Is CGI Stock a Good Investment?

CGI Investment Advice

GIB

To provide specific investment advice or recommendations on CGI Inc stock, we recommend investors consider the following general factors when evaluating CGI Inc. This will help you to make an informed decision on whether to include CGI in one of your diversified portfolios:

Examine CGI's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research CGI's leadership team and their track record. Good management can help CGI navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the IT Consulting & Other Services space and any emerging trends that could impact CGI's business and its evolving consumer preferences.
Compare CGI's performance and market position to its competitors. Analyze how CGI is positioned in terms of product offerings, innovation, and market share.
Check if CGI pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about CGI's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in CGI Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if CGI Inc is a good investment.

Sell

Buy

Strong Hold

Macroaxis provides advice on CGI Inc to complement and cross-verify current analyst consensus on CGI Inc. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure CGI is not overpriced, please confirm all CGI Inc fundamentals, including its revenue, total debt, and the relationship between the price to earning and net income . Given that CGI Inc has a price to earning of 18.16 X, we suggest you to validate CGI Inc market performance and probability of bankruptcy to ensure the company can sustain itself in the future given your prevailing risk tolerance and investing horizon.

Market Performance	Very Weak	Details
Volatility	Very steady	Details
Hype Condition	Low key	Details
Current Valuation	Fairly Valued	Details
Odds Of Distress	Very Low	Details
Economic Sensitivity	Slowly supersedes the market	Details
Investor Sentiment	Impartial	Details
Analyst Consensus	Buy	Details
Financial Strenth (F Score)	Strong	Details
Financial Leverage	Not Rated	Details
Reporting Quality (M-Score)	Unlikely Manipulator	Details

Examine CGI Stock

Researching CGI's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 70.0% of the company shares are owned by institutional investors. The book value of CGI was currently reported as 41.85. The company has Price/Earnings To Growth (PEG) ratio of 2.31. CGI Inc recorded earning per share (EPS) of 5.13. The entity last dividend was issued on the 20th of November 2024. The firm had 2:1 split on the 18th of January 2000.

To determine if CGI is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding CGI's research are outlined below:

	CGI Inc has a strong financial position based on the latest SEC filings
	About 70.0% of the company shares are owned by institutional investors
	Latest headline from bizjournals.com: Miami-based CGI Group makes agreement to sell Nexus Workspace Properties

CGI Quarterly Long Term Debt

1.96 Billion

CGI uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in CGI Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to CGI's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	31st of January 2024 Upcoming Quarterly Report	View
	24th of April 2024 Next Financial Report	View
	31st of December 2023 Next Fiscal Quarter End	View
	13th of November 2024 Next Fiscal Year End	View
	30th of September 2023 Last Quarter Report	View
	30th of September 2023 Last Financial Announcement	View

Earnings surprises can significantly impact CGI's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises CGI's investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
2005-11-02	2005-09-30	0.1	0.11	0.01	10
2005-04-27	2005-03-31	0.1	0.09	-0.01	10
2001-04-24	2001-03-31	0.06	0.05	-0.01	16
2000-04-26	2000-03-31	0.09	0.08	-0.01	11
2000-02-17	1999-12-31	0.08	0.09	0.01	12
1998-08-11	1998-06-30	0.03	0.04	0.01	33
1997-12-04	1997-09-30	0.01	0.02	0.01	100
1997-08-11	1997-06-30	0.01	0.02	0.01	100

Know CGI's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as CGI is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading CGI Inc backward and forwards among themselves. CGI's institutional investor refers to the entity that pools money to purchase CGI's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
Bmo Capital Markets Corp.	2024-06-30	3.2 M
Norges Bank	2024-06-30	2.6 M
Morgan Stanley - Brokerage Accounts	2024-06-30	2.6 M
Amvescap Plc.	2024-06-30	2.4 M
Td Asset Management Inc	2024-09-30	2.3 M
Massachusetts Financial Services Company	2024-09-30	2 M
Legal & General Group Plc	2024-06-30	1.9 M
Cibc World Markets Inc.	2024-06-30	1.8 M
Arrowstreet Capital Limited Partnership	2024-06-30	1.7 M
Caisse De Depot Et Placement Du Quebec	2024-06-30	16.1 M
Vanguard Group Inc	2024-09-30	7.8 M

Note, although CGI's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

CGI's market capitalization trends

The company currently falls under 'Large-Cap' category with a total capitalization of 25.29 B.

Market Cap

37.27 Billion

CGI's profitablity analysis

	Last Reported	Projected for Next Year
Return On Tangible Assets	0.26	0.27
Return On Capital Employed	(1.60)	(1.52)
Return On Assets	0.10	0.05
Return On Equity	0.18	0.10

The company has Net Profit Margin of 0.12 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.17 %, which entails that for every 100 dollars of revenue, it generated $0.17 of operating income.

Determining CGI's profitability involves analyzing its financial statements and using various financial metrics to determine if CGI is a good buy. For example, gross profit margin measures CGI's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of CGI's profitability and make more informed investment decisions.

Please note, the presentation of CGI's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, CGI's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of CGI's management manipulating its earnings.

Evaluate CGI's management efficiency

CGI Inc has Return on Asset of 0.0931 % which means that on every $100 spent on assets, it made $0.0931 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.1908 %, implying that it generated $0.1908 on every 100 dollars invested. CGI's management efficiency ratios could be used to measure how well CGI manages its routine affairs as well as how well it operates its assets and liabilities. The current year's Return On Tangible Assets is expected to grow to 0.27, whereas Return On Capital Employed is projected to grow to (1.52). At present, CGI's Total Assets are projected to increase significantly based on the last few years of reporting. The current year's Non Current Assets Total is expected to grow to about 13.1 B, whereas Intangible Assets are forecasted to decline to about 706.7 M.

	Last Reported	Projected for Next Year
Book Value Per Share	41.34	43.40
Tangible Book Value Per Share	(3.34)	(3.50)
Enterprise Value Over EBITDA	13.43	12.35
Price Book Value Ratio	3.76	2.34
Enterprise Value Multiple	13.43	12.35
Price Fair Value	3.76	2.34
Enterprise Value	36.9 B	38.7 B

The operational strategies employed by CGI management play a crucial role in its market positioning. Assessing these strategies alongside financial data helps us evaluate the stock's investment potential.

Beta

0.854

Basic technical analysis of CGI Stock

As of the 30th of November, CGI shows the Mean Deviation of 0.8068, semi deviation of 1.28, and Risk Adjusted Performance of 0.023. CGI Inc technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.

CGI's Outstanding Corporate Bonds

CGI issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. CGI Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most CGI bonds can be classified according to their maturity, which is the date when CGI Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

	Dana 575 percent Corp Bond US235822AB96	View
	Volcan Compania Minera Corp Bond USP98047AC08	View
	Boeing Co 2196 Corp Bond US097023DG73	View
	HSBC Holdings PLC Corp Bond US404280DR76	View
	MPLX LP 52 Corp Bond US55336VAL45	View
	Morgan Stanley 3591 Corp Bond US61744YAK47	View
	MGM Resorts International Corp Bond US552953CD18	View

View All CGI Corporate Bonds

Understand CGI's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing CGI's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	0.023
	Market Risk Adjusted Performance	0.0493
	Mean Deviation	0.8068
	Semi Deviation	1.28
	Downside Deviation	1.35
	Coefficient Of Variation	3797.33
	Standard Deviation	1.07
	Variance	1.15
	Information Ratio	(0.10)
	Jensen Alpha	(0.04)
	Total Risk Alpha	(0.16)
	Sortino Ratio	(0.08)
	Treynor Ratio	0.0393
	Maximum Drawdown	6.77
	Value At Risk	(1.53)
	Potential Upside	1.15
	Downside Variance	1.81
	Semi Variance	1.65
	Expected Short fall	(0.71)
	Skewness	(1.15)
	Kurtosis	3.73

	Risk Adjusted Performance	0.023
	Market Risk Adjusted Performance	0.0493
	Mean Deviation	0.8068
	Semi Deviation	1.28
	Downside Deviation	1.35
	Coefficient Of Variation	3797.33
	Standard Deviation	1.07
	Variance	1.15
	Information Ratio	(0.10)
	Jensen Alpha	(0.04)
	Total Risk Alpha	(0.16)
	Sortino Ratio	(0.08)
	Treynor Ratio	0.0393
	Maximum Drawdown	6.77
	Value At Risk	(1.53)
	Potential Upside	1.15
	Downside Variance	1.81
	Semi Variance	1.65
	Expected Short fall	(0.71)
	Skewness	(1.15)
	Kurtosis	3.73

Consider CGI's intraday indicators

CGI intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of CGI stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	403.73
	Daily Balance Of Power	(0.25)
	Rate Of Daily Change	1.0
	Day Median Price	112.47
	Day Typical Price	112.45
	Price Action Indicator	(0.13)
	Period Momentum Indicator	(0.17)
	Relative Strength Index	37.19

CGI Corporate Filings

13A	14th of November 2024 An amended filing to the original Schedule 13G	View Verify
	7th of November 2024 Other Reports	View Verify
6K	6th of November 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges.	View Verify

CGI time-series forecasting models is one of many CGI's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary CGI's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

CGI Stock media impact

Far too much social signal, news, headlines, and media speculation about CGI that are available to investors today. That information is available publicly through CGI media outlets and privately through word of mouth or via CGI internal channels. However, regardless of the origin, that massive amount of CGI data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of CGI news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of CGI relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to CGI's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive CGI alpha.

CGI Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards CGI can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

CGI Inc Historical Investor Sentiment

Investor biases related to CGI's public news can be used to forecast risks associated with an investment in CGI. The trend in average sentiment can be used to explain how an investor holding CGI can time the market purely based on public headlines and social activities around CGI Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.

CGI's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for CGI and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average CGI news discussions. The higher the estimate score, the more favorable the investor's outlook on CGI.

CGI Corporate Directors

Alison Reed	Independent Director	Profile
Paule Dore	Independent Director	Profile
Timothy Hearn	Lead Independent Director	Profile
Sophie Brochu	Independent Director	Profile

When determining whether CGI Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of CGI's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Cgi Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Cgi Inc Stock: