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Canadian (TSX) Software Industry Analysis

UpdatedFeb 09, 2026
DataAggregated Company Financials
Companies79
  • 7D-5.2%
  • 3M-26.6%
  • 1Y-44.8%
  • YTD-23.3%

Over the last 7 days, the Software industry has dropped 5.2%, driven by Constellation Software declining 3.1%. The industry has fallen 45% in the last year. Earnings are forecast to grow by 24% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 09 Feb 2026CA$91.1bCA$26.0bCA$163.5m36.9x557.5x3.5x
Wed, 07 Jan 2026CA$118.5bCA$26.2bCA$145.8m47.3x812.8x4.5x
Fri, 05 Dec 2025CA$123.3bCA$26.5bCA$150.0m54.5x822.1x4.7x
Sun, 02 Nov 2025CA$133.9bCA$25.6bCA$247.9m54.4x540.1x5.2x
Tue, 30 Sep 2025CA$134.1bCA$25.5bCA$263.5m55.3x509x5.3x
Thu, 28 Aug 2025CA$153.3bCA$25.2bCA$243.1m59x630.7x6.1x
Sat, 26 Jul 2025CA$166.7bCA$24.3bCA$173.2m53.9x962.9x6.9x
Mon, 23 Jun 2025CA$159.4bCA$24.3bCA$159.3m41.1x1000.5x6.6x
Wed, 21 May 2025CA$168.7bCA$24.5bCA$929.0m34.2x181.6x6.9x
Fri, 18 Apr 2025CA$153.4bCA$23.9bCA$445.9m26.9x343.9x6.4x
Sun, 16 Mar 2025CA$152.4bCA$24.8bCA$91.0m26.2x1674.1x6.1x
Tue, 11 Feb 2025CA$163.3bCA$24.0b-CA$2,376,144,513.8439.3x-68.7x6.8x
Thu, 09 Jan 2025CA$144.9bCA$24.0b-CA$2,408,120,883.1841.7x-60.2x6x
Sat, 07 Dec 2024CA$158.1bCA$23.7b-CA$2,344,487,951.9244x-67.4x6.7x
Mon, 04 Nov 2024CA$142.6bCA$22.6b-CA$2,252,494,397.4641.1x-63.3x6.3x
Wed, 02 Oct 2024CA$144.6bCA$21.9b-CA$2,460,634,159.6039x-58.8x6.6x
Fri, 30 Aug 2024CA$140.7bCA$21.9b-CA$2,503,001,724.3244.4x-56.2x6.4x
Sun, 28 Jul 2024CA$148.3bCA$21.6b-CA$3,428,419,575.5046.4x-43.3x6.9x
Tue, 25 Jun 2024CA$131.0bCA$21.6b-CA$3,376,665,582.5838.9x-38.8x6.1x
Thu, 23 May 2024CA$130.1bCA$21.6b-CA$3,441,460,775.5440.4x-37.8x6x
Sat, 20 Apr 2024CA$129.5bCA$21.0b-CA$4,280,023,353.6037.1x-30.3x6.2x
Mon, 18 Mar 2024CA$123.5bCA$20.7b-CA$4,798,927,536.4828.5x-25.7x6x
Wed, 14 Feb 2024CA$118.5bCA$19.8b-CA$2,790,818,113.3324.4x-42.5x6x
Fri, 12 Jan 2024CA$117.9bCA$19.8b-CA$3,960,678,894.0027.6x-29.8x5.9x
Sun, 10 Dec 2023CA$115.4bCA$20.2b-CA$4,234,878,318.0025.8x-27.2x5.7x
Tue, 07 Nov 2023CA$101.9bCA$19.7b-CA$4,393,469,267.0068.8x-23.2x5.2x
Thu, 05 Oct 2023CA$99.7bCA$19.5b-CA$4,220,373,341.0053.7x-23.6x5.1x
Sat, 02 Sep 2023CA$105.6bCA$19.4b-CA$4,128,093,738.0059.2x-25.6x5.4x
Mon, 31 Jul 2023CA$104.0bCA$18.2b-CA$3,867,055,304.0071.4x-26.9x5.7x
Wed, 28 Jun 2023CA$100.8bCA$17.9b-CA$3,935,938,639.0071.5x-25.6x5.6x
Fri, 26 May 2023CA$97.5bCA$18.2b-CA$4,107,279,036.0069.6x-23.7x5.4x
Sun, 23 Apr 2023CA$97.6bCA$17.4b-CA$3,293,393,461.0034.5x-29.6x5.6x
Tue, 21 Mar 2023CA$89.5bCA$16.6b-CA$2,537,980,421.0036.4x-35.2x5.4x
Thu, 16 Feb 2023CA$90.8bCA$16.3b-CA$2,254,604,312.0035.1x-40.3x5.6x
Price to Earnings Ratio

-40.3x


Total Market Cap: CA$90.8bTotal Earnings: -CA$2,254,604,312.00Total Revenue: CA$16.3bTotal Market Cap vs Earnings and Revenue0%0%0%
Canadian Software Industry Price to Earnings3Y Average 202.2x202420252026
Current Industry PE
  • Investors are optimistic on the Canadian Software industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 558x which is higher than its 3-year average PE of 202x.
  • The 3-year average PS ratio of 5.9x is higher than the industry's current PS ratio of 3.5x.
Past Earnings Growth
  • Total earnings for the Software industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 17% 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 industry?

CA Market2.10%
Tech-0.98%
Software-5.22%
Systems Software-5.14%
Application Software-5.22%
Industry PE
  • Investors are most optimistic about the Application Software industry which is trading above its 3-year average PE ratio of 177x.
    • Analysts are expecting annual earnings growth of 24.1%, which is higher than its past year's earnings growth of 6.9% per year.
  • Investors are most pessimistic about the Systems Software industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 69.8x.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 33% over the next 5 years.
  • However this is lower than its past earnings growth rate of 111% per year.
  • In contrast, the Application Software industry is expected to see its earnings grow by 24% 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
ABXX Abaxx TechnologiesCA$43.0010.3%
+CA$146.6m		308.7%PS1940.7x
VERS VERSES AICA$2.60173.7%
+CA$20.9m		-93.4%PS60.3x
CTRL Edge Total IntelligenceCA$0.9528.4%
+CA$18.4m		79.2%PS25.8x
MHUB Minehub TechnologiesCA$0.8915.6%
+CA$12.2m		48.3%n/a
SHLF Shelfie-TechCA$1.5612.2%
+CA$3.9m		n/an/a

Latest News

DSG
CA$91.25
Descartes Systems Group
7D
-10.3%
1Y
-46.7%

The Descartes Systems Group Inc. (TSE:DSG) Stocks Pounded By 25% But Not Lagging Market On Growth Or Pricing

Feb 08
The Descartes Systems Group Inc. (TSE:DSG) Stocks Pounded By 25% But Not Lagging Market On Growth Or Pricing
LSPD
CA$12.65
Lightspeed Commerce
7D
-13.1%
1Y
-33.6%

LSPD: Execution On Product Expansion And Margins Will Drive Long-Term Upside

Analysts have trimmed their price targets on Lightspeed Commerce, leading to a modest reduction in the modeled fair value to about $19.78. This change reflects slightly lower revenue growth assumptions, a higher discount rate, and a lower future P/E, partially offset by improved profit margin expectations.
CTRL
CA$0.95
Edge Total Intelligence
7D
28.4%
1Y
79.2%
LMN
CA$20.00
Lumine Group
7D
-8.8%
1Y
-48.4%

Lumine Group Inc. (CVE:LMN) Shares May Have Slumped 25% But Getting In Cheap Is Still Unlikely

Feb 06
Lumine Group Inc. (CVE:LMN) Shares May Have Slumped 25% But Getting In Cheap Is Still Unlikely
KXS
CA$127.42
Kinaxis
7D
-4.7%
1Y
-25.1%

AI Supply Chain Adoption Will Drive Long Runway For This Cloud Planning Leader

Catalysts About Kinaxis Kinaxis provides cloud based supply chain planning and orchestration software to large enterprises worldwide. What are the underlying business or industry changes driving this perspective?
BITF
CA$2.92
Bitfarms
7D
-5.5%
1Y
46.0%

BITF: Liquidity Progress And Clearer Crypto Rules Will Support Future Expansion

Narrative Update: Bitfarms Analyst Price Target Shift Analysts have trimmed their price target on Bitfarms by a small amount to reflect increased focus on liquidity risk and a less supportive regulatory backdrop for crypto, while keeping only minor adjustments to the discount rate, revenue growth, profit margin, and future P/E assumptions. Analyst Commentary Recent research commentary on Bitfarms has shifted toward risk control, with a particular focus on liquidity and the policy backdrop for crypto.
TOI
CA$94.72
Topicus.com
7D
-4.8%
1Y
-32.9%

Risks Still Elevated At These Prices As Topicus.com Inc. (CVE:TOI) Shares Dive 25%

Feb 04
Risks Still Elevated At These Prices As Topicus.com Inc. (CVE:TOI) Shares Dive 25%
CSU
CA$2,434.02
Constellation Software
7D
-3.1%
1Y
-50.4%

Constellation Software Inc.'s (TSE:CSU) 29% Cheaper Price Remains In Tune With Earnings

Feb 04
Constellation Software Inc.'s (TSE:CSU) 29% Cheaper Price Remains In Tune With Earnings
BB
CA$4.74
BlackBerry
7D
-2.7%
1Y
-40.0%
RAIL
CA$0.37
Railtown AI Technologies
7D
2.8%
1Y
-37.3%
THNC
CA$2.00
Thinkific Labs
7D
1.5%
1Y
-36.1%

THNC: Share Buybacks And Neutral Rating Outlook May Support Future Upside

Analysts have reduced their fair value estimate for Thinkific Labs from about $5.01 to roughly $4.19 per share. This reflects a lower price target following a recent downgrade to Market Perform and updated assumptions for growth, margins, discount rate, and future P/E.
VERS
CA$2.60
VERSES AI
7D
173.7%
1Y
-93.4%
MHUB
CA$0.89
Minehub Technologies
7D
15.6%
1Y
48.3%
CYBE
CA$1.35
CyberCatch Holdings
7D
10.7%
1Y
107.7%
SHLF
CA$1.56
Shelfie-Tech
7D
12.2%
1Y
n/a
ABXX
CA$43.00
Abaxx Technologies
7D
10.3%
1Y
308.7%