BCE Inc.

AI-generated fair value estimate for this company.

Method: Preferred dividend perpetuity: BCE Series AK cumulative redeemable rate-reset preferred, par C$25.00, fixed coupon of 3.306% set Dec 31 2021 for five years (expiring Dec 30 2026) = C$0.8265 annual dividend; converted to USD at an assumed 0.72 USD/CAD rate = $0.595; discounted as a perpetuity at a 7.5% required yield.

Reasoning: The locked-in 3.306% coupon is well below current required yields on BCE preferreds, so a dividend-perpetuity valuation at a credit-risk-adjusted 7.5% yield produces a low intrinsic value until the Dec 2026 reset; the imminent reset also adds reinvestment-rate uncertainty that justifies the same elevated discount rate used for BCE's other preferred series.