CGI Group (NYSE:GIB) Sets New 52-Week Low – Here’s Why

CGI Group, Inc. (NYSE:GIB) (TSE:GIB.A)’s share price hit a new 52-week low during mid-day trading on Wednesday . The company traded as low as $77.73 and last traded at $77.3240, with a volume of 87041 shares traded. The stock had previously closed at $80.94.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on GIB shares. Canadian Imperial Bank of Commerce lowered shares of CGI Group from a “strong-buy” rating to a “hold” rating in a research report on Sunday, December 14th. Scotiabank began coverage on shares of CGI Group in a research note on Tuesday, January 27th. They issued a “sector perform” rating on the stock. Royal Bank Of Canada reissued an “outperform” rating on shares of CGI Group in a research report on Monday, January 5th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of CGI Group in a research report on Monday, December 29th. Finally, TD Securities raised CGI Group to a “strong-buy” rating in a research report on Wednesday, January 28th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $117.00.

CGI Group Price Performance

The firm has a market cap of $16.70 billion, a price-to-earnings ratio of 14.28 and a beta of 0.59. The stock’s 50-day moving average price is $90.09 and its 200 day moving average price is $90.93. The company has a quick ratio of 0.70, a current ratio of 0.94 and a debt-to-equity ratio of 0.28.

CGI Group (NYSE:GIB) (TSE:GIB.A) last posted its quarterly earnings results on Wednesday, January 28th. The technology company reported $1.51 EPS for the quarter, missing the consensus estimate of $1.55 by ($0.04). CGI Group had a net margin of 10.25% and a return on equity of 18.61%. The firm had revenue of $2.96 billion during the quarter, compared to analyst estimates of $4.08 billion. During the same period last year, the company earned $1.97 EPS. The company’s revenue was up 7.7% on a year-over-year basis. Equities research analysts predict that CGI Group, Inc. will post 5.79 earnings per share for the current year.

CGI Group Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, March 20th. Investors of record on Wednesday, February 18th will be given a $0.17 dividend. This represents a $0.68 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Wednesday, February 18th. CGI Group’s dividend payout ratio (DPR) is 9.18%.

Institutional Investors Weigh In On CGI Group

Several institutional investors and hedge funds have recently bought and sold shares of GIB. First Horizon Corp bought a new position in shares of CGI Group during the 3rd quarter worth about $29,000. Steigerwald Gordon & Koch Inc. acquired a new position in CGI Group in the third quarter worth about $144,000. EverSource Wealth Advisors LLC lifted its stake in CGI Group by 53.3% during the second quarter. EverSource Wealth Advisors LLC now owns 1,452 shares of the technology company’s stock worth $152,000 after purchasing an additional 505 shares during the period. Hughes Financial Services LLC acquired a new stake in CGI Group during the third quarter valued at approximately $174,000. Finally, Entropy Technologies LP bought a new stake in shares of CGI Group in the 3rd quarter valued at approximately $236,000. Institutional investors own 66.68% of the company’s stock.

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.