Scotiabank Comments on CGI's FY2025 Earnings (NYSE:GIB)

CGI Inc. (NYSE:GIB - Free Report) TSE: GIB.A - Scotiabank cut their FY2025 earnings per share (EPS) estimates for shares of CGI in a research note issued to investors on Monday, June 9th. Scotiabank analyst D. Goyal now forecasts that the technology company will post earnings per share of $6.02 for the year, down from their previous estimate of $6.04. The consensus estimate for CGI's current full-year earnings is $5.79 per share. Scotiabank also issued estimates for CGI's FY2026 earnings at $6.22 EPS.

CGI (NYSE:GIB - Get Free Report) TSE: GIB.A last issued its earnings results on Wednesday, April 30th. The technology company reported $1.48 EPS for the quarter, missing the consensus estimate of $1.50 by ($0.02). The firm had revenue of $2.80 billion during the quarter, compared to analyst estimates of $4.05 billion. CGI had a net margin of 11.72% and a return on equity of 19.32%. The firm's revenue for the quarter was up 7.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.97 EPS.

Separately, Royal Bank of Canada restated an "outperform" rating and set a $192.00 target price on shares of CGI in a report on Wednesday, March 26th. Two research analysts have rated the stock with a hold rating, two have given a buy rating and two have issued a strong buy rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Buy" and a consensus price target of $156.75.

CGI Price Performance

Shares of NYSE:GIB traded up $0.87 during trading on Wednesday, reaching $109.61. The stock had a trading volume of 86,622 shares, compared to its average volume of 203,353. The business's 50-day moving average price is $105.44 and its 200 day moving average price is $108.33. CGI has a 52 week low of $92.85 and a 52 week high of $122.79. The stock has a market capitalization of $24.85 billion, a PE ratio of 19.82, a P/E/G ratio of 2.58 and a beta of 0.78. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.31 and a quick ratio of 1.04.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. SVB Wealth LLC bought a new stake in CGI during the 1st quarter worth about $25,000. Fifth Third Bancorp boosted its position in CGI by 239.5% during the first quarter. Fifth Third Bancorp now owns 258 shares of the technology company's stock valued at $26,000 after purchasing an additional 182 shares during the last quarter. Sierra Ocean LLC bought a new position in CGI in the fourth quarter valued at approximately $62,000. Bank Julius Baer & Co. Ltd Zurich acquired a new position in shares of CGI during the 4th quarter worth approximately $83,000. Finally, Hoey Investments Inc. acquired a new stake in shares of CGI in the 4th quarter valued at approximately $99,000. 66.68% of the stock is owned by institutional investors and hedge funds.

CGI Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, June 20th. Shareholders of record on Friday, May 16th will be paid a $0.1086 dividend. This is an increase from CGI's previous quarterly dividend of $0.10. The ex-dividend date is Friday, May 16th. This represents a $0.43 annualized dividend and a dividend yield of 0.40%. CGI's dividend payout ratio (DPR) is currently 7.83%.

About CGI

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.