CGI INC (GIB) Stock Fundamental Analysis
NYSE:GIB • CA12532H1047
73.88 USD
+0.5 (+0.68%)
At close: Feb 18, 2026
72.54 USD
-1.34 (-1.81%)
Pre-Market: 2/19/2026, 8:34:07 AM
GIB gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 87 industry peers in the IT Services industry. While GIB belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. GIB is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
- In the past year GIB was profitable.
- In the past year GIB had a positive cash flow from operations.
- GIB had positive earnings in each of the past 5 years.
- In the past 5 years GIB always reported a positive cash flow from operatings.
1.2 Ratios
- GIB's Return On Assets of 8.79% is amongst the best of the industry. GIB outperforms 81.61% of its industry peers.
- GIB has a better Return On Equity (16.71%) than 81.61% of its industry peers.
- The Return On Invested Capital of GIB (13.89%) is better than 87.36% of its industry peers.
- GIB had an Average Return On Invested Capital over the past 3 years of 14.07%. This is above the industry average of 10.62%.
| 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
- With a decent Profit Margin value of 10.25%, GIB is doing good in the industry, outperforming 77.01% of the companies in the same industry.
- GIB's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 16.29%, GIB belongs to the top of the industry, outperforming 86.21% of the companies in the same industry.
- In the last couple of years the Operating Margin of GIB has remained more or less at the same level.
- GIB has a worse Gross Margin (16.39%) than 85.06% of its industry peers.
- GIB'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
- GIB has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- GIB has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, GIB has less shares outstanding
- Compared to 1 year ago, GIB has a worse debt to assets ratio.
2.2 Solvency
- GIB has an Altman-Z score of 3.29. This indicates that GIB is financially healthy and has little risk of bankruptcy at the moment.
- With a Altman-Z score value of 3.29, GIB perfoms like the industry average, outperforming 58.62% of the companies in the same industry.
- The Debt to FCF ratio of GIB is 2.06, which is a good value as it means it would take GIB, 2.06 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 2.06, GIB is in the better half of the industry, outperforming 70.11% of the companies in the same industry.
- A Debt/Equity ratio of 0.33 indicates that GIB is not too dependend on debt financing.
- GIB has a Debt to Equity ratio of 0.33. This is comparable to the rest of the industry: GIB outperforms 52.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.06 | ||
| Altman-Z | 3.29 |
ROIC/WACC1.66
WACC8.35%
2.3 Liquidity
- A Current Ratio of 0.94 indicates that GIB may have some problems paying its short term obligations.
- The Current ratio of GIB (0.94) is worse than 83.91% of its industry peers.
- GIB has a Quick Ratio of 0.94. This is a bad value and indicates that GIB is not financially healthy enough and could expect problems in meeting its short term obligations.
- GIB has a worse Quick ratio (0.70) than 87.36% 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 shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.21% yearly.
- GIB shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.07%.
- The Revenue has been growing slightly by 5.52% on average over the past years.
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
- GIB is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.19% yearly.
- Based on estimates for the next years, GIB will show a small growth in Revenue. The Revenue will grow by 4.43% on average per year.
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
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- 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 11.90, which indicates a very decent valuation of GIB.
- 78.16% of the companies in the same industry are more expensive than GIB, based on the Price/Earnings ratio.
- GIB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.27.
- A Price/Forward Earnings ratio of 10.07 indicates a reasonable valuation of GIB.
- Based on the Price/Forward Earnings ratio, GIB is valued cheaper than 80.46% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 28.16. GIB is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 10.07 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, GIB is valued cheaper than 83.91% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, GIB is valued cheaply inside the industry as 83.91% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.37 | ||
| EV/EBITDA | 7.69 |
4.3 Compensation for Growth
- GIB's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of GIB may justify a higher PE ratio.
PEG (NY)1.11
PEG (5Y)1.06
EPS Next 2Y9.67%
EPS Next 3Y9.19%
5. Dividend
5.1 Amount
- GIB has a yearly dividend return of 0.62%, which is pretty low.
- GIB's Dividend Yield is a higher than the industry average which is at 0.54.
- With a Dividend Yield of 0.62, GIB pays less dividend than the S&P500 average, which is at 1.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.62% |
5.2 History
- GIB has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- GIB pays out 8.30% of its income as dividend. This is a sustainable payout ratio.
DP8.3%
EPS Next 2Y9.67%
EPS Next 3Y9.19%
73.88
+0.5 (+0.68%)
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 Change1.5%
Ins Owners0.4%
Ins Owner ChangeN/A
Market Cap15.87B
Revenue(TTM)16.21B
Net Income(TTM)1.66B
Analysts75.45
Price Target109.63 (48.39%)
Short Float %1.66%
Short Ratio7.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.62% |
Yearly Dividend0.44
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)-0.35%
PT rev (3m)-7.85%
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)-0.09%
Revenue NQ rev (3m)0.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 10.07 | ||
| P/S | 1.34 | ||
| P/FCF | 10.37 | ||
| P/OCF | 8.8 | ||
| P/B | 2.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.69 |
EPS(TTM)6.21
EY8.41%
EPS(NY)7.33
Fwd EY9.93%
FCF(TTM)7.12
FCFY9.64%
OCF(TTM)8.39
OCFY11.36%
SpS55.3
BVpS33.94
TBVpS-10.11
PEG (NY)1.11
PEG (5Y)1.06
Graham Number68.86
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 | 3.29 |
F-Score6
WACC8.35%
ROIC/WACC1.66
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 FAQ
What is the fundamental rating for GIB stock?
ChartMill assigns a fundamental rating of 6 / 10 to GIB.
What is the valuation status of CGI INC (GIB) stock?
ChartMill assigns a valuation rating of 8 / 10 to CGI INC (GIB). This can be considered as Undervalued.
What is the profitability of GIB stock?
CGI INC (GIB) has a profitability rating of 7 / 10.
What is the valuation of CGI INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CGI INC (GIB) is 11.9 and the Price/Book (PB) ratio is 2.18.
How financially healthy is CGI INC?
The financial health rating of CGI INC (GIB) is 5 / 10.