CGI Group (NYSE:GIB) Hits New 12-Month Low – Should You Sell?

CGI Group, Inc. (NYSE:GIB) (TSE:GIB.A)’s stock price hit a new 52-week low during trading on Wednesday . The company traded as low as $61.67 and last traded at $62.04, with a volume of 44898 shares traded. The stock had previously closed at $63.19.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on the stock. TD Securities upgraded shares of CGI Group to a “strong-buy” rating in a research report on Wednesday, January 28th. Weiss Ratings cut shares of CGI Group from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, March 27th. Scotiabank began coverage on shares of CGI Group in a research report on Tuesday, January 27th. They issued a “sector perform” rating on the stock. UBS Group decreased their price objective on shares of CGI Group from $79.00 to $70.00 and set a “neutral” rating on the stock in a research report on Thursday, April 30th. Finally, Royal Bank Of Canada cut shares of CGI Group from an “outperform” rating to a “sector perform” rating and decreased their price objective for the company from $150.00 to $100.00 in a research report on Thursday, April 30th. One analyst has rated the stock with a Strong Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, CGI Group currently has a consensus rating of “Hold” and an average target price of $83.67.

CGI Group Price Performance

The company has a quick ratio of 0.68, a current ratio of 0.95 and a debt-to-equity ratio of 0.28. The firm’s fifty day moving average price is $72.18 and its two-hundred day moving average price is $81.69. The stock has a market capitalization of $13.29 billion, a PE ratio of 11.15 and a beta of 0.45.

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

CGI Group Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, June 19th. Investors of record on Friday, May 15th will be given a dividend of $0.17 per share. The ex-dividend date is Friday, May 15th. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.1%. CGI Group’s dividend payout ratio is currently 9.03%.

Hedge Funds Weigh In On CGI Group

Hedge funds and other institutional investors have recently modified their holdings of the stock. First Horizon Corp bought a new position in CGI Group during the third quarter valued at $29,000. Strive Financial Group LLC bought a new position in CGI Group during the fourth quarter valued at $37,000. EverSource Wealth Advisors LLC lifted its position in CGI Group by 53.3% during the second quarter. EverSource Wealth Advisors LLC now owns 1,452 shares of the technology company’s stock valued at $152,000 after purchasing an additional 505 shares during the last quarter. Hughes Financial Services LLC bought a new position in CGI Group during the third quarter valued at $174,000. Finally, Entropy Technologies LP bought a new position in CGI Group during the third quarter valued at $236,000. Institutional investors own 66.68% of the company’s stock.

CGI Group Company Profile

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.