Q: Hello 5i team,
I sold topicus near its high last year and was thinking of getting back in. What are your thoughts on it's current status? Being in the balance portfolio, are you still good with it long term? This is more to add another tech stock for sector balance. Are there other equity suggestions?
Thank you,
Andrew
I sold topicus near its high last year and was thinking of getting back in. What are your thoughts on it's current status? Being in the balance portfolio, are you still good with it long term? This is more to add another tech stock for sector balance. Are there other equity suggestions?
Thank you,
Andrew
5i Research Answer:
We would be OK 'accumulating' TOI. Business is good, but sentiment towards software remains weak. We think this changes over time, and AI is not going to kill the company, but it may take a while for sentiment to shift. We would still be fine owning it. CLS may be better in the short term due to its hardware focus and its customer base, which is continuing to spend heavily on AI.