AI Is Reshaping Canada, and These TSX Names Are Leading the Charge

OpenText, Coveo, and Docebo prove enterprise AI is real, turning generative and agentic tech into recurring revenue, strong margins, and scalable customer value.

Amy Legate-Wolfe

Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Before joining Motley Fool Canada, she wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote: “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published October 3, 2025 8:15 pm EDT

| More on: CVODCBOOTEX

Key Points

OpenText’s AI‑powered cloud (Titanium X) is driving large ARR growth, high margins, and shareholder returns.
Coveo’s relevance platform used generative AI to drive ~50% of new bookings, showing strong upsells and 77% gross margins.
Docebo’s AI‑first learning platform is boosting subscription and ARR growth while helping companies re-skill at scale.

It’s no secret. If there’s one thing that’s pretty much changed the world overnight, it’s artificial intelligence (AI). Something that seemed so foreign, so futuristic, is now completely embedded in practically everything we do. And nowhere is that more obvious than in the way businesses operate.

Companies can automate work, surface relevant knowledge, and even use an agentic workflow. And among AI stocks, there are three that are using AI to the best of their abilities. So, let’s look at those on the TSX today and why these AI stocks could continue to be stellar investments.

Concept of big data flow, analysis, and visualizing complex information for artificial intelligence — Source: Getty Images

OTEX

OpenText (TSX:OTEX) is a perfect example of an AI stock only getting stronger. The company provides enterprise information management, cybersecurity, content platforms and cloud services. And now, it’s using AI to build out its large cloud and content business, emphasizing AI platforms like Titanium X.

AI is clearly helping the company grow, with cloud bookings growing 32% year over year, and cloud revenue at $1.866 billion for full-year 2025. This shows customers are on board with the future of AI and what it offers. In fact, annual recurring revenue (ARR) on the cloud hit $4.2 billion, with adjusted earnings, interest, taxes, depreciation, and amortization (EBITDA) hitting a 34.5% margin. This has allowed the company to show its strength through buybacks and a dividend increase.

Yet there’s even more in the future. The AI stock combines enterprise content, security and governance with AI. It addresses the key enterprise pain point of securing its data, both for governments and large corporations. All together, it’s an AI stock that’s proven its strength time and again.

CVO

Another top AI stock also using agentic experiences is Coveo Solutions (TSX:CVO). This is an AI relevance platform, with search, recommendations, and generative experiences for commerce, support, and agentic workflow. The core strength for Coveo is aligning retrieval and generative models with business outcomes. So, it’s quite similar to OTEX.

Again, we see that strength from AI coming into earnings, with first-quarter 2026 subscription revenue climbing 12%, and total revenue up 10%. Its gross margin now sits at 77%, showing that software as a service (SaaS) economics remain strong. Its generative AI also drove 50% of its new business in the quarter, with a net expansion rate now at 105%! So it’s clear the upsell of its AI features is working.

Those AI features are what Coveo will need to continue focusing on, not just using AI but using it right. AI needs to answer questions in a useful and grounded manner. Sure, companies can adopt chatbots, but the responses need to combine with enterprise data to provide useful answers. And that’s the way to keep companies coming back for more.

DCBO

Finally, we have Docebo (TSX:DCBO), a learning management platform used for employee and customer training. The company positioned itself as AI-first learning platform. And the evidence behind its AI strength has also seen momentum during the second quarter.

Subscription revenue surged by 15% year over year, with ARR up 13.2% as well. Its adjusted EBITDA and free cash flow saw positive trends too, with guidance for full-year 2025 growing to show that the business is continuing to scale outwards. Management continues to focus on its “AI-first strategy.” And enterprise companies remain on board.

As companies continue to use AI in this way, they’ll need AI more and more. Whether it’s to retrain employees, certify safe use, update procedures, or onboard, AI will remain a strong method of future learning. No matter what kind of company is using it.

Bottom line

Altogether, these three AI stocks show that they’re not just jumping on a bandwagon. No, these are companies beyond the hype, using AI to their advantage in the ways that matter most. Whether it’s content security and management, customer workflow, or improving company-wide skills, these three are promising AI investments. Together, these AI stocks prove there are still concrete ways to enterprise AI in a way that can keep cash flowing in for years, if not decades.