16 of The Most Promising Canadian Tech Stocks

(A Top Pick Dec 13/23, Up 9%) Corporate budgets under pressure has dampened spending. Backlog has remained very strong. Hasn't grown as strongly as some peers. Sitting just above his buy price at north of 20x; for new $$, wait for a better valuation.

Sold because its ROIC returns started to get a bit wonky. In fact in last 3 years, ROIC has been negative. Satellite internet access has eaten the lunch of fibre. Hard to form a moat around its domain business. Wait for ROIC to be in excess of 20% for at least 3 years in a…

Best software company in Canada. Growth by acquisition makes him pause, as things go well until that final acquisition hurts. Great job buying and integrating businesses. Growth being priced at an excessive premium. Solid growth but high, 40x multiple. 

Very volatile. Options are very expensive. Sell puts $165 April for around $5. 

Will benefit from tariffs; they do logistics for companies. They make the paperwork easy. A great Canadian growth story. Has owned this a long time. (Analysts’ price target is $176.15)

Analyze companies day by day, ask if it's still meeting expectations. He owns this one in his Canadian portfolio, and in his US small-cap. Last week, it reaffirmed 2025 growth expectations. More than 1/2 its business is directed at data centre development. Parabolic move, but fundamentals have also grown very well. Valuation still undemanding. Keep an…

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research Analyst estimates are rising, sales growth is still in the low to mid-double digits, and analyst estimates call for a continuation of that trend over the next few years. Earnings estimates are projected to grow even faster, and while gross margins have fallen over the…

Sold mobile unit. Leaders in embedded home, infrastructure, and satcom. Fixed balance sheet. Turned around, next year should be really strong with new product launches. Might be acquired. Excellent technology, solid clients.

Payout ratio is 56%. Sales are declining by 25% and earnings have fallen by 67%. He would be cautious and would look elsewhere. Yield 13%

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. The stock drifted along under $12 through 2022 to August when it moved up to about $16 which held to the start of November when it fell to its month-end close of $13.24. ABST is a leading provider of self-healing endpoint and secure access solutions.…

(A Top Pick May 29/19, Up 66%) He sold out previously. He liked the 5 year forecast. As we came into late last year some of the volatility in the stock was not what he was interested in so he exited. He believes they will be stronger going forward.

They sold their position due to the inconsistency of their results. He is watching it again, especially now that the momentum is improving. He is not buying yet, but will keep an eye on it.

Asset trackers. New iteration uses cell, not Wi-Fi. Helps cell phone companies boost revenue, as price of phone plans decreases. Before stepping in again, he's looking for a big ramp up in the trajectory of revenue and earnings.

Will its business be taken over by AI? That's a question every company should be asking. It takes a long time for technology to disrupt an industry. OTEX has to keep investing to stay relevant, and AI might be an opportunity. Not particularly high growth, but they chalk up free cashflow. Buys back 10% of…

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Smaller, cyclical company. Rolling out new products. Share buyback potential. Fortunes tied to semiconductor industry.

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Takeover offer. Pandemic hit hard. Solid assets, but re-opening slowed. Healthy balance sheet.