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TCTCX

Tucows Inc.

$TCX·$172M·Software - Infrastructure·Technology
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TCTCX
$TCXTucows Inc.
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AI analysisFundamentalsVoices on X
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What it does

Plain-English summary of the business — what they sell and how they make money.

Tucows Inc. is an international technology company that delivers a broad spectrum of internet-related services, including network connectivity, domain name registration, email solutions, and mobile communication, serving customers across Canada, the United States, and Europe. Its operations are strategically structured into three distinct divisions: Fiber Internet Services, Mobile Services, and Domain Services. The Fiber Internet Services unit is dedicated to providing high-speed, fixed internet access to both individual consumers and small businesses, primarily channeled through its Ting platform. This segment also extends billing and operational support solutions to independent internet service providers. The Mobile Services division offers mobile devices and retail cellular communication, complemented by a suite of professional services that include system implementation, training, consulting, and bespoke software development. Additionally, it operates the Mobile Services Enabler platform, which facilitates crucial network access, service provisioning, and billing functions. The Domain Services segment specializes in both wholesale and retail domain name registration, enhanced by portfolio management and a variety of supplementary offerings for end-users. These value-added services encompass hosted email, internet security, web hosting, WHOIS privacy, and publishing tools, distributed under well-known brands such as OpenSRS, eNom, Ascio, and Hover. Founded in 1992, the enterprise was initially known as Infonautics, Inc., before undergoing a name change to Tucows Inc. in August 2001. The company maintains its corporate headquarters in Toronto, Canada.

Industry overviewAI analysisGenerated by AI from underlying data

Where Software - Infrastructure sits in its cycle right now — and what that implies for $TCX.

Software - Infrastructure · Technology

No material change from last week — Enterprise software infrastructure is in a multiple compression phase (-16.

Top industry ETF

$IGViShares Expanded Tech-Software Sector ETF
-12.4%YTD
-15.3%1Y

Fundamentals & catalyst

Profitability, valuation, and the next earnings event — at a glance, with rule-of-thumb signals.

Key ratios

P/E
-2.2How much investors are paying per dollar of profit the company actually earned in the last 12 months. Lower means the stock looks cheaper relative to earnings.~15–25 is typical for the S&P 500; high-growth names trade 30+; hyper-growth or speculative can be 100+ or negative.
ROIC
-3.2%What percentage return the business earns on every dollar of capital (equity + debt) deployed in operations. The cleanest measure of business quality.Above ~15% is high-quality; consistently above 25% suggests a real moat. Below the company's cost of capital is value-destroying.
Op margin
-4.3%Operating profit (after sales, marketing, R&D, and overhead but before interest and taxes) as a percentage of revenue. The clearest view of how well the underlying business is run.Mature business above 20% is healthy; software businesses can run 30%+; commodity / retail businesses operate in single digits.
FCF yield
-4.9%Free cash flow (operating cash flow minus capex) divided by the company's market cap. The cash-on-cash return you'd get owning the whole business at today's price.Above ~5% is attractive; below ~2% means you're paying up for growth. Capital-light businesses (software) run higher than capital-heavy ones (utilities).
P/S
0.4Same idea as P/E but per dollar of revenue. Useful for companies that aren't profitable yet, where P/E is meaningless.Under ~2 is cheap; software / SaaS often runs 8–15; well above 20 implies the market is pricing in very high future growth.
ROE
51.6%Net income as a percentage of shareholders' equity. Similar to ROIC but counts only the equity side.Above 20% is strong, but can be inflated by leverage — a heavily indebted company can show high ROE with weak underlying ROIC.
Gross margin
24.1%Revenue minus the direct cost of producing what was sold, as a percentage of revenue. The first read on whether the product is structurally profitable.Software / SaaS is typically 70%+; consumer goods 30–50%; commodity / hardware businesses can be under 20%.
D/E
-3.8Total debt divided by shareholders' equity. Measures how much the business runs on borrowed money versus owner capital.Under 1 is conservative; 1–2 is typical for mature businesses; over 2 is leveraged and more sensitive to interest rates.

Past earnings

QuarterReportedActualEstimateSurprise
Q1 2026May 7, 2026$-1.51——
Q4 2025Feb 12, 2026$-1.73——
Q3 2025Nov 6, 2025$-1.42——
Q2 2025Aug 7, 2025$-1.41——
Next earningsThu, Aug 6

Quarterly trend

QuarterRevenueYoYGrossOpEPSFCF
Q1 FY26$96.7M+2.2%25.0%-2.3%$-1.63$-2.0M
Q4 FY25$98.7M+6.0%24.5%-9.2%$-1.98$-7.0M
Q3 FY25$98.6M+6.8%24.5%-2.9%$-2.08$-2.3M
Q2 FY25$98.5M+10.1%22.5%-2.9%$-1.41$2.9M

Forward consensus

1-year forecast · up to 1 analysts
FYRevenueRangeEPSRangeAnalysts
FY26$495.0M$495.0M – $495.0M$0.00$0.00 – $0.001

Recent news

Latest headlines from major outlets, sourced and timestamped — context for whatever just moved.

Tucows Announces Timing for Q2 2026 Financial Results News Release and Management Commentaryprnewswire.com·8d agoTCX Downgraded to "Underperform" Rating on Debt Burden, Cost Pressureszacks.com·52d agoTucows Shareholders Elect Board to Support Continued Execution of Long-Term Strategic Prioritiesprnewswire.com·57d agoTucows Inc. (TCX) Q1 2026 Earnings Call Transcriptseekingalpha.com·68d agoTucows Q1 Loss Widens Y/Y Despite Revenue Growth & Ting Gainszacks.com·78d ago

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