TSE:ET

Evertz Technologies Ltd. (ET.TO)

13.30
-0.28 (2.06%)
as of Oct 23, 2026, 8:00:00 pm Market Closed.
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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O’Reilly

Following recently reported earnings growth per share of 50% on rising revenue and gross margins, we select ET as a TOP PICK.  We like that cash reserves are growing, while debt is retired and shares bought back.  The designer of audio and video infrastructure for media trades at 15x earnings and supports a 30% ROE.  It has a growing dividend, backed by a payout ratio under 80% of cash flow.  We recommend setting a stop-loss at $13.75, looking to achieve $18 — upside potential of 18%.  Yield 5.2% 

(Analysts’ price target is $18.00)
BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

EPS of 24c beat estimates of 22c. Revenue of $135M beat estimates by ~8%. EBITDA of $30M beat by 7%. Revenue rose 22%, with international up 38%. The quarter was a record. Net earnings rose 48%. Net cash is $40M. With nice growth and only at 14X earnings, a valuation bump is possible, moreso if rates fall. It was certainly a strong quarter. We might set an $18 target here. 
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DON'T BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

EPS of 20c missed estimates of 22.5c. Sales of $125.8M beat estimates of $120.5M. Sales and earnings rose nicely. Cash is now $27M. It was a decent quarter, but there has been no long-term growth here. Even with a bounce this year, EPS will be slightly lower than it was in 2016. The stock is cheap because of this, but mostly only trades for its dividend. Investors need to see some consistent growth. The quarter was a good start but does not yet make a trend. 
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WATCH
Follows it, but it's a bit small for his concentrated portfolio.
PARTIAL SELL
Price target of $15, so not much room left. SaaS in the film industry, which has had a difficult time. He'd sell a third. If it goes up, that's OK. If it goes down, at least you sold a third.
HOLD
Good managers who own a lot of stock. The stock has been rangebound for years as they payout a lot of its cash flow. Broadcasting has its challenges, though. ET are leaders in their space, but they serve a limited audience, which keeps him away. If you own it, hold on and watch what the owners do with their shares.
HOLD
He would continue to hold this and he likes the management team, which owns a lot of the stock. Although the share price has not done much, they have paid a lot of special dividends. Broadcasting is a tough industry, but he thinks they will continue to do well.
HOLD
Still likes it. Executed really well in their space. Just paid a special dividend. He's hoping for an acquisition. Reasonably priced. Plowing money back into R&D to make broadcasting easier.
PAST TOP PICK

(A Top Pick Feb 27/19, Up 8%) A go-to name. They had many good earnings beats. They started to build a stake in a Belgium company, but they sold it and took a profit. ET paid a special dividend, but afterwards the stock dipped. There's still earnings growth here. They're taking market share aware. ET will benefit from Disney and others entering streaming, because ET sets up the equipment to use cloud computing.

TOP PICK
They are one of the best in North America. The broadcast industry only really grows at the GDP rate. What's going to change is that you now have Netflix and others and they are on the leading edge of that. On top of that is the high def cycle and the equipment is getting pretty old on that. They have a sustainable competitive growth. They just paid out a special dividend bringing the yield up to about 9%. (Analysts’ price target is $19.67)
PAST TOP PICK
(A Top Pick Apr 24/18, Up 15%) Still loves it. It's hitting 52-week highs and many good quarters. Offers decent growth as it pays a 5% dividend. Insiders own a lot of stock. They invest a lot in R&D. Expect big growth.
BUY ON WEAKNESS
He has held in the past. It is not very liquid. They paid a number of special dividends and the yield is 4%. You have done quite well and the management team still owns 45%. Maybe this company gets sold at some point.
DON'T BUY
It has an April year-end. They are forecasting a 10% lift in earnings. It is extremely in demand. They payout chunky dividends about once a year. He prefers others.
PAST TOP PICK
(A Top Pick Apr 24/18, Down 4%) Likes it a lot, a great overlooked Canadian story. Solid yield and managers. They dominate their sector. More details under his top picks.
TOP PICK
Great execution in broadcast equipment, like internet protocol. Netflix and Disney need Evertz's technology. Their R&D as percentage of revenue is off the charts. Management owns 65% of the company and future acquisitions could be a catalyst. (Analysts’ price target is $18.33)
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