BCE Inc T.BCE.PR.H

Sustainable math

[BlueDawn]

10.5B in ebitda (earnings before interest tax depreciation and amortization)
By accounting for interest and tax
interest 1475m
tax 996m

We en up with 8B in earnings before depreciation and amortization 
4B in dividends 

that leaves 4B for capex (offset for the depreciation and amortization)

If they reign in capex to 3.6B on high value high margin projects and continue to reduce opex (increasing ebitda) there will be money left over to pay off debt...  

I hope they use the drip proceeds to pay off debt so the credit agency is impressed...

I don't understand why the share price is at such a large discount is it simply opportunity cost for the capital with other companies simply diverting capital from BCE?

when the market cycles back to BCE will it go to FV or a premium...

[Dogsbreakfast4U]

I think the company wants to reduce the common share dividend (without saying so) and is taking action to justify doing so next year. Don't forget that they have a boat load of preferred shares carrying a hefty dividend it also has to pay.

[Ocalaman]

THey messaged by the vague message aroudn the dividend in thier presentation.By not outlining what the net debt ratios and dividend payout ratios taregts are , or changed to, it leaves them a huge door to walk through.  "BCE's common share dividend On November 4, 2024, BCE announced that it intends to maintain its annual common share dividend at the current level of $3.99 per share

[PabloLafortune]

My guess is they'll cut the dividend by 25% sometime in the next year (best guess? 6 months), although they should probably be cutting it by 50%. I never looked at the statements.  I knew it was a bit of a dog but believed that they were good for it (the dividend) and that it was being paid from profits. I never imagined that a substantial portion of the dividend was in effect being