Logo image of TIXT

TELUS INTERNATIONAL CDA INC (TIXT) Stock Fundamental Analysis

USA - NYSE:TIXT - CA87975H1001 - Common Stock

4.51 USD
0 (0%)
Last: 9/18/2025, 8:27:53 PM
4.51 USD
0 (0%)
After Hours: 9/18/2025, 8:27:53 PM
Fundamental Rating

3

Overall TIXT gets a fundamental rating of 3 out of 10. We evaluated TIXT against 86 industry peers in the IT Services industry. While TIXT is still in line with the averages on profitability rating, there are concerns on its financial health. TIXT is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

Quickly go to:

4

1. Profitability

1.1 Basic Checks

In the past year TIXT was profitable.
TIXT had a positive operating cash flow in the past year.
Of the past 5 years TIXT 4 years were profitable.
In the past 5 years TIXT always reported a positive cash flow from operatings.
TIXT Yearly Net Income VS EBIT VS OCF VS FCFTIXT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 0 100M 200M 300M 400M 500M

1.2 Ratios

With a Return On Assets value of -8.63%, TIXT is not doing good in the industry: 70.93% of the companies in the same industry are doing better.
With a Return On Equity value of -22.61%, TIXT is not doing good in the industry: 67.44% of the companies in the same industry are doing better.
With a Return On Invested Capital value of 1.27%, TIXT perfoms like the industry average, outperforming 44.19% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TIXT is significantly below the industry average of 21.82%.
The 3 year average ROIC (5.81%) for TIXT is well above the current ROIC(1.27%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA -8.63%
ROE -22.61%
ROIC 1.27%
ROA(3y)1.64%
ROA(5y)1.96%
ROE(3y)3.16%
ROE(5y)4.69%
ROIC(3y)5.81%
ROIC(5y)5.86%
TIXT Yearly ROA, ROE, ROICTIXT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2017 2018 2019 2020 2021 2022 2023 2024 0 10 20

1.3 Margins

TIXT has a Operating Margin of 1.80%. This is comparable to the rest of the industry: TIXT outperforms 44.19% of its industry peers.
TIXT's Operating Margin has declined in the last couple of years.
The Gross Margin of TIXT (80.28%) is better than 96.51% of its industry peers.
TIXT's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 1.8%
PM (TTM) N/A
GM 80.28%
OM growth 3Y-27.26%
OM growth 5Y-20.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.3%
GM growth 5Y-0.39%
TIXT Yearly Profit, Operating, Gross MarginsTIXT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60 80

More info and screens

1

2. Health

2.1 Basic Checks

TIXT 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 TIXT has been increased compared to 1 year ago.
TIXT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TIXT has been reduced compared to a year ago.
TIXT Yearly Shares OutstandingTIXT Yearly Shares OutstandingYearly Shares Outstanding 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M
TIXT Yearly Total Debt VS Total AssetsTIXT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

2.2 Solvency

TIXT has a debt to FCF ratio of 5.42. This is a neutral value as TIXT would need 5.42 years to pay back of all of its debts.
TIXT has a Debt to FCF ratio of 5.42. This is comparable to the rest of the industry: TIXT outperforms 58.14% of its industry peers.
TIXT has a Debt/Equity ratio of 0.85. This is a neutral value indicating TIXT is somewhat dependend on debt financing.
The Debt to Equity ratio of TIXT (0.85) is worse than 61.63% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF 5.42
Altman-Z N/A
ROIC/WACC0.14
WACC9.24%
TIXT Yearly LT Debt VS Equity VS FCFTIXT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

2.3 Liquidity

A Current Ratio of 0.84 indicates that TIXT may have some problems paying its short term obligations.
TIXT has a worse Current ratio (0.84) than 82.56% of its industry peers.
TIXT has a Quick Ratio of 0.84. This is a bad value and indicates that TIXT is not financially healthy enough and could expect problems in meeting its short term obligations.
TIXT's Quick ratio of 0.84 is on the low side compared to the rest of the industry. TIXT is outperformed by 82.56% of its industry peers.
Industry RankSector Rank
Current Ratio 0.84
Quick Ratio 0.84
TIXT Yearly Current Assets VS Current LiabilitesTIXT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

More info and screens

6

3. Growth

3.1 Past

The earnings per share for TIXT have decreased strongly by -83.53% in the last year.
Measured over the past years, TIXT shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -26.56% on average per year.
Looking at the last year, TIXT shows a small growth in Revenue. The Revenue has grown by 2.03% in the last year.
The Revenue has been growing by 21.12% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-83.53%
EPS 3Y-26.56%
EPS 5YN/A
EPS Q2Q%-62.5%
Revenue 1Y (TTM)2.03%
Revenue growth 3Y6.6%
Revenue growth 5Y21.12%
Sales Q2Q%7.21%

3.2 Future

TIXT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.86% yearly.
TIXT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.57% yearly.
EPS Next Y-18.04%
EPS Next 2Y-5.36%
EPS Next 3Y9.86%
EPS Next 5YN/A
Revenue Next Year4.01%
Revenue Next 2Y3.54%
Revenue Next 3Y3.8%
Revenue Next 5Y13.57%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
TIXT Yearly Revenue VS EstimatesTIXT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 1B 2B 3B 4B 5B
TIXT Yearly EPS VS EstimatesTIXT Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 0.2 0.4 0.6 0.8 1

More info and screens

5

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 32.21, which means the current valuation is very expensive for TIXT.
TIXT's Price/Earnings ratio is in line with the industry average.
TIXT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.41.
The Price/Forward Earnings ratio is 12.59, which indicates a correct valuation of TIXT.
TIXT's Price/Forward Earnings ratio is rather cheap when compared to the industry. TIXT is cheaper than 81.40% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of TIXT to the average of the S&P500 Index (22.88), we can say TIXT is valued slightly cheaper.
Industry RankSector Rank
PE 32.21
Fwd PE 12.59
TIXT Price Earnings VS Forward Price EarningsTIXT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TIXT indicates a rather cheap valuation: TIXT is cheaper than 95.35% of the companies listed in the same industry.
98.84% of the companies in the same industry are more expensive than TIXT, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 4.36
EV/EBITDA 4.4
TIXT Per share dataTIXT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.36%
EPS Next 3Y9.86%

More info and screens

0

5. Dividend

5.1 Amount

TIXT does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

TELUS INTERNATIONAL CDA INC

NYSE:TIXT (9/18/2025, 8:27:53 PM)

After market: 4.51 0 (0%)

4.51

0 (0%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)08-01 2025-08-01/bmo
Earnings (Next)11-06 2025-11-06/bmo
Inst Owners45.17%
Inst Owner Change20.94%
Ins Owners1.59%
Ins Owner ChangeN/A
Market Cap1.26B
Analysts48.57
Price Target2.69 (-40.35%)
Short Float %4.3%
Short Ratio2.22
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.78%
Min EPS beat(2)-4.62%
Max EPS beat(2)12.17%
EPS beat(4)2
Avg EPS beat(4)62.22%
Min EPS beat(4)-47.72%
Max EPS beat(4)289.04%
EPS beat(8)3
Avg EPS beat(8)30.25%
EPS beat(12)6
Avg EPS beat(12)20.59%
EPS beat(16)10
Avg EPS beat(16)17.4%
Revenue beat(2)2
Avg Revenue beat(2)2.17%
Min Revenue beat(2)0.97%
Max Revenue beat(2)3.37%
Revenue beat(4)3
Avg Revenue beat(4)1.19%
Min Revenue beat(4)-0.28%
Max Revenue beat(4)3.37%
Revenue beat(8)3
Avg Revenue beat(8)-1.2%
Revenue beat(12)3
Avg Revenue beat(12)-2.69%
Revenue beat(16)3
Avg Revenue beat(16)-2.45%
PT rev (1m)-1.72%
PT rev (3m)-46.42%
EPS NQ rev (1m)-16.67%
EPS NQ rev (3m)-17.34%
EPS NY rev (1m)0.63%
EPS NY rev (3m)0.63%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)0.31%
Revenue NY rev (1m)1.01%
Revenue NY rev (3m)1.67%
Valuation
Industry RankSector Rank
PE 32.21
Fwd PE 12.59
P/S 0.46
P/FCF 4.36
P/OCF 3.15
P/B 0.74
P/tB N/A
EV/EBITDA 4.4
EPS(TTM)0.14
EY3.1%
EPS(NY)0.36
Fwd EY7.94%
FCF(TTM)1.03
FCFY22.93%
OCF(TTM)1.43
OCFY31.77%
SpS9.76
BVpS6.08
TBVpS-5.17
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -8.63%
ROE -22.61%
ROCE 1.39%
ROIC 1.27%
ROICexc 1.33%
ROICexgc 18.08%
OM 1.8%
PM (TTM) N/A
GM 80.28%
FCFM 10.6%
ROA(3y)1.64%
ROA(5y)1.96%
ROE(3y)3.16%
ROE(5y)4.69%
ROIC(3y)5.81%
ROIC(5y)5.86%
ROICexc(3y)6.05%
ROICexc(5y)6.11%
ROICexgc(3y)42.43%
ROICexgc(5y)59.58%
ROCE(3y)6.35%
ROCE(5y)6.4%
ROICexcg growth 3Y-36.12%
ROICexcg growth 5Y-3.66%
ROICexc growth 3Y-29.52%
ROICexc growth 5Y-28.85%
OM growth 3Y-27.26%
OM growth 5Y-20.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.3%
GM growth 5Y-0.39%
F-Score4
Asset Turnover0.61
Health
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF 5.42
Debt/EBITDA 2.37
Cap/Depr 19.93%
Cap/Sales 4.08%
Interest Coverage 0.58
Cash Conversion 65.84%
Profit Quality N/A
Current Ratio 0.84
Quick Ratio 0.84
Altman-Z N/A
F-Score4
WACC9.24%
ROIC/WACC0.14
Cap/Depr(3y)33.52%
Cap/Depr(5y)34.32%
Cap/Sales(3y)3.83%
Cap/Sales(5y)3.95%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-83.53%
EPS 3Y-26.56%
EPS 5YN/A
EPS Q2Q%-62.5%
EPS Next Y-18.04%
EPS Next 2Y-5.36%
EPS Next 3Y9.86%
EPS Next 5YN/A
Revenue 1Y (TTM)2.03%
Revenue growth 3Y6.6%
Revenue growth 5Y21.12%
Sales Q2Q%7.21%
Revenue Next Year4.01%
Revenue Next 2Y3.54%
Revenue Next 3Y3.8%
Revenue Next 5Y13.57%
EBIT growth 1Y-75.98%
EBIT growth 3Y-22.45%
EBIT growth 5Y-4.2%
EBIT Next Year659.8%
EBIT Next 3Y106.73%
EBIT Next 5Y89.13%
FCF growth 1Y-4.64%
FCF growth 3Y24.79%
FCF growth 5Y35.89%
OCF growth 1Y1.01%
OCF growth 3Y18.46%
OCF growth 5Y29.56%