CGI Inc (GIB) Stock Analysis
Verdict: WATCH (do not buy)
Severe technical breakdown and consistent earnings misses overshadow deep value; wait for support to solidify at the 52-week low.
Investment score: 48/100
Analysis as of
Is CGI Inc stock worth reviewing? The TradeMates thesis
The TradeMates model identifies a value trap scenario where attractive multiples (10.8x P/E vs peer PVT.V 8.2x but higher quality) are negated by a worsening earnings miss-streak and negative price momentum.
7-factor investment score
- Valuation: 65/100 (weight 20%)
- Financial Health: 60/100 (weight 15%)
- Technical Momentum: 20/100 (weight 15%)
- Earnings Quality: 25/100 (weight 15%)
- Insider Sentiment: 50/100 (weight 10%)
- Analyst Consensus: 55/100 (weight 10%)
- Risk-Adjusted Return: 50/100 (weight 15%)
CGI Inc opportunities and risks
What speaks for GIB
- Exceptional Free Cash Flow Generation
What speaks against GIB
- Persistent Earnings Execution Gaps
Peers and competitors
- GIB.A.TO
- CTS.TO
- ALYA.TO
- PVT.V
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| GIB | 10.8x | 1.1x | 7.5x | 20.5% | 10.3% | 12.4% |
| CTS.TO | n/a | 0.4x | n/a | 26.7% | -6.9% | 23.7% |
| ALYA.TO | n/a | 0.2x | 7.6x | 31.9% | -8.1% | 21.4% |
| PVT.V | 8.2x | 0.6x | 3.3x | 44.8% | 7.4% | 14.5% |
| Peer median | n/a | 0.4x | 3.3x | 31.9% | -6.9% | 21.4% |
Frequently asked questions about CGI Inc (GIB)
Is GIB stock a good investment?
The TradeMates model rates CGI Inc as WATCH (do not buy) with an investment score of 48/100. The TradeMates model identifies a value trap scenario where attractive multiples (10.8x P/E vs peer PVT.V 8.2x but higher quality) are negated by a worsening earnings miss-streak and negative price momentum. This is algorithmic model output, not personal investment advice.
Is GIB stock a buy?
The TradeMates model verdict for GIB is WATCH (do not buy) with an investment score of 48/100. Treat this as a model signal to review, not a personal buy recommendation.