TECSYS Inc. J (TCS) AI Stock Analysis

• Market Cap: C$522.13M
• Dividend Yield: 0.98%
• Average Volume (3M): 45.55K
• Price to Earnings (P/E): 118.1
• Beta (1Y): 0.49
• Revenue Growth: 4.03%
• EPS Growth: 199.20%
• Country: CA
• Employees: 655
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.05
• Shares Outstanding: 14,791,321
• 10 Day Avg. Volume: 18,908
• 30 Day Avg. Volume: 45,554
• PEG Ratio: 1.07
• Price to Book (P/B): 8.79
• Price to Sales (P/S): 3.55
• P/FCF Ratio: 56.13
• 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$48.00
• Price Target Upside: 38.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: C$39.00 ▲(12.49% Upside)

TECSYS Inc. J's overall stock score is driven by strong financial performance and positive earnings call highlights, including robust SaaS and professional services growth. However, the high P/E ratio suggests overvaluation, and technical indicators point to potential resistance. The company's solid balance sheet and positive guidance provide a stable outlook, but cash flow challenges and valuation concerns temper the score.

TECSYS Inc. J Business Overview & Revenue Model

Company Description

TECSYS Inc. (TCS) is a leading supply chain management software provider specializing in software solutions for the healthcare, distribution, and manufacturing sectors. The company offers a comprehensive suite of products designed to optimize inventory management, warehouse operations, and logistics processes. TECSYS's solutions leverage advanced technologies such as cloud computing, artificial intelligence, and analytics to improve operational efficiency and drive profitability for its clients.

How the Company Makes Money

TECSYS generates revenue primarily through the sale of its software solutions and related services. The company operates on a subscription-based model, where clients pay recurring fees for access to its software, including cloud-based services. Additionally, TECSYS earns revenue from professional services such as implementation, training, and ongoing support. Key revenue streams include licenses for proprietary software, maintenance agreements, and consulting services. The company also benefits from strategic partnerships with technology providers and distributors, which enhance its market reach and expand its customer base, contributing significantly to its earnings.

TECSYS Inc. J Financial Statement Overview

Summary

TECSYS Inc. exhibits strong financial health marked by 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	180.14M	176.45M	171.24M	152.42M	137.20M	123.10M
Gross Profit	89.13M	85.29M	78.39M	66.81M	60.31M	60.63M
EBITDA	11.45M	11.06M	5.72M	4.58M	6.75M	12.96M
Net Income	4.42M	4.46M	1.85M	2.09M	4.48M	7.19M
Balance Sheet
Total Assets	131.15M	140.41M	128.05M	126.92M	125.84M	129.31M
Cash, Cash Equivalents and Short-Term Investments	30.99M	39.29M	35.57M	37.07M	43.24M	45.85M
Total Debt	646.00K	1.32M	2.11M	2.91M	14.24M	18.76M
Total Liabilities	60.83M	69.15M	59.68M	56.48M	57.16M	62.22M
Stockholders Equity	70.32M	71.26M	68.37M	70.44M	68.68M	67.09M
Cash Flow
Free Cash Flow	9.55M	11.16M	3.24M	5.97M	2.88M	17.58M
Operating Cash Flow	15.16M	13.91M	4.86M	7.76M	4.94M	19.11M
Investing Cash Flow	-60.00K	2.89M	-1.47M	-1.11M	-2.38M	-13.75M
Financing Cash Flow	-6.62M	-8.07M	-5.76M	-8.42M	-5.31M	-7.14M

TECSYS Inc. J Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 34.67
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• 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 34.67 is below the 20-day moving average (MA) of 34.68, below the 50-day MA of 34.80, and below the 200-day MA of 39.31, indicating a bearish trend. The MACD of 0.17 indicates Negative momentum. The RSI at 47.28 is Neutral, neither overbought nor oversold. The STOCH value of 48.07 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
KXS	71 Outperform	C$4.72B	136.84	8.24%	―	15.11%	75.40%
ENGH	71 Outperform	$1.13B	15.11	12.56%	6.38%	0.03%	-10.21%
TCS	70 Outperform	C$522.13M	118.10	6.45%	0.98%	4.03%	199.20%
DSG	67 Neutral	C$10.38B	50.15	10.54%	―	15.63%	18.47%
DCBO	67 Neutral	$994.40M	36.01	55.53%	―	18.51%	32.49%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CMG	60 Neutral	C$429.36M	19.68	27.95%	3.05%	8.53%	-8.25%

TECSYS Inc. J Corporate Events

Tecsys Renews Executive Chairman’s Securities Disposition Plan

Tecsys Inc. announced the renewal of its Executive Chairman Dave Brereton’s automatic securities disposition plan (ASDP), established for personal and financial planning purposes. The plan allows for the orderly sale or donation of up to 96,000 common shares, representing approximately 0.6% of the company’s outstanding shares, over a 12-month period. The ASDP includes pre-arranged instructions for sales and donations, ensuring compliance with securities legislation and internal policies, and prohibits any influence from Mr. Brereton or Ms. Ensign-Brereton on the execution of the plan. This move is expected to maintain their significant equity interest in Tecsys while adhering to regulatory practices.

The most recent analyst rating on (TSE:TCS) stock is a Hold with a C$39.00 price target. To see the full list of analyst forecasts on TECSYS Inc. J stock, see the TSE:TCS Stock Forecast page.

TECSYS Inc. Earnings Call Highlights Growth and Optimism

The recent earnings call for TECSYS Inc. was marked by a strong sentiment of growth and optimism. The company reported significant revenue increases in its SaaS and professional services segments, alongside expansion in healthcare distribution and successful product innovations. While there were minor declines in net profit and hardware revenue, the overall outlook remains positive, supported by a robust pipeline and strategic investments.

Tecsys Inc. Elects Directors and Re-Appoints Auditors at Annual Meeting

Tecsys Inc. announced the election of eight directors and the re-appointment of KPMG LLP as auditors at its annual shareholders’ meeting. The election results, with a majority vote for each nominee, reflect strong shareholder support and ensure continuity in governance. This decision is expected to bolster Tecsys’ strategic direction and operational stability, reinforcing its position in the supply chain solutions industry.

The most recent analyst rating on (TSE:TCS) stock is a Hold with a C$40.00 price target. To see the full list of analyst forecasts on TECSYS Inc. J stock, see the TSE:TCS Stock Forecast page.

Tecsys Inc. Reports Strong Q1 Fiscal 2026 Results with Significant SaaS Revenue Growth

Tecsys Inc. reported a strong start to fiscal 2026 with a 25% increase in SaaS revenue and a 24% rise in adjusted EBITDA for the first quarter. The company’s expansion efforts, including a new location in Bangalore, have contributed positively to its growth. Tecsys also experienced a 20% growth in professional services revenue, reflecting robust implementation activity. The company maintains its financial guidance for the year, signaling confidence in continued revenue and profitability growth.

The most recent analyst rating on (TSE:TCS) stock is a Hold with a C$40.00 price target. To see the full list of analyst forecasts on TECSYS Inc. J stock, see the TSE:TCS Stock Forecast page.