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Canadian (TSX) Tech Sector Analysis

UpdatedFeb 23, 2026
DataAggregated Company Financials
Companies115
  • 7D4.0%
  • 3M-19.6%
  • 1Y-23.8%
  • YTD-16.6%

The Tech industry is up 4.0% in the last week, with Constellation Software up 5.5%. During this same period, the Abaxx Technologies underperformed, falling 7.8%. However, the industry is down 24% over the past year. Looking forward, earnings are forecast to grow by 25% annually.

Sector Valuation and Performance

Has the Canadian Tech Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 24 Feb 2026CA$166.8bCA$61.8bCA$2.7b30.5x61.6x2.7x
Thu, 22 Jan 2026CA$186.7bCA$60.4bCA$2.7b25.4x69x3.1x
Sat, 20 Dec 2025CA$198.3bCA$60.3bCA$2.7b24.5x73x3.3x
Mon, 17 Nov 2025CA$201.9bCA$60.7bCA$2.8b23.9x71.7x3.3x
Wed, 15 Oct 2025CA$215.1bCA$58.7bCA$2.7b39.3x80.5x3.7x
Fri, 12 Sep 2025CA$228.0bCA$58.1bCA$2.7b39.4x85.4x3.9x
Sun, 10 Aug 2025CA$227.1bCA$57.8bCA$2.5b44.4x90.1x3.9x
Tue, 08 Jul 2025CA$229.5bCA$55.7bCA$2.4b38.8x95.4x4.1x
Thu, 05 Jun 2025CA$222.0bCA$55.7bCA$2.4b33.4x92.3x4x
Sat, 03 May 2025CA$212.3bCA$55.5bCA$3.1b26.6x67.8x3.8x
Mon, 31 Mar 2025CA$200.8bCA$58.6bCA$2.3b20.3x87.4x3.4x
Wed, 26 Feb 2025CA$219.8bCA$57.9b-CA$251,236,385.4724.9x-874.9x3.8x
Fri, 24 Jan 2025CA$216.5bCA$57.2b-CA$434,935,860.6423.3x-497.7x3.8x
Sun, 22 Dec 2024CA$208.3bCA$57.2b-CA$441,614,430.5326x-471.6x3.6x
Tue, 19 Nov 2024CA$203.0bCA$56.4b-CA$388,938,457.4723.4x-521.9x3.6x
Thu, 17 Oct 2024CA$195.3bCA$54.0b-CA$570,460,350.4622.9x-342.3x3.6x
Sat, 14 Sep 2024CA$188.5bCA$53.7b-CA$619,421,373.0922.7x-304.3x3.5x
Mon, 12 Aug 2024CA$181.9bCA$54.0b-CA$648,884,803.1122.1x-280.3x3.4x
Wed, 10 Jul 2024CA$183.4bCA$52.3b-CA$1,387,090,489.3531.4x-132.2x3.5x
Fri, 07 Jun 2024CA$177.1bCA$52.6b-CA$1,409,664,203.6327x-125.6x3.4x
Sun, 05 May 2024CA$173.0bCA$53.0b-CA$1,574,142,904.2323.8x-109.9x3.3x
Tue, 02 Apr 2024CA$176.7bCA$52.3b-CA$2,935,091,342.6121.8x-60.2x3.4x
Thu, 29 Feb 2024CA$172.0bCA$51.6b-CA$886,735,492.1520x-193.9x3.3x
Sat, 27 Jan 2024CA$168.6bCA$52.1b-CA$2,246,820,765.0020.2x-75.1x3.2x
Mon, 25 Dec 2023CA$159.2bCA$51.8b-CA$2,305,763,197.0020.9x-69x3.1x
Wed, 22 Nov 2023CA$153.1bCA$52.8b-CA$2,489,666,282.0022.6x-61.5x2.9x
Fri, 20 Oct 2023CA$141.9bCA$51.4b-CA$2,586,221,852.0022.7x-54.9x2.8x
Sun, 17 Sep 2023CA$147.5bCA$51.1b-CA$2,650,174,678.0023.3x-55.7x2.9x
Tue, 15 Aug 2023CA$143.2bCA$51.0b-CA$2,633,851,870.0020.5x-54.4x2.8x
Thu, 13 Jul 2023CA$142.5bCA$48.7b-CA$2,332,533,701.0021.3x-61.1x2.9x
Sat, 10 Jun 2023CA$141.2bCA$48.8b-CA$2,629,950,597.0022.6x-53.7x2.9x
Mon, 08 May 2023CA$136.8bCA$47.9b-CA$1,924,331,176.0024.3x-71.1x2.9x
Wed, 05 Apr 2023CA$136.1bCA$46.9b-CA$1,988,326,854.0028.5x-68.4x2.9x
Fri, 03 Mar 2023CA$132.8bCA$47.9b-CA$1,115,422,866.0023.9x-119.1x2.8x
Price to Earnings Ratio

-119.1x


Total Market Cap: CA$132.8bTotal Earnings: -CA$1,115,422,866.00Total Revenue: CA$47.9bTotal Market Cap vs Earnings and Revenue0%0%0%
Canadian Tech Sector Price to Earnings3Y Average -117.7x202420252026
Current Industry PE
  • Investors are optimistic on the Canadian Information Technology industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 61.6x which is higher than its 3-year average PE of -118x.
  • The 3-year average PS ratio of 3.7x is higher than the industry's current PS ratio of 2.7x.
Past Earnings Growth
  • Total earnings for the Information Technology industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 8.8% per year.
  • This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.

Industry Trends

Which industries have driven the changes within the Canadian Tech sector?

CA Market1.50%
Tech4.04%
Semiconductors28.87%
Communications7.32%
Electronic Equipment and Components5.46%
Software3.87%
IT0.24%
Tech Hardware0%0
Industry PE
  • Investors are most optimistic about the Communications industry even though it's trading below its 3-year average PE ratio of 233x.
    • Analysts are expecting annual earnings growth of 24.8%, which is higher than its past year's earnings decline of 1.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Electronic Equipment and Components industry, expecting annual earnings growth of 31% over the next 5 years.
  • However this is lower than its past earnings growth rate of 85% per year.
  • In contrast, the IT industry is expected to see its earnings grow by 9.1% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
CLS CelesticaCA$406.476.5%
+CA$2.8b		157.1%PE40.9x
CSU Constellation SoftwareCA$2.41k2.1%
+CA$1.1b		-50.6%PE54.2x
QNC Quantum eMotionCA$6.0842.7%
+CA$398.8m		575.6%PB52.1x
TOI Topicus.comCA$88.563.8%
+CA$273.4m		-35.4%PE175.6x
LMN Lumine GroupCA$19.305.5%
+CA$256.6m		-49.3%PE36.7x

Latest News

FTG
CA$19.96
Firan Technology Group
7D
30.5%
1Y
155.2%
CSU
CA$2,406.97
Constellation Software
7D
2.1%
1Y
-50.6%

Constellation Software: The Fortress the AI Panic Forgot to Account For

Headline: Constellation Software (CSU): Why the AI Sell-off is a Category Error (and a Generational Buy) The market is currently punishing Constellation Software by applying a "generic AI disruption" narrative that fundamentally misunderstands the DNA of the business. Investors are pricing CSU as if it were a commodity software play, when in reality, it is a holding company for critical digital infrastructure.
DCBO
CA$22.60
Docebo
7D
-12.4%
1Y
-59.0%

DCBO: Rebased Earnings Profile And Buybacks Will Support Future Upside Repricing

Analysts have trimmed their average Docebo price target by about CA$0.34, reflecting slightly updated assumptions on discount rate, revenue growth, profit margins and future P/E multiples, while still viewing the core earnings profile as intact. Analyst Commentary Recent research updates on Docebo point to more cautious pricing assumptions, even as analysts broadly see the core business model as unchanged.
GIB.A
CA$97.66
CGI
7D
-3.8%
1Y
-39.0%

GIB.A: Future Returns Will Rely On Buybacks And Steady Execution

Analyst price targets for CGI have been adjusted slightly, with a modest net change centered around CA$ level updates as firms recalibrate for a higher discount rate, make a small tweak to assumed future P/E, and incorporate fresh research from CIBC, Canaccord, TD Securities and Scotiabank. Analyst Commentary Recent research updates show a mixed but generally constructive view on CGI, with some firms trimming their price targets while others have raised theirs or reiterated constructive ratings after transferring coverage.
PNG
CA$8.03
Kraken Robotics
7D
8.7%
1Y
253.7%
BITF
CA$2.79
Bitfarms
7D
-4.8%
1Y
58.5%

BITF: Liquidity Management And Emerging Crypto Rules Will Support Future Upside

Analysts have revised their Bitfarms price target to CA$8.48, reflecting slightly higher discount rate assumptions and updated views on revenue growth, margins, and future P/E in light of liquidity concerns and ongoing regulatory uncertainty around crypto market structure. Analyst Commentary Bullish Takeaways Bullish analysts see the revised CA$8.48 target as still allowing room for execution on revenue growth and margin initiatives, provided liquidity pressures are managed carefully.
KXS
CA$119.08
Kinaxis
7D
-3.8%
1Y
-21.3%

AI Supply Chain Adoption Risks Will Persist Yet Eventually Support A Healthier Business Mix

Catalysts About Kinaxis Kinaxis provides cloud-based supply chain planning and orchestration software for large enterprises globally. What are the underlying business or industry changes driving this perspective?
TOI
CA$88.56
Topicus.com
7D
3.8%
1Y
-35.4%
LMN
CA$19.30
Lumine Group
7D
5.5%
1Y
-49.3%
ABXX
CA$40.65
Abaxx Technologies
7D
-7.7%
1Y
283.5%
DSG
CA$86.02
Descartes Systems Group
7D
-4.0%
1Y
-45.6%

DSG: Freight Headwinds And Buyback Plan Will Shape Bullish Upside Potential

Analysts have reduced their average 12 month price target on Descartes Systems Group to CA$134.07, with recent cuts from firms such as Scotiabank, Wolfe Research and Morgan Stanley offset by upgrades that point to a potential inflection in growth and relatively low valuation levels. Analyst Commentary Recent research paints a mixed picture for Descartes Systems Group, with some analysts leaning more positive on the long term setup while others are trimming expectations in the near term.
CLS
CA$406.47
Celestica
7D
6.5%
1Y
157.1%

CLS: Index Inclusions And AI Storage Platform Will Support Future Upside

Analysts have raised their fair value estimate for Celestica from US$555.29 to US$556.49, citing updated assumptions around revenue growth, profit margins, discount rate, and future P/E as the main drivers of the new target. What's in the News Celestica issued earnings guidance for the first quarter of 2026, projecting revenue between US$3.85b and US$4.15b, with growth of 51% at the midpoint (Corporate guidance).
BTQ
CA$3.26
BTQ Technologies
7D
-12.8%
1Y
-8.4%
BB
CA$4.55
BlackBerry
7D
-3.4%
1Y
-40.5%
QNC
CA$6.08
Quantum eMotion
7D
42.7%
1Y
575.6%
ET
CA$16.04
Evertz Technologies
7D
6.9%
1Y
35.7%