Should I buy BCE stock in 2025?

What is BCE?

How much is BCE stock?

The price of BCE stock is falling this week. As of May 19, 2025, BCE Inc. shares trade at $21.54 USD, down 0.12% in the last 24 hours and showing a 4.54% decline for the week.

With a stock beta of 0.37, BCE’s price movement has been less volatile than the broader market. This profile combines a high yield with subdued volatility, but the recent downward trend highlights the importance of monitoring for further changes.

Our full analysis on BCE stock

We have conducted a thorough review of BCE Inc.'s latest financial disclosures and stock performance over the past three years, leveraging a multilayered approach that integrates quantitative financial health, technical chart patterns, real-time market data, and competitive positioning—analyzed through our proprietary algorithms. The result is a holistic snapshot of BCE’s evolving outlook within Canada’s dynamic telecom sector. So, why might BCE stock once again become a strategic entry point into the communication services space in 2025?

Recent Performance and Market Context

BCE’s share price currently stands at $21.54 USD, reflecting a near-term consolidation after a protracted period of revaluation. Over the last year, BCE shares have declined by 36.79%, notably underperforming both sector peers and the broader S&P/TSX Composite Index. However, when examining shorter-term movements, the stock appears to be stabilizing near major support zones—down just 0.12% intraday, -4.54% over the last week, and -3.78% over the past month. This deceleration in downward momentum may indicate that much of the anticipated bad news is already priced in.

More positively, the company posted a remarkable 49.5% increase in net earnings and a substantial boost in free cash flow in Q1 2025, counterbalancing headwinds from revenue softness. The dividend remains highly attractive at a yield of 12.93%, even after a prudent reduction aimed at fortifying the balance sheet. Sector-wide, the macroeconomic environment shows signs of stabilization, with inflation moderating and Canada’s telecommunications infrastructure upgrade cycle providing a supportive backdrop for the nation’s largest telecom operator. The communications sector itself is drawing renewed interest from long-term investors, given its essential nature and capacity for digital transformation.

Technical Analysis

While short-term technical signals lean bearish, an expert assessment suggests BCE could be transitioning from capitulation to potential accumulation—a phase often marking attractive entry points for patient investors. Key metrics point to the following:

• Relative Strength Index (RSI, 14): 46.04, in the neutral zone, close to oversold conditions, which often precedes rebounds.
• MACD: -0.12, a mild sell signal, but the declining MACD histogram points to a potential reversal as sellers lose momentum.
• Moving Averages: Price is trading just below major moving averages (5, 20, 50, 100, and 200 days), indicating persistent selling pressure—but this also places the stock near multi-year technical support.
• Support Levels: $21.34, $21.06, and $20.85 mark strong technical floors, limiting downside risk in the current context.
• Resistance Levels: $21.83 and $22.32, if breached, could trigger further upside on a momentum shift.

Short-to-medium-term price action suggests that a base is forming around current levels. With broad technical sentiment presently negative, contrarians often see such multi-year lows as an opportunity to accumulate quality names ahead of trend reversals—especially when fundamental drivers are constructive.

Fundamental Analysis

At the core, BCE’s fundamentals remain robust despite recent share price pressure. The company retains its leading market position as Canada’s largest integrated communications provider with diversified revenue streams from wireless, internet, media, and technology solutions.

Financials at a Glance

• Revenue (Q1 2025): $5,930 million CAD, down slightly (-1.3% YoY), yet with segmental strength in Bell Media, which grew revenue by 6.9% and adjusted EBITDA by a notable 35.9%.
• Net Earnings: $683 million CAD (+49.5% YoY), reflecting effective cost management and improved margin control.
• Free Cash Flow: Surged to $798 million CAD, up from $85 million in Q1 2024—a significant step-change underpinning the new dividend policy and future sustainability.
• Adjusted EBITDA Margin: 43.1%, demonstrating continued operational resilience.

While the current price/earnings ratio (P/E) sits at an elevated 78.46 due to recent transitional earnings, the underlying valuation benefits from robust cash generation and sector-leading yield. Price/sales ratios and capital intensity metrics remain aligned with industry norms. Furthermore, BCE’s dividend payout—now targeted at 40–55% of free cash flow—signals a disciplined approach to capital allocation.

Structural Strengths

• Scale: Largest telco in Canada by revenue and subscribers.
• Innovation: Continued deployment of 5G, fiber, and cloud-based automation enhances competitive advantage.
• Brand Power: Deeply entrenched as a household name, BCE’s media and technology platforms expand its reach beyond traditional telecom into high-growth segments like streaming and digital content.

Volume and Liquidity

BCE’s market capitalization of $19.85 billion USD and a public float totaling 99.9% of shares outstanding ensure exceptional liquidity. Recent trading volumes have remained robust, even as the stock explored new lows—suggesting that institutional investors are monitoring for inflection points. This level of liquidity provides both retail and institutional participants with the flexibility to establish or scale positions efficiently, supporting dynamic price discovery and potentially amplifying upward moves once sentiment shifts.

Catalysts and Positive Outlook

A range of forward-looking developments position BCE for a positive re-rating:

• Strategic Partnerships: BCE’s alliance with PSP Investments to accelerate fiber network rollout in the U.S. via Ziply Fiber brings direct access to growth markets and substantial capital commitments.
• Technology Leadership: Recent launches—including Ateko (Montreal-based automation technology) and an AI-powered Google Cloud solution—underscore BCE’s pivot towards digitization and operational efficiency.
• Media Vertical Momentum: Bell Media’s digital revenue rose by 12%, fueled by expanded streaming through Crave and sports DTC platforms, which should offset legacy declines.
• Balance Sheet Reset: The revised dividend policy bolsters financial flexibility, allowing BCE to invest in next-generation network technologies while maintaining an attractive yield for new shareholders.
• ESG Initiatives: Continued focus on infrastructure upgrades and sustainable business practices meets evolving investor mandates and qualifies BCE for responsible investment allocations.
• Sector Tailwinds: As Canadian regulators embrace next-gen infrastructure and digital connectivity, growth in broadband and media presents ample cross-selling and upselling opportunities.

Investment Strategies

Given the confluence of technical and fundamental signals, various profiles can consider BCE from multiple angles:

• Short-Term: Tactical traders may look for oversold bounces, particularly as the RSI approaches key thresholds and the stock hovers at historic support.
• Medium-Term: Investors seeking income and price recovery potential may view current levels as an ideal entry, positioning ahead of anticipated cash flow growth and eventual sentiment reversal as fundamentals improve.
• Long-Term: Strategic holders benefit from BCE’s market leadership, stable cash flows, and renewed financial discipline. Entry at or below $21.50 USD could capture both a high yield and multiple expansion over subsequent business cycles.

Initiating or increasing a position just above major support levels, or in anticipation of confirmed positive catalysts (e.g., further U.S. expansion, major technology deployments, or media revenue inflections), seems to represent an excellent opportunity.

Is it the Right Time to Buy BCE?

A synthesis of the data suggests BCE offers a compelling blend of value and upside for 2025 and beyond. Its entrenched market position, improving cash generation, diversified operating model, and commitment to tech-driven growth more than justify renewed attention at today’s valuation. With the stock trading at multi-year lows but the company generating record free cash flows and sporting a market-leading yield, the fundamentals and technical setup both argue for a potential new bullish phase—particularly for investors seeking resilient exposure to Canadian infrastructure and digital content ecosystems.

While near-term challenges from competition and regulation remain, BCE’s well-timed strategic reset, ambitious network initiatives, and resilient media growth indicate that the share price may be significantly discounting future potential. On balance, BCE seems to represent an excellent opportunity for investors ready to look beyond transitory volatility and focus on long-term value creation in Canada’s telecom sector.

BCE stands at the intersection of stability, innovation, and attractive yield, offering a rare technical and fundamental entry point that warrants serious consideration for portfolios seeking exposure to the next wave of Canadian digital connectivity.

How to buy BCE stock in Canada?

Buying BCE stock online as a retail investor in Canada is now both simple and secure, thanks to regulated brokers that ensure your transactions are protected. You have two main avenues: purchasing BCE shares outright (“spot buying”) or trading contracts for difference (CFDs), which allow you to speculate on BCE’s price movement with leverage, without owning the underlying shares. Each method suits different investment objectives and risk profiles. To make an informed choice, it’s essential to compare broker fees and features—see our detailed comparison further down this page.

Spot Buying

A cash or “spot” purchase means you buy BCE shares directly through your brokerage account, making you a shareholder entitled to any dividends. Canadian brokers typically charge a flat commission per order—often in the range of $4.95 to $9.95 CAD per transaction.

Example

If BCE’s share price is $29.37 CAD (approximate current TSX price), with a $1,000 CAD budget:

• Subtracting a $5 brokerage fee, you have $995 to invest.
• $995 ÷ $29.37 ≈ 33 shares (rounded down).
• If the BCE share price rises by 10%, your shares would now be worth $1,100.
• Result: That’s a gross gain of $100, or +10% on your initial investment.

This method suits long-term investors seeking direct ownership and eligibility for BCE’s attractive dividends.

Trading via CFD

CFD (Contract for Difference) trading lets you benefit from BCE’s price fluctuations without owning the shares themselves. Instead, you enter a contract with your broker based on the underlying share’s price, often with access to leverage (borrowed funds). With CFDs, you pay a spread (the difference between buy and sell price) and, if you hold positions overnight, a daily financing fee based on the leveraged amount.

Example

Suppose you commit $1,000 CAD and use 5× leverage:

• Your market exposure is $5,000 CAD to BCE’s share price movement.
• If BCE shares rise by 8%, your position gains 8% × 5 = 40%.
• Result: That’s a $400 gain on your $1,000 stake (excluding fees).

CFDs are suited to active investors comfortable with higher risk, looking to amplify returns over shorter periods.

Final Advice

Before investing, always compare different brokers’ commissions, spreads, and account features to ensure you’re getting the best deal for your needs. Whether you choose spot buying for long-term ownership and dividends, or CFDs for leveraged trading and flexibility, your strategy should match your financial objectives and risk appetite. For a tailored broker comparison, please see the comparator further down this page.

Our 7 tips for buying BCE stock

The latest news about ECB

BCE’s Q1 2025 results show robust improvement in net earnings and free cash flow, with net income up nearly 50% year-over-year. For the first quarter of 2025, BCE reported net earnings of $683 million CAD—an impressive 49.5% increase compared to the same quarter last year—on revenue of $5.93 billion CAD. This performance was driven by a sharp rise in free cash flow to $798 million CAD, up from $85 million in Q1 2024, and an improved adjusted EBITDA margin to 43.1%. The company’s ability to grow profitability and cash generation, despite modest declines in top-line revenue (-1.3% year-over-year), signals strengthened operational discipline and effective cost management, offering a constructive outlook for sustaining capital investments and future dividends.

BCE maintains a high dividend yield (12.93%) after adjusting its dividend policy to safeguard financial stability in a challenging market. In February 2025, BCE reduced its annual dividend to $1.75 CAD per share, aligning the payout with 40% to 55% of free cash flow. While this was a significant cut from the previous $3.99 CAD, the yield remains attractively high. The explicit objective behind the adjustment is to bolster the company’s balance sheet and enhance financial flexibility in the context of market volatility and regulatory uncertainty. This prudent move reduces pressure on cash resources and positions the company to weather ongoing industry headwinds—a positive sign of responsible leadership.

Digital media and Bell Media drive segment-level growth, with digital revenues up 12% and Bell Media EBITDA surging nearly 36%. Bell Media posted a 6.9% revenue increase and a remarkable 35.9% adjusted EBITDA upswing in Q1 2025, while digital revenue growth accelerated to 12%. These gains are linked to expansion in direct-to-consumer streaming services (notably Crave and sports content), as well as the acquisition of a majority stake in Sphere Abacus to reinforce BCE’s content distribution capabilities. Such results underscore the resilience and evolving profitability of BCE’s media and digital operations within the Canadian market.

BCE advances Canadian network leadership, winning its fourth consecutive award for fastest fibre Internet and expanding 5G infrastructure. Bell’s pure fibre Internet was recognized as the fastest in Canada by Ookla for a fourth straight time, validating the company’s substantial network investments and its focus on quality of service. Additionally, BCE extended its 5G partnership with Nokia and launched Ateko, a Montreal-based automation and tech solutions arm, furthering its competitive edge in technology innovation and digital transformation that directly benefits Canadian customers and enterprise clients.

BCE forms a strategic partnership with PSP Investments to accelerate fibre buildout in North America, solidifying long-term growth prospects. A new partnership with the Public Sector Pension Investment Board (PSP Investments) to advance fibre infrastructure via Ziply Fiber in the United States, supported by a potential $1.5 billion USD commitment from PSP, reflects BCE’s ambition to diversify its revenue streams and scale its broadband footprint. This initiative, although targeted at cross-border expansion, leverages Canadian capital and expertise, reinforcing BCE’s ability to generate incremental value for Canadian shareholders while remaining rooted in domestic priorities.

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P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.