FY2025 Earnings Forecast for CGI Group Issued By Desjardins

Key Points

• Desjardins has raised its FY2025 earnings estimate for CGI Group to $6.10 per share, higher than the earlier forecast of $5.92 and the consensus estimate of $5.79.
• CGI Group recently declared a quarterly dividend of $0.1086 per share, reflecting a positive increase from the previous dividend of $0.11, with an annual yield of 0.5%.
• Despite beating earnings expectations with $1.52 per share in the recent quarter, CGI Group reported revenue of $3 billion, falling short of the expected $4.01 billion.

CGI Group, Inc. (NYSE:GIB - Free Report) TSE: GIB.A - Stock analysts at Desjardins lifted their FY2025 earnings per share estimates for CGI Group in a research report issued on Wednesday, July 30th. Desjardins analyst J. Dubreuil now anticipates that the technology company will post earnings per share of $6.10 for the year, up from their previous estimate of $5.92. The consensus estimate for CGI Group's current full-year earnings is $5.79 per share. Desjardins also issued estimates for CGI Group's Q4 2025 earnings at $1.49 EPS and Q1 2026 earnings at $1.58 EPS.

GIB has been the subject of several other research reports. UBS Group decreased 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 note on Thursday. 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 report on Thursday. Two investment analysts have rated the stock with a hold rating, two have issued a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $148.25.

CGI Group Trading Down 1.1%

NYSE GIB traded down $1.06 during trading on Friday, hitting $95.37. The stock had a trading volume of 324,095 shares, compared to its average volume of 296,347. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.92 and a current ratio of 1.27. The stock has a market capitalization of $21.26 billion, a price-to-earnings ratio of 17.63, a P/E/G ratio of 1.76 and a beta of 0.72. CGI Group has a one year low of $92.85 and a one year high of $122.79. The stock has a 50 day simple moving average of $104.29 and a 200 day simple moving average of $106.39.

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 earnings per share for the quarter, beating 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 company had revenue of $3 billion for the quarter, compared to analyst estimates of $4.01 billion. During the same quarter in the prior year, the firm posted $1.91 EPS. CGI Group's quarterly revenue was up 11.4% compared to the same quarter last year.

CGI Group Increases Dividend

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

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Federation des caisses Desjardins du Quebec lifted its stake in shares of 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 purchasing an additional 907,876 shares during the last quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp boosted its position in CGI Group by 1,190.6% during the fourth quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp now owns 845,916 shares of the technology company's stock valued at $92,438,000 after purchasing an additional 780,370 shares in the last quarter. Royal Bank of Canada boosted its position in CGI Group by 10.1% during the first 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 in the last quarter. Goldman Sachs Group Inc. boosted its position in CGI Group by 275.3% during the first 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 in the last quarter. Finally, Bank of Montreal Can boosted its position in CGI Group by 17.3% during the fourth quarter. Bank of Montreal Can now owns 3,843,289 shares of the technology company's stock valued at $419,976,000 after purchasing an additional 567,868 shares in the last quarter. 66.68% of the stock is currently owned by hedge funds and other institutional investors.

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.