Small Caps

Insider Buying At Zedcor (TSXV:ZDC) Prompts Fresh Look At Valuation Potential

Fresh interest in Zedcor (TSXV:ZDC) has been sparked after senior officer, director, and 10% holder Dean Sylvan Swanberg bought 100,000 common shares on January 7th, 2026 at CA$4.707 per share.

See our latest analysis for Zedcor.

Despite the insider purchase, Zedcor’s recent trading has been choppy, with a 7 day share price return showing a 13.74% decline and a 30 day share price return showing a 7.46% decline. This comes even as the 1 year total shareholder return stands at 50.83% and the 3 year total shareholder return is very large, pointing to long term momentum that contrasts with the softer near term move around the current CA$5.46 share price.

If this kind of insider interest has you looking beyond a single name, it could be a good moment to broaden your search with fast growing stocks with high insider ownership.

With Zedcor’s shares pulling back over the past month even as its 1 year and very large 3 year returns stand positive, plus an analyst target of CA$7.76 above the current CA$5.46, is there still a buying opportunity here, or is the market already pricing in future growth?

With the most followed narrative placing fair value at about CA$7.76 versus the last close at CA$5.46, the story leans firmly toward upside potential.

Ongoing digital transformation among clients and Zedcor’s increasing investment in in-house, AI-enabled monitoring (such as Live Verified Monitoring and advanced camera features) differentiates its offerings, expands the high-margin VSaaS platform, and is expected to drive further improvement in net margins.

Read the complete narrative.

Curious what kind of revenue surge, margin uplift, and future P/E multiple are baked into that fair value? The full narrative spells out the earnings path behind this call.

Result: Fair Value of $7.76 (UNDERVALUED)

Have a read of the narrative in full and understand what’s behind the forecasts.

However, execution is not risk free, as both pressure from aggressive U.S. price competition and the capital heavy expansion plan are capable of derailing the upbeat earnings narrative.

Find out about the key risks to this Zedcor narrative.

The AI-led narrative leans on a fair value of about CA$7.76, but the current pricing on sales tells a different story. Zedcor trades on a P/S of 11.2x, versus 1x for the North American Trade Distributors industry and 0.2x for peers, while our fair ratio sits at 7.3x. That gap suggests investors are already paying a rich price for future growth expectations. How comfortable are you with that starting point?

See what the numbers say about this price — find out in our valuation breakdown.

TSXV:ZDC P/S Ratio as at Jan 2026

If you see the numbers differently or prefer testing your own assumptions, you can build a custom view of Zedcor in just a few minutes, starting with Do it your way.

A great starting point for your Zedcor research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

Do not stop at a single story. Use the Simply Wall St Screener to quickly spot other opportunities that might fit your style before others focus on them.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include ZDC.V.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com

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