Argus cuts BCE to Hold amid deteriorating competitive conditions

As previously reported, Argus analyst Joseph Bonner downgraded BCE to Hold from Buy. The deteriorating competitive conditions and a hostile regulatory environment have finally caught up with the company, and while the management is taking various actions, including a large restructuring, 2024 is likely to be a transition year for BCE as it guides to lower revenue, EPS, and cash flow, the analyst tells investors in a research note. The firm adds that while it remains positive on BCE’s commitment to its dividend, the increase in 2024 will be lower than the 4.5% historical average.