Marcin Frąckiewicz

February 3, 2026, 6:12 PM EST. BCE Inc (TSX:BCE) faces a lukewarm 2026 outlook amid dividend cuts and high debt. The telecom giant reduced its annual dividend by over 50% in May 2025 to $1.75 per share, aiming to deleverage and gain financial flexibility. The company completed the $5 billion acquisition of Ziply Fiber and plans to sell its Maple Leaf Sports & Entertainment stake for $4.7 billion to reduce debt. Q3 2025 results showed modest revenue growth to $6.049 billion and improved free cash flow of $1.003 billion. However, intense competition and regulatory uncertainty pose risks to pricing power. BCE's heavy infrastructure spending remains critical to prevent customer losses, challenging near-term earnings. Investors watch closely for BCE's ability to balance investment, debt reduction, and dividend sustainability in a tough market environment.