Canoe EIT Income Fund (EIT.UN) AI Stock Analysis

Canoe EIT Income Fund

(TSX:EIT.UN)

Select Model

Rating:74Outperform

Price Target:CAD 20.00▲(12.04% Upside)

Action:upgraded

Date:08/06/26

The score is driven primarily by solid financial positioning but tempered by weak cash conversion versus reported earnings. Technicals add support with a clear uptrend and positive momentum, while valuation contributes positively due to a moderate P/E and a high dividend yield.

Positive Factors

Conservative balance sheetLow leverage (debt-to-equity ~0.10 in 2024) and rising equity/assets give the fund flexibility to maintain distributions and absorb market drawdowns. A conservatively levered balance sheet reduces refinancing risk and preserves capacity to deploy capital or increase hedging over the medium term.

Negative Factors

Weak cash conversionDespite reported profitability, cash generation has been historically weak and volatile, with free cash flow declining materially in 2025. Poor cash conversion limits genuinely distributable cash, increasing dependence on realized gains or return of capital and weakening payout sustainability.

Canoe EIT Income Fund (EIT.UN) vs. iShares MSCI Canada ETF (EWC)

Market Cap: CAD 2.46B
Dividend Yield: 6.72%
Average Volume (3M): 118.64K
Price to Earnings (P/E): 5.9
Beta (1Y): 0.52
Revenue Growth: 48.02%
EPS Growth: -4.25%
Country: Canada
Employees: 108
Sector: Financial
Sector Strength: 68
Industry: Asset Management

Canoe EIT Income Fund Business Overview & Revenue Model

Company Description

The Canoe EIT Income Fund is a closed-ended balanced fund, primarily administered by Canoe Financial LP, with co-management responsibilities also held by Haber Trilix Advisors, LP. Its investment mandate spans the public equity and fixed income marke...

How the Company Makes Money

Canoe EIT Income Fund does not generate operating revenue like a traditional company; instead, it earns investment income and returns from its portfolio, and its unitholders receive distributions funded from those sources. The fund’s economic inflows...

Canoe EIT Income Fund Financial Statement Overview

Summary

Balance sheet strength (low leverage and growing assets/equity) and improving revenue momentum are positives, but earnings quality is a material concern: cash flow has historically been weak/negative and recent operating/free cash flow remains small versus reported net income, with free cash flow declining in 2025.

Income Statement

78Positive

Balance Sheet

86Very Positive

Cash Flow

34Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	577.61M	379.15M	360.02M	148.57M	215.74M	287.69M
Gross Profit	536.90M	342.22M	325.82M	148.57M	188.45M	267.18M
EBITDA	584.49M	380.26M	652.65M	141.10M	268.16M	587.37M
Net Income	565.85M	367.14M	637.59M	124.73M	255.37M	575.86M
Balance Sheet
Total Assets	3.98B	3.32B	3.09B	2.66B	2.51B	2.24B
Cash, Cash Equivalents and Short-Term Investments	25.21M	76.77M	109.97M	14.77M	98.23M	145.48M
Total Debt	559.26M	256.12M	269.83M	95.99M	98.09M	91.64M
Total Liabilities	584.38M	279.15M	292.17M	338.30M	337.22M	327.44M
Stockholders Equity	3.40B	3.04B	2.80B	2.32B	2.17B	1.91B
Cash Flow
Free Cash Flow	8.77M	9.72M	20.14M	-112.77M	-50.13M	-12.09M
Operating Cash Flow	8.77M	9.72M	20.14M	-112.77M	-50.13M	-12.09M
Investing Cash Flow	-164.26M	89.01M	294.98M	-138.50M	-73.46M	-21.14M
Financing Cash Flow	219.24M	-136.59M	-211.83M	27.59M	8.68M	115.42M

Canoe EIT Income Fund Technical Analysis

Technical Analysis SentimentPositive

Last Price17.85

Price Trends

50DMA17.47Positive

100DMA17.32Positive

200DMA16.73Positive

Market Momentum

MACD0.13Negative

RSI65.62Neutral

STOCH78.81Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EIT.UN, the sentiment is Positive. The current price of 17.85 is above the 20-day moving average (MA) of 17.59, above the 50-day MA of 17.47, and above the 200-day MA of 16.73, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 65.62 is Neutral, neither overbought nor oversold. The STOCH value of 78.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:EIT.UN.

Canoe EIT Income Fund Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

TSE:EIT.UN against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TSE:EIT.UN	74Outperform	CAD 3.46B	5.93	17.58%	6.72%	48.02%	-4.25%
TSE:AD.UN	73Outperform	CAD 1.17B	6.27	14.64%	6.50%	-5.14%	25.79%
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
TSE:BGI.UN	58Neutral	CAD 100.02M	5.34	21.53%	9.60%	104.68%	-24.74%
TSE:PNP	57Neutral	CAD 96.22M	16.69	7.01%	―	-12.47%	-79.40%

* Financial Sector Average

Performance Comparison

TSE:EIT.UN and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TSE:EIT.UN	Canoe Eit Income Fund Trust Units	17.85	3.54	24.69%
TSE:AD.UN	Alaris Royalty	23.24	5.04	27.66%
TSE:BGI.UN	Brookfield Global Infrastructure Securities Income Fund	6.25	-0.08	-1.30%
TSE:PGI.UN	PIMCO Global Income Opportunities Fund Trust Units	6.55	-0.21	-3.12%
TSE:PNP	Pinetree Capital	10.39	-0.50	-4.59%
TSE:WI	The Western Investment Company of Canada Ltd	1.17	0.55	90.24%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 06, 2026

Canoe EIT Income Fund AI Stock Analysis