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Added to YB: 2025-10-20

Pitch date: 2025-10-16

CSU.TO [bullish]

Constellation Software Inc.

-14.11%

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 50.3B

Pitch Price

CAD 3.8K

Price Target

N/A

Dividend

0.17%

EV/EBITDA

26.18

P/E

73.26

EV/Sales

4.81

Sector

Software

Category

growth

Show full summary:
Constellation Software's perfect storm

CSU.TO increased position: Despite 29% drawdown from Q2 results, AI fears, style drift concerns & Mark Leonard's CEO resignation due to health, fundamentals remain strong. 4% organic growth, expanding margins, ~$1B deployed. AI won't disrupt VMS businesses with high switching costs. Decentralized culture built for leadership transition. Forward PE 20-30x fair for 15-20% revenue growth potential.

Read full article (7 min)