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Canadian (TSX) IT Industry Analysis

UpdatedFeb 01, 2025
DataAggregated Company Financials
Companies8
  • 7D6.4%
  • 3M10.0%
  • 1Y8.6%
  • YTD8.5%

In the last week, the IT industry is up 6.4%, with CGI up 6.7%. Meanwhile, Converge Technology Solutions actually underperformed within the industry, shrinking 6.9% in the last week. This takes the industry's 12 month performance to a gain of 8.6%. Looking forward, earnings are forecast to grow by 9.6% annually.

Industry Valuation and Performance

Has the Canadian IT Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 01 Feb 2025CA$39.6bCA$18.0bCA$1.5b12.6x25.6x2.2x
Mon, 30 Dec 2024CA$36.5bCA$17.8bCA$1.5b11.7x24.4x2x
Wed, 27 Nov 2024CA$36.4bCA$17.8bCA$1.5b11.8x24.3x2x
Fri, 25 Oct 2024CA$36.6bCA$17.7bCA$1.5b11.6x24.9x2.1x
Sun, 22 Sep 2024CA$35.5bCA$17.7bCA$1.5b11x24.2x2x
Tue, 20 Aug 2024CA$34.6bCA$17.7bCA$1.5b10.2x23.5x2x
Thu, 18 Jul 2024CA$34.3bCA$17.7bCA$1.6b10.3x21.3x1.9x
Sat, 15 Jun 2024CA$32.3bCA$17.7bCA$1.6b9.6x20.2x1.8x
Mon, 13 May 2024CA$33.2bCA$17.8bCA$1.6b6.3x21.2x1.9x
Wed, 10 Apr 2024CA$34.8bCA$17.8bCA$1.5b6.3x22.8x2x
Fri, 08 Mar 2024CA$38.0bCA$17.8bCA$1.5b11.6x24.9x2.1x
Sun, 04 Feb 2024CA$37.3bCA$17.9bCA$1.5b11.4x25.5x2.1x
Tue, 02 Jan 2024CA$34.2bCA$17.7bCA$1.5b10.5x23.5x1.9x
Thu, 30 Nov 2023CA$33.0bCA$17.7bCA$1.5b10.1x22.7x1.9x
Sat, 28 Oct 2023CA$31.2bCA$17.3bCA$1.4b33.8x21.8x1.8x
Mon, 25 Sep 2023CA$32.5bCA$17.3bCA$1.4b34.7x22.8x1.9x
Wed, 23 Aug 2023CA$32.6bCA$17.3bCA$1.4b32.4x22.8x1.9x
Fri, 21 Jul 2023CA$33.7bCA$16.8bCA$1.4b23.2x24.1x2x
Sun, 18 Jun 2023CA$33.3bCA$16.9bCA$1.4b22.8x24x2x
Tue, 16 May 2023CA$33.7bCA$16.9bCA$1.4b23x24.1x2x
Thu, 13 Apr 2023CA$32.3bCA$16.2bCA$1.4b27.3x23.1x2x
Sat, 11 Mar 2023CA$38.5bCA$17.7bCA$1.4b27.5x27.3x2.2x
Mon, 06 Feb 2023CA$37.9bCA$17.6bCA$1.4b39.4x26.9x2.1x
Wed, 04 Jan 2023CA$34.6bCA$17.3bCA$1.4b24.6x25.3x2x
Fri, 02 Dec 2022CA$36.0bCA$17.3bCA$1.4b25.2x26.1x2.1x
Sun, 30 Oct 2022CA$34.0bCA$16.8bCA$1.4b37.4x25.1x2x
Tue, 27 Sep 2022CA$31.3bCA$16.8bCA$1.4b33.7x23x1.9x
Thu, 25 Aug 2022CA$33.1bCA$16.7bCA$1.4b48.2x24.3x2x
Sat, 23 Jul 2022CA$35.2bCA$16.1bCA$1.3b62.7x26.9x2.2x
Mon, 20 Jun 2022CA$32.6bCA$16.1bCA$1.3b61.7x24.9x2x
Wed, 18 May 2022CA$35.8bCA$16.0bCA$1.4b17.5x25.6x2.2x
Fri, 15 Apr 2022CA$39.9bCA$15.5bCA$1.4b17.6x28.6x2.6x
Sun, 13 Mar 2022CA$38.3bCA$15.3bCA$1.4b35.5x27.5x2.5x
Tue, 08 Feb 2022CA$41.4bCA$15.0bCA$1.4b35.7x29.1x2.8x
Price to Earnings Ratio

29.1x


Total Market Cap: CA$41.4bTotal Earnings: CA$1.4bTotal Revenue: CA$15.0bTotal Market Cap vs Earnings and Revenue0%0%0%
Canadian IT Industry Price to Earnings3Y Average 24.3x202320242025
Current Industry PE
  • Investors are relatively neutral on the Canadian IT industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 24.3x.
  • The industry is trading close to its 3-year average PS ratio of 2.0x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 2.8% per year over the last three years.
  • Revenues for these companies have grown 6.1% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

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

CA Market-0.47%
Tech2.33%
IT6.38%
IT Consulting6.40%
Data Processing Services0%0
Internet Services and Infrastructure-12.39%
Industry PE
  • Investors are most optimistic about the IT Consulting industry which is trading above its 3-year average PE ratio of 21.3x.
    • Analysts are expecting annual earnings growth of 9.6%, which is higher than its past year's earnings growth of 6.3% per year.
Forecasted Growth
  • Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 9.6% over the next 5 years.
  • This is better than its past earnings growth rate of 6.3% per year.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 9.6% 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
GIB.A CGICA$171.336.7%
+CA$2.3b		9.8%PE22.1x
MTLO Martello Technologies GroupCA$0.01550.0%
+CA$2.7m		-14.3%PS0.5x
ICS Integrated Cyber SolutionsCA$0.1243.8%
+CA$2.2m		-61.7%PS37.6x
PVT PivotreeCA$1.096.9%
+CA$1.8m		-41.4%PS0.4x
ALYA Alithya GroupCA$1.660.6%
+CA$1.0m		-2.4%PS0.4x
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Latest News

NERD

CA$0.06

Nerds on Site

7D

-14.3%

1Y

-7.7%

GIB.A

CA$171.33

CGI

7D

6.7%

1Y

9.8%

ALYA

CA$1.66

Alithya Group

7D

0.6%

1Y

-2.4%

MTLO

CA$0.015

Martello Technologies Group

7D

50.0%

1Y

-14.3%

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Jan 28
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ICS

CA$0.12

Integrated Cyber Solutions

7D

43.8%

1Y

-61.7%

PVT

CA$1.09

Pivotree

7D

6.9%

1Y

-41.4%

Revenues Not Telling The Story For Pivotree Inc. (CVE:PVT) After Shares Rise 33%

Jan 13
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CTS

CA$3.39

Converge Technology Solutions

7D

-6.9%

1Y

-30.4%

Converge Technology Solutions (TSE:CTS) Has A Somewhat Strained Balance Sheet

Jan 05
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ECOM

CA$0.06

EMERGE Commerce

7D

9.1%

1Y

100.0%

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Dec 27
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CSTR

CA$0.02

CryptoStar

7D

-20.0%

1Y

-50.0%

SIX

CA$0.085

Sixty Six Capital

7D

-10.5%

1Y

183.3%