MEG Energy (MEG) Competitors

MEG Energy (TSE:MEG) and CGI (TSE:GIB.A) are both business services companies, but which is the superior stock? We will contrast the two companies based on the strength of their media sentiment, dividends, profitability, valuation, institutional ownership, risk, earnings and analyst recommendations.

Does the media prefer MEG or GIB.A?

In the previous week, MEG Energy had 6 more articles in the media than CGI. MarketBeat recorded 7 mentions for MEG Energy and 1 mentions for CGI. MEG Energy's average media sentiment score of 0.39 beat CGI's score of 0.00 indicating that MEG Energy is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
MEG Energy	3 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Neutral
CGI	0 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Which has better earnings and valuation, MEG or GIB.A?

CGI has higher revenue and earnings than MEG Energy. MEG Energy is trading at a lower price-to-earnings ratio than CGI, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MEG Energy	C$4.81B	1.52	C$487.47M	C$2.09	13.74
CGI	C$15.56B	1.89	C$1.67B	C$7.55	17.46

Do insiders and institutionals hold more shares of MEG or GIB.A?

56.5% of MEG Energy shares are owned by institutional investors. Comparatively, 36.0% of CGI shares are owned by institutional investors. 0.3% of MEG Energy shares are owned by insiders. Comparatively, 0.8% of CGI shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Do analysts rate MEG or GIB.A?

MEG Energy presently has a consensus target price of C$30.78, suggesting a potential upside of 7.20%. CGI has a consensus target price of C$179.40, suggesting a potential upside of 36.08%. Given CGI's stronger consensus rating and higher possible upside, analysts clearly believe CGI is more favorable than MEG Energy.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MEG Energy	0 Sell rating(s)	2 Hold rating(s)	1 Buy rating(s)	1 Strong Buy rating(s)	2.75
CGI	0 Sell rating(s)	0 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	3.00

Which has more risk and volatility, MEG or GIB.A?

MEG Energy has a beta of 0.914035, suggesting that its stock price is 9% less volatile than the S&P 500. Comparatively, CGI has a beta of 0.404753, suggesting that its stock price is 60% less volatile than the S&P 500.

Is MEG or GIB.A more profitable?

CGI has a net margin of 11.51% compared to MEG Energy's net margin of 9.04%. CGI's return on equity of 19.51% beat MEG Energy's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
MEG Energy	9.04%	11.06%	8.96%
CGI	11.51%	19.51%	9.35%

Is MEG or GIB.A a better dividend stock?

MEG Energy pays an annual dividend of C$0.40 per share and has a dividend yield of 1.4%. CGI pays an annual dividend of C$0.45 per share and has a dividend yield of 0.3%. MEG Energy pays out 19.1% of its earnings in the form of a dividend. CGI pays out 6.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Summary

CGI beats MEG Energy on 13 of the 19 factors compared between the two stocks.