CGI INC (GIB-A.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:GIB-A • CA12532H1047
112.92 CAD
-0.24 (-0.21%)
Last: Feb 6, 2026, 07:00 PM
Taking everything into account, GIB-A scores 6 out of 10 in our fundamental rating. GIB-A was compared to 12 industry peers in the IT Services industry. GIB-A scores excellent on profitability, but there are some minor concerns on its financial health. GIB-A scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes GIB-A very considerable for value investing!
1. Profitability
1.1 Basic Checks
- In the past year GIB-A was profitable.
- In the past year GIB-A had a positive cash flow from operations.
- GIB-A had positive earnings in each of the past 5 years.
- GIB-A had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of GIB-A (8.79%) is better than 83.33% of its industry peers.
- GIB-A's Return On Equity of 16.71% is amongst the best of the industry. GIB-A outperforms 100.00% of its industry peers.
- GIB-A has a Return On Invested Capital of 13.89%. This is amongst the best in the industry. GIB-A outperforms 91.67% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for GIB-A is above the industry average of 9.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.79% | ||
| ROE | 16.71% | ||
| ROIC | 13.89% |
ROA(3y)9.65%
ROA(5y)9.55%
ROE(3y)17.9%
ROE(5y)18.69%
ROIC(3y)14.07%
ROIC(5y)13.69%
1.3 Margins
- The Profit Margin of GIB-A (10.25%) is better than 91.67% of its industry peers.
- In the last couple of years the Profit Margin of GIB-A has grown nicely.
- GIB-A has a Operating Margin of 16.29%. This is amongst the best in the industry. GIB-A outperforms 100.00% of its industry peers.
- GIB-A's Operating Margin has been stable in the last couple of years.
- GIB-A has a worse Gross Margin (16.39%) than 66.67% of its industry peers.
- GIB-A's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.29% | ||
| PM (TTM) | 10.25% | ||
| GM | 16.39% |
OM growth 3Y0.3%
OM growth 5Y1.26%
PM growth 3Y-2.93%
PM growth 5Y2.54%
GM growth 3Y-40.08%
GM growth 5Y-26.1%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), GIB-A is creating some value.
- The number of shares outstanding for GIB-A has been reduced compared to 1 year ago.
- GIB-A has less shares outstanding than it did 5 years ago.
- GIB-A has a worse debt/assets ratio than last year.
2.2 Solvency
- GIB-A has an Altman-Z score of 3.49. This indicates that GIB-A is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 3.49, GIB-A belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- GIB-A has a debt to FCF ratio of 2.06. This is a good value and a sign of high solvency as GIB-A would need 2.06 years to pay back of all of its debts.
- GIB-A's Debt to FCF ratio of 2.06 is amongst the best of the industry. GIB-A outperforms 83.33% of its industry peers.
- GIB-A has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
- GIB-A has a Debt to Equity ratio of 0.33. This is amongst the best in the industry. GIB-A outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.06 | ||
| Altman-Z | 3.49 |
ROIC/WACC1.71
WACC8.11%
2.3 Liquidity
- A Current Ratio of 0.94 indicates that GIB-A may have some problems paying its short term obligations.
- GIB-A has a Current ratio (0.94) which is comparable to the rest of the industry.
- GIB-A has a Quick Ratio of 0.94. This is a bad value and indicates that GIB-A is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of GIB-A (0.70) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 9.01% over the past year.
- GIB-A shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.21% yearly.
- Looking at the last year, GIB-A shows a quite strong growth in Revenue. The Revenue has grown by 9.07% in the last year.
- GIB-A shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.52% yearly.
EPS 1Y (TTM)9.01%
EPS 3Y10.66%
EPS 5Y11.21%
EPS Q2Q%7.61%
Revenue 1Y (TTM)9.07%
Revenue growth 3Y7.34%
Revenue growth 5Y5.52%
Sales Q2Q%7.74%
3.2 Future
- Based on estimates for the next years, GIB-A will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.19% on average per year.
- GIB-A is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.43% yearly.
EPS Next Y10.69%
EPS Next 2Y9.67%
EPS Next 3Y9.19%
EPS Next 5YN/A
Revenue Next Year5.33%
Revenue Next 2Y4.32%
Revenue Next 3Y4.43%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 13.33, which indicates a correct valuation of GIB-A.
- Based on the Price/Earnings ratio, GIB-A is valued cheaper than 83.33% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.93, GIB-A is valued rather cheaply.
- With a Price/Forward Earnings ratio of 11.28, the valuation of GIB-A can be described as very reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of GIB-A indicates a rather cheap valuation: GIB-A is cheaper than 100.00% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of GIB-A to the average of the S&P500 Index (27.77), we can say GIB-A is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.33 | ||
| Fwd PE | 11.28 |
4.2 Price Multiples
- 83.33% of the companies in the same industry are more expensive than GIB-A, based on the Enterprise Value to EBITDA ratio.
- 75.00% of the companies in the same industry are more expensive than GIB-A, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.85 | ||
| EV/EBITDA | 8.64 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of GIB-A may justify a higher PE ratio.
PEG (NY)1.25
PEG (5Y)1.19
EPS Next 2Y9.67%
EPS Next 3Y9.19%
5. Dividend
5.1 Amount
- GIB-A has a yearly dividend return of 0.57%, which is pretty low.
- GIB-A's Dividend Yield is rather good when compared to the industry average which is at 0.05. GIB-A pays more dividend than 100.00% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, GIB-A's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
5.2 History
- GIB-A has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 8.30% of the earnings are spent on dividend by GIB-A. This is a low number and sustainable payout ratio.
DP8.3%
EPS Next 2Y9.67%
EPS Next 3Y9.19%
TSX:GIB-A (2/6/2026, 7:00:00 PM)
112.92
-0.24 (-0.21%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)01-28 2026-01-28/bmo
Earnings (Next)04-29 2026-04-29
Inst Owners71.89%
Inst Owner ChangeN/A
Ins Owners0.4%
Ins Owner ChangeN/A
Market Cap24.75B
Revenue(TTM)16.21B
Net Income(TTM)1.66B
Analysts76.19
Price Target149.78 (32.64%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
Yearly Dividend0.6
Dividend Growth(5Y)N/A
DP8.3%
Div Incr Years1
Div Non Decr Years1
Ex-Date02-18 2026-02-18 (0.17)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.06%
Min EPS beat(2)-2.78%
Max EPS beat(2)-1.35%
EPS beat(4)0
Avg EPS beat(4)-2.33%
Min EPS beat(4)-3.28%
Max EPS beat(4)-1.35%
EPS beat(8)0
Avg EPS beat(8)-2.42%
EPS beat(12)1
Avg EPS beat(12)-1.93%
EPS beat(16)2
Avg EPS beat(16)-1.74%
Revenue beat(2)0
Avg Revenue beat(2)-3.2%
Min Revenue beat(2)-3.74%
Max Revenue beat(2)-2.66%
Revenue beat(4)0
Avg Revenue beat(4)-2.63%
Min Revenue beat(4)-3.74%
Max Revenue beat(4)-1.2%
Revenue beat(8)0
Avg Revenue beat(8)-2.76%
Revenue beat(12)1
Avg Revenue beat(12)-2.52%
Revenue beat(16)2
Avg Revenue beat(16)-2.07%
PT rev (1m)-1.5%
PT rev (3m)-10.28%
EPS NQ rev (1m)-0.45%
EPS NQ rev (3m)0.99%
EPS NY rev (1m)-0.12%
EPS NY rev (3m)-0.21%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)0.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.33 | ||
| Fwd PE | 11.28 | ||
| P/S | 1.53 | ||
| P/FCF | 11.85 | ||
| P/OCF | 10.06 | ||
| P/B | 2.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.64 |
EPS(TTM)8.47
EY7.5%
EPS(NY)10.01
Fwd EY8.86%
FCF(TTM)9.53
FCFY8.44%
OCF(TTM)11.22
OCFY9.94%
SpS73.95
BVpS45.39
TBVpS-13.52
PEG (NY)1.25
PEG (5Y)1.19
Graham Number93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.79% | ||
| ROE | 16.71% | ||
| ROCE | 18.8% | ||
| ROIC | 13.89% | ||
| ROICexc | 14.78% | ||
| ROICexgc | 661.9% | ||
| OM | 16.29% | ||
| PM (TTM) | 10.25% | ||
| GM | 16.39% | ||
| FCFM | 12.88% |
ROA(3y)9.65%
ROA(5y)9.55%
ROE(3y)17.9%
ROE(5y)18.69%
ROIC(3y)14.07%
ROIC(5y)13.69%
ROICexc(3y)15.91%
ROICexc(5y)15.49%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)19.04%
ROCE(5y)18.52%
ROICexgc growth 3Y42.98%
ROICexgc growth 5Y28.41%
ROICexc growth 3Y-0.84%
ROICexc growth 5Y0.97%
OM growth 3Y0.3%
OM growth 5Y1.26%
PM growth 3Y-2.93%
PM growth 5Y2.54%
GM growth 3Y-40.08%
GM growth 5Y-26.1%
F-Score6
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.06 | ||
| Debt/EBITDA | 1.01 | ||
| Cap/Depr | 59.82% | ||
| Cap/Sales | 2.29% | ||
| Interest Coverage | 19.96 | ||
| Cash Conversion | 75.42% | ||
| Profit Quality | 125.65% | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 3.49 |
F-Score6
WACC8.11%
ROIC/WACC1.71
Cap/Depr(3y)69.26%
Cap/Depr(5y)69.7%
Cap/Sales(3y)2.54%
Cap/Sales(5y)2.61%
Profit Quality(3y)108.63%
Profit Quality(5y)111.98%
High Growth Momentum
Growth
EPS 1Y (TTM)9.01%
EPS 3Y10.66%
EPS 5Y11.21%
EPS Q2Q%7.61%
EPS Next Y10.69%
EPS Next 2Y9.67%
EPS Next 3Y9.19%
EPS Next 5YN/A
Revenue 1Y (TTM)9.07%
Revenue growth 3Y7.34%
Revenue growth 5Y5.52%
Sales Q2Q%7.74%
Revenue Next Year5.33%
Revenue Next 2Y4.32%
Revenue Next 3Y4.43%
Revenue Next 5YN/A
EBIT growth 1Y8.54%
EBIT growth 3Y7.66%
EBIT growth 5Y6.85%
EBIT Next Year29.29%
EBIT Next 3Y10.58%
EBIT Next 5YN/A
FCF growth 1Y24.06%
FCF growth 3Y7.86%
FCF growth 5Y2.82%
OCF growth 1Y18.02%
OCF growth 3Y6.21%
OCF growth 5Y2.88%
CGI INC / GIB-A.CA FAQ
What is the fundamental rating for GIB-A stock?
ChartMill assigns a fundamental rating of 6 / 10 to GIB-A.CA.
What is the valuation status for GIB-A stock?
ChartMill assigns a valuation rating of 7 / 10 to CGI INC (GIB-A.CA). This can be considered as Undervalued.
Can you provide the profitability details for CGI INC?
CGI INC (GIB-A.CA) has a profitability rating of 7 / 10.
What is the financial health of CGI INC (GIB-A.CA) stock?
The financial health rating of CGI INC (GIB-A.CA) is 6 / 10.
Can you provide the expected EPS growth for GIB-A stock?
The Earnings per Share (EPS) of CGI INC (GIB-A.CA) is expected to grow by 10.69% in the next year.