Topicus.com (TOI) AI Stock Analysis

• Market Cap: $12.84B
• Dividend Yield: N/A
• Average Volume (3M): 33.32K
• Price to Earnings (P/E): 93.8
• Beta (1Y): 0.73
• Revenue Growth: 16.90%
• EPS Growth: 28.86%
• Country: CA
• Employees: N/A
• Sector: Technology
• Sector Strength: 45
• Industry: Software - Infrastructure
• EPS (TTM): 1.65
• Shares Outstanding: 83,068,870
• 10 Day Avg. Volume: 34,067
• 30 Day Avg. Volume: 33,316
• PEG Ratio: 3.25
• Price to Book (P/B): N/A
• Price to Sales (P/S): 5.68
• Price to Cash Flow (P/CF): 23.10
• P/FCF Ratio: 20.80
• 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: $170.00
• Price Target Upside: 11.65% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

Topicus.com demonstrates robust financial performance and strategic growth initiatives, reflected in its strong cash flow and recent acquisitions. While the high P/E ratio suggests a premium valuation, the company's market positioning and consistent revenue growth provide a positive outlook. The absence of immediate dividend returns may deter some investors, but the overall strength in financial health and strategic moves supports a favorable stock score.

Topicus.com Business Overview & Revenue Model

Company Description

Topicus.com (TOI) is a European software company that specializes in developing and implementing innovative solutions tailored for the public sector, education, healthcare, and finance industries. The company focuses on creating platforms that streamline processes, enhance communication, and improve service delivery across various sectors, helping organizations optimize their operations and meet their strategic goals.

How the Company Makes Money

Topicus.com generates revenue primarily through the sale and licensing of its proprietary software solutions and platforms. The company offers a subscription-based model for its software services, providing clients with ongoing support, updates, and maintenance. Additionally, Topicus.com engages in consultancy and implementation services, helping clients integrate their software solutions into existing systems. Revenue is further supplemented by strategic partnerships and collaborations with industry leaders, allowing Topicus.com to expand its market reach and offer comprehensive solutions tailored to specific industry needs.

Topicus.com Financial Statement Overview

Summary

Overall, Topicus.com exhibits solid financial health, driven by consistent revenue growth and strong cash flow generation. While profitability metrics like EBIT need improvement, the company maintains a stable balance sheet with moderate leverage and efficient equity utilization. The strong cash flow suggests potential for future investments and growth, positioning the company well within the software industry.

Income Statement

The company has shown consistent revenue growth, with a 15.1% increase from 2023 to 2024. Gross profit margin for 2024 stands at 36.4%, which reflects strong profitability in its operations. However, the EBIT margin is zero, indicating no earnings before interest and taxes, which could point to high operating expenses or one-time charges. Net profit margin improved to 7.1%, a positive trend but still moderate for the software industry.

Balance Sheet

The balance sheet reveals a debt-to-equity ratio of 1.13, suggesting moderate leverage. The equity ratio is 20.3%, indicating a stable equity position relative to assets. Return on equity is 29.6%, showing efficient use of equity to generate profits. The company maintains a healthy cash position, supporting liquidity and potential growth investment.

Cash Flow

Cash flow performance is strong, with a free cash flow growth rate of 42.1% from 2023 to 2024. The operating cash flow to net income ratio is 3.78, indicating strong cash generation relative to earnings. The free cash flow to net income ratio is also robust at 3.69, reflecting effective cash management and operational efficiency.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.29B	1.12B	916.68M	742.54M	493.99M
	Gross Profit
471.35M	399.63M	325.55M	269.36M	190.79M
	EBIT
0.00	95.65M	117.33M	-2.19B	90.10M
	EBITDA
376.30M	313.11M	251.99M	-2.08B	159.32M
	Net Income Common Stockholders
91.99M	71.75M	87.61M	-2.22B	63.68M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
206.16M	179.06M	136.77M	75.33M	55.64M
	Total Assets
1.54B	1.44B	1.29B	1.03B	641.14M
	Total Debt
351.83M	287.83M	328.88M	226.91M	103.16M
	Net Debt
145.68M	108.77M	192.11M	151.58M	47.53M
	Total Liabilities
1.00B	842.67M	827.01M	672.69M	376.46M
	Stockholders Equity
311.28M	339.18M	266.10M	-705.60M	264.68M
Cash Flow		Free Cash Flow
339.34M	238.78M	195.71M	171.04M	149.46M
	Operating Cash Flow
347.63M	246.56M	203.01M	176.42M	151.87M
	Investing Cash Flow
-110.22M	-127.20M	-133.41M	-213.43M	-74.25M
	Financing Cash Flow
-211.60M	-77.98M	-8.15M	56.69M	-50.02M

Topicus.com Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 152.27
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:TOI, the sentiment is Positive. The current price of 152.27 is above the 20-day moving average (MA) of 144.98, above the 50-day MA of 142.32, and above the 200-day MA of 129.22, indicating a bullish trend. The MACD of 3.29 indicates Negative momentum. The RSI at 59.03 is Neutral, neither overbought nor oversold. The STOCH value of 89.08 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:TOI.

Topicus.com Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TOI	77 Outperform	$12.84B	93.78	28.52%	―	16.90%	28.86%
DSG	77 Outperform	$12.12B	62.61	10.92%	―	16.07%	25.71%
ENGH	76 Outperform	$1.32B	15.55	14.76%	4.34%	8.11%	15.83%
CSU	71 Outperform	C$99.23B	99.09	30.90%	0.12%	21.56%	31.90%
OTEX	68 Neutral	$9.23B	10.35	16.00%	4.05%	-3.59%	432.46%
KXS	68 Neutral	C$4.85B	157.81	-0.10%	―	14.85%	-105.25%
Sector *	58 Neutral	$10.03B	10.00	-6.85%	3.09%	7.49%	-11.58%

Topicus.com Corporate Events

Topicus.com, Lumine Group, and Constellation Software Announce Virtual Annual Meetings

Topicus.com Inc., Lumine Group Inc., and Constellation Software Inc. have announced their annual general meetings of shareholders, scheduled for May 13, 2025, to be conducted virtually via live audio webcast. The meetings will feature a joint question and answer session with senior management from all three companies, allowing shareholders to pose questions in advance or during the session. This virtual format aims to facilitate shareholder engagement and streamline the process, reflecting a continued commitment to transparency and accessibility.

Spark’s Take on TSE:TOI Stock

According to Spark, TipRanks’ AI Analyst, TSE:TOI is a Outperform.

Topicus.com demonstrates robust financial performance and strategic growth initiatives, reflected in its strong cash flow and recent acquisitions. While the high P/E ratio suggests a premium valuation, the company’s market positioning and consistent revenue growth provide a positive outlook. The absence of immediate dividend returns may deter some investors, but the overall strength in financial health and strategic moves supports a favorable stock score.

To see Spark’s full report on TSE:TOI stock, click here.

Topicus.com Inc. Reports Strong 2024 Financial Results

Topicus.com Inc. reported strong financial results for the fourth quarter and the year ended December 31, 2024, with significant revenue and net income growth driven by both acquisitions and organic expansion. The company achieved an 18% increase in quarterly revenue and a 32% rise in net income, reflecting its effective growth strategy and market positioning. Cash flows from operations and free cash flow available to shareholders also saw substantial increases, highlighting Topicus’s robust financial health and operational efficiency.

Topicus.com Announces Fourth Quarter Results Release Date

Topicus.com Inc. has announced its plan to release the fourth quarter results on February 26, 2025. The results will be available on their website and the SEDAR platform after the markets close, potentially impacting stakeholders by providing insights into the company’s financial performance and future prospects.

Topicus.com Expands Stake in Asseco Poland with Strategic Acquisition

Topicus.com Inc., through its subsidiary Yukon Niebieski Kapital B.V., has entered into an agreement to purchase 14.84% of Asseco Poland S.A.’s share capital at PLN 85 per share. This acquisition, alongside a recent purchase from Cyfrowy Polsat S.A., enhances Topicus.com’s strategic positioning and requires regulatory and antitrust approvals for completion.

Topicus.com Inc. Enters Strategic Shareholders’ Agreement

Topicus.com Inc. recently announced a shareholders’ agreement involving its subsidiaries and the Adam Góral Family Foundation, related to their respective shareholdings in Asseco Poland S.A. This agreement, contingent on the completion of a significant share purchase by Topicus’ subsidiary Yukon, marks a strategic move in the IT sector, potentially enhancing Topicus’ influence and operations within the market.

Topicus.com Inc. Acquires Stake in Asseco Poland for Strategic Growth

Topicus.com Inc. has expanded its footprint in the European market by acquiring a 9.99% stake in Asseco Poland S.A. through its subsidiary Yukon Niebieski Kapital B.V. This acquisition, involving 8,300,029 shares at 85 PLN each from Cyfrowy Polsat S.A., reflects Topicus.com’s strategic focus on long-term growth and investment in high-impact software solutions. The move strengthens Topicus.com’s industry positioning and could potentially enhance its market influence in the IT sector, benefiting stakeholders by broadening their technological capabilities and geographic reach.