CGI offers excellent cash conversion at 127% of net income and a three-quarter streak of earnings beats at a single-digit forward multiple, but a confirmed death cross with the 200-day moving average declining at 5.3% per month and persistently weak revenue growth limit the appeal of establishing or adding to a position until the technical picture improves.
Thesis pillars
- Excellent Cash Conversion Quality→Stable
- Consecutive Earnings Beats At Low Multiple→Stable
- Weak Growth Limits Multiple Expansion↑Improving
- +1 more pillar — see the Why tab for full reasoning
CGI Inc. (GIB) Stock Analysis
Recovery setup
Technology · Information Technology Services
Hold if already holding. Not a fresh buy at $71.69, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Value-trap signals (2/5): Margin compression (op margin 2.7%), Material insider selling (13 sells, 0.05% of cap).
CGI Inc. provides information technology and business process services in Western and Southern Europe, the United States, Canada, Scandinavia, Northwest and Central-East Europe, the United Kingdom, Australia, Germany, Finland, Poland, Baltics, and the Asia Pacific. It offers... Read more
Hold if already holding. Not a fresh buy at $71.69, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Value-trap signals (2/5): Margin compression (op margin 2.7%), Material insider selling (13 sells, 0.05% of cap). Chart setup: Death cross but MACD improving, RSI 64. Downgraded from BUY WAIT — price $71.71 has reached target $71.32. No upside to wait for. Score 5.5/10, moderate confidence.
Passes 6/9 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio and earnings proximity 1d<=7d. Suitability: moderate.
Recent developments
updated 2026-07-28Recent Developments — CGI Inc.
Latest news
- NEWS A Look at CGI Inc (GIB) After 10.8% Decline -- GF Value $126.93 vs Price $65.59 - GuruFocus — GuruFocus negative
- NEWS CGI Group (GIB) Q2 earnings match estimates - MSN — MSN neutral
- NEWS Wall Street Analysts Predict a 34.19% Upside in CGI (GIB): Here's What You Should Know - Zacks Investment Research — Zacks Investment Research positive
- NEWS CGI Group (GIB) Expected to Announce Quarterly Earnings on Wednesday - MarketBeat — MarketBeat neutral
- NEWS Analysts Are Bullish on These Technology Stocks: CGI (GIB), Unity Software (U) - The Globe and Mail — The Globe and Mail positive
Generated 2026-07-30T22:23:47Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Hold if already holding. Not a fresh buy at $71.69, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Value-trap signals (2/5): Margin compression (op margin 2.7%), Material insider selling (13 sells, 0.05% of cap). Chart setup: Death cross but MACD improving, RSI 64. Downgraded from BUY WAIT — price $71.71 has reached target $71.32. No upside to wait for. Target $71.32 (-0.5%), stop $60.97 (−17.6%), A.R:R -1.2:1. Score 5.5/10, moderate confidence.
Take-profit target: $71.32 (-15.3% upside). Target $71.32 (-0.5%), stop $60.97 (−17.6%), A.R:R -1.2:1. Stop-loss: $60.97.
Analyst target reached - limited upside remaining; Value-trap signals (2/5): Margin compression (op margin 2.7%), Material insider selling (13 sells, 0.05% of cap).
CGI Inc. trades at a P/E of 12.2 (forward 10.1). TrendMatrix value score: 7.2/10. Verdict: Hold.
21 analysts cover GIB with a consensus score of 3.7/5. Average price target: $71.
What does CGI Inc. do?CGI Inc. provides information technology and business process services in Western and Southern Europe, the United...
CGI Inc. provides information technology and business process services in Western and Southern Europe, the United States, Canada, Scandinavia, Northwest and Central-East Europe, the United Kingdom, Australia, Germany, Finland, Poland, Baltics, and the Asia Pacific. It offers end-to-end services and solutions, including business and strategic IT consulting; systems integration, such as data integration, AI and automation integration, cloud integration, Internet of Things, enterprise application integration, application programming interface integration, and legacy system modernization; managed IT and business process; and application services comprising application management, DevSecOps, application modernization and rationalization, and quality engineering and assurance. The company also provides infrastructure services, which include legacy infrastructure modernization, cloud and hybrid infrastructure management, IT service management, FinOps-enabled cloud management, cyber resilience and compliance, site reliability engineering and AIOps, and infrastructure-as-code; and intellectual property business solutions. It serves banking and capital markets, communications and media, energy and utilities, government, health, insurance, life sciences, manufacturing, retail and consumer services, space, transportation, and logistics industries. The company was formerly known as CGI Group Inc. and changed its name to CGI Inc. in January 2019. CGI Inc. was founded in 1976 and is headquartered in Montreal, Canada.