TOPICUS.COM INC-SUB VOTING (TOI.CA) Stock Fundamental Analysis
TSX-V:TOI - TSX Venture Exchange - CA89072T1021 - Common Stock - Currency: CAD
Overall TOI gets a fundamental rating of 6 out of 10. We evaluated TOI against 61 industry peers in the Software industry. While TOI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TOI is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
TOI had positive earnings in the past year.
TOI had a positive operating cash flow in the past year.
TOI had positive earnings in 4 of the past 5 years.
TOI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 4.83%, TOI is doing good in the industry, outperforming 72.13% of the companies in the same industry.
Looking at the Return On Equity, with a value of 22.98%, TOI belongs to the top of the industry, outperforming 85.25% of the companies in the same industry.
With an excellent Return On Invested Capital value of 13.26%, TOI belongs to the best of the industry, outperforming 88.52% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TOI is in line with the industry average of 12.40%.
The 3 year average ROIC (13.20%) for TOI is below the current ROIC(13.26%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 22.98% | ||
| ROIC | 13.26% |
ROA(3y)5.03%
ROA(5y)-31.64%
ROE(3y)23.53%
ROE(5y)N/A
ROIC(3y)13.2%
ROIC(5y)13.96%
1.3 Margins
TOI's Profit Margin of 7.34% is fine compared to the rest of the industry. TOI outperforms 78.69% of its industry peers.
In the last couple of years the Profit Margin of TOI has declined.
Looking at the Operating Margin, with a value of 15.83%, TOI belongs to the top of the industry, outperforming 83.61% of the companies in the same industry.
TOI's Operating Margin has been stable in the last couple of years.
TOI's Gross Margin of 90.96% is amongst the best of the industry. TOI outperforms 96.72% of its industry peers.
In the last couple of years the Gross Margin of TOI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.83% | ||
| PM (TTM) | 7.34% | ||
| GM | 90.96% |
OM growth 3Y1.27%
OM growth 5Y1.03%
PM growth 3YN/A
PM growth 5Y-8.59%
GM growth 3Y0.4%
GM growth 5Y0.29%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TOI is still creating some value.
TOI has more shares outstanding than it did 1 year ago.
TOI has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TOI is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.26 indicates that TOI is not in any danger for bankruptcy at the moment.
TOI's Altman-Z score of 4.26 is fine compared to the rest of the industry. TOI outperforms 70.49% of its industry peers.
TOI has a debt to FCF ratio of 1.03. This is a very positive value and a sign of high solvency as it would only need 1.03 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.03, TOI is in the better half of the industry, outperforming 77.05% of the companies in the same industry.
A Debt/Equity ratio of 0.83 indicates that TOI is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.83, TOI is doing worse than 63.93% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for TOI, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 1.03 | ||
| Altman-Z | 4.26 |
ROIC/WACC1.72
WACC7.71%
2.3 Liquidity
TOI has a Current Ratio of 0.60. This is a bad value and indicates that TOI is not financially healthy enough and could expect problems in meeting its short term obligations.
TOI has a Current ratio of 0.60. This is in the lower half of the industry: TOI underperforms 73.77% of its industry peers.
A Quick Ratio of 0.60 indicates that TOI may have some problems paying its short term obligations.
The Quick ratio of TOI (0.60) is worse than 73.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
TOI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.64%, which is quite impressive.
Measured over the past years, TOI shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.90% on average per year.
TOI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.15%.
TOI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 25.41% yearly.
EPS 1Y (TTM)42.64%
EPS 3YN/A
EPS 5Y-9.9%
EPS Q2Q%36.36%
Revenue 1Y (TTM)15.15%
Revenue growth 3Y20.37%
Revenue growth 5Y25.41%
Sales Q2Q%15.99%
3.2 Future
The Earnings Per Share is expected to grow by 49.34% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 17.75% on average over the next years. This is quite good.
EPS Next Y130.08%
EPS Next 2Y49.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year25.51%
Revenue Next 2Y17.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 88.36 indicates a quite expensive valuation of TOI.
62.30% of the companies in the same industry are more expensive than TOI, based on the Price/Earnings ratio.
TOI's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.57.
Based on the Price/Forward Earnings ratio of 48.42, the valuation of TOI can be described as expensive.
Based on the Price/Forward Earnings ratio, TOI is valued a bit cheaper than the industry average as 67.21% of the companies are valued more expensively.
TOI is valuated expensively when we compare the Price/Forward Earnings ratio to 22.41, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 88.36 | ||
| Fwd PE | 48.42 |
4.2 Price Multiples
TOI's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TOI indicates a somewhat cheap valuation: TOI is cheaper than 73.77% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.07 | ||
| EV/EBITDA | 22.33 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TOI has a very decent profitability rating, which may justify a higher PE ratio.
TOI's earnings are expected to grow with 49.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.68
PEG (5Y)N/A
EPS Next 2Y49.34%
EPS Next 3YN/A
5. Dividend
5.1 Amount
TOI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX-V:TOI (6/16/2025, 7:00:00 PM)
167
-2.17 (-1.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners19.67%
Inst Owner ChangeN/A
Ins Owners0.48%
Ins Owner ChangeN/A
Market Cap13.87B
Analysts84
Price Target195.33 (16.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend2.43
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.92%
Min EPS beat(2)-37.36%
Max EPS beat(2)-0.47%
EPS beat(4)0
Avg EPS beat(4)-26.09%
Min EPS beat(4)-43.37%
Max EPS beat(4)-0.47%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.33%
Min Revenue beat(2)-2.54%
Max Revenue beat(2)3.2%
Revenue beat(4)1
Avg Revenue beat(4)-2.04%
Min Revenue beat(4)-6.52%
Max Revenue beat(4)3.2%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)12.65%
PT rev (3m)22.76%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)27.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 88.36 | ||
| Fwd PE | 48.42 | ||
| P/S | 6.57 | ||
| P/FCF | 23.07 | ||
| P/OCF | 22.56 | ||
| P/B | 20.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 22.33 |
EPS(TTM)1.89
EY1.13%
EPS(NY)3.45
Fwd EY2.07%
FCF(TTM)7.24
FCFY4.34%
OCF(TTM)7.4
OCFY4.43%
SpS25.4
BVpS8.11
TBVpS-10.64
PEG (NY)0.68
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 22.98% | ||
| ROCE | 20.35% | ||
| ROIC | 13.26% | ||
| ROICexc | 17.2% | ||
| ROICexgc | 3738.6% | ||
| OM | 15.83% | ||
| PM (TTM) | 7.34% | ||
| GM | 90.96% | ||
| FCFM | 28.5% |
ROA(3y)5.03%
ROA(5y)-31.64%
ROE(3y)23.53%
ROE(5y)N/A
ROIC(3y)13.2%
ROIC(5y)13.96%
ROICexc(3y)16.09%
ROICexc(5y)16.51%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)19.8%
ROCE(5y)19.81%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y8.6%
ROICexc growth 5Y6.98%
OM growth 3Y1.27%
OM growth 5Y1.03%
PM growth 3YN/A
PM growth 5Y-8.59%
GM growth 3Y0.4%
GM growth 5Y0.29%
F-Score6
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 1.03 | ||
| Debt/EBITDA | 0.92 | ||
| Cap/Depr | 4.84% | ||
| Cap/Sales | 0.63% | ||
| Interest Coverage | 8.53 | ||
| Cash Conversion | 100.7% | ||
| Profit Quality | 388.3% | ||
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 4.26 |
F-Score6
WACC7.71%
ROIC/WACC1.72
Cap/Depr(3y)5.14%
Cap/Depr(5y)4.76%
Cap/Sales(3y)0.71%
Cap/Sales(5y)0.67%
Profit Quality(3y)357.14%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.64%
EPS 3YN/A
EPS 5Y-9.9%
EPS Q2Q%36.36%
EPS Next Y130.08%
EPS Next 2Y49.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)15.15%
Revenue growth 3Y20.37%
Revenue growth 5Y25.41%
Sales Q2Q%15.99%
Revenue Next Year25.51%
Revenue Next 2Y17.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y23.33%
EBIT growth 3Y21.89%
EBIT growth 5Y26.7%
EBIT Next Year135.81%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y97.75%
FCF growth 3Y25.66%
FCF growth 5Y23.36%
OCF growth 1Y94.85%
OCF growth 3Y25.37%
OCF growth 5Y23.43%