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Canadian holding company that buys and permanently owns hundreds of niche vertical-market software businesses worldwide.
Canadian holding company that buys and permanently owns hundreds of niche vertical-market software businesses worldwide.
Grows by buying small software companies and keeping them permanently, so it earns recurring licence and maintenance fees from mission-critical programs and reinvests the cash into more purchases. Operating groups, including Volaris and Harris, run the acquired companies independently. Topicus.com in Europe and Lumine Group in telecom software were carved out as separately listed companies in which it keeps a large holding.
In one line: Canada's Roper Technologies/Danaher of software..
Moat: narrow (switching costs, installed base, distribution). Owns mission-critical, deeply embedded software in hundreds of niche markets with high customer switching costs.
Headquarters: Toronto, Canada · Founded: 1995 · Employees: 69,000
Size Constellation Software (CSU.TO) is a Canada Information Technology company (Packaged Software) with a market value of $53.3B, the 23rd largest of 420 Canada companies the cockpit tracks. Shares closed at C$3,527 on 6 Nov 2026.
Performance Over six months the shares gained 37.5%, against +0.2% for the median peer and +5.2% for the Canada market (cap-weighted) — 4th highest of 20 in its peer set.
Growth Revenue grew 16.5% over the last twelve months (peer median +20.5%); the operating margin is 15.9% (peer median 12.3%).
Valuation It trades at 19.7× forward earnings against a peer median of 24.0× (8th cheapest of 19).
Price implies For today's price to make sense, revenue must grow about 11% a year for seven years (Req g). Recent delivered growth is +25%, so the hurdle is -14 pp: the price already allows for a slowdown.
Capital Return on invested capital runs 9.9 points above its cost of capital (6.9% WACC).
Credit Constellation Software has 2 bonds outstanding ($1.00B), rated BBB by the agencies and trading like BBB at a weighted spread of 114 bp.
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | C$17.5B | C$16.2B | C$13.8B | C$11.3B | C$8.62B |
| Revenue growth | — | +18% | +22% | +32% | — |
| Gross profit | C$4.42B | C$6.43B | C$5.24B | C$4.24B | C$3.19B |
| EBITDA | C$4.86B | C$4.58B | C$3.67B | C$2.95B | C$2.24B |
| Net income | C$1.33B | C$715M | C$1.00B | C$763M | C$667M |
| Free cash flow | C$3.70B | C$3.53B | C$2.72B | C$2.17B | C$1.55B |
| Capital expenditure | C$106M | C$95.0M | C$91.8M | C$56.7M | C$53.4M |
| Total debt | C$8.27B | C$7.93B | C$6.52B | C$5.93B | C$3.10B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Constellation Software CSU.TO | $53.3B | +37% | +17% | 16% | 19.7× | 11.2% |
| Roper Technologies ROP | $47.2B | +39% | +9% | 28% | 19.7× | 12.7% |
| Open Text OTEX.TO | $6.07B | +9% | +1% | 23% | 6.4× | -6.2% |
| Descartes Systems DSG.TO | $8.10B | +32% | +12% | 33% | 37.9× | 4.4% |
| Topicus.com TOI.V | $6.25B | +9% | +28% | 15% | 21.3× | 0.7% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | CSU.TO | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | +21.5% | -6.7% | 3rd highest of 21 |
| 6-month return | +37.5% | +0.2% | 4th highest of 20 |
| Distance from 52-week high | -1.3% | -31.4% | 2nd highest of 21 |
| Revenue growth (TTM) | +16.5% | +20.5% | 8th lowest of 21 |
| Operating margin | 15.9% | 12.3% | 10th highest of 21 |
| Forward P/E | 19.7× | 24.0× | 8th cheapest of 19 |
| Growth the price implies (Req g, 7 yrs) | 11.2% | 29.5% | 6th least demanding of 18 |
| Growth delivered (Del g) | +25.0% | +17.4% | 6th highest of 18 |
| Hurdle (Req g minus delivered) | -13.8 pp | +2.4 pp | 5th least demanding of 18 |
| ROIC minus cost of capital | +9.9 pp | -1.7 pp | 7th highest of 21 |
| EV / EBITDA | 16.4× | 28.8× | 6th cheapest of 15 |
| Net debt / EBITDA | 0.9× | 0.1× | 8th most indebted of 19 |
| Bond spread | 114 bp | 88 bp | 3rd widest of 13 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Constellation Software CSU.TO | Canada | $53.3B | +37% | +17% | 16% | 19.7× | 11.2% | +25.0% |
| Autodesk ADSK | United States | $54.7B | +7% | +19% | 23% | 20.1× | 18.1% | +13.7% |
| Roper Technologies ROP | United States | $47.2B | +39% | +9% | 28% | 19.7× | 12.7% | +10.2% |
| Datadog DDOG | United States | $64.3B | -11% | +33% | 2% | 61.0× | n/a | n/a |
| Dassault Systemes DSY.PA | France | $39.0B | +32% | 0% | 26% | 19.2× | 8.3% | +7.0% |
| Atlassian TEAM | United States | $38.7B | +5% | +26% | 4% | 28.7× | 44.7% | +25.8% |
| NBIS NBIS | United States | $35.2B | -8% | +461% | -49% | n/a | n/a | n/a |
| Prosus PRX.AS | Netherlands | $83.9B | -3% | +45% | 3% | 10.1× | 55.8% | +13.8% |
| Synopsys SNPS | United States | $86.3B | -13% | +46% | 12% | 25.6× | 39.2% | +13.9% |
| Cadence Design Systems CDNS | United States | $87.8B | -12% | +18% | 30% | 34.0× | 29.9% | +14.6% |
| Zscaler ZS | United States | $32.2B | +30% | +25% | -4% | 40.5× | 20.7% | +37.9% |
| Twilio TWLO | United States | $31.3B | 0% | +19% | 8% | 30.7× | 38.2% | +23.5% |
| Intuit INTU | United States | $91.3B | -14% | +14% | 29% | 14.8× | 3.1% | +17.4% |
| Adobe ADBE | United States | $93.1B | -5% | +12% | 36% | 8.9× | 0.9% | +13.1% |
| Okta OKTA | United States | $29.5B | +101% | +11% | 8% | 41.3× | 39.2% | +28.4% |
| SNOW SNOW | United States | $97.3B | +81% | +32% | -22% | 108.4× | 41.3% | +51.2% |
| Bending Spoons BSP | United States | $27.9B | n/a | +95% | 21% | 25.6× | 45.5% | +94.7% |
| Amadeus IT AMS.MC | Spain | $27.4B | +18% | +4% | 27% | 17.8× | 4.3% | +24.6% |
| ServiceNow NOW | United States | $106B | +12% | +22% | 13% | 22.4× | 29.5% | +24.1% |
| Z.AI Co., Ltd. -H- Reg S 2513.HK | Hong Kong | $26.5B | -56% | +132% | -272% | n/a | n/a | n/a |
| Zoom Communications ZM | United States | $26.2B | -18% | +5% | 24% | 14.7× | 5.8% | +12.9% |
Constellation Software has 2 bonds outstanding with $1.00B face value. The agencies rate it BBB; its bonds trade like BBB. Weighted yield 5.78%, a spread of 114 bp over government bonds.