TECSYS INC (TCS.CA) Stock Fundamental Analysis

TSX:TCS • CA8789501043

25.21 CAD
-0.16 (-0.63%)
Last: Feb 27, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

6

Taking everything into account, TCS scores 6 out of 10 in our fundamental rating. TCS was compared to 70 industry peers in the Software industry. TCS has an excellent financial health rating, but there are some minor concerns on its profitability. TCS has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year TCS was profitable.
  • TCS had a positive operating cash flow in the past year.
  • Each year in the past 5 years TCS has been profitable.
  • Each year in the past 5 years TCS had a positive operating cash flow.
TCS.CA Yearly Net Income VS EBIT VS OCF VS FCFTCS.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5M 10M 15M

1.2 Ratios

  • Looking at the Return On Assets, with a value of 4.06%, TCS is in the better half of the industry, outperforming 71.64% of the companies in the same industry.
  • TCS's Return On Equity of 7.97% is fine compared to the rest of the industry. TCS outperforms 74.63% of its industry peers.
  • TCS has a better Return On Invested Capital (8.91%) than 74.63% of its industry peers.
Industry RankSector Rank
ROA 4.06%
ROE 7.97%
ROIC 8.91%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
TCS.CA Yearly ROA, ROE, ROICTCS.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 10 15

1.3 Margins

  • TCS has a Profit Margin of 2.91%. This is in the better half of the industry: TCS outperforms 67.16% of its industry peers.
  • TCS's Profit Margin has improved in the last couple of years.
  • TCS has a Operating Margin of 4.94%. This is in the better half of the industry: TCS outperforms 67.16% of its industry peers.
  • TCS's Operating Margin has declined in the last couple of years.
  • TCS has a Gross Margin (50.47%) which is in line with its industry peers.
  • TCS's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 4.94%
PM (TTM) 2.91%
GM 50.47%
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%
TCS.CA Yearly Profit, Operating, Gross MarginsTCS.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. Health

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.
  • Compared to 1 year ago, TCS has about the same amount of shares outstanding.
  • The number of shares outstanding for TCS has been increased compared to 5 years ago.
  • Compared to 1 year ago, TCS has an improved debt to assets ratio.
TCS.CA Yearly Shares OutstandingTCS.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2024 2025 5M 10M
TCS.CA Yearly Total Debt VS Total AssetsTCS.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2024 2025 20M 40M 60M 80M 100M

2.2 Solvency

  • An Altman-Z score of 5.23 indicates that TCS is not in any danger for bankruptcy at the moment.
  • With a decent Altman-Z score value of 5.23, TCS is doing good in the industry, outperforming 77.61% of the companies in the same industry.
  • The Debt to FCF ratio of TCS is 0.04, which is an excellent value as it means it would take TCS, only 0.04 years of fcf income to pay off all of its debts.
  • TCS has a better Debt to FCF ratio (0.04) than 92.54% of its industry peers.
  • A Debt/Equity ratio of 0.00 indicates that TCS is not too dependend on debt financing.
  • The Debt to Equity ratio of TCS (0.00) is better than 82.09% of its industry peers.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0.04
Altman-Z 5.23
ROIC/WACC0.86
WACC10.32%
TCS.CA Yearly LT Debt VS Equity VS FCFTCS.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M

2.3 Liquidity

  • TCS has a Current Ratio of 1.25. This is a normal value and indicates that TCS is financially healthy and should not expect problems in meeting its short term obligations.
  • TCS's Current ratio of 1.25 is in line compared to the rest of the industry. TCS outperforms 58.21% of its industry peers.
  • TCS has a Quick Ratio of 1.13. 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 1.13. This is comparable to the rest of the industry: TCS outperforms 53.73% of its industry peers.
Industry RankSector Rank
Current Ratio 1.25
Quick Ratio 1.13
TCS.CA Yearly Current Assets VS Current LiabilitesTCS.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2024 2025 20M 40M 60M 80M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 111.76% over the past year.
  • 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 8.02% in the past year. This is quite good.
  • TCS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.96% yearly.
EPS 1Y (TTM)111.76%
EPS 3Y27.47%
EPS 5Y10.01%
EPS Q2Q%140%
Revenue 1Y (TTM)8.02%
Revenue growth 3Y8.75%
Revenue growth 5Y10.96%
Sales Q2Q%14.61%

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.
  • TCS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.37% yearly.
EPS Next Y27.7%
EPS Next 2Y53.89%
EPS Next 3Y55.52%
EPS Next 5YN/A
Revenue Next Year8.64%
Revenue Next 2Y9.4%
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.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
TCS.CA Yearly Revenue VS EstimatesTCS.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 50M 100M 150M 200M
TCS.CA Yearly EPS VS EstimatesTCS.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 0.2 0.4 0.6 0.8 1

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 70.03, TCS can be considered very expensive at the moment.
  • 65.67% of the companies in the same industry are more expensive than TCS, based on the Price/Earnings ratio.
  • The average S&P500 Price/Earnings ratio is at 27.07. TCS is valued rather expensively when compared to this.
  • TCS is valuated quite expensively with a Price/Forward Earnings ratio of 36.71.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of TCS indicates a somewhat cheap valuation: TCS is cheaper than 62.69% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.05, TCS is valued a bit more expensive.
Industry RankSector Rank
PE 70.03
Fwd PE 36.71
TCS.CA Price Earnings VS Forward Price EarningsTCS.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as TCS.
  • 67.16% of the companies in the same industry are more expensive than TCS, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 32.43
EV/EBITDA 26.57
TCS.CA Per share dataTCS.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TCS does not grow enough to justify the current Price/Earnings ratio.
  • The decent profitability rating of TCS 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)2.53
PEG (5Y)7
EPS Next 2Y53.89%
EPS Next 3Y55.52%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. Dividend

5.1 Amount

  • TCS has a Yearly Dividend Yield of 1.42%.
  • The stock price of TCS dropped by -28.75% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
  • Compared to an average industry Dividend Yield of 0.27, TCS pays a better dividend. On top of this TCS pays more dividend than 95.52% of the companies listed in the same industry.
  • TCS's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 1.42%

5.2 History

  • The dividend of TCS is nicely growing with an annual growth rate of 10.65%!
  • TCS has paid a dividend for at least 10 years, which is a reliable track record.
  • As TCS did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)10.65%
Div Incr Years9
Div Non Decr Years9
TCS.CA Yearly Dividends per shareTCS.CA Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.1 0.2 0.3

5.3 Sustainability

  • TCS pays out 92.60% of its income as dividend. This is not a sustainable payout ratio.
  • TCS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP92.6%
EPS Next 2Y53.89%
EPS Next 3Y55.52%
TCS.CA Yearly Income VS Free CF VS DividendTCS.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5M 10M 15M
TCS.CA Dividend Payout.TCS.CA Dividend Payout, showing the Payout Ratio.TCS.CA Dividend Payout.PayoutRetained Earnings

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TECSYS INC

TSX:TCS (2/27/2026, 7:00:00 PM)

25.21

-0.16 (-0.63%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-03
Earnings (Next)03-04
Inst Owners35.37%
Inst Owner ChangeN/A
Ins Owners15.7%
Ins Owner ChangeN/A
Market Cap369.07M
Revenue(TTM)186.34M
Net Income(TTM)5.43M
Analysts75.56
Price Target44.37 (76%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 1.42%
Yearly Dividend0.33
Dividend Growth(5Y)10.65%
DP92.6%
Div Incr Years9
Div Non Decr Years9
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.96%
Min EPS beat(2)-50.49%
Max EPS beat(2)58.42%
EPS beat(4)1
Avg EPS beat(4)-11.24%
Min EPS beat(4)-50.49%
Max EPS beat(4)58.42%
EPS beat(8)2
Avg EPS beat(8)-25.65%
EPS beat(12)4
Avg EPS beat(12)-8.93%
EPS beat(16)5
Avg EPS beat(16)-12.83%
Revenue beat(2)1
Avg Revenue beat(2)-0.71%
Min Revenue beat(2)-3.24%
Max Revenue beat(2)1.82%
Revenue beat(4)3
Avg Revenue beat(4)0.25%
Min Revenue beat(4)-3.24%
Max Revenue beat(4)1.9%
Revenue beat(8)4
Avg Revenue beat(8)-1.88%
Revenue beat(12)7
Avg Revenue beat(12)-0.36%
Revenue beat(16)8
Avg Revenue beat(16)-0.39%
PT rev (1m)-2.47%
PT rev (3m)-10.31%
EPS NQ rev (1m)8.34%
EPS NQ rev (3m)-30.66%
EPS NY rev (1m)0%
EPS NY rev (3m)-14.73%
Revenue NQ rev (1m)1.31%
Revenue NQ rev (3m)-1.58%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.61%
Valuation
Industry RankSector Rank
PE 70.03
Fwd PE 36.71
P/S 1.98
P/FCF 32.43
P/OCF 24.87
P/B 5.41
P/tB 8.86
EV/EBITDA 26.57
EPS(TTM)0.36
EY1.43%
EPS(NY)0.69
Fwd EY2.72%
FCF(TTM)0.78
FCFY3.08%
OCF(TTM)1.01
OCFY4.02%
SpS12.73
BVpS4.66
TBVpS2.85
PEG (NY)2.53
PEG (5Y)7
Graham Number6.14
Profitability
Industry RankSector Rank
ROA 4.06%
ROE 7.97%
ROCE 13.28%
ROIC 8.91%
ROICexc 15.88%
ROICexgc 49.75%
OM 4.94%
PM (TTM) 2.91%
GM 50.47%
FCFM 6.11%
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-Score8
Asset Turnover1.39
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0.04
Debt/EBITDA 0.01
Cap/Depr 111.58%
Cap/Sales 1.86%
Interest Coverage 180.65
Cash Conversion 120.51%
Profit Quality 209.52%
Current Ratio 1.25
Quick Ratio 1.13
Altman-Z 5.23
F-Score8
WACC10.32%
ROIC/WACC0.86
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)111.76%
EPS 3Y27.47%
EPS 5Y10.01%
EPS Q2Q%140%
EPS Next Y27.7%
EPS Next 2Y53.89%
EPS Next 3Y55.52%
EPS Next 5YN/A
Revenue 1Y (TTM)8.02%
Revenue growth 3Y8.75%
Revenue growth 5Y10.96%
Sales Q2Q%14.61%
Revenue Next Year8.64%
Revenue Next 2Y9.4%
Revenue Next 3Y7.37%
Revenue Next 5YN/A
EBIT growth 1Y93.35%
EBIT growth 3Y10.13%
EBIT growth 5Y7.08%
EBIT Next Year124.61%
EBIT Next 3Y65.8%
EBIT Next 5YN/A
FCF growth 1Y390.05%
FCF growth 3Y48.98%
FCF growth 5Y8.05%
OCF growth 1Y354.04%
OCF growth 3Y41.17%
OCF growth 5Y6.8%

TECSYS INC / TCS.CA 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 of TECSYS INC (TCS.CA) stock?

ChartMill assigns a valuation rating of 4 / 10 to TECSYS INC (TCS.CA). This can be considered as Fairly Valued.


Can you provide the profitability details for TECSYS INC?

TECSYS INC (TCS.CA) has a profitability rating of 6 / 10.


How financially healthy is TECSYS INC?

The financial health rating of TECSYS INC (TCS.CA) is 7 / 10.


What is the expected EPS growth for TECSYS INC (TCS.CA) stock?

The Earnings per Share (EPS) of TECSYS INC (TCS.CA) is expected to grow by 27.7% in the next year.