BCE Inc. (BCE) Reports Record Free Cash Flow and Surging Revenue From AI Solutions

BCE Inc. (NYSE:BCE) is one of the best Canadian value stocks to buy. On February 5, BCE Inc. reported its 2025 financial results, where the company saw a 10% increase in free cash flow to $3.2 billion, supported by a 0.7% rise in adjusted EBITDA and a reduction in capital expenditures. A major highlight was the growth of AI-powered solutions, which surged 60% to reach $700 million in revenue.

Additionally, the acquisition of Ziply Fiber supported the company’s fiber strategy, while Bell Media saw its digital revenues rise to represent 44% of its total media income. However, the company’s adjusted EPS fell by 7.9% for the year due to higher interest expenses and increased depreciation from network investments. Wireless service revenue also saw a slight dip of 0.2% in Q4 as the market shifted toward customers bringing their own devices, leading to a 20% drop in contracted device sales.

For 2026, BCE Inc. (NYSE:BCE) provided a cautious outlook. While revenue is projected to grow between 1% and 5%, adjusted EPS is expected to decline further by 5% to 11%. The company plans to focus on its fiber rollout and the continued integration of Ziply Fiber, with an expansion expected in the second half of the year.

BCE Inc. (NYSE:BCE) is a communications company that provides wireless, wireline, internet, streaming services, and TV services to residential, business, and wholesale customers in Canada. It operates in two segments: Bell Communication & Technology Services and Bell Media.

While we acknowledge the potential of BCE as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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