TECSYS INC (TCS.CA) Fundamental Analysis & Valuation
TSX:TCS • CA8789501043
Current stock price
31.8 CAD
+1.91 (+6.39%)
Last:
This TCS.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. TCS.CA Profitability Analysis
1.1 Basic Checks
- TCS had positive earnings in the past year.
- In the past year TCS had a positive cash flow from operations.
- Each year in the past 5 years TCS has been profitable.
- TCS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a decent Return On Assets value of 4.18%, TCS is doing good in the industry, outperforming 74.24% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 8.66%, TCS is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
- With a decent Return On Invested Capital value of 9.41%, TCS is doing good in the industry, outperforming 77.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.18% | ||
| ROE | 8.66% | ||
| ROIC | 9.41% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- TCS has a Profit Margin of 3.15%. This is in the better half of the industry: TCS outperforms 66.67% of its industry peers.
- TCS's Profit Margin has improved in the last couple of years.
- The Operating Margin of TCS (5.48%) is better than 66.67% of its industry peers.
- TCS's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 51.34%, TCS is in line with its industry, outperforming 54.55% of the companies in the same industry.
- In the last couple of years the Gross Margin of TCS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.48% | ||
| PM (TTM) | 3.15% | ||
| GM | 51.34% |
OM growth 3Y1.27%
OM growth 5Y-3.5%
PM growth 3Y-8.18%
PM growth 5Y2.88%
GM growth 3Y3.22%
GM growth 5Y0.16%
2. TCS.CA Health Analysis
2.1 Basic Checks
- TCS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for TCS remains at a similar level compared to 1 year ago.
- TCS has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, TCS has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 5.30 indicates that TCS is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 5.30, TCS belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- TCS has a debt to FCF ratio of 0.33. This is a very positive value and a sign of high solvency as it would only need 0.33 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 0.33, TCS belongs to the best of the industry, outperforming 86.36% of the companies in the same industry.
- TCS has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
- TCS's Debt to Equity ratio of 0.07 is fine compared to the rest of the industry. TCS outperforms 65.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.33 | ||
| Altman-Z | 5.3 |
ROIC/WACC1
WACC9.45%
2.3 Liquidity
- A Current Ratio of 1.19 indicates that TCS should not have too much problems paying its short term obligations.
- TCS has a Current ratio (1.19) which is comparable to the rest of the industry.
- TCS has a Quick Ratio of 1.11. This is a normal value and indicates that TCS is financially healthy and should not expect problems in meeting its short term obligations.
- TCS has a Quick ratio of 1.11. This is comparable to the rest of the industry: TCS outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.11 |
3. TCS.CA Growth Analysis
3.1 Past
- TCS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 100.00%, which is quite impressive.
- TCS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.01% yearly.
- The Revenue has grown by 9.09% in the past year. This is quite good.
- The Revenue has been growing by 10.96% on average over the past years. This is quite good.
EPS 1Y (TTM)100%
EPS 3Y27.47%
EPS 5Y10.01%
EPS Q2Q%50%
Revenue 1Y (TTM)9.09%
Revenue growth 3Y8.75%
Revenue growth 5Y10.96%
Sales Q2Q%7.34%
3.2 Future
- TCS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 55.52% yearly.
- The Revenue is expected to grow by 7.37% on average over the next years.
EPS Next Y34.67%
EPS Next 2Y60.18%
EPS Next 3Y55.52%
EPS Next 5YN/A
Revenue Next Year9.2%
Revenue Next 2Y9.22%
Revenue Next 3Y7.37%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. TCS.CA Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 79.50, TCS can be considered very expensive at the moment.
- Based on the Price/Earnings ratio, TCS is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
- The average S&P500 Price/Earnings ratio is at 27.18. TCS is valued rather expensively when compared to this.
- A Price/Forward Earnings ratio of 42.74 indicates a quite expensive valuation of TCS.
- Based on the Price/Forward Earnings ratio, TCS is valued a bit cheaper than 62.12% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 37.96, TCS is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.5 | ||
| Fwd PE | 42.74 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TCS is on the same level as its industry peers.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of TCS indicates a somewhat cheap valuation: TCS is cheaper than 66.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.17 | ||
| EV/EBITDA | 28.71 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- TCS has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as TCS's earnings are expected to grow with 55.52% in the coming years.
PEG (NY)2.29
PEG (5Y)7.94
EPS Next 2Y60.18%
EPS Next 3Y55.52%
5. TCS.CA Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 1.22%, TCS has a reasonable but not impressive dividend return.
- TCS's Dividend Yield is rather good when compared to the industry average which is at 0.51. TCS pays more dividend than 89.39% of the companies in the same industry.
- Compared to the average S&P500 Dividend Yield of 1.82, TCS is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
5.2 History
- On average, the dividend of TCS grows each year by 10.65%, which is quite nice.
- TCS has been paying a dividend for at least 10 years, so it has a reliable track record.
- TCS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.65%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
- 85.42% of the earnings are spent on dividend by TCS. This is not a sustainable payout ratio.
- The dividend of TCS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP85.42%
EPS Next 2Y60.18%
EPS Next 3Y55.52%
TCS.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:TCS (4/13/2026, 7:00:00 PM)
31.8
+1.91 (+6.39%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)03-04 2026-03-04/amc
Earnings (Next)06-24 2026-06-24
Inst Owners40.86%
Inst Owner ChangeN/A
Ins Owners15.8%
Ins Owner ChangeN/A
Market Cap464.60M
Revenue(TTM)189.65M
Net Income(TTM)5.97M
Analysts75.56
Price Target38.25 (20.28%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
Yearly Dividend0.33
Dividend Growth(5Y)10.65%
DP85.42%
Div Incr Years10
Div Non Decr Years10
Ex-Date03-25 2026-03-25 (0.09)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)47.75%
Min EPS beat(2)37.09%
Max EPS beat(2)58.42%
EPS beat(4)2
Avg EPS beat(4)5.03%
Min EPS beat(4)-50.49%
Max EPS beat(4)58.42%
EPS beat(8)2
Avg EPS beat(8)-21.77%
EPS beat(12)4
Avg EPS beat(12)-22.26%
EPS beat(16)6
Avg EPS beat(16)-9.21%
Revenue beat(2)1
Avg Revenue beat(2)0.64%
Min Revenue beat(2)-0.54%
Max Revenue beat(2)1.82%
Revenue beat(4)2
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-3.24%
Max Revenue beat(4)1.82%
Revenue beat(8)3
Avg Revenue beat(8)-2.03%
Revenue beat(12)6
Avg Revenue beat(12)-0.73%
Revenue beat(16)8
Avg Revenue beat(16)-0.41%
PT rev (1m)-13.79%
PT rev (3m)-15.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-18.52%
EPS NY rev (1m)-8.31%
EPS NY rev (3m)4.59%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.9%
Revenue NY rev (1m)-0.49%
Revenue NY rev (3m)0.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.5 | ||
| Fwd PE | 42.74 | ||
| P/S | 2.45 | ||
| P/FCF | 29.17 | ||
| P/OCF | 23.15 | ||
| P/B | 6.74 | ||
| P/tB | 10.8 | ||
| EV/EBITDA | 28.71 |
EPS(TTM)0.4
EY1.26%
EPS(NY)0.74
Fwd EY2.34%
FCF(TTM)1.09
FCFY3.43%
OCF(TTM)1.37
OCFY4.32%
SpS12.98
BVpS4.72
TBVpS2.94
PEG (NY)2.29
PEG (5Y)7.94
Graham Number6.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.18% | ||
| ROE | 8.66% | ||
| ROCE | 14.02% | ||
| ROIC | 9.41% | ||
| ROICexc | 18.42% | ||
| ROICexgc | 58.66% | ||
| OM | 5.48% | ||
| PM (TTM) | 3.15% | ||
| GM | 51.34% | ||
| FCFM | 8.4% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-30.43%
ROICexgc growth 5Y-17.16%
ROICexc growth 3Y-10.17%
ROICexc growth 5Y-2.96%
OM growth 3Y1.27%
OM growth 5Y-3.5%
PM growth 3Y-8.18%
PM growth 5Y2.88%
GM growth 3Y3.22%
GM growth 5Y0.16%
F-Score6
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.33 | ||
| Debt/EBITDA | 0.36 | ||
| Cap/Depr | 124.44% | ||
| Cap/Sales | 2.19% | ||
| Interest Coverage | 266.26 | ||
| Cash Conversion | 146.34% | ||
| Profit Quality | 266.66% | ||
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 5.3 |
F-Score6
WACC9.45%
ROIC/WACC1
Cap/Depr(3y)25.66%
Cap/Depr(5y)28.6%
Cap/Sales(3y)0.47%
Cap/Sales(5y)0.68%
Profit Quality(3y)283.78%
Profit Quality(5y)236.77%
High Growth Momentum
Growth
EPS 1Y (TTM)100%
EPS 3Y27.47%
EPS 5Y10.01%
EPS Q2Q%50%
EPS Next Y34.67%
EPS Next 2Y60.18%
EPS Next 3Y55.52%
EPS Next 5YN/A
Revenue 1Y (TTM)9.09%
Revenue growth 3Y8.75%
Revenue growth 5Y10.96%
Sales Q2Q%7.34%
Revenue Next Year9.2%
Revenue Next 2Y9.22%
Revenue Next 3Y7.37%
Revenue Next 5YN/A
EBIT growth 1Y87%
EBIT growth 3Y10.13%
EBIT growth 5Y7.08%
EBIT Next Year144.76%
EBIT Next 3Y65.8%
EBIT Next 5YN/A
FCF growth 1Y66.41%
FCF growth 3Y48.98%
FCF growth 5Y8.05%
OCF growth 1Y93.63%
OCF growth 3Y41.17%
OCF growth 5Y6.8%
TECSYS INC / TCS.CA Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for TECSYS INC?
ChartMill assigns a fundamental rating of 6 / 10 to TCS.CA.
What is the valuation status for TCS stock?
ChartMill assigns a valuation rating of 4 / 10 to TECSYS INC (TCS.CA). This can be considered as Fairly Valued.
What is the profitability of TCS stock?
TECSYS INC (TCS.CA) has a profitability rating of 6 / 10.
What are the PE and PB ratios of TECSYS INC (TCS.CA) stock?
The Price/Earnings (PE) ratio for TECSYS INC (TCS.CA) is 79.5 and the Price/Book (PB) ratio is 6.74.
What is the earnings growth outlook for TECSYS INC?
The Earnings per Share (EPS) of TECSYS INC (TCS.CA) is expected to grow by 34.67% in the next year.