Added to YB: 2025-10-02
Pitch date: 2025-09-30
CSU.TO [neutral]
Constellation Software Inc.
-35.72%
current return
Author Info
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Company Info
Constellation Software Inc., together with its subsidiaries, acquires, builds, and manages vertical market software businesses to develop mission-critical software solutions for public and private sector markets.
Market Cap
CAD 38.9B
Pitch Price
CAD 3.8K
Price Target
N/A
Dividend
0.22%
EV/EBITDA
16.08
P/E
76.07
EV/Sales
3.64
Sector
Software
Category
growth
Some thoughts on Constellation Software (TSE: CSU)
CSU.TO (update): Mark Leonard stepping down as President (replaced by Mark Miller) triggered 12% selloff, realizing key man risk. ROIC declining from low-20s to mid-teens as law of large numbers hits; 68% increase in invested capital to $8B. AI poses threats (margin pressure, talent gaps) but opportunities (data moats, acquisition discounts). Era of 30% annual returns over; expecting 12-15% CAGRs ahead.
Read full article (6 min)