TELUS International Cda Inc (TIXT) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:TIXT • CA87975H1001

4.31 USD
-0.05 (-1.15%)
At close: Oct 30, 2025
4.31 USD
0 (0%)
After Hours: 10/30/2025, 8:04:00 PM
Fundamental Rating

3

Taking everything into account, TIXT scores 3 out of 10 in our fundamental rating. TIXT was compared to 88 industry peers in the IT Services industry. TIXT has a medium profitability rating, but doesn't score so well on its financial health evaluation. TIXT has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • TIXT had positive earnings in the past year.
  • TIXT had a positive operating cash flow in the past year.
  • TIXT had positive earnings in 4 of the past 5 years.
  • Each year in the past 5 years TIXT had a positive operating cash flow.
TIXT Yearly Net Income VS EBIT VS OCF VS FCFTIXT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 0 100M 200M 300M 400M 500M

1.2 Ratios

  • TIXT's Return On Assets of -8.63% is on the low side compared to the rest of the industry. TIXT is outperformed by 74.12% of its industry peers.
  • Looking at the Return On Equity, with a value of -22.61%, TIXT is doing worse than 71.76% of the companies in the same industry.
  • With a Return On Invested Capital value of 1.27%, TIXT perfoms like the industry average, outperforming 45.88% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for TIXT is significantly below the industry average of 29.07%.
  • The last Return On Invested Capital (1.27%) for TIXT is well below the 3 year average (5.81%), which needs to be investigated, but indicates that TIXT had better years and this may not be a problem.
Industry RankSector Rank
ROA -8.63%
ROE -22.61%
ROIC 1.27%
ROA(3y)1.64%
ROA(5y)1.96%
ROE(3y)3.16%
ROE(5y)4.69%
ROIC(3y)5.81%
ROIC(5y)5.86%
TIXT Yearly ROA, ROE, ROICTIXT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2017 2018 2019 2020 2021 2022 2023 2024 0 10 20

1.3 Margins

  • TIXT has a Operating Margin (1.80%) which is comparable to the rest of the industry.
  • TIXT's Operating Margin has declined in the last couple of years.
  • Looking at the Gross Margin, with a value of 80.28%, TIXT belongs to the top of the industry, outperforming 97.65% of the companies in the same industry.
  • TIXT's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 1.8%
PM (TTM) N/A
GM 80.28%
OM growth 3Y-27.26%
OM growth 5Y-20.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.3%
GM growth 5Y-0.39%
TIXT Yearly Profit, Operating, Gross MarginsTIXT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60 80

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1

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TIXT is destroying value.
  • Compared to 1 year ago, TIXT has more shares outstanding
  • TIXT has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for TIXT has been reduced compared to a year ago.
TIXT Yearly Shares OutstandingTIXT Yearly Shares OutstandingYearly Shares Outstanding 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M
TIXT Yearly Total Debt VS Total AssetsTIXT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

2.2 Solvency

  • TIXT has a debt to FCF ratio of 5.42. This is a neutral value as TIXT would need 5.42 years to pay back of all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 5.42, TIXT is in line with its industry, outperforming 54.12% of the companies in the same industry.
  • A Debt/Equity ratio of 0.85 indicates that TIXT is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.85, TIXT is doing worse than 63.53% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF 5.42
Altman-Z N/A
ROIC/WACC0.14
WACC8.78%
TIXT Yearly LT Debt VS Equity VS FCFTIXT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

2.3 Liquidity

  • TIXT has a Current Ratio of 0.84. This is a bad value and indicates that TIXT is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.84, TIXT is doing worse than 83.53% of the companies in the same industry.
  • TIXT has a Quick Ratio of 0.84. This is a bad value and indicates that TIXT is not financially healthy enough and could expect problems in meeting its short term obligations.
  • TIXT's Quick ratio of 0.84 is on the low side compared to the rest of the industry. TIXT is outperformed by 83.53% of its industry peers.
Industry RankSector Rank
Current Ratio 0.84
Quick Ratio 0.84
TIXT Yearly Current Assets VS Current LiabilitesTIXT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

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6

3. Growth

3.1 Past

  • TIXT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -83.53%.
  • Measured over the past years, TIXT shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -26.56% on average per year.
  • TIXT shows a small growth in Revenue. In the last year, the Revenue has grown by 2.03%.
  • Measured over the past years, TIXT shows a very strong growth in Revenue. The Revenue has been growing by 21.12% on average per year.
EPS 1Y (TTM)-83.53%
EPS 3Y-26.56%
EPS 5YN/A
EPS Q2Q%-62.5%
Revenue 1Y (TTM)2.03%
Revenue growth 3Y6.6%
Revenue growth 5Y21.12%
Sales Q2Q%7.21%

3.2 Future

  • Based on estimates for the next years, TIXT will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.86% on average per year.
  • TIXT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.57% yearly.
EPS Next Y-23.07%
EPS Next 2Y-0.28%
EPS Next 3Y9.86%
EPS Next 5YN/A
Revenue Next Year4.01%
Revenue Next 2Y3.49%
Revenue Next 3Y3.8%
Revenue Next 5Y13.57%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
TIXT Yearly Revenue VS EstimatesTIXT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 1B 2B 3B 4B 5B
TIXT Yearly EPS VS EstimatesTIXT Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 0.2 0.4 0.6 0.8 1

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5

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 30.79, the valuation of TIXT can be described as expensive.
  • The rest of the industry has a similar Price/Earnings ratio as TIXT.
  • When comparing the Price/Earnings ratio of TIXT to the average of the S&P500 Index (28.41), we can say TIXT is valued inline with the index average.
  • Based on the Price/Forward Earnings ratio of 10.83, the valuation of TIXT can be described as reasonable.
  • TIXT's Price/Forward Earnings ratio is rather cheap when compared to the industry. TIXT is cheaper than 85.88% of the companies in the same industry.
  • TIXT is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.64, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 30.79
Fwd PE 10.83
TIXT Price Earnings VS Forward Price EarningsTIXT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TIXT indicates a rather cheap valuation: TIXT is cheaper than 95.29% of the companies listed in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of TIXT indicates a rather cheap valuation: TIXT is cheaper than 98.82% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 4.17
EV/EBITDA 4.31
TIXT Per share dataTIXT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.28%
EPS Next 3Y9.86%

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0

5. Dividend

5.1 Amount

  • No dividends for TIXT!.
Industry RankSector Rank
Dividend Yield N/A

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TELUS International Cda Inc

NYSE:TIXT (10/30/2025, 8:04:00 PM)

After market: 4.31 0 (0%)

4.31

-0.05 (-1.15%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)10-31
Earnings (Next)02-11
Inst Owners53.33%
Inst Owner Change-11.94%
Ins Owners3.67%
Ins Owner ChangeN/A
Market Cap1.20B
Revenue(TTM)2.72B
Net Income(TTM)-383.00M
Analysts46.67
Price Target2.79 (-35.27%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.78%
Min EPS beat(2)-4.62%
Max EPS beat(2)12.17%
EPS beat(4)2
Avg EPS beat(4)62.22%
Min EPS beat(4)-47.72%
Max EPS beat(4)289.04%
EPS beat(8)3
Avg EPS beat(8)30.25%
EPS beat(12)6
Avg EPS beat(12)20.59%
EPS beat(16)10
Avg EPS beat(16)17.4%
Revenue beat(2)2
Avg Revenue beat(2)2.17%
Min Revenue beat(2)0.97%
Max Revenue beat(2)3.37%
Revenue beat(4)3
Avg Revenue beat(4)1.19%
Min Revenue beat(4)-0.28%
Max Revenue beat(4)3.37%
Revenue beat(8)3
Avg Revenue beat(8)-1.2%
Revenue beat(12)3
Avg Revenue beat(12)-2.69%
Revenue beat(16)3
Avg Revenue beat(16)-2.45%
PT rev (1m)3.99%
PT rev (3m)1.98%
EPS NQ rev (1m)-4%
EPS NQ rev (3m)-21.46%
EPS NY rev (1m)-0.39%
EPS NY rev (3m)-5.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.01%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.01%
Valuation
Industry RankSector Rank
PE 30.79
Fwd PE 10.83
P/S 0.44
P/FCF 4.17
P/OCF 3.01
P/B 0.71
P/tB N/A
EV/EBITDA 4.31
EPS(TTM)0.14
EY3.25%
EPS(NY)0.4
Fwd EY9.23%
FCF(TTM)1.03
FCFY23.98%
OCF(TTM)1.43
OCFY33.22%
SpS9.75
BVpS6.08
TBVpS-5.16
PEG (NY)N/A
PEG (5Y)N/A
Graham Number4.38
Profitability
Industry RankSector Rank
ROA -8.63%
ROE -22.61%
ROCE 1.39%
ROIC 1.27%
ROICexc 1.33%
ROICexgc 18.08%
OM 1.8%
PM (TTM) N/A
GM 80.28%
FCFM 10.6%
ROA(3y)1.64%
ROA(5y)1.96%
ROE(3y)3.16%
ROE(5y)4.69%
ROIC(3y)5.81%
ROIC(5y)5.86%
ROICexc(3y)6.05%
ROICexc(5y)6.11%
ROICexgc(3y)42.43%
ROICexgc(5y)59.58%
ROCE(3y)6.35%
ROCE(5y)6.4%
ROICexgc growth 3Y-36.12%
ROICexgc growth 5Y-3.66%
ROICexc growth 3Y-29.52%
ROICexc growth 5Y-28.85%
OM growth 3Y-27.26%
OM growth 5Y-20.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.3%
GM growth 5Y-0.39%
F-Score4
Asset Turnover0.61
Health
Industry RankSector Rank
Debt/Equity 0.85
Debt/FCF 5.42
Debt/EBITDA 2.37
Cap/Depr 19.93%
Cap/Sales 4.08%
Interest Coverage 0.58
Cash Conversion 65.84%
Profit Quality N/A
Current Ratio 0.84
Quick Ratio 0.84
Altman-Z N/A
F-Score4
WACC8.78%
ROIC/WACC0.14
Cap/Depr(3y)33.52%
Cap/Depr(5y)34.32%
Cap/Sales(3y)3.83%
Cap/Sales(5y)3.95%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-83.53%
EPS 3Y-26.56%
EPS 5YN/A
EPS Q2Q%-62.5%
EPS Next Y-23.07%
EPS Next 2Y-0.28%
EPS Next 3Y9.86%
EPS Next 5YN/A
Revenue 1Y (TTM)2.03%
Revenue growth 3Y6.6%
Revenue growth 5Y21.12%
Sales Q2Q%7.21%
Revenue Next Year4.01%
Revenue Next 2Y3.49%
Revenue Next 3Y3.8%
Revenue Next 5Y13.57%
EBIT growth 1Y-75.98%
EBIT growth 3Y-22.45%
EBIT growth 5Y-4.2%
EBIT Next Year658.19%
EBIT Next 3Y104.78%
EBIT Next 5Y89.13%
FCF growth 1Y-4.64%
FCF growth 3Y24.79%
FCF growth 5Y35.89%
OCF growth 1Y1.01%
OCF growth 3Y18.46%
OCF growth 5Y29.56%

TELUS International Cda Inc / TIXT FAQ

What is the fundamental rating for TIXT stock?

ChartMill assigns a fundamental rating of 3 / 10 to TIXT.


Can you provide the valuation status for TELUS International Cda Inc?

ChartMill assigns a valuation rating of 5 / 10 to TELUS International Cda Inc (TIXT). This can be considered as Fairly Valued.


What is the profitability of TIXT stock?

TELUS International Cda Inc (TIXT) has a profitability rating of 4 / 10.


Can you provide the PE and PB ratios for TIXT stock?

The Price/Earnings (PE) ratio for TELUS International Cda Inc (TIXT) is 30.79 and the Price/Book (PB) ratio is 0.71.


Can you provide the expected EPS growth for TIXT stock?

The Earnings per Share (EPS) of TELUS International Cda Inc (TIXT) is expected to decline by -23.07% in the next year.