CGI INC (GIB-A.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:GIB-A - CA12532H1047 - Common Stock
131.37 CAD
+1.11 (+0.85%)
GIB-A gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 11 industry peers in the IT Services industry. Both the health and profitability get an excellent rating, making GIB-A a very profitable company, without any liquidiy or solvency issues. GIB-A is not valued too expensively and it also shows a decent growth rate. These ratings could make GIB-A a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
- In the past year GIB-A was profitable.
- GIB-A had a positive operating cash flow in the past year.
- Each year in the past 5 years GIB-A has been profitable.
- In the past 5 years GIB-A always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 8.49%, GIB-A belongs to the top of the industry, outperforming 90.91% of the companies in the same industry.
- GIB-A has a Return On Equity of 16.13%. This is amongst the best in the industry. GIB-A outperforms 100.00% of its industry peers.
- The Return On Invested Capital of GIB-A (13.30%) is better than 90.91% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for GIB-A is significantly above the industry average of 9.03%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.49% | ||
| ROE | 16.13% | ||
| ROIC | 13.3% |
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
- With an excellent Profit Margin value of 10.42%, GIB-A belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
- In the last couple of years the Profit Margin of GIB-A has grown nicely.
- With an excellent Operating Margin value of 16.30%, GIB-A belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- GIB-A's Operating Margin has been stable in the last couple of years.
- With a Gross Margin value of 16.41%, GIB-A is not doing good in the industry: 72.73% of the companies in the same industry are doing better.
- GIB-A's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.3% | ||
| PM (TTM) | 10.42% | ||
| GM | 16.41% |
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) well above the Cost of Capital (WACC), GIB-A is creating value.
- Compared to 1 year ago, GIB-A has less shares outstanding
- Compared to 5 years ago, GIB-A has less shares outstanding
- The debt/assets ratio for GIB-A is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 3.65 indicates that GIB-A is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 3.65, GIB-A belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
- The Debt to FCF ratio of GIB-A is 2.32, which is a good value as it means it would take GIB-A, 2.32 years of fcf income to pay off all of its debts.
- GIB-A has a Debt to FCF ratio of 2.32. This is in the better half of the industry: GIB-A outperforms 72.73% of its industry peers.
- A Debt/Equity ratio of 0.32 indicates that GIB-A is not too dependend on debt financing.
- The Debt to Equity ratio of GIB-A (0.32) is better than 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 2.32 | ||
| Altman-Z | 3.65 |
ROIC/WACC1.71
WACC7.78%
2.3 Liquidity
- A Current Ratio of 0.99 indicates that GIB-A may have some problems paying its short term obligations.
- GIB-A has a Current ratio (0.99) which is comparable to the rest of the industry.
- GIB-A has a Quick Ratio of 0.99. 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.
- GIB-A's Quick ratio of 0.72 is on the low side compared to the rest of the industry. GIB-A is outperformed by 63.64% of its industry peers.
- GIB-A does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
- GIB-A shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.04%, which is quite good.
- Measured over the past years, GIB-A shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.21% on average per year.
- GIB-A shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.43%.
- 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)9.04%
EPS 3Y10.66%
EPS 5Y11.21%
EPS Q2Q%10.94%
Revenue 1Y (TTM)8.43%
Revenue growth 3Y7.34%
Revenue growth 5Y5.52%
Sales Q2Q%9.66%
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 8.53% 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 Y10.82%
EPS Next 2Y9.58%
EPS Next 3Y8.53%
EPS Next 5YN/A
Revenue Next Year5.33%
Revenue Next 2Y4.32%
Revenue Next 3Y4.43%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- GIB-A is valuated correctly with a Price/Earnings ratio of 15.79.
- Compared to the rest of the industry, the Price/Earnings ratio of GIB-A indicates a rather cheap valuation: GIB-A is cheaper than 90.91% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of GIB-A to the average of the S&P500 Index (27.33), we can say GIB-A is valued slightly cheaper.
- A Price/Forward Earnings ratio of 14.25 indicates a correct valuation of GIB-A.
- Based on the Price/Forward Earnings ratio, GIB-A is valued cheaply inside the industry as 90.91% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 24.12. GIB-A is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.79 | ||
| Fwd PE | 14.25 |
4.2 Price Multiples
- GIB-A's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GIB-A is cheaper than 81.82% of the companies in the same industry.
- GIB-A's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. GIB-A is cheaper than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.43 | ||
| EV/EBITDA | 10.05 |
4.3 Compensation for Growth
- GIB-A's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of GIB-A may justify a higher PE ratio.
PEG (NY)1.46
PEG (5Y)1.41
EPS Next 2Y9.58%
EPS Next 3Y8.53%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.47%, GIB-A is not a good candidate for dividend investing.
- GIB-A's Dividend Yield is rather good when compared to the industry average which is at 0.04. GIB-A pays more dividend than 100.00% of the companies in the same industry.
- With a Dividend Yield of 0.47, GIB-A pays less dividend than the S&P500 average, which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
- GIB-A does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 8.14% of the earnings are spent on dividend by GIB-A. This is a low number and sustainable payout ratio.
DP8.14%
EPS Next 2Y9.58%
EPS Next 3Y8.53%
TSX:GIB-A (1/14/2026, 7:00:00 PM)
131.37
+1.11 (+0.85%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)11-05 2025-11-05/bmo
Earnings (Next)01-28 2026-01-28
Inst Owners71.89%
Inst Owner ChangeN/A
Ins Owners0.4%
Ins Owner ChangeN/A
Market Cap28.79B
Revenue(TTM)15.91B
Net Income(TTM)1.66B
Analysts76.19
Price Target152.07 (15.76%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Yearly Dividend0.6
Dividend Growth(5Y)N/A
DP8.14%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.64%
Min EPS beat(2)-1.94%
Max EPS beat(2)-1.35%
EPS beat(4)0
Avg EPS beat(4)-2.4%
Min EPS beat(4)-3.28%
Max EPS beat(4)-1.35%
EPS beat(8)0
Avg EPS beat(8)-2.37%
EPS beat(12)2
Avg EPS beat(12)-1.65%
EPS beat(16)3
Avg EPS beat(16)-1.53%
Revenue beat(2)0
Avg Revenue beat(2)-2.47%
Min Revenue beat(2)-3.74%
Max Revenue beat(2)-1.2%
Revenue beat(4)0
Avg Revenue beat(4)-2.64%
Min Revenue beat(4)-3.74%
Max Revenue beat(4)-1.2%
Revenue beat(8)0
Avg Revenue beat(8)-2.72%
Revenue beat(12)2
Avg Revenue beat(12)-2.24%
Revenue beat(16)2
Avg Revenue beat(16)-2.13%
PT rev (1m)-0.56%
PT rev (3m)-10.34%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.96%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.59%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.79 | ||
| Fwd PE | 14.25 | ||
| P/S | 1.81 | ||
| P/FCF | 15.43 | ||
| P/OCF | 12.89 | ||
| P/B | 2.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.05 |
EPS(TTM)8.32
EY6.33%
EPS(NY)9.22
Fwd EY7.02%
FCF(TTM)8.51
FCFY6.48%
OCF(TTM)10.19
OCFY7.76%
SpS72.61
BVpS46.92
TBVpS-12.42
PEG (NY)1.46
PEG (5Y)1.41
Graham Number93.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.49% | ||
| ROE | 16.13% | ||
| ROCE | 17.99% | ||
| ROIC | 13.3% | ||
| ROICexc | 14.15% | ||
| ROICexgc | 351.54% | ||
| OM | 16.3% | ||
| PM (TTM) | 10.42% | ||
| GM | 16.41% | ||
| FCFM | 11.73% |
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-Score5
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 2.32 | ||
| Debt/EBITDA | 1.03 | ||
| Cap/Depr | 59.98% | ||
| Cap/Sales | 2.32% | ||
| Interest Coverage | 20.09 | ||
| Cash Conversion | 69.63% | ||
| Profit Quality | 112.51% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 3.65 |
F-Score5
WACC7.78%
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)9.04%
EPS 3Y10.66%
EPS 5Y11.21%
EPS Q2Q%10.94%
EPS Next Y10.82%
EPS Next 2Y9.58%
EPS Next 3Y8.53%
EPS Next 5YN/A
Revenue 1Y (TTM)8.43%
Revenue growth 3Y7.34%
Revenue growth 5Y5.52%
Sales Q2Q%9.66%
Revenue Next Year5.33%
Revenue Next 2Y4.32%
Revenue Next 3Y4.43%
Revenue Next 5YN/A
EBIT growth 1Y7.98%
EBIT growth 3Y7.66%
EBIT growth 5Y6.85%
EBIT Next Year29.29%
EBIT Next 3Y10.58%
EBIT Next 5YN/A
FCF growth 1Y1.16%
FCF growth 3Y7.86%
FCF growth 5Y2.82%
OCF growth 1Y1.32%
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 6 / 10 to CGI INC (GIB-A.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for CGI INC?
CGI INC (GIB-A.CA) has a profitability rating of 8 / 10.
What is the financial health of CGI INC (GIB-A.CA) stock?
The financial health rating of CGI INC (GIB-A.CA) is 7 / 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 10.82% in the next year.