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  5. KXS: It has been awhile since Kinaxis has been at this level. [Kinaxis Inc.]
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Q: It has been awhile since Kinaxis has been at this level. I know that you like the company, but do you see any reason to trim or pull back at this time. I am at 5% but that doesn't keep me up at night.

It just seems they get a few good quarters in a row and then one bad one bumps them back down for a couple years and then they claw there way back to where they are now.

Thanks for the great service. Have a wonderful day.
Asked by Colin on May 09, 2025
5i Research Answer:

It has been a frustrating stock at times. The stock is now up 30% in the past year. It was a solid quarter. We have always liked its potential, largely because its clients are big, and tend to 'test the waters' with a small number of seats before expanding purchase orders. This quarter, this seemed to finally get traction: 'expansions from existing customers hit record levels'. If this trend continues then we think the stock could finally break out. It is expensive, but has a ton of cash and is conservatively run. We can't comment on personal position sizes but we would not want more than 5% (our balanced model portfolio is about 4.4%). With recent stock and earnings momentum we would be OK letting this ride for the next couple of quarters.