TOPICUS.COM INC-SUB VOTING (TOI.CA) Stock Fundamental Analysis
TSX-V:TOI - TSX Venture Exchange - CA89072T1021 - Common Stock - Currency: CAD
TOI gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 62 industry peers in the Software industry. While TOI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TOI is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year TOI was profitable.
In the past year TOI had a positive cash flow from operations.
TOI had positive earnings in 4 of the past 5 years.
Each year in the past 5 years TOI had a positive operating cash flow.
1.2 Ratios
TOI has a Return On Assets of 4.83%. This is in the better half of the industry: TOI outperforms 72.58% of its industry peers.
With an excellent Return On Equity value of 22.98%, TOI belongs to the best of the industry, outperforming 83.87% of the companies in the same industry.
TOI has a Return On Invested Capital of 13.26%. This is amongst the best in the industry. TOI outperforms 88.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TOI is in line with the industry average of 12.92%.
The 3 year average ROIC (13.20%) for TOI is below the current ROIC(13.26%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 22.98% | ||
| ROIC | 13.26% |
ROA(3y)5.03%
ROA(5y)-31.64%
ROE(3y)23.53%
ROE(5y)N/A
ROIC(3y)13.2%
ROIC(5y)13.96%
1.3 Margins
Looking at the Profit Margin, with a value of 7.34%, TOI is in the better half of the industry, outperforming 77.42% of the companies in the same industry.
TOI's Profit Margin has declined in the last couple of years.
TOI has a better Operating Margin (15.83%) than 83.87% of its industry peers.
In the last couple of years the Operating Margin of TOI has remained more or less at the same level.
TOI's Gross Margin of 90.96% is amongst the best of the industry. TOI outperforms 96.77% of its industry peers.
In the last couple of years the Gross Margin of TOI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.83% | ||
| PM (TTM) | 7.34% | ||
| GM | 90.96% |
OM growth 3Y1.27%
OM growth 5Y1.03%
PM growth 3YN/A
PM growth 5Y-8.59%
GM growth 3Y0.4%
GM growth 5Y0.29%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TOI is creating some value.
The number of shares outstanding for TOI has been increased compared to 1 year ago.
Compared to 5 years ago, TOI has more shares outstanding
TOI has a worse debt/assets ratio than last year.
2.2 Solvency
TOI has an Altman-Z score of 4.24. This indicates that TOI is financially healthy and has little risk of bankruptcy at the moment.
TOI has a Altman-Z score of 4.24. This is in the better half of the industry: TOI outperforms 74.19% of its industry peers.
TOI has a debt to FCF ratio of 1.03. This is a very positive value and a sign of high solvency as it would only need 1.03 years to pay back of all of its debts.
TOI has a better Debt to FCF ratio (1.03) than 77.42% of its industry peers.
TOI has a Debt/Equity ratio of 0.83. This is a neutral value indicating TOI is somewhat dependend on debt financing.
TOI has a worse Debt to Equity ratio (0.83) than 66.13% of its industry peers.
Even though the debt/equity ratio score it not favorable for TOI, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 1.03 | ||
| Altman-Z | 4.24 |
ROIC/WACC1.7
WACC7.82%
2.3 Liquidity
A Current Ratio of 0.60 indicates that TOI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.60, TOI is doing worse than 72.58% of the companies in the same industry.
TOI has a Quick Ratio of 0.60. This is a bad value and indicates that TOI is not financially healthy enough and could expect problems in meeting its short term obligations.
TOI's Quick ratio of 0.60 is on the low side compared to the rest of the industry. TOI is outperformed by 72.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 42.64% over the past year.
The Earnings Per Share has been decreasing by -9.90% on average over the past years.
Looking at the last year, TOI shows a quite strong growth in Revenue. The Revenue has grown by 15.15% in the last year.
TOI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 25.41% yearly.
EPS 1Y (TTM)42.64%
EPS 3YN/A
EPS 5Y-9.9%
EPS Q2Q%36.36%
Revenue 1Y (TTM)15.15%
Revenue growth 3Y20.37%
Revenue growth 5Y25.41%
Sales Q2Q%15.99%
3.2 Future
The Earnings Per Share is expected to grow by 49.34% on average over the next years. This is a very strong growth
TOI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.75% yearly.
EPS Next Y130.08%
EPS Next 2Y49.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year25.51%
Revenue Next 2Y17.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
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.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
TOI is valuated quite expensively with a Price/Earnings ratio of 87.56.
Compared to the rest of the industry, the Price/Earnings ratio of TOI is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.15. TOI is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 48.16 indicates a quite expensive valuation of TOI.
66.13% of the companies in the same industry are more expensive than TOI, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.60, TOI is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.56 | ||
| Fwd PE | 48.16 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TOI is valued a bit cheaper than the industry average as 64.52% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, TOI is valued a bit cheaper than the industry average as 74.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.94 | ||
| EV/EBITDA | 22.21 |
4.3 Compensation for Growth
TOI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TOI has a very decent profitability rating, which may justify a higher PE ratio.
TOI's earnings are expected to grow with 49.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.67
PEG (5Y)N/A
EPS Next 2Y49.34%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for TOI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX-V:TOI (6/27/2025, 7:00:00 PM)
169
+5.5 (+3.36%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners19.67%
Inst Owner ChangeN/A
Ins Owners0.48%
Ins Owner ChangeN/A
Market Cap14.04B
Analysts84
Price Target195.33 (15.58%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend2.47
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.92%
Min EPS beat(2)-37.36%
Max EPS beat(2)-0.47%
EPS beat(4)0
Avg EPS beat(4)-26.09%
Min EPS beat(4)-43.37%
Max EPS beat(4)-0.47%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.33%
Min Revenue beat(2)-2.54%
Max Revenue beat(2)3.2%
Revenue beat(4)1
Avg Revenue beat(4)-2.04%
Min Revenue beat(4)-6.52%
Max Revenue beat(4)3.2%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)12.65%
PT rev (3m)22.76%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)19.57%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.56 | ||
| Fwd PE | 48.16 | ||
| P/S | 6.54 | ||
| P/FCF | 22.94 | ||
| P/OCF | 22.44 | ||
| P/B | 20.47 | ||
| P/tB | N/A | ||
| EV/EBITDA | 22.21 |
EPS(TTM)1.93
EY1.14%
EPS(NY)3.51
Fwd EY2.08%
FCF(TTM)7.37
FCFY4.36%
OCF(TTM)7.53
OCFY4.46%
SpS25.85
BVpS8.26
TBVpS-10.83
PEG (NY)0.67
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 22.98% | ||
| ROCE | 20.35% | ||
| ROIC | 13.26% | ||
| ROICexc | 17.2% | ||
| ROICexgc | 3738.6% | ||
| OM | 15.83% | ||
| PM (TTM) | 7.34% | ||
| GM | 90.96% | ||
| FCFM | 28.5% |
ROA(3y)5.03%
ROA(5y)-31.64%
ROE(3y)23.53%
ROE(5y)N/A
ROIC(3y)13.2%
ROIC(5y)13.96%
ROICexc(3y)16.09%
ROICexc(5y)16.51%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)19.8%
ROCE(5y)19.81%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y8.6%
ROICexc growth 5Y6.98%
OM growth 3Y1.27%
OM growth 5Y1.03%
PM growth 3YN/A
PM growth 5Y-8.59%
GM growth 3Y0.4%
GM growth 5Y0.29%
F-Score6
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 1.03 | ||
| Debt/EBITDA | 0.92 | ||
| Cap/Depr | 4.84% | ||
| Cap/Sales | 0.63% | ||
| Interest Coverage | 8.53 | ||
| Cash Conversion | 100.7% | ||
| Profit Quality | 388.3% | ||
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 4.24 |
F-Score6
WACC7.82%
ROIC/WACC1.7
Cap/Depr(3y)5.14%
Cap/Depr(5y)4.76%
Cap/Sales(3y)0.71%
Cap/Sales(5y)0.67%
Profit Quality(3y)357.14%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.64%
EPS 3YN/A
EPS 5Y-9.9%
EPS Q2Q%36.36%
EPS Next Y130.08%
EPS Next 2Y49.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)15.15%
Revenue growth 3Y20.37%
Revenue growth 5Y25.41%
Sales Q2Q%15.99%
Revenue Next Year25.51%
Revenue Next 2Y17.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y23.33%
EBIT growth 3Y21.89%
EBIT growth 5Y26.7%
EBIT Next Year135.81%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y97.75%
FCF growth 3Y25.66%
FCF growth 5Y23.36%
OCF growth 1Y94.85%
OCF growth 3Y25.37%
OCF growth 5Y23.43%