CGI Group, Inc. (NYSE:GIB) Receives $148.25 Average Target Price from Analysts

Key Points

• CGI Group, Inc. has received an average recommendation of "Buy" from four research firms, with a target price of $148.25 among analysts.
• The company recently reported $1.52 EPS for the quarter, which slightly surpassed expectations, with revenue growing 11.4% year-over-year.
• CGI Group has announced a quarterly dividend increase to $0.1086, leading to an annual yield of 0.5% for investors.

Shares of CGI Group, Inc. (NYSE:GIB - Get Free Report) TSE: GIB.A have been given an average rating of "Buy" by the four ratings firms that are presently covering the firm, Marketbeat reports. One analyst has rated the stock with a hold recommendation, two have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year price target among brokerages that have covered the stock in the last year is $148.25.

Several research analysts have recently commented on the company. Royal Bank Of Canada lowered their price target on CGI Group from $185.00 to $175.00 and set an "outperform" rating for the company in a research report on Thursday, July 31st. UBS Group reduced their price objective on CGI Group from $112.00 to $105.00 and set a "neutral" rating on the stock in a research note on Thursday, July 31st.

Institutional Trading of CGI Group

Several hedge funds have recently modified their holdings of GIB. Federation des caisses Desjardins du Quebec lifted its holdings in CGI Group by 22.5% during the 1st quarter. Federation des caisses Desjardins du Quebec now owns 4,933,984 shares of the technology company's stock worth $491,725,000 after buying an additional 907,876 shares during the last quarter. Royal Bank of Canada lifted its holdings in shares of CGI Group by 10.1% in the 1st quarter. Royal Bank of Canada now owns 8,151,753 shares of the technology company's stock valued at $813,792,000 after purchasing an additional 747,918 shares during the last quarter. Goldman Sachs Group Inc. lifted its holdings in shares of CGI Group by 275.3% in the 1st quarter. Goldman Sachs Group Inc. now owns 898,276 shares of the technology company's stock valued at $89,675,000 after purchasing an additional 658,925 shares during the last quarter. Beutel Goodman & Co Ltd. lifted its holdings in shares of CGI Group by 13.0% in the 2nd quarter. Beutel Goodman & Co Ltd. now owns 3,452,820 shares of the technology company's stock valued at $361,881,000 after purchasing an additional 397,005 shares during the last quarter. Finally, Canada Pension Plan Investment Board lifted its holdings in shares of CGI Group by 35.6% in the 1st quarter. Canada Pension Plan Investment Board now owns 956,460 shares of the technology company's stock valued at $95,499,000 after purchasing an additional 251,242 shares during the last quarter. 66.68% of the stock is currently owned by institutional investors and hedge funds.

CGI Group Trading Up 0.4%

Shares of GIB traded up $0.36 during midday trading on Friday, hitting $92.62. 376,253 shares of the stock were exchanged, compared to its average volume of 270,296. CGI Group has a 52-week low of $92.07 and a 52-week high of $122.79. The stock has a fifty day simple moving average of $96.55 and a 200 day simple moving average of $101.75. The firm has a market cap of $20.65 billion, a P/E ratio of 17.12, a P/E/G ratio of 1.70 and a beta of 0.75. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.94 and a current ratio of 1.27.

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

CGI Group Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 19th. Stockholders of record on Friday, August 15th will be paid a $0.1086 dividend. The ex-dividend date is Friday, August 15th. This is an increase from CGI Group's previous quarterly dividend of $0.11. This represents a $0.43 annualized dividend and a dividend yield of 0.5%. CGI Group's payout ratio is 7.95%.

CGI Group Company Profile

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.