Sangoma Technologies reported a larger-than-expected quarterly loss. Its proposed acquisition by BRC remains an important part of the investment picture.
Sangoma Technologies Corp. (TSX: STC) reported results for fiscal Q1 2027, the quarter ended September 30, 2026. Its adjusted loss per share was C$0.09, compared with an expected loss of C$0.07—a 28.6% miss. That makes four reported quarters in a row without an EPS beat. The proposed acquisition by BRC Group Holdings is still pending. See the STC stock page for company and share information.
Recent earnings trend
Sangoma Technologies Corp
STC.TO
STC.TO
Sangoma Technologies Corp
WealthAwesomeMarket cap
$216.43M
52W high
$7.62
52W low
$4.71
1W change
+0.31%
Beta
0.87
Analyst Price Targets
Based on analyst covering STC · as of Nov 9, 2026
Wall Street analysts forecast STC stock price to rise 13.7% over the next 12 months.
Consensus
Moderately BullishBased on avg. target vs last close (formal rating unavailable for Canadian listings)
Avg. Target
C$7.36
+13.7% Upside
Previously C$7.27 on Nov 6, 2026
Current Price
C$6.47
Last close
Targets are snapshotted when they change. Unchanged figures keep their original date. Not financial advice.
Wealth Awesome Price Forecast
WA ModelStatistical 90-day price range based on STC's historical volatility
30-Day Vol
96.3%
Annualized
90-Day Vol
60.2%
Annualized
Trend (90d)
+50.0%
Annualized drift
90d Mean
C$7.73
Expected price
| Horizon | Expected | 68% Range (1σ) |
|---|---|---|
| 30 trading days | C$6.87 | C$4.93 – C$9.57 |
| 60 trading days | C$7.29 | C$4.56 – C$11.66 |
| 90 trading days | C$7.73 | C$4.35 – C$13.75 |
Methodology: Range is calculated using 30-day realized volatility via geometric Brownian motion (log-normal model). 68% band = ±1σ, 95% band = ±2σ. This is a statistical model, not a prediction. Past volatility does not guarantee future results. Not financial advice.
Analyst coverage: 2 analyst(s) cover this name; upcoming EPS consensus is available.
| Fiscal period | Report date | Actual EPS | Estimate | Surprise |
|---|---|---|---|---|
| 2026-12-31 | 2027-02-03 | — | -0.0900 | — |
| 2026-09-30 | 2026-11-05 | -0.0900 | -0.0700 | -28.6% |
| 2026-06-30 | 2026-09-28 | -2.1900 | -0.0700 | -3028.6% |
| 2026-03-31 | 2026-05-13 | -0.0700 | -0.0400 | -75.0% |
| 2025-12-31 | 2026-02-04 | -0.0600 | -0.0600 | +0.0% |
| 2025-09-30 | 2025-11-10 | -0.0700 | -0.0600 | -16.7% |
Investor takeaway: The per-share loss was larger than expected, but it needs context. Sangoma reported a substantial net loss in fiscal Q4 that included a non-cash goodwill impairment. It also corrected previously reported fiscal 2026 quarterly revenue figures related to cancelled contracts. A supplemental company-results headline for the latest quarter reports US$50.1 million in revenue, US$7.3 million in adjusted EBITDA and US$6.9 million in free cash flow. These figures come from a separate source, not the supplied earnings-calendar data. The proposed BRC deal remains subject to approvals and other conditions. Investors should weigh the company’s operating results separately from the uncertainty over whether and when the deal will close.
EPS: -C$0.09 versus -C$0.07 expected
Sangoma’s reported loss per share was C$0.02 wider than the calendar estimate, a 28.6% negative surprise. The company has missed estimates in each of its last four reported quarters. The previous quarter’s comparison was affected by an unusually large actual EPS loss of C$2.19.
Bull case
The supplemental results headline reports positive adjusted EBITDA and free cash flow, pointing to cash generation despite the EPS loss. An October 27 company headline also reported a new 350-store retailer win for managed services, suggesting continued demand.
STC.TO closed at C$6.47, above its 50-day moving average of C$5.99 and its 200-day average of C$5.78. The supplied analyst targets average C$7.36, or 13.7% above the closing price. A formal rating is unavailable for this Canadian listing. The proposed acquisition could also affect the stock’s outlook, depending on its terms and whether it closes.
Bear case
The EPS miss extends a four-quarter run without a reported beat. The latest estimate was revised down from -C$0.05 to -C$0.09 over 30 days, with two downward revisions and none upward. The supplied fundamentals show trailing EPS of -3.37 and a profit margin of -40.53%.
Revenue consensus for the quarter was US$50.54 million, with estimated year-over-year growth of -1.8%. The supplemental headline reports US$50.1 million in revenue, slightly below consensus. The figures come from separate sources and may use different reporting conventions. The acquisition has not closed, and the previous revenue corrections and goodwill impairment are reasons to examine the reported results carefully.
Analysis
For the quarter ended September 30, Sangoma reported calendar EPS of -C$0.09 against an estimate of -C$0.07, a 28.6% miss. In the 30 days before the release, the consensus estimate fell from -C$0.05 to -C$0.09. Two analysts contributed to the EPS consensus, and both revisions were downward.
The supplied earnings history shows no EPS beats in the last four reported quarters: -C$0.09 versus -C$0.07 for September, -C$2.19 versus -C$0.07 for June, -C$0.07 versus -C$0.04 for March, and -C$0.06 versus -C$0.06 for December. The June result was an especially large miss, so the sequence does not tell the whole story about underlying operating performance. The automatically inserted earnings trend table and chart show the quarter-by-quarter comparisons.
Revenue consensus for the quarter was US$50.54 million, with estimated year-over-year growth of -1.8%. A separate headline on Sangoma’s release reports US$50.1 million in revenue, US$7.3 million in adjusted EBITDA and US$6.9 million in free cash flow. The revenue figures are close, but they come from separate sources and may not use identical definitions. For more company details, visit the STC stock page.
Analysis
The quarter follows a difficult fiscal 2026 close. A September 28 results headline reported a US$72.5 million net loss for the fourth quarter, including a non-cash goodwill impairment. Sangoma also disclosed corrections to previously reported fiscal 2026 quarterly revenue related to cancelled contracts. These items make it important to distinguish accounting effects from recurring operating performance when assessing the per-share loss.
Sangoma has agreed to be acquired by BRC Group Holdings. The proposed consideration is US$4.925 in cash plus 0.04767 BRC shares for each Sangoma share. The deal still needs approvals and remains subject to other conditions, so it is not a completed outcome.
On the operating side, an October 27 company headline said Sangoma had signed a 350-store retailer for managed services. That is a business-development update, but the supplied information does not estimate the revenue it could bring in. Investors can review the analyst ratings section alongside the company’s deal and operating updates.
Analysis
The supplied analyst targets average C$7.36, compared with the last close of C$6.47. That implies 13.7% upside to the average target. The context describes the consensus as moderately bullish based on this comparison, but a formal rating is unavailable for Canadian listings. Analyst targets are estimates, not guarantees.
The Wealth Awesome 90-day price model gives a mean forecast of C$7.73. Its 68% range is C$4.35 to C$13.75, and its 95% range is C$2.45 to C$24.46. The model assumes annualized drift of 50.0%, while 30-day volatility is 96.3%. Those wide ranges show how uncertain the estimate is. The model is not financial advice and does not predict whether the acquisition will close. See the Wealth Awesome price forecast for details.
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