| Snowflake Score | |
|---|---|
| Valuation | 1/6 |
| Future Growth | 4/6 |
| Past Performance | 1/6 |
| Financial Health | 3/6 |
| Dividends | 0/6 |
TIXT Overview
TELUS International (Cda) Inc. provides customer experience and digital business services in Europe, North America, the Asia-Pacific, and the Central America.
TELUS International (Cda) Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$38.16 |
| 52 Week High | US$26.92 |
| 52 Week Low | US$39.91 |
| Beta | 0 |
| 1 Month Change | 5.27% |
| 3 Month Change | 20.38% |
| 1 Year Change | n/a |
| 3 Year Change | n/a |
| 5 Year Change | n/a |
| Change since IPO | 25.53% |
Recent News & Updates
TELUS International (Cda) Inc. (NYSE:TIXT) Shares Could Be 20% Below Their Intrinsic Value Estimate
How far off is TELUS International (Cda) Inc. ( NYSE:TIXT ) from its intrinsic value? Using the most recent financial...
Shareholder Returns
| TIXT | US IT | US Market | |
|---|---|---|---|
| 7D | 0.3% | -1.9% | 0.9% |
| 1Y | n/a | 25.3% | 33.4% |
Return vs Industry: Insufficient data to determine how TIXT performed against the US IT industry.
Return vs Market: Insufficient data to determine how TIXT performed against the US Market.
Price Volatility
| TIXT volatility | |
|---|---|
| TIXT Beta | 0 |
| Industry Beta | 1.18 |
| Market Beta | 1 |
Stable Share Price: TIXT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: TIXT's weekly volatility (5%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2005 | 56,171 | Jeff Puritt | https://www.telusinternational.com |
TELUS International (Cda) Inc. provides customer experience and digital business services in Europe, North America, the Asia-Pacific, and the Central America. It offers digital experience solutions, such as AI and bots, omnichannel CX, mobility solutions, cloud contact center, big data, platform transformation, and UX/UI design; and customer experience solutions, including work anywhere/work from home, customer care, technical support, sales growth and retention, and healthcare/patient experience. The company also provides IT lifecycle services comprising cloud and platform services, app dev and management, quality assurance and testing, system operations, IT service desk, internet of things, engineering solutions, and enterprise platform services; advisory services consisting of digital strategy, CX process consulting, data and customer analytics, workforce management, learning excellence solutions, and business and process transformation; robotic process automation, talent acquisition, finance and accounting, and supply chain management; and content moderation and social media, and fraud prevention and detection.
TELUS International (Cda) Fundamentals Summary
| TIXT fundamental statistics | |
|---|---|
| Market Cap | US$10.14b |
| Earnings (TTM) | US$67.90m |
| Revenue (TTM) | US$1.91b |
149.4x
P/E Ratio5.3x
P/S RatioIs TIXT overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| TIXT income statement (TTM) | |
|---|---|
| Revenue | US$1.91b |
| Cost of Revenue | US$1.46b |
| Gross Profit | US$443.80m |
| Expenses | US$375.90m |
| Earnings | US$67.90m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Nov 05, 2021
| Earnings per share (EPS) | 0.26 |
| Gross Margin | 23.28% |
| Net Profit Margin | 3.56% |
| Debt/Equity Ratio | 60.4% |
How did TIXT perform over the long term?
See historical performance and comparisonValuation
Is TELUS International (Cda) undervalued compared to its fair value and its price relative to the market?
16.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: TIXT ($39.19) is trading below our estimate of fair value ($45.48)
Significantly Below Fair Value: TIXT is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: TIXT is poor value based on its PE Ratio (153.4x) compared to the US IT industry average (34.9x).
PE vs Market: TIXT is poor value based on its PE Ratio (153.4x) compared to the US market (18.3x).
Price to Earnings Growth Ratio
PEG Ratio: TIXT is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: TIXT is overvalued based on its PB Ratio (6.4x) compared to the US IT industry average (5.3x).
Future Growth
How is TELUS International (Cda) forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
60.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TIXT's forecast earnings growth (62.1% per year) is above the savings rate (2%).
Earnings vs Market: TIXT's earnings (62.1% per year) are forecast to grow faster than the US market (14.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: TIXT's revenue (15.2% per year) is forecast to grow faster than the US market (9.9% per year).
High Growth Revenue: TIXT's revenue (15.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: TIXT's Return on Equity is forecast to be low in 3 years time (16.2%).
Past Performance
How has TELUS International (Cda) performed over the past 5 years?
20.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: TIXT has a large one-off loss of $52.2M impacting its June 30 2021 financial results.
Growing Profit Margin: TIXT's current net profit margins (3.6%) are lower than last year (7.5%).
Past Earnings Growth Analysis
Earnings Trend: TIXT's earnings have grown significantly by 20.5% per year over the past 5 years.
Accelerating Growth: TIXT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: TIXT had negative earnings growth (-29.1%) over the past year, making it difficult to compare to the IT industry average (35.6%).
Return on Equity
High ROE: TIXT's Return on Equity (4.2%) is considered low.
Financial Health
How is TELUS International (Cda)'s financial position?
Financial Position Analysis
Short Term Liabilities: TIXT's short term assets ($594.0M) exceed its short term liabilities ($591.0M).
Long Term Liabilities: TIXT's short term assets ($594.0M) do not cover its long term liabilities ($1.5B).
Debt to Equity History and Analysis
Debt Level: TIXT's debt to equity ratio (60.4%) is considered high.
Reducing Debt: Insufficient data to determine if TIXT's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: TIXT's debt is well covered by operating cash flow (31.8%).
Interest Coverage: TIXT's interest payments on its debt are well covered by EBIT (4.7x coverage).
Balance Sheet
Dividend
What is TELUS International (Cda) current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate TIXT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate TIXT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if TIXT's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if TIXT's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of TIXT's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.3yrs
Average management tenure
CEO
Jeff Puritt (58 yo)
5.75yrs
Tenure
US$3,406,239
Compensation
Mr. Jeffrey D. Puritt, also known as Jeff, serves as an Executive Vice President of TELUS Corporation. Mr. Puritt has been the President, Director and Chief Executive Officer of TELUS International (Cda) I...
CEO Compensation Analysis
Compensation vs Market: Jeff's total compensation ($USD3.41M) is below average for companies of similar size in the US market ($USD11.15M).
Compensation vs Earnings: Jeff's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: TIXT's management team is considered experienced (3.3 years average tenure).
Board Members
Experienced Board: TIXT's board of directors are not considered experienced ( 1.1 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: TIXT insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: TIXT only recently listed within the past 12 months.
Top Shareholders
Company Information
TELUS International (Cda) Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: TELUS International (Cda) Inc.
- Ticker: TIXT
- Exchange: NYSE
- Founded: 2005
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: US$10.144b
- Shares outstanding: 265.83m
- Website: https://www.telusinternational.com
Number of Employees
Location
- TELUS International (Cda) Inc.
- 510 West Georgia Street
- 7th Floor
- Vancouver
- British Columbia
- V6B 0M3
- Canada
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/10/27 23:05 |
| End of Day Share Price | 2021/10/27 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.