BCE (NYSE:BCE) Shares Down 1.3% - Here's Why

BCE Inc. (NYSE:BCE) experienced a decline of 1.3% in its share price during trading on Thursday. The stock reached a low of $25.57 and was last seen at $25.64. A total of 866,166 shares changed hands on that day, marking a 65% decrease from the average trading volume of 2,448,438 shares. The previous closing price of the stock stood at $25.97.

Wall Street Analyst Opinions

Several analysts have expressed their views on BCE’s stock performance. Edward Jones downgraded BCE from a "buy" to a "hold" rating in a report dated November 5th. Barclays also revised their price target on BCE shares, lowering it from $34.00 to $30.00 and labeling it with an "equal weight" ranking in a note on November 11th. Conversely, BMO Capital Markets increased their target from $48.00 to $51.00, assigning a "market perform" rating on September 19th. Canaccord Genuity reiterated a "hold" rating for BCE while also downgrading the stock from a "buy" to a "hold" on November 5th. Overall, nine analysts classify BCE as a "hold," one as a "buy," and another as a "strong buy." According to MarketBeat, BCE has a consensus rating of "Hold" along with an average price target of $45.00.

BCE's Current Trading Status

BCE’s stock has shown a downward movement of 0.6%. The company has a quick ratio of 0.60 and a current ratio of 0.62, indicating a level of liquidity. The debt-to-equity ratio stands at 2.26, signaling a significant amount of debt compared to equity. The fifty-day moving average of BCE is $29.83, while the two-hundred day moving average is $32.51. BCE’s market capitalization is reported to be $23.55 billion, with a price-to-earnings ratio of 366.29 and a P/E/G ratio of 4.17. The stock has a beta value of 0.54, suggesting lower volatility compared to the market.

BCE's Dividend Announcement

Recently, BCE announced an increase in its quarterly dividend, which is scheduled to be paid on January 15th. Shareholders who are on record as of December 16th will receive a dividend of $0.737. The ex-dividend date is also set for December 16th. This quarterly payout translates to an annualized dividend of $2.95, providing a yield of 11.42%. The new dividend represents an increase from BCE's previous quarterly payment of $0.73, although the company’s dividend payout ratio (DPR) is notably high at 4,214.29%.

Institutional Investment in BCE

Institutional investors and hedge funds have been active in buying and selling BCE shares. Hexagon Capital Partners LLC raised its stake in BCE by 121.2% during the third quarter and now holds 1,232 shares valued at $43,000 after purchasing an additional 675 shares. Similarly, Brown Brothers Harriman & Co. acquired a new stake in BCE valued at $51,000 in the third quarter. Brown Lisle Cummings Inc. increased its holdings in BCE by 60.0% in the earlier quarter, now owning 1,600 shares valued at $52,000 after an additional purchase of 600 shares. Moreover, Bruce G. Allen Investments LLC boosted its position in BCE by 321.0%, acquiring 1,663 shares valued at $58,000 after buying 1,268 shares in the last quarter. Legacy Investment Solutions LLC also entered a new position in BCE worth $65,000 in the same quarter. As a whole, institutional investors and hedge funds own approximately 41.46% of BCE’s stock.

About BCE Inc.

BCE Inc. is a communications provider that offers wireless, wireline, Internet, and television services to a variety of customers across Canada. The company operates through two segments: Bell Communication and Technology Services and Bell Media. The Bell Communication and Technology Services segment includes wireless products and services such as mobile data, voice plans, and devices. It also encompasses wireline products, which feature internet access, internet protocol television, cloud-based services, business solutions, and other communication services. Furthermore, the company provides satellite TV and connectivity services for residential and various business customers, including government and large enterprises.

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