TECSYS Inc. J (TCS) AI Stock Analysis

• Market Cap: C$533.79M
• Dividend Yield: 0.93%
• Average Volume (3M): 13.35K
• Price to Earnings (P/E): 119.3
• Beta (1Y): 0.50
• Revenue Growth: 1.75%
• EPS Growth: 139.02%
• Country: CA
• Employees: 655
• Sector: Technology
• Sector Strength: 86
• Industry: Software - Application
• EPS (TTM): 0.05
• Shares Outstanding: 14,827,435
• 10 Day Avg. Volume: 24,276
• 30 Day Avg. Volume: 13,347
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$48.75
• Price Target Upside: 35.42% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 64 Neutral
• Price Target: C$40.00 ▲(11.11% Upside)

TECSYS Inc.'s overall stock score is driven by its strong financial performance and positive earnings call highlights. However, the stock's technical indicators suggest a bearish trend, and its high P/E ratio indicates potential overvaluation. The company's strategic milestones and market expansion efforts are positive, but concerns about declining SaaS bookings and increased expenses temper the outlook.

TECSYS Inc. J Business Overview & Revenue Model

Company Description

Tecsys Inc. engages in the development, marketing, and sale of enterprise-wide supply chain management software and related services in Canada, the United States, Europe, and internationally. The company offers warehouse management, distribution and transportation management, supply management at point-of-use and order management and fulfillment, as well as financial management and analytics solutions. It also provides implementation, system enhancement, cloud, advisory, consulting, education, training, and maintenance and support services, as well as engages in sale of hardware. The company primarily serves the healthcare systems, automotive and services parts, third-party logistics, retail, and general wholesale distribution industries. Tecsys Inc. was incorporated in 1983 and is headquartered in Montreal, Canada.

How the Company Makes Money

TECSYS Inc. generates revenue primarily through the sale of its software solutions and associated services. The company's key revenue streams include software licensing fees, subscription fees for cloud-based services, and professional services such as consulting, implementation, and support. TECSYS also benefits from maintenance and support contracts which provide a steady stream of recurring revenue. The company leverages its expertise and extensive industry knowledge to forge significant partnerships with leading technology providers and industry players, further enhancing its market presence and revenue potential. Additionally, TECSYS's focus on innovation and customer-centric solutions helps it to maintain a competitive edge, driving sales and long-term growth.

TECSYS Inc. J Financial Statement Overview

Summary

TECSYS Inc. demonstrates strong financial health with consistent revenue growth, improving profitability, and robust cash flow generation. The balance sheet reflects prudent financial management with low leverage and high equity, providing a stable foundation for future growth. However, there is potential to enhance operational efficiency to further improve profitability margins.

Income Statement

TECSYS Inc. has demonstrated strong revenue growth, with a consistent increase over the years. Gross profit margins have been stable at around 48-50%, indicating effective cost management. The net profit margin improved from 1.08% in 2024 to 2.53% in 2025, showing enhanced profitability. However, the EBIT margin remains relatively low at 4.07%, suggesting room for operational efficiency improvements.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.02, indicating strong financial leverage management. Return on equity improved to 6.26% in 2025, reflecting better utilization of equity capital. The equity ratio is robust at 50.74%, showcasing financial stability and asset efficiency.

Cash Flow

TECSYS Inc. has shown substantial growth in free cash flow, increasing from 2024 to 2025. The operating cash flow to net income ratio of 3.12 in 2025 highlights strong cash generation capabilities relative to net income. The free cash flow to net income ratio also improved, supporting the company's ability to fund operations and investments effectively.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	176.45M	176.45M	171.24M	152.42M	137.20M	123.10M
Gross Profit	85.29M	85.29M	78.39M	66.81M	60.31M	60.63M
EBITDA	11.06M	11.06M	5.72M	4.58M	6.75M	12.96M
Net Income	4.46M	4.46M	1.85M	2.09M	4.48M	7.19M
Balance Sheet
Total Assets	140.41M	140.41M	128.05M	126.92M	125.84M	129.31M
Cash, Cash Equivalents and Short-Term Investments	39.29M	39.29M	35.57M	37.07M	43.24M	45.85M
Total Debt	1.32M	1.32M	2.11M	2.91M	14.24M	18.76M
Total Liabilities	69.15M	69.15M	59.68M	56.48M	57.16M	62.22M
Stockholders Equity	71.26M	71.26M	68.37M	70.44M	68.68M	67.09M
Cash Flow
Free Cash Flow	11.16M	11.16M	3.24M	5.97M	2.88M	17.58M
Operating Cash Flow	13.91M	13.91M	4.86M	7.76M	4.94M	19.11M
Investing Cash Flow	2.87M	2.89M	-1.47M	-1.11M	-2.38M	-13.75M
Financing Cash Flow	-8.05M	-8.07M	-5.76M	-8.42M	-5.31M	-7.14M

TECSYS Inc. J Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 36.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:TCS, the sentiment is Negative. The current price of 36 is below the 20-day moving average (MA) of 37.04, below the 50-day MA of 37.74, and below the 200-day MA of 41.60, indicating a bearish trend. The MACD of -0.55 indicates Positive momentum. The RSI at 40.15 is Neutral, neither overbought nor oversold. The STOCH value of 31.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:TCS.

TECSYS Inc. J Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TCS	64 Neutral	C$533.79M	119.28	6.39%	0.93%	1.75%	139.02%
Sector *	61 Neutral	$35.09B	8.26	-10.58%	1.90%	8.56%	-9.51%
DSGX	―	$8.44B	60.07	10.66%	―	―	―
KXS	70 Outperform	C$5.32B	153.62	5.93%	―	15.81%	22.17%
CMG	58 Neutral	C$512.04M	23.51	27.95%	3.32%	8.53%	-8.25%
EGHSF	―	$895.73M	16.00	13.26%	4.88%	―	―
DCBO	―	$909.58M	43.07	55.53%	―	―	―

TECSYS Inc. J Corporate Events

Tecsys Reports Strong Fiscal 2025 Results with Record Revenue and Strategic Growth Initiatives

Tecsys Inc. reported strong financial results for the fourth quarter and full fiscal year 2025, highlighted by a 29% increase in SaaS revenue and a 55% rise in adjusted EBITDA for the quarter. The company expanded its global footprint and launched TecsysIQ, reflecting its commitment to AI innovation. Tecsys plans to increase investment in R&D and marketing in fiscal 2026 to drive further growth, with revised guidance indicating an 8-9% adjusted EBITDA margin and expected growth of 20-30%.

The most recent analyst rating on (TSE:TCS) stock is a Buy with a C$45.00 price target. To see the full list of analyst forecasts on TECSYS Inc. J stock, see the TSE:TCS Stock Forecast page.