CGI (TSE:GIB.A) Issues Quarterly Earnings Results

CGI (TSE:GIB.A) (NYSE:GIB) issued its earnings results on Wednesday. The company reported C$2.29 earnings per share (EPS) for the quarter, FiscalAI reports. CGI had a return on equity of 19.51% and a net margin of 11.51%.The company had revenue of C$4.19 billion during the quarter.

CGI Stock Performance

TSE GIB.A opened at C$102.67 on Friday. The stock has a market cap of C$21.26 billion, a PE ratio of 13.40, a P/E/G ratio of 2.24 and a beta of 0.13. The company has a current ratio of 1.16, a quick ratio of 0.97 and a debt-to-equity ratio of 34.24. CGI has a twelve month low of C$83.34 and a twelve month high of C$135.39. The stock has a fifty day simple moving average of C$93.63 and a 200-day simple moving average of C$99.97.

CGI Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 19th. Stockholders of record on Friday, June 19th were issued a dividend of $0.17 per share. The ex-dividend date was Friday, May 15th. This represents a $0.68 dividend on an annualized basis and a dividend yield of 0.7%. CGI’s dividend payout ratio is currently 6.14%.

Key Headlines Impacting CGI

Here are the key news stories impacting CGI this week:

• Positive Sentiment: Analysts raised their targets following the quarterly report. Stifel Nicolaus increased its target from C$110 to C$120 and upgraded CGI to “buy,” while Desjardins raised its target from C$117 to C$118 and maintained a “buy” rating. CIBC also lifted its target from C$107 to C$108. BayStreet.CA analyst ratings
• Positive Sentiment: CGI reported third-quarter profit of approximately C$465 million, up from C$408.6 million a year earlier. Quarterly revenue was C$4.19 billion and adjusted earnings were C$2.29 per share, highlighting continued earnings growth and profitability. CGI reports third-quarter profit
• Positive Sentiment: Management highlighted AI-driven demand and strategic investments in artificial intelligence, suggesting CGI is positioning its technology-services business for longer-term growth. CGI third-quarter earnings call highlights
• Neutral Sentiment: TD raised its price target substantially from C$99 to C$118, but retained a “hold” rating. This indicates improved valuation expectations while signaling that the current share price may already reflect much of CGI’s near-term potential. BayStreet.CA TD analyst rating
• Negative Sentiment: CGI’s shares have decreased despite the earnings growth and positive target revisions. The reaction suggests investors may be taking profits or seeking stronger forward guidance and growth acceleration before bidding the stock higher; no major negative operating development was reported in the available coverage.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on the stock. Canaccord Genuity Group lowered their price target on shares of CGI from C$150.00 to C$140.00 and set a “buy” rating on the stock in a research report on Thursday, April 30th. Sanford C. Bernstein cut their price objective on shares of CGI from C$143.00 to C$141.00 in a research report on Thursday, April 30th. Canadian Imperial Bank of Commerce lifted their target price on shares of CGI from C$107.00 to C$108.00 in a research note on Thursday. Stifel Nicolaus boosted their target price on shares of CGI from C$110.00 to C$120.00 and gave the company a “buy” rating in a report on Thursday. Finally, Royal Bank Of Canada lowered shares of CGI from an “outperform” rating to a “sector perform” rating and decreased their target price for the company from C$150.00 to C$100.00 in a report on Thursday, April 30th. Seven analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat, CGI presently has a consensus rating of “Moderate Buy” and a consensus price target of C$124.23.

About CGI

Founded in 1976, CGI is among the largest independent IT and business consulting services firms in the world. With 94,000 consultants and professionals across the globe, CGI delivers an end-to-end portfolio of capabilities, from strategic IT and business consulting to systems integration, managed IT and business process services and intellectual property solutions. CGI works with clients through a local relationship model complemented by a global delivery network that helps clients digitally transform their organizations and accelerate results.