Enghouse Systems (ENGH.TO) Buy, Sell or Hold

Home

Daily Stock Opinions and Ratings

Enghouse Systems (ENGH.TO)

16.31

+0.15 (0.93%)

as of Jul 9, 2026, 8:00:01 pm Market Open.

320 watching

Investor Insights

Jul 8, 2026, 12:00 am

This summary was created by AI, based on 10 opinions in the last 12 months.

Enghouse Systems (ENGH-T) has received a mixed bag of reviews from various experts. While some suggest that the stock is currently undervalued and presents a decent yield (around 5.71%), others highlight significant concerns regarding its execution, the broader software sector challenges, and the potential impact of AI on the industry. A prevalent sentiment is that the stock could be a 'value trap,' given its declining business performance despite having plenty of cash on hand. Furthermore, several analysts have cautioned against the volatility seen in its price and performance, implying that the stock is not a reliable long-term investment. Many experts have exited their positions in this stock, suggesting a lack of confidence in its ability to rebound in the near future.

Consensus

Bearish

Valuation

Undervalued

Similar

CSU,CSU

BUY

Impressed with last quarter and their acquisition. Turned it around. Created a lot of value for shareholders. Favours Descartes Systems, but still worthy of holding if you want to own one of the consolidators. (Analysts’ price target is $45.00)

TOP PICK

A software company that provides software for utilities and telecommunications. They are also in the video equipment business too. It's a steady income stock so it is protection against market downturn. It has performed much better than the market.

DON'T BUY

Based out of Markham, they grow by acquisition. She does not own it. They prefer a more balanced organic growth model for the tech space. It is priced fairly highly right now.

WEAK BUY

It's been pricey and gone sideways. Earnings have grown and recently the valuation has become more reasonable. They acquire well and generate good free cash flow. He will watch this closer. A quality company.

COMMENT

He admires the CEO/founder, an astute buyer of tech companies. But the ENGH valuation is high, reflecting recent acquisitions. If the buying pauses, the multiple may shrink and the stock may go sideways. It depends on his acquisitions.

HOLD

He has owned them in the past, but not now. His stock selection method does not select it, because the coming earnings quarter is negative. He would wait until after the next earnings in September. Earnings are up 8%. Payout ratio is only 21%. PE is relatively high at 23 times, but is in line with growth. A good long term hold. Yield 1.3%

WEAK BUY

He likes their strong 20% ROE and metrics. But earnings metric isn't cheap. ENG could be consolidated. Has decen't price momentum and a good valuation.

COMMENT

A valuation call, quite expensive. Growth by acquisition story similar to OpenText and Constellation Software. CEO is a big shareholder and has a very good track record. Nothing wrong here, he just doesn't like the valuation. Prefers OpenText, but they've run substantially this year. If you are looking for a value option in a growth by acquisition story, that is probably the one.

WEAK BUY

Really good company. A software consolidator. Likes CGI and Constellation Software a bit better. Organic growth is quite reasonable. Valuation reasonable. Trading at a discount. Buy it to compound capital over the long term. Look elsewhere for dividend income. (Analysts’ price target is $43.00)

DON'T BUY

He liked it in the past. He prefers Descartes. Organic growth will be challenging and they've had some misses. The valuation has declined, but he needs to see more organic growth to get excited in this. Careful here.

COMMENT

They supply Canadian software to phone call centres. His owns Open Text and Shopify in this space instead.

HOLD

Software company. Has it in their TFSAs, because you get the full amount of the dividend, no withholding tax. Trading cheaply. Were dinged for not doing enough acquisitions, but he doesn't listen to the analysts. Dividend growth 10-15% range.

COMMENT

A software company that grows through acquisition. Earnings growth is expected to be flat. ROE is 18%. Free cash flow positive. Good opportunity going forward. The market did not like the news of another large acquisition.

TOP PICK

The banks and telecoms need call centers and they do also facility management for utilities. Quite little company. Last quarter they grew only by 1%. they have owned it for about 10 years. Payout ratio is only 8%. (Analysts’ price target is $42.25)

COMMENT

Software company, which acquires other software companies. Similar to Constellation, which is a better opportunity than this one. Smart acquirers. They say they have lots of M&A opportunities, so as long as you're comfortable with that strategy (and he is with Constellation), you should do very well. Big runway of growth, but there's lots of competition, so do your research.

Showing 91 to 105 of 138 entries

Most Recent Experts

Stan Wong

Private Wealth Management, ScotiaMcleod

The Panic-Proof Portfolio (Stockchase Research)

Stockchase Premium

Rebecca Teltscher

Newhaven Asset Management

Ernest Wong, Head of Research, Baskin Wealth Management

Baskin Wealth Management

Jim Cramer - Mad Money

CNBC

Stockchase, in its reporting on what has been discussed by individuals on business television programs (in particular Business News Network), neither recommends nor promotes any investment strategies.

We paraphrase the experts by hand, we watch the shows and write down what we understood from the experts’ comments. We are human and can make mistakes, help us fix any errors. If you see something that you know is not right or if there is a problem with the site, feel free to email us at : [email protected].

Enghouse Systems (ENGH.TO)