BCE: Competition and a Weight From Legacy Products Should Mute Long-Term Growth Ability

BCE has been investing heavily over the past several years to upgrade its wireline network with fiber. In the time since, the firm has been outperforming competitors in adding new broadband subscribers. We expect the firm to continue taking share, but we expect the pace to ease, as the firm has slowed its fiber network buildout in response to regulatory mandates that it share the fiber network. BCE also remains a leader in providing wireless service throughout Canada and has a formidable media business.