BCE Inc. (BCE:TSX)
CIBC World Markets has reaffirmed its “Neutral” rating on BCE while making a modest adjustment to its price target, raising it to $36.00 from $35.00 as of August 22, 2025. The updated target reflects a cautious but stable outlook on Canada’s largest telecommunications company.
The analysis noted that BCE continues to face a challenging operating environment, with regulatory pressures, high capital expenditures tied to network expansion, and a competitive wireless market weighing on growth prospects. At the same time, subscriber growth in wireless and broadband remains resilient, supported by strong demand for connectivity and BCE’s ongoing investments in 5G and fiber-to-the-home infrastructure.
While near-term earnings growth is expected to remain muted due to elevated costs and slower advertising revenues, BCE’s defensive business model, stable dividend yield, and strong cash flow generation continue to provide support for the stock. CIBC’s “Neutral” stance reflects the view that BCE is well-positioned for stability but lacks near-term catalysts for significant upside.
The slightly higher $36.00 target suggests that BCE shares offer limited appreciation potential in the coming year, but remain attractive for income-focused investors seeking dependable dividends and exposure to Canada’s telecom sector.
STA Research (StockTargetAdvisor.com) is a independent Investment Research company that specializes in stock forecasting and analysis with integrated AI, based on our platform stocktargetadvisor.com, EST 2007.
Blog comment creationInteresting to see CIBC maintain a neutral stance despite the incremental price target bump. The focus on BCE’s defensive model and strong cash flow makes sense, especially for income investors, but the lack of near-term catalysts is worth noting. It’ll be interesting to see if 5G and fiber investments start paying off sooner than expected given the competitive pressure in the market.