CGI Group, Inc. (NYSE:GIB) Receives Consensus Rating of “Reduce” from Brokerages

CGI Group, Inc. (NYSE:GIB) (TSE:GIB.A) has received a consensus recommendation of “Reduce” from the seven brokerages that are presently covering the firm, MarketBeat reports. One analyst has rated the stock with a sell recommendation and six have given a hold recommendation to the company. The average 12 month target price among brokerages that have issued ratings on the stock in the last year is $83.6667.

Several research analysts have issued reports on the stock. UBS Group decreased their target price on shares of CGI Group from $79.00 to $70.00 and set a “neutral” rating for the company in a report on Thursday, April 30th. Weiss Ratings reissued a “sell (d+)” rating on shares of CGI Group in a research report on Wednesday, June 24th. Royal Bank Of Canada lowered shares of CGI Group from an “outperform” rating to a “sector perform” rating and decreased their price objective for the stock from $150.00 to $100.00 in a report on Thursday, April 30th. Finally, TD Securities cut CGI Group from a “buy” rating to a “hold” rating in a research report on Thursday, July 23rd.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of GIB. Glenmede Trust Co. NA boosted its position in shares of CGI Group by 38.3% during the first quarter. Glenmede Trust Co. NA now owns 3,409 shares of the technology company’s stock valued at $249,000 after buying an additional 944 shares during the last quarter. EverSource Wealth Advisors LLC increased its holdings in CGI Group by 21.6% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,334 shares of the technology company’s stock worth $98,000 after buying an additional 237 shares in the last quarter. Venturi Wealth Management LLC purchased a new position in CGI Group in the 1st quarter worth about $204,000. SG Americas Securities LLC purchased a new position in CGI Group in the 1st quarter worth about $470,000. Finally, Strive Financial Group LLC bought a new position in CGI Group during the 4th quarter valued at about $37,000. Hedge funds and other institutional investors own 66.68% of the company’s stock.

CGI Group Price Performance

GIB opened at $71.46 on Wednesday. The firm has a market cap of $15.11 billion, a PE ratio of 12.90 and a beta of 0.48. The stock has a 50-day moving average price of $66.32 and a 200-day moving average price of $72.60. CGI Group has a 1 year low of $59.63 and a 1 year high of $103.04. The company has a debt-to-equity ratio of 0.28, a current ratio of 0.95 and a quick ratio of 0.68.

CGI Group (NYSE:GIB) (TSE:GIB.A) last announced its quarterly earnings data on Wednesday, April 29th. The technology company reported $1.65 EPS for the quarter, meeting the consensus estimate of $1.65. The company had revenue of $2.99 billion for the quarter, compared to the consensus estimate of $3.05 billion. CGI Group had a net margin of 10.26% and a return on equity of 18.72%. CGI Group’s revenue for the quarter was up 3.3% on a year-over-year basis. During the same period in the prior year, the firm posted $2.12 EPS. Sell-side analysts predict that CGI Group will post 6.54 earnings per share for the current fiscal year.

About CGI Group

CGI Group Inc is a global information technology and business consulting firm that delivers a broad range of services including IT consulting, systems integration, application development and maintenance, infrastructure and network services, managed IT and business process outsourcing. The company works with clients to design, build and operate IT systems and business solutions, with capabilities spanning cloud and hybrid IT environments, cybersecurity, data analytics and artificial intelligence, digital transformation and enterprise resource planning implementations.

Founded in 1976 in Quebec by Serge Godin and André Imbeau, CGI has grown from a regional systems integrator into a multinational professional services organization.