What is Scotiabank's Forecast for CGI Group FY2026 Earnings?

Key Points

• Scotiabank raised its FY2026 EPS estimate for CGI to $6.58 (from $6.50) and forecasts FY2027 EPS of $7.05, while maintaining a "Sector Perform" rating; the market consensus is $6.54.
• CGI's most recent quarter reported EPS of $1.65, in line with expectations, but revenue of $2.99 billion missed the $3.05 billion estimate and was up 3.3% year‑over‑year.
• The stock trades near $66.53 with a 52‑week range of $61.90–$110.07, a PE of 12.01 and market cap of $14.29B, and management declared a quarterly dividend of $0.17 (1.0% yield).

CGI Group, Inc. (NYSE:GIB - Free Report) TSE: GIB.A - Stock analysts at Scotiabank lifted their FY2026 earnings estimates for CGI Group in a note issued to investors on Friday, May 1st. Scotiabank analyst K. Krishnaratne now expects that the technology company will post earnings of $6.58 per share for the year, up from their prior forecast of $6.50. Scotiabank has a "Sector Perform" rating on the stock. The consensus estimate for CGI Group's current full-year earnings is $6.54 per share. Scotiabank also issued estimates for CGI Group's FY2027 earnings at $7.05 EPS.

CGI Group (NYSE:GIB - Get Free Report) TSE: GIB.A last announced its quarterly earnings results on Wednesday, April 29th. The technology company reported $1.65 EPS for the quarter, meeting analysts' consensus estimates of $1.65. CGI Group had a net margin of 10.26% and a return on equity of 18.72%. The company had revenue of $2.99 billion for the quarter, compared to analysts' expectations of $3.05 billion. During the same period in the prior year, the company posted $2.12 EPS. CGI Group's revenue was up 3.3% compared to the same quarter last year.

Other analysts have also recently issued reports about the stock. TD Securities upgraded shares of CGI Group to a "strong-buy" rating in a research note on Wednesday, January 28th. Weiss Ratings cut shares of CGI Group from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Friday, March 27th. Royal Bank Of Canada cut shares of CGI Group from an "outperform" rating to a "sector perform" rating and lowered their target price for the stock from $150.00 to $100.00 in a research note on Thursday. Finally, UBS Group lowered their target price on shares of CGI Group from $79.00 to $70.00 and set a "neutral" rating on the stock in a research note on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $83.67.

CGI Group Stock Performance

NYSE GIB opened at $66.53 on Monday. CGI Group has a 1 year low of $61.90 and a 1 year high of $110.07. The company has a debt-to-equity ratio of 0.28, a current ratio of 0.95 and a quick ratio of 0.68. The stock has a market capitalization of $14.29 billion, a PE ratio of 12.01 and a beta of 0.45. The company's 50 day simple moving average is $72.88 and its two-hundred day simple moving average is $82.56.

Hedge Funds Weigh In On CGI Group

A number of institutional investors have recently made changes to their positions in the stock. Venturi Wealth Management LLC bought a new position in shares of CGI Group during the 1st quarter valued at $204,000. SG Americas Securities LLC bought a new position in shares of CGI Group during the 1st quarter valued at $470,000. Strive Financial Group LLC bought a new position in shares of CGI Group during the 4th quarter valued at $37,000. Kepler Cheuvreux Suisse SA grew its holdings in shares of CGI Group by 7.5% during the 4th quarter. Kepler Cheuvreux Suisse SA now owns 78,358 shares of the technology company's stock valued at $7,232,000 after purchasing an additional 5,457 shares during the last quarter. Finally, Ethic Inc. grew its holdings in shares of CGI Group by 13.4% during the 4th quarter. Ethic Inc. now owns 9,804 shares of the technology company's stock valued at $905,000 after purchasing an additional 1,158 shares during the last quarter. Institutional investors own 66.68% of the company's stock.

CGI Group Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, June 19th. Stockholders of record on Friday, May 15th will be issued a $0.17 dividend. The ex-dividend date of this dividend is Friday, May 15th. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.0%. CGI Group's dividend payout ratio is presently 9.03%.

About CGI Group

CGI Group Inc is a global information technology and business consulting firm that delivers a broad range of services including IT consulting, systems integration, application development and maintenance, infrastructure and network services, managed IT and business process outsourcing. The company works with clients to design, build and operate IT systems and business solutions, with capabilities spanning cloud and hybrid IT environments, cybersecurity, data analytics and artificial intelligence, digital transformation and enterprise resource planning implementations.

Founded in 1976 in Quebec by Serge Godin and André Imbeau, CGI has grown from a regional systems integrator into a multinational professional services organization.

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