CGI Group, Inc. (NYSE:GIB) Given Average Rating of "Buy" by Brokerages

Key Points

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CGI Group, Inc. (NYSE:GIB - Get Free Report) TSE: GIB.A has received an average recommendation of "Buy" from the four ratings firms that are currently covering the firm, Marketbeat Ratings reports. One equities research analyst has rated the stock with a hold recommendation, two have assigned a buy recommendation and one has given a strong buy recommendation to the company. The average 1-year price objective among analysts that have issued a report on the stock in the last year is $148.25.

GIB has been the subject of several recent analyst reports. UBS Group reduced their price objective on shares of CGI Group from $112.00 to $105.00 and set a "neutral" rating for the company in a research report on Thursday. Royal Bank Of Canada cut their price objective on shares of CGI Group from $185.00 to $175.00 and set an "outperform" rating for the company in a research report on Thursday.

CGI Group Trading Down 1.1%

Shares of GIB traded down $1.06 during trading on Thursday, reaching $95.37. 324,095 shares of the company traded hands, compared to its average volume of 296,347. CGI Group has a twelve month low of $92.85 and a twelve month high of $122.79. The stock has a market cap of $21.40 billion, a PE ratio of 17.63, a price-to-earnings-growth ratio of 1.77 and a beta of 0.76. The stock has a 50-day simple moving average of $104.29 and a 200-day simple moving average of $106.40. The company has a quick ratio of 0.92, a current ratio of 1.27 and a debt-to-equity ratio of 0.35.

CGI Group (NYSE:GIB - Get Free Report) TSE: GIB.A last announced its quarterly earnings data on Wednesday, July 30th. The technology company reported $1.52 earnings per share for the quarter, beating analysts' consensus estimates of $1.51 by $0.01. CGI Group had a net margin of 11.01% and a return on equity of 18.53%. The firm had revenue of $3 billion during the quarter, compared to analysts' expectations of $4.01 billion. During the same quarter in the previous year, the business posted $1.91 earnings per share. The business's quarterly revenue was up 11.4% compared to the same quarter last year. On average, analysts anticipate that CGI Group will post 5.79 earnings per share for the current year.

CGI Group Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, September 19th. Shareholders of record on Friday, August 15th will be paid a dividend of $0.1086 per share. The ex-dividend date of this dividend is Friday, August 15th. This represents a $0.43 annualized dividend and a dividend yield of 0.5%. This is an increase from CGI Group's previous quarterly dividend of $0.11. CGI Group's dividend payout ratio is 8.13%.

Institutional Investors Weigh In On CGI Group

Several hedge funds have recently modified their holdings of the company. Ethic Inc. boosted its stake in shares of CGI Group by 11.9% during the 2nd quarter. Ethic Inc. now owns 7,092 shares of the technology company's stock worth $733,000 after purchasing an additional 752 shares during the last quarter. Yousif Capital Management LLC boosted its stake 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. Davis Rea LTD. boosted its stake in shares of CGI Group by 5.6% during the 2nd quarter. Davis Rea LTD. now owns 34,141 shares of the technology company's stock worth $3,572,000 after purchasing an additional 1,800 shares during the last quarter. Prime Capital Investment Advisors LLC boosted its stake in shares of CGI Group by 2.8% during the 2nd quarter. Prime Capital Investment Advisors LLC now owns 11,443 shares of the technology company's stock worth $1,200,000 after purchasing an additional 314 shares during the last quarter. Finally, Lynch & Associates IN acquired a new stake in shares of CGI Group during the 2nd quarter worth about $596,000. 66.68% of the stock is owned by institutional investors and hedge funds.

About CGI Group

CGI Inc, together with its subsidiaries, provides information technology (IT) and business process services. Its services include the business and strategic IT consulting, systems integration, and software solutions. The company also provides application development, modernization and maintenance, holistic enterprise digitization, automation, hybrid and cloud management, and business process services; intellectual property-based solutions; business consulting; managed IT services; and IT infrastructure services.