16 of The Most Promising Canadian Tech Stocks
Here are 16 Canadian tech stocks you should consider adding to your portfolio.
(A Top Pick Feb 26/20, Up 13%) He likes their business, though wouldn't add to it now. His buy price is $105. It has a global platform. They can buy back shares or companies. Organic growth had lagged, but in the last quarter picked up, given the backlog of work.
(A Top Pick Jul 29/20, Up 17%) #2 in the domain business. A cash cow. Steady and predictable. Also have a mobile business and a fibre business. In this environment, expects them to have many more installations and business should boom. Top management. Would buy at these levels.
(A Top Pick Jul 06/20, Up 35%) Canadians should be really proud of this one. It stacks up with the best. Extremely well run. Founder is still involved. Doesn't spend a lot of money. Not a lot of debt. High and consistent ROIC. Doesn't issue shares. His largest position.
Phenomenal company that will do well for years to come, but trades at a huge multiple. Profits are small. Risk/reward is not there. He expects tech to lose its gold status over the next year, so this could fall 40%.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company has no debt, excess cash and good growth. They just reported a solid quarter with an EPS 21% better than estimates. Valuation is still below some software stocks. Unlock Premium - Try 5i Free
A contract manufacturer for electronics, communications, and storage. The move to the cloud has benefited them. The stock has struggled for a while but it is too cheap to ignore right now. Top 10% on valuation. 0.6x book value, 4.3x enterprise to EBITA, and 4x cashflow. A cashflow machine with no concerns on the balance…
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The growth story still remains intact and 5i would continue to hold for the long term. If you want to trim to secure some cash, this could make sense. The supply chain focus should remain interesting, considering issues at this time in this domain. Unlock Premium - Try…
Some of their businesses are impacted by the pandemic. They were expecting a turnaround over the last six months. He would hang on. They have world-leading wireless technology. If it was sold tomorrow, it would fetch two to three times what it trades at.
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%
Price target of $20.50 CAD. Cloud-based platform for enterprise and public sector. In the right place because of remote work. Should continue to go. Not cheap. Yield is 2.6%.
(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.
Over 95% recurring revenues. Global business and serial acquirer. 14.5% total compound return over 20 years, double the TSX and tech sector. It's boring tech but beautiful. (Analysts’ price target is $73.36)
Being acquired. No competing offer on the horizon. You're not risking much by buying, but doesn't see another deal coming along.
It's being acquired now, so there's little juice to squeeze here. The market is assuming the deal will happen. He owns Evolution Gaming (Swedish) instead, which operates the software for online gaming (EVO is the ticker).