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Canadian (TSX) Software Industry Analysis

UpdatedJan 26, 2026
DataAggregated Company Financials
Companies80
  • 7D-3.5%
  • 3M-26.1%
  • 1Y-33.0%
  • YTD-10.6%

Over the last 7 days, the Software industry has dropped 3.5%, driven by Constellation Software declining 2.2%. Overall the industry is down 33% in 12 months. Earnings are forecast to grow by 25% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 26 Jan 2026CA$106.2bCA$26.0bCA$138.8m45.2x764.8x4.1x
Wed, 24 Dec 2025CA$121.5bCA$26.0bCA$150.2m49.3x809.1x4.7x
Fri, 21 Nov 2025CA$116.4bCA$26.7bCA$199.5m45.3x583.2x4.4x
Sun, 19 Oct 2025CA$139.3bCA$25.6bCA$256.8m54.9x542.3x5.4x
Tue, 16 Sep 2025CA$153.7bCA$25.2bCA$241.4m60.5x636.7x6.1x
Thu, 14 Aug 2025CA$159.9bCA$25.2bCA$168.6m50.6x948.5x6.4x
Sat, 12 Jul 2025CA$166.8bCA$24.2bCA$179.2m45.2x930.8x6.9x
Mon, 09 Jun 2025CA$162.7bCA$24.2bCA$155.1m42.6x1049.1x6.7x
Wed, 07 May 2025CA$162.5bCA$23.7bCA$931.6m32.1x174.5x6.9x
Fri, 04 Apr 2025CA$154.8bCA$24.3bCA$437.5m28.2x353.9x6.4x
Sun, 02 Mar 2025CA$161.3bCA$24.3b-CA$2,356,334,331.0827.2x-68.4x6.6x
Tue, 28 Jan 2025CA$156.6bCA$24.0b-CA$2,404,979,158.4440.9x-65.1x6.5x
Thu, 26 Dec 2024CA$154.2bCA$24.0b-CA$2,407,124,123.2941.9x-64.1x6.4x
Sat, 23 Nov 2024CA$154.3bCA$23.3b-CA$2,338,602,073.2641.7x-66x6.6x
Mon, 21 Oct 2024CA$146.2bCA$22.3b-CA$2,509,370,938.6142.2x-58.3x6.6x
Wed, 18 Sep 2024CA$143.7bCA$22.0b-CA$2,509,434,568.3641.6x-57.3x6.5x
Fri, 16 Aug 2024CA$138.8bCA$22.3b-CA$2,523,110,587.2844.7x-55x6.2x
Sun, 14 Jul 2024CA$139.8bCA$21.3b-CA$3,376,358,475.0244.5x-41.4x6.6x
Tue, 11 Jun 2024CA$132.5bCA$21.7b-CA$3,405,623,128.7340.1x-38.9x6.1x
Thu, 09 May 2024CA$130.9bCA$20.9b-CA$3,585,721,112.5147.8x-36.5x6.3x
Sat, 06 Apr 2024CA$126.0bCA$20.8b-CA$4,215,476,494.8123.1x-29.9x6.1x
Mon, 04 Mar 2024CA$126.8bCA$19.9b-CA$2,775,860,333.0224.9x-45.7x6.4x
Wed, 31 Jan 2024CA$125.8bCA$19.8b-CA$3,951,408,355.0026.9x-31.8x6.3x
Fri, 29 Dec 2023CA$117.0bCA$19.7b-CA$4,017,474,391.0026.9x-29.1x5.9x
Sun, 26 Nov 2023CA$110.3bCA$20.2b-CA$4,183,921,716.0043.1x-26.4x5.5x
Tue, 24 Oct 2023CA$98.4bCA$19.5b-CA$4,200,599,789.0054.1x-23.4x5.1x
Thu, 21 Sep 2023CA$101.3bCA$19.2b-CA$4,156,025,612.0054.8x-24.4x5.3x
Sat, 19 Aug 2023CA$99.5bCA$19.4b-CA$4,146,058,169.0056.2x-24x5.1x
Mon, 17 Jul 2023CA$102.8bCA$18.2b-CA$3,682,304,301.0072.9x-27.9x5.6x
Wed, 14 Jun 2023CA$101.6bCA$18.0b-CA$3,969,753,097.0069.7x-25.6x5.6x
Fri, 12 May 2023CA$97.7bCA$17.3b-CA$3,297,561,430.0065.3x-29.6x5.6x
Sun, 09 Apr 2023CA$96.0bCA$17.0b-CA$3,331,219,099.0046.9x-28.8x5.6x
Tue, 07 Mar 2023CA$87.9bCA$16.6b-CA$2,468,258,883.0041.6x-35.6x5.3x
Thu, 02 Feb 2023CA$89.6bCA$16.0b-CA$665,264,911.0028.2x-134.8x5.6x
Price to Earnings Ratio

-134.8x


Total Market Cap: CA$89.6bTotal Earnings: -CA$665,264,911.00Total Revenue: CA$16.0bTotal Market Cap vs Earnings and Revenue0%0%0%
Canadian Software Industry Price to Earnings3Y Average 192x202420252026
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 765x which is higher than its 3-year average PE of 191x.
  • The 3-year average PS ratio of 5.9x is higher than the industry's current PS ratio of 4.1x.
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 18% 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 Market1.21%
Tech-3.62%
Software-3.45%
Application Software-3.29%
Systems Software-6.90%
Industry PE
  • Investors are most optimistic about the Application Software industry which is trading above its 3-year average PE ratio of 165x.
    • Analysts are expecting annual earnings growth of 24.3%, which is higher than its past year's earnings growth of 0.8% 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 65.4x.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 34% 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
LMN Lumine GroupCA$24.591.2%
+CA$74.4m		-37.9%PE46.7x
MKT DeepMarkitCA$0.7432.1%
+CA$11.0m		1,380.0%PE-153.8x
ONE 01 QuantumCA$0.7212.5%
+CA$8.7m		80.0%PS101.5x
APP Global Compliance ApplicationsCA$0.015200.0%
+CA$3.6m		200.0%PS452.6x
QBTQ SuperQ Quantum ComputingCA$1.219.0%
+CA$3.3m		384.0%PB77.8x

Latest News

BTQ
CA$6.38
BTQ Technologies
7D
-18.7%
1Y
52.3%
ONE
CA$0.72
01 Quantum
7D
12.5%
1Y
80.0%

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QBTQ
CA$1.21
SuperQ Quantum Computing
7D
9.0%
1Y
384.0%
BITF
CA$3.78
Bitfarms
7D
-8.3%
1Y
62.2%

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HIVE
CA$4.41
HIVE Digital Technologies
7D
-9.1%
1Y
-0.2%
CSU
CA$2,781.11
Constellation Software
7D
-2.2%
1Y
-40.0%
APP
CA$0.015
Global Compliance Applications
7D
200.0%
1Y
200.0%
LMN
CA$24.59
Lumine Group
7D
1.2%
1Y
-37.9%

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Jan 11
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DSG
CA$111.92
Descartes Systems Group
7D
-8.6%
1Y
-34.5%

DSG: Softer Freight Cycle And Buyback Plan Will Shape Future Returns

Analysts have trimmed their price target on Descartes Systems Group to about $102 from roughly $112, citing a softer transport cycle, weaker shipment volume data, pressure on peer multiples, and updated assumptions for revenue growth, profit margins, discount rate and future P/E. These factors collectively point to a slightly higher intrinsic value estimate of about $134 per share.
TWEL
CA$0.14
Tokenwell Platforms
7D
35.0%
1Y
-50.0%
KXS
CA$149.09
Kinaxis
7D
-8.9%
1Y
-15.4%
VENZ
CA$0.15
Venzee Technologies
7D
20.0%
1Y
25.0%
TOI
CA$111.20
Topicus.com
7D
-2.3%
1Y
-14.5%

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Dec 20
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BB
CA$5.22
BlackBerry
7D
-3.3%
1Y
-12.7%
MKT
CA$0.74
DeepMarkit
7D
32.1%
1Y
1,380.0%
URAI
CA$0.28
Inturai Ventures
7D
7.8%
1Y
266.7%