Product & Investing Nerd

Forward Deployed Nerd.

Extended write-ups on Software, AI & Investing, 2x weekly.

[Product & Investing Nerd @CSUnerd]

$CSU.TO

[Trevor Scott @TidefallCapital]

Mark Miller on stage at AWS Toronto Summit
$CSU.to $AMZN

[Product & Investing Nerd @CSUnerd]

Constellation Software $CSU.TO Jonas Software’s CORA Group Acquires Finastra’s software in a carve-out.

Purchasing the Phoenix Core System, Malauzai Digital Banking and Fusion Analytics Businesses

[David Senra @FoundersPodcast]

Avoid intense ideology. It turns your brain to cabbage. — Charlie Munger

[Product & Investing Nerd @CSUnerd]

@Kalshi_Crypto Crypto is a big nail in the coffin.

[Product & Investing Nerd @CSUnerd]

$csu.to

[Trevor Scott @TidefallCapital]

Raia AI is a $CSU.to company.

[CapCut @capcutapp]

CapCut is partnering with @GeminiApp .
Soon, users will be able to edit images and videos directly within the Gemini app using CapCut’s advanced creative and editing capabilities.

As creative workflows become more connected and seamless, we believe the future of creation will be more conversational, intuitive, and intelligently integrated across tools and experiences.

This is just the beginning.

[Product & Investing Nerd @CSUnerd]

$TOI.V

[L @zeroxpectation]

$CSU $TOI.V TSS buys Operis, a specialist in digital urban planning authorization mgmt tools for local authorities in France. They enable fully paperless processing of planning permissions, & serves all stakeholders—citizens, professionals, permitting authorities, & consultants.

[Braden Dennis 📊 @BradoCapital]

My $CSU.TO raw notes from this morning's AGM:

- Opened with a video showing year-by-year acquisitions across operating groups. Seeing gross/recurring revenue alongside capital deployed was impressive with over 1,300 acquisitions during their 30 year run.

- Core message remained consistent:
- Decentralization
- Decisions pushed to business units
- Small teams
- Buy-and-hold forever mindset
- No PE-style flipping

- Scale highlights:
- 69K employees
- 1,500+ business units
- 1,300+ acquisitions
- 100+ countries
- 150+ vertical markets

- Conventional org charts are NOT how CSI operates

- HQ exists to coach, not control

- Nyland (Lumine) mentioned speaking with their telecom customers about potential acquisition opportunities that improve service to end customers

- Concentrating talent within verticals is a major edge. Deep knowledge in transportation with Bill Delaney (CEO of Modaxo, part of Volaris) runs transportation software services for 3,000+ cities and governments

- Mark Miller's AI comment:
- “It’s about what you actually do, not what you say you’re going to do”
- Short-term leaders focus on what they say, not execution

- Vertical markets require deep industry expertise, even in the AI era

- Founder who spoke on a panel sold to CSI in 2018 is now fully out of that business and running an academic vertical inside completely outside of the operating unit he sold to

- Interesting pattern: founders often stay within Constellation in new leadership roles years later

- Agentic coding is helping them build more software faster
- Some companies are fully rebuilding and modernizing products from scratch — previously inconceivable pre-agentic coding

- CSI is hosting many AI hackathons to:
- Produce new products
- Rebuild outdated systems
- Modernize software untouched for decades

- Potential upside:
- Longer product life cycles
- Lower churn

- CSI increasingly investing in “PEMS” in other words taking stakes in other public software companies. Miller sees value in public markets and mentioned on the earnings call last week that private valuations haven't moved while publics get smoked.
- PEMS = Permanent Engaged Minority Shareholders
- Holding long term, not trading the equities

- Brief mention of Mark Leonard at the start, then not referenced again... Company remains very private about his health

- Mark Miller:
- “We really haven’t seen any AI-related attrition of customers”

- Software businesses are not just products, they are Companies:
- Support matters
- Sales matters
- Services matter

- Customers don’t ask for AI. Customers ask for solutions. If AI improves the solution, great

[Product & Investing Nerd @CSUnerd]

Due to a family emergency I couldn't make it to the $CSU.TO AGM today. But look through the feed it looks amazing and glad so many well-informed investors were doing their duty. It's amazing to see and hear.

[Product & Investing Nerd @CSUnerd]

@ErnestWongBWM 😇

[Product & Investing Nerd @CSUnerd]

@ronmortgageguy can't say we didn't see this coming...

[Product & Investing Nerd @CSUnerd]

@TidefallCapital fantastic!!!

[Product & Investing Nerd @CSUnerd]

@ArenaManCapital the stars are out today!!!

[Product & Investing Nerd @CSUnerd]

@deepvalueco Pretty much

[Oli @OlivierBib]

“We believe that maintenance revenues are the best indicator of Intrinsic Value.” — Mark Leonard, Q1 2007 Shareholder Letter.
Q1 2026 Recurring Revenue Performance:
• $CSU.TO: +22% (+4% Organic FX-Adj)
• $TOI.V: +23% (+7% Organic FX-Adj)
• $LMN.V: +27% (+3% Organic FX-Adj)

[Product & Investing Nerd @CSUnerd]

@RyanDetrick That's not Ben.

[Product & Investing Nerd @CSUnerd]

What an interesting question. But not a very good one.

[Julian Klymochko @JulianKlymochko]

At $900 billion and $40 billion respectively, would you choose one Anthropic or 12 Constellation Softwares?

Instead of AI killing $CSU.to, it appears that it is only leading to accelerated M&A.

[Product & Investing Nerd @CSUnerd]

@patientinvestor Life support needed

[Product & Investing Nerd @CSUnerd]

Constellation Software $CSU.TO reported their Q1 numbers, here’s some hlghlights:

- Revenue: +20% YoY (w/ 6% from organic)
- FCF: +44% YoY
- Acquisitions: $809M deployed

Anything I missed!?

[Product & Investing Nerd @CSUnerd]

@AJButton2 it's amazing ain't it.

[Product & Investing Nerd @CSUnerd]

@lifelonghacker ya that's wild...