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BCE Inc., known by the ticker symbol BCE,  is a large-cap telecom services firm, operating in the communication services business sector. This is my second report on BCE Inc for this Viital portfolio.  I previously discussed this stock on October 19, 2021.

BCE is both a wireless and Internet service provider, offering wireless, broadband, television, and landline phone services in Canada. 

It is one of the big three national wireless carriers, with its roughly 10 million customers constituting about 30% of the market. It is also the ILEC (incumbent local exchange carrier--the legacy telephone provider) throughout much of the eastern half of Canada, including in the most populous Canadian provinces--Ontario and Quebec. 

Additionally, BCE has a media segment, which holds television, radio, and digital media assets. BCE licenses the Canadian rights to movie channels including HBO, Showtime, and Starz.

In 2021, the wireline segment accounted for 54% of total EBITDA, while wireless composed 39% and media provided the remainder.

It owns and operates 35 conventional TV stations; 27 specialty channels and four Pay TV services; four direct-to-consumer streaming services; 109 licensed radio stations; and websites.

The company was formerly known as Bell Canada Enterprises Inc. BCE Inc. was incorporated in 1970 and is headquartered in Verdun, Canada.

Three key data points gauge any dividend equity or fund such as BCE Inc (BCE):

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money. 

BCE Price

BCE Inc's price per share was $54.30 as of yesterday's market close. One year ago its price was $46.11 Therefore, BCE's share price rose $8.19 or 17.8% in the past year. 

If BCEs stock trades in the range of $44.00 to $64.00 this next year, its recent $54.30 share price might rise by $1.25 to reach $55.55 by March 11, 2023. My $1.25 estimate is  $0.01 above the average annual price increase per BCE shares over the past ten years. Three analysts tracking BCE for brokerages believe the stock is overpriced by $1.61 per share.

BCE Dividends

BCE Inc's most recently declared a quarterly dividend of $0.7251 per share is payable April 15th, to shareholders on record as of March 14th.  The BCE Annual estimated dividend payout per share of $2.90 yields 5.34% per yesterday's $54.30 closing price. 

BCE Inc has paid quarterly dividend payouts, since January 1986. That stretch-marked 36 years In January this year.

BCE Returns

Adding the $2.90 annual BCE Inc forward-looking dividend to the estimated one-year price upside of $1.25 shows a $4.15 potential gross gain, per share, to be reduced by any costs to trade BCE Inc shares.  

At yesterday's $54.30 price per share, a little under $1000 would buy 18 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at the sale and might cost us  $0.56 per share.

Subtract that maybe $0.56 brokerage cost from my estimated $4.15 gross gain estimate per share results in a net gain of $3.59 X 18 shares = $64.62 for a 6.5% net gain on a $977.40 investment.

So it is that BCE Inc (BCE) shows a possible 6.5% net gain including a 5.34% forward estimated dividend yield. 

Over the next year at this time, our $1000 investment in BCE Inc could generate $53.40 in cash dividends alone. Note that a single share of BCE stock bought at yesterday's single share price of $54.30 is $0.10 lower than the dividend income from our $1000.00 invested. So, by my dogcatcher ideal, now is an OK time to buy BCE Inc shares. The estimated next-year dividend from $1K invested is $0.10 more than yesterday's single share price. Consider yourself alerted. It's a sign!  Now's the time! But it wouldn't hurt to watch BCE shares drop a little lower in price. Maybe they'll drop to $52 as those three tracking analysts predict.

All of the estimates above are speculation based on the past history of BCE Inc (BCE). Only time and money invested in this stock will determine its market value.