Constellation Software (TSE:CSU) Sets New 1-Year High – Should You Buy?

Constellation Software Inc. (TSE:CSU) shares reached a new 52-week high during mid-day trading on Friday . The company traded as high as C$4,442.39 and last traded at C$4,439.97, with a volume of 3859 shares. The stock had previously closed at C$4,431.07.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. CIBC raised their target price on Constellation Software from C$4,100.00 to C$4,850.00 and gave the company an “outperform” rating in a report on Wednesday, August 28th. Raymond James boosted their price objective on shares of Constellation Software from C$3,800.00 to C$4,250.00 and gave the stock a “market perform” rating in a report on Monday, August 12th. Finally, Royal Bank of Canada lifted their price objective on shares of Constellation Software from C$4,300.00 to C$4,700.00 and gave the stock an “outperform” rating in a report on Monday, July 22nd. Two analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of C$4,275.00.

Constellation Software Stock Performance

The stock has a market cap of C$93.93 billion, a price-to-earnings ratio of 104.75, a price-to-earnings-growth ratio of 2.95 and a beta of 0.81. The company has a current ratio of 0.90, a quick ratio of 0.55 and a debt-to-equity ratio of 151.81. The stock’s 50-day simple moving average is C$4,302.72 and its 200-day simple moving average is C$4,012.14.

Constellation Software (TSE:CSU) last released its earnings results on Friday, August 9th. The company reported C$31.00 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of C$29.71 by C$1.29. Constellation Software had a return on equity of 15.93% and a net margin of 7.00%. The firm had revenue of C$3.38 billion for the quarter, compared to analysts’ expectations of C$3.40 billion. Analysts forecast that Constellation Software Inc. will post 55.4616354 earnings per share for the current fiscal year.

Constellation Software Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, October 10th. Stockholders of record on Thursday, October 10th were paid a $1.381 dividend. This is a boost from Constellation Software’s previous quarterly dividend of $1.38. The ex-dividend date of this dividend was Friday, September 20th. This represents a $5.52 annualized dividend and a dividend yield of 0.12%. Constellation Software’s dividend payout ratio is presently 12.95%.

Constellation Software Company Profile

Constellation Software Inc, together with its subsidiaries, acquires, builds, and manages vertical market software businesses in Canada, the United States, Europe, and internationally. It provides mission critical software solutions for public and private sector markets. The company is also involved in the software licensing; and sale of third-party hardware.