12:50 PM EDT, 10/24/2025 (MT Newswires) -- RBC Capital Markets on Friday provided preview of calendar third-quarter earnings for 13 tech stocks in its coverage universe.

RBC said it believes the performance of its coverage "is likely to remain bifurcated" through Q3 results, with AI beneficiaries "likely continuing to rally," while stocks where investors are uncertain about the potential impact of AI on their businesses "may continue to face valuation multiple compression."

"We believe the macro environment was largely stable and IT/software demand was sustained through the quarter, which suggests Q3 results are likely to be largely in line with consensus for the majority of our coverage," said RBC Capital Markets.

It said that among its covered stocks, it believes the "best positioned stocks" for calendar Q3 are Shopify ( SHOP ) , Celestica ( CLS ) , Kinaxis ( KXSCF ) and Coveo Solutions ( CVOSF ) .

According to RBC, Shopify's ( SHOP ) Q3 results and Q4 guidance are "likely to slightly exceed" consensus. It added that multiple data sources show "sustained strong e-commerce growth" and new merchant adds in Q3.

"Given growth momentum and market enthusiasm for Shopify's ( SHOP ) AI innovations, we believe the stock is likely to trade at the high-end of its 3-year historical range," said RBC Capital Markets.

For Celestica ( CLS ), RBC said it expects Q3 results and Q4 guidance above guidance on "strong AI capex momentum." It said it believes Celestica ( CLS ) is likely to provide FY26 guidance at its investor day immediately following Q3 results and that while RBC expects FY26 guidance to be conservative, it sees room for FY26 actuals to exceed consensus.

"In light of robust growth, we anticipate Celestica's ( CLS ) valuation to remain above peers and towards the high-end of its historical range," said RBC Capital Markets.

In the case of Kinaxis ( KXSCF ), RBC said it expects "solid SaaS growth and bookings." It said it believes Kinaxis ( KXSCF ) may report upside to its estimates and consensus, as the company is benefiting from improved sales execution against a robust sales pipeline.

"Kinaxis ( KXSCF ) is likely, in our view, to raise FY25 guidance, which we believe is conservative," said RBC. "With valuation towards the low-end of Kinaxis's ( KXSCF ) historical range, we see compelling risk-reward on the shares."

RBC expects Coveo to report "solid Q2/FY26 results," towards the high-end of guidance and slightly above consensus. It believes that strong bookings momentum is "likely to continue" in Q2, fuelled by accelerating traction with GenAI offerings and new partnerships, including SAP.

"We expect Coveo to reiterate FY26 guidance, which calls for a continued rise in SaaS growth towards the company's targeted exit rate of 20% ARR growth," added RBC.

RBC Capital Markets also said that it expects Constellation Software's ( CNSWF ) shares to be "largely flat" through Q3 results. It stated that, despite slower than expected M&A Q3, it believes "fundamentals remain healthy" and expects Constellation to report Q3 adj. EBITDA up 20% Y/Y.

"Regarding spin-outs, Topicus.com ( TOITF ) is likely to see growth accelerate following the Cipal acquisition, while capital deployment is at a record annual high due to the second investment in Asseco, which closed on October 1," added RBC. "For Lumine, we expect growth to slow due to the company lapping the Motive and Casa Systems/Axyom acquisitions."

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