Sangoma Technologies Corporation (SANG) vs Tucows Inc. (TCX)

Sangoma Technologies Corporation and Tucows Inc. are both Software Infrastructure companies. Sangoma Technologies Corporation is the larger, with a market value of $160.2M against $117.4M — 1.4× the size. Tucows Inc. grew revenue faster over the last twelve months: 4.22% against −15.5%. Tucows Inc. has the higher net margin (−21.2% vs −40.5%) and the lower return on invested capital (−7.59% vs −4.77%). Across the 18 metrics below, Sangoma Technologies Corporation leads on 11 and Tucows Inc. on 7.

Valuation

Metric SANG TCX Software Infrastructure median
P/E n/m n/m 28.38
P/S 0.79 0.29 2.98
P/B 0.91 n/m 2.93
Price to free cash flow 7.24 n/m 16.28
EV/EBITDA 7.47 36.45 13.92
EV/Sales 0.81 1.96 2.90
Earnings yield (51.12%) (74.04%) 0.14%
Free cash flow yield 13.82% (4.83%) 1.24%

Profitability

Metric SANG TCX Software Infrastructure median
Gross margin 70.31% 24.90% 61.00%
Operating margin (6.81%) (7.18%) 0.00%
Net margin (40.53%) (21.20%) 0.00%
Free cash flow margin 10.96% (1.39%) 1.67%
Return on equity (37.82%) 51.87% 0.60%
Return on assets (27.86%) (11.38%) 0.00%
Return on invested capital (4.77%) (7.59%) 0.00%

Growth

Metric SANG TCX Software Infrastructure median
Revenue growth (TTM) (15.47%) 4.22% 13.41%
EPS growth (last fiscal year) (1,526.20%) 33.30% 27.10%
Revenue growth, 5-year CAGR 8.77% 4.63% 15.57%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric SANG TCX Software Infrastructure median
Debt to equity 0.08 (2.41) 0.05
Current ratio 0.78 0.57 1.55
Net debt to EBITDA 0.17 15.65 0.08

Dividend

Metric SANG TCX Software Infrastructure median
Dividend yield — — 1.20%
Payout ratio — — 0.29

Size

Metric SANG TCX Software Infrastructure median
Market cap 160.23m 117.42m 752.37m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack