Header cover image

Canadian (TSX) IT Industry Analysis

UpdatedApr 24, 2024
DataAggregated Company Financials
Companies14
  • 7D0.1%
  • 3M-1.2%
  • 1Y4.9%
  • YTD4.7%

Over the last 7 days, the IT industry has remained flat, although notably CryptoStar declined by 13%. As for the the longer term, the industry is up 6.9% over the past 12 months. Looking forward, earnings are forecast to grow by 12% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 24 Apr 2024CA$34.5bCA$17.8bCA$1.5b6.3x22.7x1.9x
Fri, 22 Mar 2024CA$38.2bCA$17.8bCA$1.5b6.3x25.1x2.1x
Sun, 18 Feb 2024CA$36.9bCA$17.8bCA$1.5b11.4x24.5x2.1x
Tue, 16 Jan 2024CA$34.2bCA$17.7bCA$1.5b10.8x23.6x1.9x
Thu, 14 Dec 2023CA$34.5bCA$17.7bCA$1.5b10.7x23.8x1.9x
Sat, 11 Nov 2023CA$32.6bCA$17.5bCA$1.5b39.5x22.1x1.9x
Mon, 09 Oct 2023CA$32.7bCA$17.3bCA$1.4b34.4x22.9x1.9x
Wed, 06 Sep 2023CA$33.7bCA$17.3bCA$1.4b35.5x23.6x1.9x
Fri, 04 Aug 2023CA$31.9bCA$17.2bCA$1.4b21.7x22x1.9x
Sun, 02 Jul 2023CA$33.8bCA$16.9bCA$1.4b23x24.3x2x
Tue, 30 May 2023CA$34.1bCA$16.9bCA$1.4b24.5x24.3x2x
Thu, 27 Apr 2023CA$33.4bCA$16.2bCA$1.4b24.2x24x2.1x
Sat, 25 Mar 2023CA$31.1bCA$16.2bCA$1.4b26.8x22.5x1.9x
Mon, 20 Feb 2023CA$38.0bCA$17.6bCA$1.4b33.4x26.8x2.2x
Wed, 18 Jan 2023CA$35.6bCA$17.3bCA$1.4b28.5x26.1x2.1x
Fri, 16 Dec 2022CA$34.6bCA$17.3bCA$1.4b23.7x25.3x2x
Sun, 13 Nov 2022CA$35.1bCA$17.3bCA$1.4b26.2x25.7x2x
Tue, 11 Oct 2022CA$31.9bCA$16.8bCA$1.4b35.2x23.5x1.9x
Thu, 08 Sep 2022CA$31.1bCA$16.7bCA$1.4b35.2x22.9x1.9x
Sat, 06 Aug 2022CA$35.2bCA$16.3bCA$1.3b58.6x26.8x2.2x
Mon, 04 Jul 2022CA$33.2bCA$16.1bCA$1.3b56.5x25.3x2.1x
Wed, 01 Jun 2022CA$37.7bCA$16.0bCA$1.3b74.4x28.6x2.4x
Fri, 29 Apr 2022CA$38.6bCA$15.7bCA$1.4b17.4x27x2.5x
Sun, 27 Mar 2022CA$40.6bCA$15.5bCA$1.4b34.5x29x2.6x
Tue, 22 Feb 2022CA$39.0bCA$15.1bCA$1.4b36.1x27.7x2.6x
Thu, 20 Jan 2022CA$40.2bCA$14.9bCA$1.4b29.9x28.5x2.7x
Sat, 18 Dec 2021CA$40.6bCA$15.0bCA$1.4b14.1x28.7x2.7x
Mon, 15 Nov 2021CA$50.5bCA$14.9bCA$1.4b42.1x35.5x3.4x
Wed, 13 Oct 2021CA$55.8bCA$14.5bCA$1.1b45.6x51.4x3.8x
Fri, 10 Sep 2021CA$57.9bCA$14.5bCA$1.1b47.3x53.3x4x
Sun, 08 Aug 2021CA$49.7bCA$14.5bCA$1.1b53.2x46.1x3.4x
Sat, 01 May 2021CA$45.5bCA$14.3bCA$994.4m23.6x45.8x3.2x
Price to Earnings Ratio

45.8x


Total Market Cap: CA$45.5bTotal Earnings: CA$994.4mTotal Revenue: CA$14.3bTotal Market Cap vs Earnings and Revenue0%0%0%
Canadian IT Industry Price to Earnings3Y Average 29.4x202220232024
Current Industry PE
  • Investors are pessimistic on the Canadian IT industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 22.6x which is lower than its 3-year average PE of 29.4x.
  • The 3-year average PS ratio of 2.4x is higher than the industry's current PS ratio of 1.9x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 7.7% 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 Market1.25%
Tech0.45%
IT0.13%
Internet Services and Infrastructure5.87%
IT Consulting0.12%
Data Processing Services0%
Industry PE
  • Investors are most optimistic about the IT Consulting industry, which is trading close to its 3-year average PE ratio of 21.5x.
    • Analysts expect its future annual earnings growth (11.6%) to be largely in line with prior year's earnings growth.
Forecasted Growth
  • Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 12% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 12% 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
CTS Converge Technology SolutionsCA$5.625.6%
+CA$60.6m		67.8%PS0.4x
ALYA Alithya GroupCA$2.092.2%
+CA$4.3m		-17.3%PS0.4x
PVT PivotreeCA$1.6010.3%
+CA$3.9m		-47.5%PS0.5x
MTLO Martello Technologies GroupCA$0.0233.3%
+CA$2.7m		0%PS0.7x
NERD Nerds on SiteCA$0.0658.3%
+CA$447.1k		-13.3%PS0.5x
Simply Wall St™
Simply Wall Street Pty Ltd
Level 7, 320 Pitt Street, Sydney
Download on the App StoreGet it on Google Play
Popular Markets
USAUUKINCAZA
About UsCareersPlansLogin
Help CenterLatest CoveragePodcastsAffiliate ProgramBusiness & Enterprise
Financial Services GuideTerms and ConditionsPrivacy Policy
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Latest News

CTS

CA$5.62

Converge Technology Solutions

7D

5.6%

1Y

67.8%

PVT

CA$1.60

Pivotree

7D

10.3%

1Y

-47.5%

GIB.A

CA$143.85

CGI

7D

-0.08%

1Y

4.1%

CGI Inc.'s (TSE:GIB.A) Shareholders Might Be Looking For Exit

Apr 08
CGI Inc.'s (TSE:GIB.A) Shareholders Might Be Looking For Exit

MTLO

CA$0.02

Martello Technologies Group

7D

33.3%

1Y

0%

Martello Technologies Group Inc.'s (CVE:MTLO) 67% Price Boost Is Out Of Tune With Revenues

Mar 29
Martello Technologies Group Inc.'s (CVE:MTLO) 67% Price Boost Is Out Of Tune With Revenues

ALYA

CA$2.09

Alithya Group

7D

2.2%

1Y

-17.3%

NERD

CA$0.065

Nerds on Site

7D

8.3%

1Y

-13.3%