Royal Bank Of Canada Downgrades CGI (TSE:GIB.A) to Sector Perform

Key Points

• Royal Bank of Canada downgraded CGI from "outperform" to "sector perform" and cut its price target from C$150 to C$100, implying roughly a 13.6% upside versus the stock's then-current price.
• Other analysts have also trimmed targets, yet the consensus remains a "Moderate Buy" with an average target of C$127.46 and a breakdown of eight Buy ratings and four Hold ratings.
• Shares were trading near C$88.01 (down about 2%); CGI has a market cap of C$18.9B, a P/E of 11.8, and reported quarterly EPS of C$2.27 on C$4.16B revenue.

CGI (TSE:GIB.A - Get Free Report) NYSE: GIB was downgraded by research analysts at Royal Bank Of Canada from an "outperform" rating to a "sector perform" rating in a report issued on Thursday,BayStreet.CA reports. They currently have a C$100.00 price objective on the stock, down from their previous price objective of C$150.00. Royal Bank Of Canada's target price would indicate a potential upside of 13.62% from the company's current price.

GIB.A has been the topic of a number of other research reports. Desjardins set a C$149.00 target price on CGI and gave the company a "buy" rating in a research note on Wednesday. Stifel Nicolaus dropped their target price on CGI from C$160.00 to C$128.00 and set a "buy" rating on the stock in a research report on Tuesday. BMO Capital Markets dropped their target price on CGI from C$137.00 to C$122.00 and set an "outperform" rating on the stock in a research report on Monday. TD decreased their price objective on CGI from C$153.00 to C$102.00 and set a "buy" rating for the company in a report on Thursday. Finally, National Bank Financial reduced their target price on CGI from C$185.00 to C$150.00 and set an "outperform" rating for the company in a research note on Monday. Eight investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of C$127.46.

CGI Trading Down 2.0%

GIB.A stock traded down C$1.77 during midday trading on Thursday, reaching C$88.01. 701,989 shares of the company traded hands, compared to its average volume of 675,954. CGI has a 52-week low of C$84.70 and a 52-week high of C$152.63. The company has a debt-to-equity ratio of 34.24, a quick ratio of 0.97 and a current ratio of 1.16. The business has a 50 day moving average of C$100.31 and a 200-day moving average of C$114.39. The firm has a market capitalization of C$18.90 billion, a price-to-earnings ratio of 11.80, a P/E/G ratio of 2.24 and a beta of 0.09.

CGI (TSE:GIB.A - Get Free Report) NYSE: GIB last issued its quarterly earnings data on Wednesday, April 29th. The company reported C$2.27 earnings per share (EPS) for the quarter. CGI had a return on equity of 19.51% and a net margin of 11.51%.The business had revenue of C$4.16 billion for the quarter. As a group, sell-side analysts expect that CGI will post 8.3679245 earnings per share for the current fiscal year.

CGI Company Profile

Founded in 1976, CGI is among the largest independent IT and business consulting services firms in the world. With 91,000 consultants and professionals across the globe, CGI delivers an end-to-end portfolio of capabilities, from strategic IT and business consulting to systems integration, managed IT and business process services and intellectual property solutions. CGI works with clients through a local relationship model complemented by a global delivery network that helps clients digitally transform their organizations and accelerate results.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.