AUS
NZ
UK
CA
USA
IND
Summary
- TSX tech index, with an adjusted market cap of over C$283 billion, witnessed a growth of 11.5 per cent this year.
- Nuvei stock has returned 65 per cent since its Sep 2020 IPO.
- Lightspeed stocks are up seven per cent year-to-date.
Canadian tech stocks, much like their American counterparts, rallied in the stock markets last year. We have already seen the gargantuan growth of Shopify (TSX:SHOP), which became the biggest stock by market cap on the Toronto Stock Exchange after overtaking Royal Bank of Canada (TSX:RY) in 2020.
With over 50 per cent return over the last one year, the TSX Capped Information Technology Index has outperformed the benchmark equity gauge of Canada. Investors who bought Canadian tech stocks have enough reasons to rejoice. In the band wagon are two fintech companies: Nuvei Corporation (TSX:NVEI) and Lightspeed POS Inc. (TSX:LSPD), who grabbed the spotlight with their stock growth.
Let us delve deeper in to the fundamentals of these two stocks:
Nuvei Corporation (TSX:NVEI)
The Montreal-based payments company Nuvei Corp raised more than C$ 800 million in its September IPO last year, making it the biggest IPO in the history of the Toronto Stock Exchange.
The stock has been rallying since then, returning 65 per cent till date.
The company has a presence across 200 global markets and accepts payments from 150 currencies.
@Kalkine Image 2021
The stock returned over 35 per cent in the last three months and more than 18 per cent in the last one month*.
The company anticipates revenue between C$114 and C$118 million and an operating profit between C$16.5 million and C$19.5 million in the fourth quarter of 2020.
It estimates C$373 million to C$377 million revenue for entire 2020 and an operating profit between C$61.4 million and C$64.4 million for the full year of 2020.
Lightspeed POS Inc. (TSX:LSPD)
Before Nuvei, Lightspeed held the crown for the largest IPO on the TSX.
The company has come a long way than just being a point-of-sale hardware provider to small and medium-sized retailers.
Making important strategic moves in the recent years, Lightspeed made some acquisitions to enter the e-commerce and fintech space.
The stock advanced by nearly 140 per cent in the last one year and 80 per cent in the last three months*.
Its revenue grew 79 per cent year-over-year to US$ 57.6 million in the third quarter 2020. However, the net loss widened to US$ 42 million in Q3 from US$ 15.8 million a year ago.
* Figures from EODHD/Others
