CGI Group (NYSE:GIB) Reaches New 52-Week Low – Here’s What Happened

CGI Group, Inc. (NYSE:GIB) (TSE:GIB.A)’s share price reached a new 52-week low during trading on Tuesday . The stock traded as low as $83.61 and last traded at $82.5010, with a volume of 39928 shares. The stock had previously closed at $86.62.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on GIB shares. Royal Bank Of Canada restated an “outperform” rating on shares of CGI Group in a research note on Monday, January 5th. Jefferies Financial Group reiterated a “hold” rating and set a $81.00 price objective (down previously from $105.00) on shares of CGI Group in a research report on Monday, November 10th. Cibc Captl Mkts cut CGI Group from a “strong-buy” rating to a “hold” rating in a research report on Sunday, December 14th. Weiss Ratings reiterated a “hold (c-)” rating on shares of CGI Group in a research note on Monday, December 29th. Finally, Scotiabank began coverage on CGI Group in a report on Tuesday, January 27th. They issued a “sector perform” rating on the stock. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and five have assigned a Hold rating to the company’s stock. According to MarketBeat, CGI Group has an average rating of “Hold” and an average target price of $117.00.

CGI Group Trading Down 8.4%

The stock has a market cap of $17.39 billion, a P/E ratio of 14.86 and a beta of 0.59. The stock’s 50-day moving average is $90.94 and its two-hundred day moving average is $91.75. The company has a debt-to-equity ratio of 0.28, a current ratio of 0.94 and a quick ratio of 0.70.

CGI Group (NYSE:GIB) (TSE:GIB.A) last announced its quarterly earnings results on Wednesday, January 28th. The technology company reported $1.51 EPS for the quarter, missing the consensus estimate of $1.55 by ($0.04). The company had revenue of $2.96 billion during the quarter, compared to analysts’ expectations of $4.08 billion. CGI Group had a return on equity of 18.61% and a net margin of 10.25%.The firm’s revenue for the quarter was up 7.7% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.97 EPS. Equities research analysts anticipate that CGI Group, Inc. will post 5.79 EPS for the current year.

CGI Group Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, March 20th. Shareholders of record on Wednesday, February 18th will be paid a $0.17 dividend. The ex-dividend date of this dividend is Wednesday, February 18th. This represents a $0.68 dividend on an annualized basis and a yield of 0.9%. CGI Group’s payout ratio is presently 8.99%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Yousif Capital Management LLC lifted its position in shares of CGI Group by 8.1% during the 2nd quarter. Yousif Capital Management LLC now owns 2,591 shares of the technology company’s stock worth $272,000 after purchasing an additional 195 shares during the last quarter. Prime Capital Investment Advisors LLC raised its stake in CGI Group by 2.8% in the second quarter. Prime Capital Investment Advisors LLC now owns 11,443 shares of the technology company’s stock valued at $1,200,000 after buying an additional 314 shares in the last quarter. First Horizon Corp purchased a new stake in CGI Group during the 3rd quarter worth about $29,000. EverSource Wealth Advisors LLC boosted its position in shares of CGI Group by 53.3% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,452 shares of the technology company’s stock worth $152,000 after acquiring an additional 505 shares in the last quarter. Finally, Ethic Inc. increased its holdings in shares of CGI Group by 11.9% in the 2nd quarter. Ethic Inc. now owns 7,092 shares of the technology company’s stock valued at $733,000 after acquiring an additional 752 shares during the last quarter. 66.68% of the stock is owned by hedge funds and other institutional investors.

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.