal circumstances are not considered.