CGI Group (NYSE:GIB) Reaches New 52-Week Low – Time to Sell?

CGI Group, Inc. (NYSE:GIB) (TSE:GIB.A) shares hit a new 52-week low during trading on Tuesday . The company traded as low as $71.17 and last traded at $71.2730, with a volume of 517935 shares. The stock had previously closed at $74.32.

Analysts Set New Price Targets

Several brokerages have weighed in on GIB. Weiss Ratings reissued a “hold (c-)” rating on shares of CGI Group in a report on Monday, December 29th. Royal Bank Of Canada reiterated an “outperform” rating on shares of CGI Group in a research report on Monday, January 5th. Scotiabank started coverage on shares of CGI Group in a research report on Tuesday, January 27th. They issued a “sector perform” rating on the stock. Canadian Imperial Bank of Commerce cut shares of CGI Group from a “strong-buy” rating to a “hold” rating in a research note on Sunday, December 14th. Finally, Jefferies Financial Group reaffirmed a “hold” rating and issued a $81.00 price objective (down from $105.00) on shares of CGI Group in a report on Monday, November 10th. One analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $117.00.

CGI Group Stock Up 1.9%

The company’s 50 day simple moving average is $86.26 and its 200-day simple moving average is $89.16. The company has a debt-to-equity ratio of 0.28, a quick ratio of 0.70 and a current ratio of 0.94. The firm has a market capitalization of $15.76 billion, a PE ratio of 13.46 and a beta of 0.59.

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

CGI Group Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 20th. Stockholders of record on Wednesday, February 18th will be given a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date is Wednesday, February 18th. CGI Group’s dividend payout ratio (DPR) is 9.36%.

Institutional Investors Weigh In On CGI Group

Hedge funds have recently bought and sold shares of the stock. First Horizon Corp bought a new position in shares of CGI Group in the 3rd quarter worth $29,000. Strive Financial Group LLC bought a new position in CGI Group in the fourth quarter valued at $37,000. EverSource Wealth Advisors LLC raised its position 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 valued at $152,000 after purchasing an additional 505 shares in the last quarter. Crestwood Advisors Group LLC lifted its stake in CGI Group by 14.2% during the fourth quarter. Crestwood Advisors Group LLC now owns 4,606 shares of the technology company’s stock worth $425,000 after purchasing an additional 572 shares during the last quarter. Finally, Ethic Inc. lifted its stake in CGI Group by 13.4% during the fourth quarter. Ethic Inc. now owns 9,804 shares of the technology company’s stock worth $905,000 after purchasing an additional 1,158 shares during the last quarter. 66.68% of the stock is currently owned by institutional investors.

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.